ABX · Abacus Global Management, Inc.

Period Performance

Period Performance

For the three months ended March 31, 2026, Abacus Global Management reported total revenue of $59.4M, a 34.6% increase from $44.1M in the prior-year period. The growth was led by Life Solutions revenue, which surged 39.3% to $50.6M, driven by a higher number of policies sold (331 vs. 118) and improved realized gains (average gain per policy 26.4% vs. 21.0%). Asset management revenue rose 8.8% to $8.5M, primarily from increased servicing revenue tied to policy growth in LP Funds. Technology services revenue expanded more than fourfold to $0.4M.

Gross profit increased 43.3% to $53.1M, with gross margin expanding to 89.4% from 83.9%, aided by a 11.3% decline in cost of revenue (lower origination commissions and retrocession fees). Operating income fell 12.8% to $18.3M, as operating expenses rose 117% driven by higher sales and marketing (up 89.1%), general and administrative costs (up 111% due to payroll, stock-based compensation, and legal fees), and acquisition-related charges. Net income attributable to Abacus Global Management reached $7.3M, up 56.6% from $4.6M, benefiting from a $5.4M unrealized gain on investments partially offset by a $3.05M impairment.

Segment Dynamics

• Asset Management: Segment revenue of $8.5M (+8.8%) reflected steady management fees and a 133% jump in related-party servicing revenue. Gross profit rose 16.5% to $5.9M, with a slight decline in cost of revenue (-5.3%) due to lower ETF fund AUM. Fee-paying AUM ended at $3.27B, up 16.1% from year-end 2025, driven by $288M inflows into Longevity Funds partially offset by $391M outflows from ETF Funds.
• Life Solutions: Revenue surged to $50.6M (+39.3%), with the fair value method contributing $48.0M (including $16.6M from related-party policies). The segment generated $77.8M in realized gains on sold policies, though unrealized gains declined $62.2M. Insurance commissions of $1.6M were a new revenue stream following the acquisition of NIB and AccuQuote in August 2025. Gross profit rose 46.6% to $47.5M as cost of revenue fell 20.9%.
• Technology Services: Revenue of $0.4M (+438%) on higher lives tracked, but gross loss improved to ($0.3M) from ($0.4M) due to cost growth.

Forward View

Management highlighted that cash and cash equivalents of $37.2M as of March 31, 2026, along with cash generated from operations ($91.7M in Q1), are sufficient to support operating and debt service needs for the next 12 months. Net cash from operations swung positive due to higher life policy sales and a decrease in fair value of held policies. The company did not provide specific quantitative guidance, but noted strategic priorities include continued growth in life solutions, deployment of capital from the $50M delayed draw facility (borrowed in September 2025), and expansion of AUM. Risks include interest rate sensitivity, regulatory compliance, and competition.