Pineapple Financial Inc.
For the period ended May 31, 2026. Filed Jul 20, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
May 31, 2026 · Filed Jul 20, 2026
PAPL$0.98+3.1%Stored close · as of Oct 23, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-02-28; filed 2026-04-13.
0001493152-26-016374
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-05-31; filed 2026-07-20.
0001493152-26-033926
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 298 previous paragraphs and 341 current paragraphs.
69 unchanged; 50 reworded; 218 added; 177 removed; 2 previous and 4 current paragraphs rearranged.
Tables are not compared: 79 previous and 11 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (218)
Current report
During the nine months ended May 31, 2026, the Company expanded its business through the implementation of a Digital Asset Treasury strategy while continuing to operate its core Canadian mortgage brokerage and technology platform. As a result, the Company now operates through two reportable operating segments: Mortgage Operations and Crypto Asset Operations.
Current report
Mortgage Operations continued to generate revenue through mortgage brokerage, underwriting, insurance, subscription-based software, sponsorship and other technology-enabled financial services. During the period, management remained focused on operating efficiency, expense management and the continued expansion of recurring revenue streams despite a mortgage market that remained affected by housing affordability, elevated borrowing costs and reduced origination activity.
Current report
During the period, the Company also established its Digital Asset Treasury strategy as part of its broader capital allocation framework. The strategy includes the acquisition, financing, custody and staking of digital assets and is governed by the Company’s Treasury Reserve Policy, which establishes liquidity, governance, custody, financing and risk management requirements. As of May 31, 2026, the Company held digital assets with a fair value of approximately $49.4 million, generated $620,849 of staking income during the period and maintained financing arrangements designed to support its treasury activities.
Current report
The Company’s reported financial results were significantly affected by the application of ASC 350-60, which requires digital assets to be measured at fair value with changes recognized in earnings each reporting period. Accordingly, reported net income included significant non-cash fair value gains resulting from changes in the market value of the Company’s digital asset holdings. Management believes investors should evaluate these non-cash fair value adjustments together with the Company’s operating performance, liquidity position and capital management activities when assessing period-to-period financial results.
Current report
Historically, the Company’s operations were primarily focused on mortgage brokerage services and related technology-enabled solutions within the Canadian residential mortgage market. Revenue was largely derived from mortgage origination activity together with subscription, underwriting, insurance and other ancillary service offerings.
Current report
During fiscal 2026, the Company expanded its business through the implementation of its Digital Asset Treasury strategy, establishing Crypto Asset Operations as a second reportable operating segment. As a result, management now evaluates the business through two complementary operating platforms: Mortgage Operations and Crypto Asset Operations.
Current report
Mortgage Operations continue to focus on growing mortgage origination volumes, expanding subscription-based and other recurring revenue streams, enhancing agent productivity through technology, and improving operating efficiency.
Current report
Crypto Asset Operations focus on the disciplined deployment and management of treasury assets through digital asset ownership, staking activities, financing arrangements and other treasury management activities conducted pursuant to the Company’s Treasury Reserve Policy. These activities are intended to complement, rather than replace, the Company’s core mortgage operations by providing an additional framework for capital allocation and treasury management.
Current report
Management believes this operating structure provides greater diversification of earnings while maintaining a disciplined approach to liquidity, governance and risk management.
Current report
Within this operating environment, mortgage renewal and refinance activity represented a greater proportion of industry volume, while purchase-related mortgage originations continued to recover gradually. The Company remained focused on supporting its mortgage agent network, expanding technology-enabled services and maintaining disciplined expense management while continuing to invest in its proprietary Pineapple Plus platform.
Current report
During the period, the Company continued to enhance its technology platform through workflow automation, customer relationship management capabilities and additional insurance and ancillary financial service integrations. Management believes these initiatives will continue to support agent productivity, operational efficiency and the expansion of recurring revenue streams over time.
Current report
As part of its broader capital allocation strategy, the Company also implemented its Digital Asset Treasury strategy during fiscal 2026. The strategy is governed by the Company’s Treasury Reserve Policy and is designed to deploy excess treasury assets in a disciplined manner while maintaining appropriate liquidity, governance and risk management standards. Activities undertaken during the period included digital asset acquisitions, treasury financing arrangements and delegated staking activities.
Current report
As of May 31, 2026, the Company held digital assets with a fair value of approximately $49.4 million, generated $620,849 of staking income during the nine-month period and recognized $2.8 million of non-cash fair value gains resulting from changes in market prices. Because the Company’s digital assets are measured at fair value under U.S. GAAP, reported earnings may experience significant period-to-period volatility that does not necessarily correspond to realized cash flows or underlying operating performance.
Current report
Management continues to evaluate both mortgage market conditions and digital asset markets in allocating capital, managing liquidity and assessing future operating opportunities.
Current report
The Company’s results of operations for the three and nine months ended May 31, 2026 reflect the combination of its traditional mortgage operations together with the implementation of its Digital Asset Treasury strategy. As a result, comparisons with prior periods should be viewed in the context of the Company’s expanded business activities.
Current report
Reported operating results during the current period were significantly influenced by:
Current report
Because fair value adjustments are recognized in earnings each reporting period, reported net income may vary significantly based on changes in digital asset market prices and may not correspond to realized cash flows during the period.
Current report
Net Income
Current report
The principal drivers of the period-over-period change were:
Current report
● A $25.8 million non-cash, market-driven fair value gain on the Company’s recognized digital asset holdings;
Current report
● $0.4 million of staking income generated from the Company’s digital asset treasury activities;
Current report
● $0.2 million of interest income earned on treasury financing and lending activities; and
Current report
● Continued cost management across the Company’s mortgage operations.
Current report
These items were partially offset by:
Current report
● Interest expense and bank charges of $0.4 million, primarily related to borrowings supporting the Company’s Digital Asset Treasury strategy;
Current report
● A $0.4 million loss on the change in fair value of warrant liabilities;
Current report
● Advertising and marketing expenses of $0.3 million;
Current report
● Salaries, wages and benefits of $0.4 million; and
Current report
● Depreciation and amortization of $0.3 million.
Current report
Because the Company measures its recognized digital assets at fair value under ASC 350-60, reported net income includes significant non-cash gains and losses resulting from changes in market prices. Accordingly, period-to-period comparisons of reported earnings may not necessarily reflect changes in the Company’s underlying operating cash flows or core mortgage operations.
Current report
Revenue for the three months ended May 31, 2026 was $0.6 million, compared to $0.7 million for the comparable prior-year period, representing a decrease of $0.1 million, or approximately 16.7%.
Current report
The decrease primarily reflects lower mortgage origination activity within the Company’s Mortgage Operations segment as the Canadian residential mortgage market continued to experience reduced transaction volumes, housing affordability constraints and disciplined underwriting standards despite improving interest rate conditions. These factors reduced commission-based revenue associated with funded mortgage transactions during the period.
Current report
The decrease in mortgage brokerage revenue was partially offset by continued contributions from the Company’s recurring and ancillary revenue streams, including subscription-based software, underwriting, insurance and sponsorship revenues, which continue to diversify the Company’s revenue base beyond traditional mortgage origination activity.
Current report
Income generated from the Company’s Digital Asset Treasury strategy, including staking income, is presented separately from revenue and is therefore not included within revenue from contracts with customers.
Current report
Total operating expenses and other income for the three months ended May 31, 2026 resulted in a net recovery of approximately $24.3 million, compared to total operating expenses of approximately $0.6 million for the comparable prior-year period. The year-over-year change primarily reflects the implementation of the Company’s Digital Asset Treasury strategy, including the recognition of non-cash fair value gains on recognized digital assets and staking income, partially offset by financing costs associated with treasury activities and ongoing mortgage operating expenses.
Current report
Excluding the impact of digital asset fair value remeasurement and staking income, the Company continued to incur operating expenses related to:
Current report
Interest expense increased significantly from the prior-year period as a result of financing arrangements established to support the Company’s Digital Asset Treasury strategy.
Current report
Fair Value and Treasury Activities
Current report
During the quarter, the Company recognized a $25.8 million non-cash fair value gain on its recognized digital assets resulting from increases in the market price of Injective (“INJ”) during the reporting period. Under ASC 350-60, recognized digital assets are measured at fair value, with changes in fair value recognized in earnings each reporting period. Accordingly, these gains do not represent realized cash gains.
Current report
Collectively, these items materially affected reported operating results for the quarter but do not necessarily reflect the performance of the Company’s core mortgage operations or operating cash flows.
Showing the first 40 of 218 passages. Open the source sections for the rest.
Removed paragraphs (177)
Previous report
The Company is a technology-enabled mortgage platform operating in Canada, with an expanding focus on data-driven financial services and capital allocation strategies.
Previous report
During the period, the Company began executing a strategic transition from a primarily transactional mortgage brokerage model toward an integrated platform consisting of:
Previous report
This transition reflects management’s focus on improving earnings quality, increasing recurring revenue, and driving operating leverage over time. While reported financial results for the period were significantly impacted by non-cash fair value adjustments related to crypto asset holdings, the Company’s underlying operating performance remained stable, supported by continued revenue generation, cost optimization initiatives, and early contributions from new strategic initiatives.
Previous report
Management believes the Company has now completed the majority of its balance sheet repositioning and cost restructuring initiatives and is entering a phase of execution focused on operating leverage, earnings quality, and scalable growth.
Previous report
The Company is currently in a transition phase, moving from a period of capital formation and strategic investment toward one of execution, operating leverage, and performance delivery.
Previous report
Historically, the Company operated primarily as a transactional mortgage brokerage platform, with revenue largely dependent on origination volumes. As part of its strategic evolution, the Company is building an integrated operating model across three core pillars:
Previous report
Management believes this integrated model will support:
Previous report
Within this operating environment, mortgage renewal and refinance transactions represented a greater proportion of total industry activity, while purchase-related originations continued to recover at a more gradual pace. The Company’s operating performance remained stable during the period, supported by its diversified agent network and continued presence across key Canadian markets.
Previous report
The Company continued to invest in and enhance its proprietary Pineapple Plus technology platform. During the period, the Company advanced workflow automation capabilities, expanded customer relationship management functionality, and further integrated insurance and ancillary financial product offerings. These initiatives contributed to operational efficiencies, improved agent productivity, and sustained client engagement despite ongoing market challenges. In addition, continued investment in digital marketing and lead-generation tools supported the stability of the Company’s fee-based revenue streams.
Previous report
Subsequent to the quarter, early indicators suggest increased mortgage application volumes and lead-generation activity, primarily driven by renewal and refinance demand. Management believes that these trends, together with ongoing platform enhancements and disciplined capital allocation, may support a gradual recovery in mortgage activity as interest rate conditions stabilize. However, the extent and timing of such recovery remain subject to macroeconomic conditions, including interest rate dynamics and housing market activity.
Previous report
In addition to its core mortgage brokerage operations, the Company has implemented a structured digital asset treasury strategy. During the six months ended February 28, 2026, the Company deployed $45.4 million into digital assets, primarily allocated to Injective (INJ).
Previous report
This program is designed to enhance capital efficiency through staking yield generation, disciplined capital allocation, and long-term asset appreciation. The Company’s approach emphasizes governance, liquidity management, and risk controls, and is not intended to represent speculative trading activity.
Previous report
Due to applicable accounting standards, these holdings are subject to fair value remeasurement, which may introduce significant non-cash volatility in reported earnings.
Previous report
Net Loss
Previous report
For the three months ended February 28, 2026, the Company reported a net loss of $19.5 million, compared to a net loss of $0.6 million for the same period in the prior year.
Previous report
These factors were partially offset by growth in revenue and continued cost management. Reported GAAP results for the period were significantly impacted by non-cash fair value adjustments related to digital asset holdings. Management believes these adjustments introduce volatility that is not reflective of the Company’s core operating performance or underlying cash flow generation. Of note, the Company’s reported net loss was significantly impacted by non-cash, market-driven fair value remeasurement of digital asset holdings, which does not reflect underlying operating performance or cash flow generation. Excluding these non-cash adjustments and financing-related costs, the Company’s core operating results were materially improved relative to the prior year period, reflecting revenue growth and the impact of structural cost reduction initiatives implemented during the period.
Previous report
Revenue
Previous report
The increase in revenue was driven by:
Previous report
Total operating expenses for the three months ended February 28, 2026 were $18.7 million, compared to $1.3 million in the same period of the prior year.
Previous report
Excluding digital asset remeasurement and financing-related costs, operating expenses decreased modestly, reflecting:
Previous report
During the quarter, operating expenses included a $16.9 million non-cash, market-driven fair value remeasurement of the Company’s digital asset holdings
Previous report
This loss was driven by market-driven valuation changes in Injective tokens and is not indicative of the Company’s core mortgage and platform operations.
Previous report
Additionally, the Company recognized:
Previous report
These items are presented below operating income and partially offset overall losses.
Previous report
Operating Loss and Net Loss
Previous report
Management believes that, excluding the impact of:
Previous report
the Company’s underlying operating performance remained stable, supported by:
Previous report
In addition, during the period and subsequent to quarter end, the Company implemented a comprehensive operational restructuring initiative designed to materially reduce its fixed cost base and improve operating leverage.
Previous report
To date, approximately $1.46 million of annualized cost savings have been implemented and are expected to be reflected in the Company’s run-rate by March 31, 2026, with additional savings currently being executed. In aggregate, these initiatives are expected to reduce annual operating expenses by more than $2.5 million.
Previous report
The restructuring included a realignment toward a leaner, technology-enabled operating model, including a significant reduction in headcount, as well as reductions across professional services, software, marketing, and other operating expenses.
Previous report
A key component of this transformation has been the integration of artificial intelligence across core business functions, enabling the Company to automate processes historically supported by manual workflows, including agent onboarding, data processing, and customer engagement.
Previous report
As a result of these initiatives, the Company has structurally reduced its operating cost base while maintaining platform capabilities and scalability. Management believes these changes represent a permanent reset of the Company’s expense structure and position the business to achieve improved operating leverage and enhanced earnings durability as revenue scales.
Previous report
Six Months Ended February 28, 2026 Compared to February 28, 2025
Previous report
The six-month results reflect the impact of both legacy cost structure and recent strategic initiatives, including capital deployment and operational restructuring.
Previous report
Net Loss
Previous report
Revenue
Previous report
Revenue for the six months ended February 28, 2026 was $1.43 million, compared to $1.51 million in the comparable prior-year period, representing an decrease of $0.08 million, or 5.3%.
Previous report
The increase was driven by:
Previous report
Total operating expenses for the six months ended February 28, 2026 were $25.8 million, compared to $2.8 million in the same period of the prior year.
Previous report
Excluding these items, operating expenses increased moderately due to:
Showing the first 40 of 177 passages. Open the source sections for the rest.
Reworded paragraphs (50)
Previous wording
Please read the following management’s discussion and analysis of our financial condition and results of operations, along with our consolidated financial statements and the related notes and other information included in this Annual Report on Form 10-Q. It is important to note that this discussion and analysis contain forward-looking statements with certain risks and uncertainties. These risks and uncertainties could cause our results to differ materially from anticipated in these forward-looking statements. You can find more information about these risks and uncertainties under the heading “Special Note Regarding Forward-Looking Statements” in Part I and elsewhere in this Form 10- Q.
Current wording
Please read the following management’s discussion and analysis of our financial condition and results of operations, along with our consolidated financial statements and the related notes and other information included in this Quarterly Report on Form 10-Q. It is important to note that this discussion and analysis contain forward-looking statements with certain risks and uncertainties. These risks and uncertainties could cause our results to differ materially from anticipated in these forward-looking statements. You can find more information about these risks and uncertainties under the heading “Special Note Regarding Forward-Looking Statements” in Part I and elsewhere in this Form 10- Q.
Previous wording
In this section, we provide an analysis of the Company’s financial condition, cash flows, and results of operations from management’s perspective. We recommend you read this with the consolidated financial statements and notes in Part II, Item 8 of this Annual Report on Form 10Q.
Current wording
In this section, we provide an analysis of the Company’s financial condition, cash flows, and results of operations from management’s perspective. We recommend you read this with the consolidated financial statements and notes in Part I, Item 1 of this Quarterly Report on Form 10Q.
Previous wording
During the six months ended February 28, 2026, the Canadian mortgage market continued to adjust to changes in monetary policy following the Bank of Canada’s easing cycle that commenced in mid-2024. Through the current period, the Bank of Canada reduced its benchmark overnight interest rate. While these reductions contributed to improved borrowing conditions and greater rate stability, overall mortgage origination volumes remained below pre-2022 levels, reflecting ongoing affordability constraints, limited housing supply, and continued underwriting discipline among lenders.
Current wording
During the nine months ended May 31, 2026, the Canadian mortgage market continued to adjust to evolving monetary policy following the Bank of Canada’s easing cycle that commenced in mid-2024. While lower benchmark interest rates improved borrowing conditions and reduced financing costs relative to prior periods, mortgage origination activity continued to be influenced by housing affordability constraints, limited housing supply, underwriting standards and borrower qualification requirements.
Previous wording
Three Months Ended February 28, 2026 Compared to February 28, 2025
Current wording
For the three months ended May 31, 2026, the Company reported net income of $25.3 million, compared to a net loss of $0.6 million during the prior-year period. The improvement primarily reflects the implementation of the Company’s Digital Asset Treasury strategy during fiscal 2026, which contributed non-cash fair value gains on digital assets, staking income and interest income. These benefits were partially offset by higher financing costs associated with the Company’s treasury financing arrangements and continued operating expenses related to its mortgage platform.
Previous wording
The Company presents certain non-GAAP financial measures, including Adjusted Operating Income (Loss) and Adjusted EBITDA, as supplemental metrics to assist investors in evaluating the Company’s operating performance.
Current wording
Management supplements its U.S. GAAP results with certain non-GAAP financial measures, including Adjusted Operating Income (Loss) and Adjusted EBITDA, which management uses to evaluate the underlying operating performance of the Company’s business.
Previous wording
However, these measures have limitations. In particular, fair value adjustments related to digital assets and financial instruments may be significant and recurring, and are an integral component of the Company’s results of operations.
Current wording
● Non-cash fair value adjustments related to digital assets;
Previous wording
These measures should not be considered in isolation or as a substitute for financial results prepared in accordance with U.S. GAAP and may not be comparable to similarly titled measures used by other companies.
Current wording
These measures should not be considered in isolation or as a substitute for results prepared in accordance with U.S. GAAP and may not be comparable to similarly titled measures presented by other companies.
Previous wording
Operating Expenses and Fair Value Adjustments
Current wording
Note: Gross billing represents total commissions billed to lending institutions on funded mortgage transactions. Commission expense represents amounts payable to mortgage agents, brokers and referral partners. Net sales revenue represents gross billing less commission expense and is presented on a net basis because the Company acts as an agent in these arrangements. The other revenue categories presented above include underwriting revenue, insurance revenue, subscription revenue, sponsorship revenue and other ancillary revenue streams. Staking income and fair value gains or losses on digital assets are excluded from the table above and are presented separately in the condensed interim consolidated statements of operations and comprehensive loss.
Previous wording
This improvement was driven by the combined impact of revenue stability and the structural reduction in the Company’s operating cost base, positioning the business for improved operating leverage as revenue scales.
Current wording
This improvement in adjusted operating performance was driven by the combined impact of revenue stability, growth in recurring and fee-based revenue streams, and a structural reduction in the Company’s operating cost base. Management believes these actions position the Company for improved operating leverage as revenue scales.
Previous wording
However, this non-GAAP measure should not be considered in isolation or as a substitute for financial results prepared in accordance with U.S. GAAP, and may not be comparable to similarly titled measures used by other companies.
Current wording
However, this non-GAAP measure should not be considered in isolation or as a substitute for financial results prepared in accordance with U.S. GAAP. This measure may also not be comparable to similarly titled measures used by other companies.
Previous wording
This increase was primarily driven by:
Current wording
Subscription revenue increased to $206,529 for the three months ended May 31, 2026, compared to $191,927 for the same period in 2025. This increase was partially offset by decreases in underwriting revenue, insurance revenue, sponsorship revenue and other income.
Previous wording
The three-month period reflects the Company’s current operating profile following recent financing and restructuring initiatives, while the six-month period reflects both pre- and post-transition performance.
Current wording
Management believes the three-month period reflects the Company’s current operating profile following recent financing, restructuring and cost optimization initiatives. The Company continues to focus on improving operating leverage, maintaining its mortgage platform capabilities, and expanding recurring and ancillary revenue streams.
Previous wording
Modified Net Asset Value (mNAV) Framework
Current wording
Modified Net Asset Value (mNAV)
Previous wording
To provide additional transparency into the relationship between the Company’s market valuation and its digital asset holdings, management utilizes a modified net asset value metric (“mNAV”), a non-GAAP financial measure.
Current wording
Management monitors Modified Net Asset Value (“mNAV”) as a supplemental treasury performance metric in evaluating the relationship between the Company’s market valuation and the capital deployed through its Digital Asset Treasury strategy.
Previous wording
As of February 28, 2026, the Company’s Treasury Value consisted primarily of digital assets, including Injective (INJ), as well as capital deployed in treasury-related strategies.
Current wording
As of May 31, 2026, the Company’s Treasury Value consisted primarily of:
Previous wording
Management believes mNAV is a useful metric for evaluating the extent to which the Company’s market valuation reflects its underlying digital asset holdings versus its operating business. However, mNAV should not be considered in isolation or as a substitute for financial results prepared in accordance with U.S. GAAP and may not be comparable to similarly titled measures used by other companies.
Current wording
Management believes mNAV is a useful supplemental metric for evaluating the Company’s treasury activities; however, it is not a measure of financial performance under U.S. GAAP and should not be considered in isolation or as a substitute for GAAP financial measures. The calculation of mNAV involves management judgment, including the determination of which assets and liabilities are included within Treasury Value, and may not be comparable to similarly titled measures presented by other companies.
Previous wording
The Company’s cash balance is currently managed at the corporate level and is not fully allocated between operating liquidity and treasury activities. Accordingly, cash has been excluded from Treasury Value for purposes of the mNAV calculation in this period. To the extent cash is deployed into digital asset strategies in future periods, it is expected to be included within Treasury Value.
Current wording
The Company’s cash balance is currently managed at the corporate level and is not fully allocated between operating liquidity and treasury activities. Accordingly, unrestricted cash has been excluded from Treasury Value for purposes of the mNAV calculation in this period. To the extent cash is deployed into digital asset strategies in future periods, it is expected to be included within Treasury Value.
Previous wording
In addition, certain amounts related to financing and collateral arrangements, including stablecoin balances and restricted cash, may be included within Treasury Value where such amounts represent capital actively deployed in support of the Company’s digital asset strategy.
Current wording
In addition, certain amounts related to financing and collateral arrangements, including restricted cash, loan receivable balances and derivative-related balances, may be included within Treasury Value where such amounts represent capital actively deployed in support of the Company’s digital asset strategy.
Previous wording
Staking rewards generated from digital asset holdings represent an incremental and recurring yield component of the Company’s capital allocation strategy.
Current wording
Staking rewards generated from digital asset holdings represent an incremental yield component of the Company’s capital allocation strategy.
Previous wording
The calculation of mNAV involves significant judgment, including the determination of which assets and liabilities are included in Treasury Value, and may differ from methodologies used by other companies. Accordingly, the measure may not be comparable and could produce materially different results if calculated under alternative assumptions.
Current wording
The calculation of mNAV involves significant judgment, including the determination of which assets and liabilities are included in Enterprise Value and Treasury Value, and may differ from methodologies used by other companies. Accordingly, this measure may not be comparable to similarly titled measures and could produce materially different results if calculated under alternative assumptions.
Previous wording
For the six-month period, the Company generated revenue from a diversified set of sources, supported by both its mortgage operations and digital asset strategy.
Current wording
For the nine-month period, the Company generated revenue from a diversified set of sources, supported by its mortgage operations, together with income generated from its digital asset treasury strategy.
Previous wording
Net cash provided by financing activities for the six months ended February 28, 2026 was $38.2 million, compared to $1.2 million in the prior-year period.
Current wording
● Net sales revenue was approximately $1.0 million, compared to $1.2 million in the prior-year period.
Previous wording
The decrease in mortgage-related revenue metrics during the quarter was driven by ongoing market softness and competitive pressures, partially offset by stable subscription revenue and contributions from digital asset activities.
Current wording
The decrease in mortgage-related revenue metrics during the quarter was driven by lower mortgage volume, ongoing market softness, affordability constraints and competitive pressures. These factors were partially offset by stable subscription revenue and contributions from digital asset staking activities.
Previous wording
Management believes that the Company’s operating results for both the three- and six-month periods demonstrate:
Current wording
Management believes that the Company’s operating results for both the three- and nine-month periods demonstrate:
Previous wording
The Company’s primary sources of revenue include commissions earned from lenders on mortgage originations, underwriting income, and membership fees charged to mortgage agents. In addition, the Company generates other income, including staking rewards earned on its digital asset holdings.
Current wording
The Company’s primary sources of revenue include commissions earned from lenders on mortgage originations, underwriting income, subscription fees charged to mortgage agents, insurance commission revenue, sponsorship revenue and other ancillary income. In addition, the Company recognizes staking income from digital asset holdings separately from revenue from contracts with customers.
Previous wording
The Company expects that improvements in agent productivity, data monetization, and capital efficiency will contribute to a more scalable and profitable operating model over time.
Current wording
The Company expects that improvements in agent productivity, data monetization, recurring revenue, and capital efficiency will contribute to a more scalable and profitable operating model over time.
Previous wording
The Company earns revenue from its mortgage brokerage operations based on commissions received from financial institutions with whom it has contractual arrangements. Gross billing represents the total commission earned from lending institutions on funded mortgage transactions. As the Company engages licensed mortgage agents and brokers who are responsible for originating and closing mortgage transactions, a significant portion of the gross billing is paid out as commissions and referral fees to those agents. Accordingly, the Company presents revenue on a net basis, calculated as gross billing less commissions and payouts to mortgage agents, as the Company acts as an agent in these arrangements.
Current wording
The Company earns revenue from its mortgage brokerage operations based on commissions received from financial institutions with whom it has contractual arrangements. Gross billing represents the total commission earned from lending institutions on funded mortgage transactions. As the Company engages licensed mortgage agents and brokers who are responsible for originating and closing mortgage transactions, a significant portion of the gross billing is paid out as commissions and referral fees to those agents.
Previous wording
This net revenue was driven by the Company’s role as an intermediary providing technology infrastructure, compliance oversight, and workflow support, rather than acting as the primary obligor in the mortgage funding transaction.
Current wording
This net revenue is driven by the Company’s role as an intermediary providing technology infrastructure, compliance oversight, and workflow support, rather than acting as the primary obligor in the mortgage funding transaction.
Previous wording
Users access and use our technology platform, Pineapple Plus, for a flat monthly service fee of $145.00 In exchange for this fee, users of Pineapple Plus have access to a network management system that allows them to perform back- office procedures more efficiently and effectively. This platform will enable them to process the deal described above prepare, and complete the package for submission to be funded by the financial institution. We have a strong user base, which has experienced significant growth since our inception. Revenue is recognized at the beginning of the month when a user is invoiced and pays the fee.
Current wording
Users access and use the Company’s technology platform, Pineapple Plus, for a flat monthly service fee of**$145.00**. In exchange for this fee, users of Pineapple Plus have access to a network management system that allows them to perform back-office procedures more efficiently and effectively. The platform enables users to process mortgage transactions, prepare documentation, and complete packages for submission to financial institutions for funding.
Previous wording
Staking income is recognized within other income when the Company obtains control of the reward tokens, which generally occurs when the rewards are received or become claimable by the Company. Such rewards are measured at fair value at the time of receipt using quoted market prices in active markets (Level 1 inputs) in accordance with ASC 820,Fair Value Measurement.
Current wording
Staking income is recognized within other income when the Company obtains control of the reward tokens, which generally occurs when the rewards are received or become claimable by the Company. Such rewards are measured at fair value at the time of receipt using quoted market prices in active markets in accordance with ASC 820,Fair Value Measurement.
Previous wording
Users can optionally use our expert risk pre-assessment service, which assists them in pre-underwriting their loans before submission to a lender for approval and funding. This service significantly reduces the time for the lender partners’ assessment of the deal. For mortgages of $179,575 and less, we charge an underwriting fee of $251; for mortgages greater than $179,575, the Company charges an underwriting fee of $359. The Company has undertaken a special program to educate and inform users of this service in further detail. 40% of the deals originated by users are using this service. This program is intended to further increase the number of deals and improve the services offered.
Current wording
Users can optionally use the Company’s expert risk pre-assessment service, which assists them in pre-underwriting their loans before submission to a lender for approval and funding. This service is designed to reduce the time required for lender partners to assess mortgage applications.
Previous wording
The Company earns insurance commission revenue through Pineapple Insurance, which acts as a broker for third-party insurance carriers. When customers purchase insurance policies through our platform, the Company receives commissions from the insurance providers based on premiums written. The Company acts as a principal in these transactions because it is responsible for sourcing customers, facilitating the placement of insurance products, and managing the full service process. Commission revenue is recognized at the point in time when the underlying insurance policy becomes effective and our performance obligations are satisfied. Insurance commission revenue is presented net of referral fees, agent commissions, and other consideration payable to mortgage agents or third-party partners, as these amounts represent direct transaction-related costs. Renewal commissions are recognized only when they become fixed and determinable based on confirmation from the insurance carriers.
Current wording
Commission revenue is recognized at the point in time when the underlying insurance policy becomes effective and the Company’s performance obligations are satisfied. Insurance commission revenue is presented net of referral fees, agent commissions, and other consideration payable to mortgage agents or third-party partners, as these amounts represent direct transaction-related costs. Renewal commissions are recognized only when they become fixed and determinable based on confirmation from the insurance carriers.
Previous wording
Our operating expenses, as presented in the statement of operations data, include salaries, commissions and team member benefits, general and administrative expenses, marketing and advertising expenses, and others.
Current wording
The Company’s operating expenses, as presented in the statement of operations data, include salaries, commissions and team member benefits, selling, general and administrative expenses, marketing and advertising expenses, depreciation and amortization, interest expense, share-based compensation, financing-related costs and other expenses.
Previous wording
Salaries and commissions and team member benefits
Current wording
Salaries, Commissions and Team Member Benefits
Previous wording
All payroll expenses include our team members’ salaries, commissions, and benefits.
Current wording
Payroll expenses include team members’ salaries, commissions, payroll taxes and benefits.
Previous wording
Selling, general and administrative expenses include software subscriptions, license fees, professional services, marketing expenses, and other operating expenses.
Current wording
Selling, general and administrative expenses include software subscriptions, license fees, professional services, insurance, rent, dues and subscriptions, travel, office and general expenses, consulting fees and other operating expenses.
Previous wording
Share-based compensation comprises equity awards and is measured and expensed accordingly under Accounting Standards Codification (“ASC”) 718 Compensation—Stock Compensation.
Current wording
Share-based compensation comprises equity awards and is measured and expensed under ASC 718,Compensation—Stock Compensation.
Previous wording
Comparison of the six months ended February 28, 2026 and 2025
Current wording
Comparison of the Nine Months Ended May 31, 2026 and 2025
Previous wording
The breakdown of selling, general and administrative expenses for the six months period ended Feb 28, 2026 are as follows:
Current wording
The breakdown of selling, general and administrative expenses for the nine-month period ended May 31, 2026 is as follows:
Previous wording
The increase was primarily driven by:
Current wording
Selling, general and administrative expenses for the nine months ended May 31, 2026 were $1.7 million, compared to $1.5 million for the same period in the prior year, representing an increase of $224,457, or 14.74%. The increase was primarily driven by higher professional, compliance, insurance and corporate costs associated with the Company’s public company reporting obligations, financing activities and expanded business activities, partially offset by cost optimization initiatives.
Showing the first 40 of 50 pairs. Open the source sections for the rest.
Rearranged current paragraphs (4)
Current report — wording carried from elsewhere
● Subscription fees charged to mortgage agents;
Current report — wording carried from elsewhere
Accordingly, the Company presents revenue on a net basis, calculated as gross billing less commissions and payouts to mortgage agents, as the Company acts as an agent in these arrangements.
Current report — wording carried from elsewhere
The Company earns insurance commission revenue through Pineapple Insurance, which acts as a broker for third-party insurance carriers. When customers purchase insurance policies through the Company’s platform, the Company receives commissions from insurance providers based on premiums written.
Current report — wording carried from elsewhere
Digital Assets and Digital Asset Treasury Strategy
Rearranged previous paragraphs (2)
Previous report — wording carried elsewhere
Operating Expenses and Fair Value Adjustments
Previous report — wording carried elsewhere
The increase was primarily driven by: