Hampton Financial Corporation Announces 3rd Quarter Results

Executive Summary

• Hampton Financial Corporation announced its financial results for the third quarter ended May 31, 2025, reporting a significant year-over-year decline in revenue and a net loss.
• The company highlighted signs of improvement in its commercial lending business via its subsidiary Oxygen Working Capital (OWC), noting growth in the loan book and diversification of its lending base.
• Executive Chairman & CEO Peter Deeb noted that while Q3 results reflected industry-wide challenges, Capital Markets activities are slowly improving as interest rates decline, with optimism for the remainder of the fiscal year.

Key Details

• Q3 Revenue: $1,738,000, representing a 39% decrease year-over-year.
• Q3 Net Loss: $(1,201,000), or $(0.02) per share.
• Q3 Adjusted Net Loss: $(945,000), or $(0.02) per share (adjusted for non-cash items).
• Q3 EBITDA: $(686,000), compared to $305,000 in the comparative quarter of the previous year.
• Corporate Developments:
  • Corporate finance activities are improving slightly over the first half of the fiscal year but remain below 2023/24 levels.
  • Oxygen Working Capital (OWC) is showing growth, onboarding new clients, and diversifying its lending base.
  • The company intends to expand its business portfolio while growing existing Wealth Management and Capital Markets businesses.
• Financial Statements: Unaudited interim financial statements and Management’s Discussion & Analysis for the nine months ended May 31, 2025, are available on SEDAR+.

Notable Quotes

• “The third quarter results continue to demonstrate the industry-wide challenges faced during the fall of 2024, but we are beginning to see some selective improvements. Capital Markets activities continue to improve slowly as interest rates decline. We remain optimistic for the balance of the fiscal year,” said Hampton Executive Chairman & CEO Peter Deeb.