Daily Journal Corporation filed its Form 10-Q with the SEC on August 12, 2026, covering the quarterly period ended June 30, 2026, and reporting a net loss driven primarily by unrealized losses on its marketable securities portfolio.

Key Highlights

  • Net loss of $53,506 thousand for the nine months ended June 30, 2026, compared to net income of $69,986 thousand in the same period a year earlier, according to the filing.
  • Net unrealized losses on marketable securities totaled $87,032 thousand for the nine-month period, versus net unrealized gains of $84,320 thousand in the prior-year period.
  • Total revenues rose to $69,231 thousand for the nine months ended June 30, 2026, up from $59,286 thousand in the nine months ended June 30, 2025.
  • Marketable securities at fair value stood at $405,963 thousand as of June 30, 2026, down from $492,995 thousand as of September 30, 2025.
  • Basic and diluted loss per share for the nine-month period was $(38.84), compared to earnings per share of $50.81 in the comparable prior-year period.
  • Shares outstanding as of August 7, 2026 were 1,377,952, the filing disclosed.

Daily Journal's Nine-Month Results Reflect Swings in Investment Portfolio

According to the filing, Daily Journal Corporation (NASDAQ:DJCO) reported a net loss of $10,889 thousand for the three months ended June 30, 2026, reversing a net income of $14,421 thousand in the three months ended June 30, 2025. For the nine-month period, the net loss reached $53,506 thousand, compared to net income of $69,986 thousand a year earlier. The company attributed the shift largely to net unrealized losses on marketable securities of $24,145 thousand in the quarter and $87,032 thousand for the nine-month period, versus gains of $11,521 thousand and $84,320 thousand, respectively, in the prior-year periods.

On the operating side, the filing reported that total revenues for the nine months ended June 30, 2026 increased to $69,231 thousand from $59,286 thousand in the prior-year period. Licensing and maintenance fees rose to $26,277 thousand from $22,990 thousand, consulting fees increased to $14,238 thousand from $11,792 thousand, and other public service fees grew to $15,047 thousand from $11,152 thousand. Total operating expenses for the nine-month period were $60,498 thousand, up from $54,357 thousand, resulting in income from operations of $8,733 thousand compared to $4,929 thousand in the year-ago period.

The balance sheet as of June 30, 2026 reflected total assets of $471,832 thousand and total liabilities of $134,179 thousand, with total stockholders' equity of $337,653 thousand, down from $391,061 thousand as of September 30, 2025. The company also reported assets held for sale of $3,461 thousand as of June 30, 2026, which were not present on the September 30, 2025 balance sheet. Investment margin account borrowings stood at $20,000 thousand, reduced from $22,000 thousand at fiscal year-end. The filing notes that it contains forward-looking statements subject to the company's cautionary language regarding risks and uncertainties.

What Was Disclosed

Daily Journal Corporation disclosed its condensed consolidated financial results for the three and nine months ended June 30, 2026, including a nine-month net loss of $53,506 thousand, primarily driven by $87,032 thousand in net unrealized losses on marketable securities, alongside revenue growth in its technology segment.