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NCPL

Netcapital Inc.

NCPL

Netcapital Inc. • NASDAQ
$0.92 ▼ -7.66% (-0.08)
Market Cap $4.53 M
52w High $8.75
52w Low $0.63
Dividend Yield 0%
P/E -0.06
Volume 140.60K
Outstanding Shares 4.92M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q1-2026 $190.058K ▼ $3.461M ▲ $-3.642M ▲ -1.916K% ▲ $-1.27 ▲ $-3.286M ▲
Q4-2025 $404.023K ▲ $1.523M ▼ $-20.547M ▼ -5.086K% ▼ $-9.37 ▼ $-20.52M ▼
Q3-2025 $152.682K ▼ $1.833M ▼ $-3.007M ▼ -1.969K% ▼ $-1.57 ▲ $-2.987M ▼
Q2-2025 $170.528K ▲ $2.353M ▼ $-2.221M ▲ -1.302K% ▲ $-2.34 ▲ $-2.202M ▲
Q1-2025 $142.227K $2.64M $-2.527M -1.777K% $-5.1 $-2.508M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q1-2026 $4.562M ▲ $28.432M ▲ $5.305M ▼ $23.127M ▲
Q4-2025 $289.428K ▼ $20.901M ▼ $5.996M ▲ $14.906M ▼
Q3-2025 $614.304K ▼ $39.901M ▼ $4.93M ▲ $34.97M ▼
Q2-2025 $1.347M ▲ $41.938M ▲ $4.532M ▲ $37.406M ▼
Q1-2025 $855.181K $41.441M $3.933M $37.508M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q1-2026 $-3.642M ▲ $-4.214M ▼ $0 $8.487M ▲ $4.273M ▲ $-4.214M ▼
Q4-2025 $-20.547M ▼ $-724.581K ▲ $0 $399.705K ▼ $-324.876K ▲ $-724.58K ▲
Q3-2025 $-3.007M ▼ $-1.164M ▲ $0 ▲ $431.108K ▼ $-732.435K ▼ $-1.164M ▲
Q2-2025 $-2.221M ▲ $-1.487M ▲ $-5 ▼ $1.979M ▲ $491.558K ▲ $-1.487M ▲
Q1-2025 $-2.527M $-1.964M $0 $1.956M $-8K $-1.964M

Revenue by Products

Product Q1-2024Q2-2024Q3-2024
Consulting Services
Consulting Services
 $0 ▲$0 ▲$0 ▲

Five-Year Company Overview

Income Statement

Income Statement Netcapital’s income statement shows a very small, almost experimental-scale business. Revenue has been minimal for several years, with no clear sign yet of meaningful growth. Operating and cash earnings recently turned negative again, suggesting that expenses to run and develop the platform are running ahead of the revenue it generates. Reported earnings per share have swung sharply, but this is largely a result of multiple large reverse stock splits rather than real swings in underlying profitability. Overall, the company appears to be in a prolonged early-stage phase where the business model is still being built out and has not yet translated into consistent profits.

Balance Sheet

Balance Sheet The balance sheet is very light, with a small asset base and modest shareholders’ equity, which points to a lean but financially fragile setup. Reported cash is effectively negligible, which raises questions about how operations and growth initiatives are being funded and how much reliance there may be on external capital. Debt levels are low, which is positive from a leverage standpoint, but it also suggests limited access to long-term financing so far. The repeated reverse stock splits over time hint at past share-price pressure and likely equity dilution. In short, the company runs relatively “asset-light,” but with little balance-sheet cushion if growth takes longer than expected or costs rise.

Cash Flow

Cash Flow Cash flow from operations has recently been negative again, signaling that the business is consuming cash rather than generating it. Free cash flow is also negative, as you would expect from a company investing in growth without yet having scale. Capital expenditure requirements appear modest, which fits a software- and services-led model, but that does not remove the need for ongoing funding of operating losses. The pattern is typical of an early-stage or turnaround fintech platform: heavy emphasis on building capabilities and deal flow now, with the hope of positive cash generation later. The key uncertainty is how long it will take before the business can fund itself from its own operations.

Competitive Edge

Competitive Edge Netcapital operates in a crowded equity crowdfunding and private markets space alongside larger platforms like Wefunder and StartEngine. Its niche is a more hands-on, advisory-heavy model that combines a digital platform with consulting, marketing support, and regulatory guidance, which can be attractive for younger or less experienced issuers. A notable strength is its broker-dealer license, allowing it to work on larger, more complex offerings than pure crowdfunding portals, and its practice of selectively taking equity stakes helps align incentives with issuers and investors. However, its smaller scale, limited financial resources, and lower brand recognition compared with leading competitors are clear competitive challenges. Success depends on whether its high-touch model and curated approach can stand out enough to offset the scale and marketing power of larger rivals.

Innovation and R&D

Innovation and R&D The company is leaning heavily on innovation as a differentiator. It is pushing into blockchain and tokenization, aiming to offer compliant digital securities and, over time, secondary trading, which could make private investments more liquid. The acquisitions of an AI-powered financial education platform for families and a Web3 gaming protocol show a deliberate move to build an ecosystem that spans traditional private markets, education, and crypto-native communities. Strategically, this is ambitious for such a small company and, if executed well, could open multiple growth paths beyond its core portal business. The main risk is execution: integrating new technologies and acquisitions, winning users, and navigating regulation all require focus and capital that may be stretched given the firm’s size and financial profile.

Summary

Netcapital today looks like a very small, innovation-driven fintech platform that has not yet converted its strategy into scale or steady profits. Financially, it runs light on assets and cash, with modest but real operating losses and no obvious revenue breakout yet. Strategically, it is trying to construct a broader ecosystem around private investing, blockchain-based assets, financial education, and Web3, backed by a broker-dealer license and advisory services that distinguish it from more automated rivals. The upside case centers on successfully executing this niche, high-touch, and tech-forward strategy; the downside risk is that ongoing competition, regulatory complexity, and limited financial resources could slow or derail that vision. Anyone tracking the company would likely focus on clear signs of revenue traction, improved cash generation, and tangible results from its blockchain and acquisition initiatives over the next few years.

NEWS

November 19, 2025 · 8:00 AM UTC

Netcapital Partners to Integrate Primary Issuance and Blockchain-Native Secondary Trading

Read more

September 22, 2025 · 4:54 PM UTC

Netcapital Announces First Quarter Fiscal 2026 Financial Results

Read more