MacKenzie Realty Capital Inc (MKZR) posted a challenging QQ2 2026, with revenue of $4.56 million and a gross loss of $3.87 million, driving a negative gross margin of -84.9%. Despite a positive EBITDA of $0.824 million, the quarter ended with a net loss of $5.12 million and earnings per share of -$2.97, underscoring a liquidity-light, high-leverage profile. The operating loss narrowed modestly year over year, aided by a 74.9% improvement in operating income on a YoY basis, but remained deeply negative at -$1.87 million. Net income improved YoY by ~34.5% (although remained negative), while EPS deteriorated materially on a per-share basis due to the share count and other factors.
From the balance sheet, MKZR carries substantial debt and a sizeable investment base. Total debt stood at approximately $147.6 million, with cash and cash equivalents near $4.34 million at quarter-end, resulting in a net debt position of about $143.2 million and a debt-to-equity style leverage that remains elevated given stockholders’ equity of roughly $51.8 million. Intangible assets of $10.6 million and long-term investments of $218.6 million form a large portion of non-current assets, suggesting a portfolio with significant non-operating or non-cash asset components. Cash flow from operations was negative at about -$1.57 million, and free cash flow was also negative, while financing activities contributed +$3.10 million, reflecting ongoing reliance on external funding to support liquidity.
There was no earnings-call transcript provided in the data, so management quotes or call-specific guidance could not be incorporated. The company did not publish explicit forward guidance in the supplied materials, limiting visibility into a near-term profitability path. Investors should monitor liquidity runway, debt maturities, potential asset monetization, and cost-control initiatives as critical factors for the near to mid-term investment thesis.