PhenixFIN Corporation 525 (PFXNZ) Q1 2025 Earnings Report

PhenixFIN Corporation 525 Notes due 2028 (PFXNZ) delivered a QQ1 2025 result set that shows a bifurcated picture: exceptionally strong operating profitability on a revenue base that appears to be supported by a large, non-operating charge, yielding a tiny net income despite a substantial operating income. Reported revenue for QQ1 2025 was $3.7677 billion, with operating income of $2.0990 billion and EBITDA of roughly $2.0990 billion, implying robust operating margins on an ongoing basis. However, total other income and expenses registered a sizable negative impact (~$2.097 billion), driving income before tax to a minimal level and net income to approximately $2.46 million for the quarter, or about 0.07% net margin. Given the negative operating cash flow ($96.3 million) and negative free cash flow ($66.3 million) for the quarter, cash generation remains a concern despite strong headline profitability. The balance sheet shows a healthy liquidity position in the current ratio regime, yet data integrity appears strained in several line items (e.g., gross profit and asset totals are inconsistent with standard accounting relationships), suggesting a need for data normalization before making a definitive assessment of scale and leverage.