10-Q · April 28, 2026
DigitalBridge reported total revenues of $72.236 million for Q1 2026, up $26.789 million versus Q1 2025, and generated net income attributable to common stockholders of $5.305 million (versus $(0.878) million prior…
Earnings analysis · 10-Q
DBRG earnings analysis
Filed August 4, 2026 · Our reading of the company's report
The latest report
DigitalBridge reported a sharp GAAP recovery in 2Q26, with $508.7 million of revenue and $1.15 diluted EPS, but the result was principally driven by unrealized carried interest and investment-value gains rather than…
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DigitalBridge reported a sharp GAAP recovery in 2Q26, with $508.7 million of revenue and $1.15 diluted EPS, but the result was principally driven by unrealized carried interest and investment-value gains rather than recurring fees. Recurring fee revenue grew modestly to $87.8 million, while fee-related earnings declined to $26.6 million and FEEUM fell to $40.2 billion. Liquidity improved, but the pending $16.00-per-share SoftBank acquisition and the conditional ArcLight transaction dominate the outlook; no quantitative operating guidance was provided.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $1.15
What stood out
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GAAP revenue and earnings swung sharply positive
GAAP revenue was $508.7 million, versus negative $3.2 million in 2Q25 and $72.2 million implied for 1Q26. The $511.9 million year-over-year swing was driven principally by $286.0 million of carried-interest allocation and $127.8 million of principal investment income, both heavily affected by unrealized fair-value changes.
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Diluted EPS reached $1.15
Diluted GAAP EPS was $1.15, up from $0.10 in 2Q25 and $0.03 in 1Q26. Net income attributable to common stockholders increased to $212.7 million from $17.0 million a year earlier.
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Recurring management fees increased
Fee revenue grew 3% year over year to $87.8 million, including management fees of $85.9 million, up $4.9 million. Fee-earning equity under management was $40.2 billion at June 30, 2026, compared with $41.0 billion at December 31, 2025.
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Cash increased and revolver remained undrawn
Liquidity remained substantial: total cash, cash equivalents and restricted cash ended June at $514.8 million, up from $395.5 million at the start of the year; available corporate cash was $294 million and the full $100 million VFN facility remained available. Corporate debt consisted of $300 million of 6.326% Class A-2 notes due June 2031.
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Operating cash flow positive; investing cash inflow
Six-month operating cash flow was positive $47.2 million, although below $127.3 million in the prior-year period; 2025 included a $34.0 million DataBank distribution and $18.8 million of net insurance recoveries. Investing cash flow turned to a $139.6 million inflow from a $68.5 million outflow, aided by $80.0 million of syndication proceeds and $56.4 million of net fund distributions.
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DE recovered, while fee-related earnings declined
Distributable earnings improved to $17.8 million from negative $18.6 million in 2Q25, but fee-related earnings fell $5.4 million to $26.6 million as an $8.0 million increase in operating costs exceeded a $2.7 million fee-revenue increase. Capital expenditures and free cash flow were not separately reported.
What to watch
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SoftBank and ArcLight closings remain uncertain
The new merger-related risk disclosure says the SoftBank Merger and ArcLight Acquisition may not close; the SoftBank transaction is subject to a March 29, 2027 outside date and the ArcLight acquisition depends on completion of SoftBank. DBRG could owe a $96 million SoftBank termination fee and/or a $30 million ArcLight termination fee in specified circumstances.
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Valuation sensitivity threatens volatile earnings
Reported earnings are highly exposed to investment valuations: a hypothetical 10% decline in fund-investment fair values at June 30, 2026 would reduce the Operating Company's principal investment income by about $75 million and unrealized carried interest by about $126 million. The quarter included $276.6 million of unrealized carried interest.
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ArcLight acquisition could add leverage and execution risk
The proposed ArcLight transaction carries up to a $1.05 billion purchase price, comprising $650 million upfront plus up to $400 million of contingent consideration. It may require drawings under a secured bridge facility of up to $500 million, which management expects to refinance with additional senior notes.
Management's outlook
The company did not provide quantitative financial guidance while the proposed SoftBank transaction remains pending. Management expects the SoftBank Merger to close in the second half of 2026, subject to regulatory approvals and customary closing conditions.
Earlier filings 4
10-K · February 26, 2026
DigitalBridge (DBRG) positions itself as a leading global digital infrastructure investment manager with $41.0 billion of fee earning equity under management (FEEUM) and a multi-product platform (DBP value-add, SAF core…
10-K · February 23, 2024
DigitalBridge positions itself as a global digital infrastructure investment manager with $80 billion of AUM at December 31, 2023 and has reorganized to make Investment Management its sole reportable segment after full…
10-Q · May 5, 2023
DigitalBridge reported Q1 revenue of $250,160,000 (up $17,326,000 vs. Q1 2022's $232,834,000) but recorded a large GAAP loss, with income (loss) from continuing operations per share of $(1.25). Operating results show a…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.