Abacus Global Management Reports Q2 Revenue Growth, Reiterates 2026 Guidance

On Thursday, Abacus Global Management (NYSE: ABX ) discussed second-quarter financial results during its earnings call. The full transcript is provided below. This transcript is brought to you APIs. For real-time access to our entire catalog, please visit for a consultation.

2 million in inflows in the first half of 2026, surpassing the target. The company launched the ABX Longevity Growth and Income Fund, targeting the longevity asset class and began tokenizing life insurance policies to enhance market transparency and liquidity. For Q3 2026, Abacus projects adjusted net income of $26-28 million and reiterated full-year guidance of $100-106 million; they expressed confidence in the business trajectory, emphasizing growth in their LifeArc platform and partnerships like Manning & Napier. 9 million in capital, a 62% increase year-over-year, and reviewing over 50,000 policies year-to-date, aided by AI enhancements.

Management underscored the transformative potential of their personalized lifespan modeling technology, LifeArc, in revolutionizing wealth management, positioning themselves as leaders in Lifespan-Linked Finance. Full Transcript OPERATOR Good day, ladies and gentlemen, and welcome to the Abacus Global Management second quarter 2026 earnings conference call. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero.

After today's presentation, there will be an opportunity to ask questions. To ask a question, please press star one on your keypad at any time. Please note this event is being recorded. I would now like to turn the call over to David Jackson, Abacus Global Management's Head of Investor Relations.

Please go ahead. David Jackson, Head of Investor Relations Thank you, operator, and thank you everyone for joining Abacus Global Management's second quarter earnings call. Here with me today are Jay Jackson, Chairman and Chief Executive Officer, Elena Plesko, Chief Investment Officer, and Bill McCauley, Chief Financial and Chief Operating Officer. m.

Eastern Time, Abacus Global Management released our second quarter 2026 results. This afternoon's call will allow participants to ask questions about our results before we begin. com for the press release, investor information, and filings with the SEC for a discussion of the risks that can affect the business. Abacus Global Management more specifically refers participants to the presentation furnished today on Form 8-K with the Securities and Exchange Commission and reminds listeners that some of the comments today may contain forward-looking statements and as such will be subject to risks and uncertainties which may, if they materialize, could materially affect results.

For more information on the risks, uncertainties, and assumptions relating to forward-looking statements, please refer to Abacus Global Management's public filings. During the call we will reference certain non-GAAP financial measures. S. Generally Accepted Accounting Principles, or GAAP.

Please see our public filings for additional information regarding our non-GAAP financial measures, including references to comparable GAAP measures. With that, I'd now like to turn the call over to Jay Jackson, Abacus Global Management's Chairman and Chief Executive Officer. Jay Jackson, Chairman & Chief Executive Officer Thank you, David, and thanks to everyone for joining us. We are thrilled to see so many of you in person at the NYSE last month for our Investor Day where we shared our vision for Abacus Global Management.

We'd encourage everyone to listen to the replay available on our IR website. For those that weren't able to join, our message from Investor Day was clear. We have high conviction that traditional asset management will be revolutionized and improved via personalized longevity data. More importantly, we firmly believe Abacus is uniquely positioned as the leading data and technology platform to enable that revolution.

Start with the number that is reshaping our entire industry. $124 trillion over the next three decades. That is what will pass from baby boomers to their children and grandchildren. The largest wealth transfer in history, and nearly every dollar of it is being planned today on a guess.

Every financial plan assumes an answer to: How long will the money need to last? And almost none of them actually have one. They reach for a population average on the single most important input of all. But nobody is average.

The opportunity is to replace that guess with a personalized lifespan. And that is exactly what LifeArc does, turning an individual's medical, genetic, medication, and biometric data into a portfolio built around the life they actually live. This is possible because we have a 20-year head start built on exactly that data, which positions Abacus to be the intelligence layer for Lifespan-Linked Finance. The clearest way to frame that is a company you all know.

Amazon built AWS to run its own marketplace, and it became one of its most important profit engines. Our origination platform is our commerce engine, and LifeArc is our AWS. The growth is already showing up in our results. 2 million in inflows into our longevity funds, surpassing our $500 million target for the period and comparing to approximately $604 million for all of 2025.

Separately, we are in the very early days of putting LifeArc to work for others. And this is where the wealth transfer opportunity comes to life. Our partnership with Manning & Napier will let their advisors apply personalized lifespan modeling across the $18 billion they manage for 3,400 clients. Manning & Napier is not the exception.

It is the playbook. And that playbook points to something bigger. So when we talk about Abacus, we are not a traditional asset manager. We are building the infrastructure for Lifespan-Linked Finance.

Our mission is to own the data, products, and distribution rails that let advisors build portfolios around each individual's specific lifespan drivers. So the next generation invests those $124 trillion around real lifespans rather than generic averages. That's the opportunity we're building toward, and this quarter gave us real evidence we're on the right path. Bill will take you through the specifics of the quarter in a moment, but I want to pull out two highlights I'm especially excited about.

First, we received SEC effectiveness for and launched the ABX Longevity Growth and Income Fund, ticker ABXGX, our first registered interval fund dedicated to the longevity asset class. For the first time, individual investors and their advisors can access this asset class through a registered vehicle. And it's a direct realization of the strategy we laid out at Investor Day. Second, and building on that same drive to open up the asset class, is asset tokenization.

Let me be clear about what this is and what it isn't for Abacus. This is not a crypto strategy; it's a financial infrastructure. We're building an immutable on-chain record of each policy's chain of title, liens, and cash flow rights, which makes the secondary life insurance market more transparent, more transferable, and more investable. This is a market that has historically been opaque and hard to transact.

And putting it on chain begins to change that. We've already started tokenizing in-force policies, and we see this as infrastructure that builds on the strength of our origination platform. As we continue to grow our recurring fee-based revenue, those milestones show the kind of progress we're making. Turning to the nearer term, we feel very good about the trajectory of the business as we move through the balance of the year.

Alongside our results, we're providing guidance for the third quarter. The momentum we built in the first half across our origination platform and disciplined monetization gives us real confidence in where we're headed. With that, I'll turn it over to Bill to take you through the quarter in detail. Bill McCauley, Chief Financial Officer Thank you, Jay.

Today I'll start by detailing our strong operating results for the quarter across our origination platform, fund management, profitability, and continued scaling of our operating cash flow. Next, I will detail our outlook for 2026 from here, including our expectations for the third quarter, and close out with an update on the Manning & Napier integration. As Jay noted, Abacus Global Management continued its momentum from the first quarter with close to 200 million in capital deployed in Q2, which brought our year-to-date capital deployed to 362 million. While maintaining discipline, our platform continued to accelerate the number of policies under review.

In Q2 we have been able to review 9,314 qualified policies as compared to 8,786 qualified policies in Q1, with total policies reviewed year to date, including non-qualified, reaching over 50,000. A milestone we've been able to achieve by augmenting both top-of-the-funnel leads and our review time of each case with artificial intelligence. As we look to the second half of 2026, we expect inbound policies under review to continue to grow as we further penetrate and leverage distribution channels including Manning & Napier. Now let me review our financial results for the quarter.

Abacus Global Management grew revenue by 30% over last year to 73 million. 4 million year over year. This growth was partially offset by lower asset management fees, primarily due to a decline in AUM in our ETF strategies, driven by both market conditions and outflows. Those declines have been offset by robust inflows into our longevity funds totaling 256 million for the quarter.

As Jay noted, we continue to see significant potential to capitalize on the power of LifeArc and remain confident that both asset management and technology service fee revenue will make up a growing portion of our revenue base in the future. To that point, technology service fees year to date are approaching 1 million, which is in line with the continued buildout and adoption of that business. 5 million for the quarter. The year-over-year increase is largely driven by increases in strategic business expenses and other personnel costs from acquisitions and growth, as we are ramping the asset management, wealth management, and technology sides of the platform.

28 per diluted share. We are pleased to be able to say that these numbers are above our Q2 guidance provided in May of 24 to 26 million of adjusted net income and 24 to 26 cents of adjusted EPS. To reiterate the point, Abacus Global Management is committed to responsible growth that maintains operating margins and mitigates consolidated profitability. Looking at our adjusted EBITDA, the second quarter was successful as we generated 40 million, which is a 27% increase compared to last year.

Our adjusted EBITDA margin for the quarter was a healthy 55%. Overall, we are very pleased with the strength in the platform growth, including investments we are making for future growth. Q2 marked another quarter of very strong 30% and 27% respective revenue and EBITDA growth at similar margins. Finally, turning to our balance sheet, our adjusted return on equity was 25%, or 400 basis points higher year over year.

4 million, with policy assets totaling 383 million. 8 million. For the third quarter, we expect adjusted net income of 26 to 28 million and adjusted EPS of 26 to 28 cents per share. 05 per share.

More broadly, we feel good about the trajectory of the business as we move through the second half. The confidence is grounded in the strength of our origination platform, disciplined monetization, and the continued buildout of our fee-based and technology revenue. Let me also cover one housekeeping item on how we present guidance. Our adjusted net income guidance is provided on a gross basis, meaning that any adjustments are made before tax effects, consistent with how we have historically provided guidance and the basis on which our covering analyst model.

To reduce any chance of confusion, we are now also providing the tax-affected, or net, equivalents. Beginning with our first quarter 10-Q, we included a schedule reconciling our gross adjusted net income and EPS to their net equivalents. That reconciliation appears again in our second quarter 10-Q. The approximate tax rate bridging gross add-back items to net is 25%.

Other than the tax effect, the assumptions for the gross and net figures are identical. Over time, we expect a transition towards guiding on a net basis, and we are providing both figures now to make that transition seamless. Lastly, I want to touch on some of the early success of the operational integration with Manning & Napier. Since closing the investment in May, we have established a live referral channel between the two firms, and we are converting Abacus Global Management's own unqualified leads into Manning & Napier wealth management clients, putting people who came to us for one need into a full advisory relationship.

At the same time, we are mining the policies held on their end and working through their books of business to identify qualified policies that are candidates for settlement, surfacing value that was sitting untapped in their existing client base. And underpinning all of it, we have begun rolling out LifeArc across their advisor network, putting personalized lifespan modeling directly into the hands of people who sit across from those clients every day. Taken together, these are exactly the early proof points we had hoped to see, and they give us real confidence in how this playbook extends to the next quarter.

So with that, let me turn the call to Alaina to review performance of our balance sheet and investment strategy. Elena Plesco, Chief Capital Officer Thanks, Bill. This quarter I want to do three things: walk through how the balance sheet performed, talk about what we built on the asset management side and how we funded it, and then step back and put our results in the context of what is happening in the broader alternatives market because the contrast this quarter is a big part of the story. Let me start with the balance sheet for the second quarter.

5 to 2 times. That level of turnover reflects continued demand for the assets we originate and our ability to recycle capital efficiently while holding our underwriting discipline. 9 million of capital during the quarter, up 62% year over year, which tells you origination volume and investor appetite are both strong. Our average realized gain on policy sales was approximately 25%, comfortably above our long-term target of 20%.

I want to underline what that number represents because it is central to how we think about the business. We turn our book roughly twice a year, which means these are not marks on a screen. They are realized transactions at real prices with real counterparties. Every turn of the book is a validation of the fair value we carry in a market that is right now spending a great deal of energy debating whether private assets marks are real.

That distinction matters and I will come back to that. One measure of the balance sheet efficiency worth noting is holding period. Policies we sold this quarter were held on average for approximately 230 days versus approximately 153 days for policies still on the balance sheet. That 77-day gap shows we're monetizing more seasoned positions while keeping the newer high-conviction assets working for us as they season.

Now let me turn to asset management because this is where the strategy really advanced this quarter. The headline is the launch of the ABX Longevity Growth and Income Fund, which received SEC effectiveness right after the quarter ends. This is the first registered interval fund dedicated to the longevity asset class, and it opens our strategies to individual investors and their advisors for the first time. That is a structural expansion of who can access this asset class, not just another product on fundraising.

2 million in the first half of the year, surpassing the $500 million target we set for the period. 5 million for the quarter. 5 billion. It is worth stepping back to see how the two sides of the house relate because we manage capital in two places and they run off one engine.