v3.26.1
Derivatives and hedging activities
9 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivatives and hedging activities

Note 6 – Derivatives and hedging activities

 

The Company enters into exchange-traded option contracts for investment and risk management purposes. As of June 30, 2026, the Company had no open derivative position, and the aggregate net fair value of derivative instruments was zero. These option contracts are classified as derivative liabilities and are presented within accrued liabilities on the condensed consolidated balance sheet.

 

The Company sells these options to gain and enhance exposure to the underlying assets. Because these instruments do not qualify for hedge accounting, changes in their fair value are recognized directly in earnings. For the three and nine months ended June 30, 2026, the Company recognized net gains of approximately $0.6 million and $1.2 million from derivative instruments, reflecting changes in the fair value of open option positions and realized gains and losses from option settlements and expirations. These amounts are recognized in change of fair value of derivative liabilities in the condensed consolidated statement of operations. The Company does not separately present realized and unrealized gains and losses for derivative instruments, as changes in fair value represent the primary measure of derivative performance under ASC 815.

 

 

The table below presents the fair value and quantity of the Company’s derivative financial instruments, included within accrued liabilities on the condensed consolidated balance sheet as of June 30, 2026 and September 30, 2025 (dollars in thousands):

   

    As of June 30, 2026    As of September 30, 2025 
    Fair Value    Number of Contracts    Fair Value    Number of Contracts 
Equity contracts  $       $     
Commodities contracts                
Interest rate products                
Crypto currency contracts                
Total derivatives not designated as hedging instruments  $        $      

 

The table below presents gains (losses) recognized in the condensed consolidated statement of operations related to the Company’s derivative financial instruments (dollars in thousands):

 

  

Three Months Ended

June 30,

  

Nine Months Ended

June 30,

 
   2026   2025   2026   2025 
Equity contracts  $276       $326     
Commodities contracts   190        290     
Interest rate products   17        16     
Crypto currency contracts   96        538     
Total  $578       $1,170