Valereum (AQSE:VLRM) reported a pre-tax loss of £4.4 million for the six months ended 30 June, reversing a £0.28 million profit in the same period last year.
Revenue came in at £165,955, against nil a year earlier, as the fintech group's VLRM Markets platform began generating income.
Of the loss, £2.8 million related to non-cash transaction costs, chiefly the impairment of 20 million warrants issued to Pieter Scholtz and Illiquid Asset Solutions in connection with its share subscription agreement with Quorium Global Photonics SPC (QGP).
Valereum had earlier exchanged 49.9% of its share capital for what it described as QMTN tokens with a $200 million face value; the company has since confirmed those tokens were carried at just £300,000 under IFRS, before being impaired to nil during the period, as the board could not verify sufficient market liquidity for them.
The QMTN arrangement has since been superseded by a Definitive Agreement under which QGP will instead deliver VGOLD-CORE+ tokens with a $279.5 million face value, backed by JORC-certified gold mining reserves in Queensland, Australia, paid in quarterly instalments over five years and secured by a $300 million first-ranking interest over the underlying mining leases.
Net cash stood at £0.36 million at period-end, against £0.01 million a year earlier, after a £1.05 million capital raise in May that included £200,000 subscriptions each from chairman James Bannon and chief executive Gary Cottle.
The group also settled a dispute with Blubird Global, releasing Valereum from $1.6 million of further investment commitments in exchange for shares and BLU tokens.
"The first half of 2026 has been about turning Valereum's regulatory and technology groundwork into commercial outcomes," said Cottle, adding that the priority for the second half is "execution and growth" in onboarding issuers and institutional clients.
The auditor's report on the 2025 statutory accounts, approved in June, was unqualified but flagged a material uncertainty over going concern, citing historic losses and reliance on realising investments and raising further capital.