# EDGAR Filing Document

**Accession Number:** 0001974395
**File Stem:** 0001974395-26-000008
**Filing Date:** 2026-5
**Character Count:** 97788
**Document Hash:** 3655ea742a2e44a51e26ab85d1465375
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001974395-26-000008.hdr.sgml**: 20260515

**ACCESSION NUMBER**: 0001974395-26-000008

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 60

**CONFORMED PERIOD OF REPORT**: 20260331

**FILED AS OF DATE**: 20260515

**DATE AS OF CHANGE**: 20260514

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Figure Certificate Co
- **CENTRAL INDEX KEY:** 0001974395

**ORGANIZATION NAME:**
- **EIN:** 923576834
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 811-23913
- **FILM NUMBER:** 26981688

**BUSINESS ADDRESS:**
- **STREET 1:** 650 CALIFORNIA STREET
- **STREET 2:** SUITE 2700
- **CITY:** SAN FRANCISCO
- **STATE:** CA
- **ZIP:** 94108
- **BUSINESS PHONE:** (310) 592-0097

**MAIL ADDRESS:**
- **STREET 1:** 650 CALIFORNIA STREET
- **STREET 2:** SUITE 2700
- **CITY:** SAN FRANCISCO
- **STATE:** CA
- **ZIP:** 94108

?xml version='1.0' encoding='ASCII'? fcc-20260331

<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 10-Q**

⌧ **QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the quarterly period ended March 31, 2026**

**OR**

□ **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the transition period from _____to _____**

**Commission File Number: 333-275154**

**FIGURE CERTIFICATE COMPANY**

**(Exact name of registrant as specified in its charter)**

---

| | |
|:---|:---|
| **Delaware** | **92-3576834** |
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |

---

---

| | |
|:---|:---|
| **650 California Street, Suite 200 San Francisco, California** | **94108** |
| (Address of principal executive offices) | (Zip Code) |

---

**(628) 236-5820**

**(Registrant's telephone number, including area code)**

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| **Title of each class** | **Trading Symbol** | **Name of each exchange on which registered** |
| Common stock, par value $0.0001 per share |  |  |

---

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ⌧ No □

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ⌧ No □

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

---

| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | □ | Accelerated filer | □ |
| Non-accelerated filer | ⌧ | Smaller reporting company | □ |
| | | Emerging growth company | □ |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. □

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act) Yes □ No ⌧

As of May 14, 2026, the number of shares of the registrant's common stock outstanding was 1,000.

All outstanding shares of the registrant are directly owned by Figure Technologies, LLC, a subsidiary of Figure Markets Holding, Inc., a subsidiary of Figure Technology Solutions, Inc.

THE REGISTRANT MEETS THE CONDITIONS SET FORTH IN GENERAL INSTRUCTIONS H(1)(a) AND (b) OF FORM 10-Q AND IS THEREFORE FILING THIS FORM WITH THE REDUCED DISCLOSURE FORMAT.

------

<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**TABLE OF CONTENTS**

---

| | | |
|:---|:---|:---|
| | | **Page No.** |
| | <u>[Special Note Regarding Forward-Looking Statements](#i55463a3117254ee99503b50bfe7da0a3_10)</u> | <u>[3](#i55463a3117254ee99503b50bfe7da0a3_10)</u> |
| | **<u>Part I. [Financial Information](#i55463a3117254ee99503b50bfe7da0a3_13)</u>** | <u>[5](#i55463a3117254ee99503b50bfe7da0a3_13)</u> |
| &nbsp;&nbsp;<u>[Item 1.](#i55463a3117254ee99503b50bfe7da0a3_64)</u> | <u>[Financial Statements (Unaudited)](#i55463a3117254ee99503b50bfe7da0a3_64)</u> | <u>[5](#i55463a3117254ee99503b50bfe7da0a3_64)</u> |
|  | <u>[Condensed Balance Sheets as of March 31, 2026 and December 31, 2025](#i55463a3117254ee99503b50bfe7da0a3_70)</u> | <u>[5](#i55463a3117254ee99503b50bfe7da0a3_70)</u> |
|  | <u>[Condensed Statements of Operations for the Three months ended March 31, 2026 and 2025](#i55463a3117254ee99503b50bfe7da0a3_73)</u> | <u>[6](#i55463a3117254ee99503b50bfe7da0a3_73)</u> |
|  | <u>[Condensed Statements of Stockholder's Equity](#i55463a3117254ee99503b50bfe7da0a3_76)[for the](#i55463a3117254ee99503b50bfe7da0a3_76)[Three months ended March 31, 2026 and 2025](#i55463a3117254ee99503b50bfe7da0a3_76)</u> | <u>[7](#i55463a3117254ee99503b50bfe7da0a3_76)</u> |
|  | <u>[Condensed Statements of Cash Flows for the Three months ended March 31, 2026 and 2025](#i55463a3117254ee99503b50bfe7da0a3_79)</u> | <u>[8](#i55463a3117254ee99503b50bfe7da0a3_79)</u> |
|  | <u>[Notes to Condensed Financial Statements](#i55463a3117254ee99503b50bfe7da0a3_82)</u> | <u>[9](#i55463a3117254ee99503b50bfe7da0a3_82)</u> |
|  | &nbsp;&nbsp;&nbsp;<u>[Note 1 – Basis of Presentation](#i55463a3117254ee99503b50bfe7da0a3_85)</u> | <u>[9](#i55463a3117254ee99503b50bfe7da0a3_85)</u> |
|  | &nbsp;&nbsp;&nbsp;<u>[Note 2 – Summary of Significant Accounting Policies](#i55463a3117254ee99503b50bfe7da0a3_88)</u> | <u>[9](#i55463a3117254ee99503b50bfe7da0a3_88)</u> |
|  | &nbsp;&nbsp;&nbsp;<u>[Note 3 – Fair Value of Financial Instruments](#i55463a3117254ee99503b50bfe7da0a3_91)</u> | <u>[11](#i55463a3117254ee99503b50bfe7da0a3_91)</u> |
|  | &nbsp;&nbsp;&nbsp;<u>[Note 4 – Certificate Reserve Liability](#i55463a3117254ee99503b50bfe7da0a3_94)</u> | <u>[13](#i55463a3117254ee99503b50bfe7da0a3_94)</u> |
|  | &nbsp;&nbsp;&nbsp;<u>[Note 5 – Stockholder's Equity](#i55463a3117254ee99503b50bfe7da0a3_97)</u> | <u>[13](#i55463a3117254ee99503b50bfe7da0a3_97)</u> |
|  | &nbsp;&nbsp;&nbsp;<u>[Note 6 – Related Party Transactions](#i55463a3117254ee99503b50bfe7da0a3_100)</u> | <u>[14](#i55463a3117254ee99503b50bfe7da0a3_100)</u> |
|  | &nbsp;&nbsp;&nbsp;<u>[Note 7 – Income Taxes](#i55463a3117254ee99503b50bfe7da0a3_103)</u> | <u>[15](#i55463a3117254ee99503b50bfe7da0a3_103)</u> |
|  | &nbsp;&nbsp;&nbsp;<u>[Note 8 – Earnings Per Share](#i55463a3117254ee99503b50bfe7da0a3_106)</u> | <u>[16](#i55463a3117254ee99503b50bfe7da0a3_106)</u> |
|  | &nbsp;&nbsp;&nbsp;<u>[Note 9 – Commitments and Contingencies](#i55463a3117254ee99503b50bfe7da0a3_109)</u> | <u>[16](#i55463a3117254ee99503b50bfe7da0a3_109)</u> |
|  | &nbsp;&nbsp;&nbsp;<u>[Note 10 – Financial Highlights](#i55463a3117254ee99503b50bfe7da0a3_112)</u> | <u>[17](#i55463a3117254ee99503b50bfe7da0a3_112)</u> |
| &nbsp;&nbsp;<u>[Item 2.](#i55463a3117254ee99503b50bfe7da0a3_58)</u> | <u>[Management's Narrative Analysis](#i55463a3117254ee99503b50bfe7da0a3_58)</u> | <u>[20](#i55463a3117254ee99503b50bfe7da0a3_58)</u> |
| &nbsp;&nbsp;<u>[Item 4.](#i55463a3117254ee99503b50bfe7da0a3_148)</u> | <u>[Controls and Procedures](#i55463a3117254ee99503b50bfe7da0a3_148)</u> | <u>[21](#i55463a3117254ee99503b50bfe7da0a3_148)</u> |
|  | **<u>Part II. [Other Information](#i55463a3117254ee99503b50bfe7da0a3_606)</u>** | <u>[22](#i55463a3117254ee99503b50bfe7da0a3_606)</u> |
| &nbsp;&nbsp;<u>[Item 1.](#i55463a3117254ee99503b50bfe7da0a3_43)</u> | <u>[Legal Proceedings](#i55463a3117254ee99503b50bfe7da0a3_43)</u> | <u>[22](#i55463a3117254ee99503b50bfe7da0a3_43)</u> |
| &nbsp;&nbsp;<u>[Item 1A.](#i55463a3117254ee99503b50bfe7da0a3_19)</u> | <u>[Risk Factors](#i55463a3117254ee99503b50bfe7da0a3_19)</u> | <u>[22](#i55463a3117254ee99503b50bfe7da0a3_19)</u> |
| &nbsp;&nbsp;<u>[Item 4.](#i55463a3117254ee99503b50bfe7da0a3_46)</u> | <u>[Mine Safety Disclosures](#i55463a3117254ee99503b50bfe7da0a3_46)</u> | <u>[22](#i55463a3117254ee99503b50bfe7da0a3_46)</u> |
| &nbsp;&nbsp;<u>[Item 5.](#i55463a3117254ee99503b50bfe7da0a3_52)</u> | <u>[Other Information](#i55463a3117254ee99503b50bfe7da0a3_52)</u> | <u>[22](#i55463a3117254ee99503b50bfe7da0a3_52)</u> |
| &nbsp;&nbsp;<u>[Item 6.](#i55463a3117254ee99503b50bfe7da0a3_178)</u> | <u>[Exhibits](#i55463a3117254ee99503b50bfe7da0a3_178)</u> | <u>[23](#i55463a3117254ee99503b50bfe7da0a3_178)</u> |
|  | <u>[Signatures](#i55463a3117254ee99503b50bfe7da0a3_184)</u> | <u>[24](#i55463a3117254ee99503b50bfe7da0a3_184)</u> |

---

------

<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS**

This Quarterly Report on Form 10-Q ("Form 10-Q"), as well as information included in oral statements or other written statements made or to be made by us, contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), that involve substantial risks and uncertainties. All statements other than statements of historical fact contained in this Report, including statements regarding our future results of operations and financial condition, business strategy, and plans and objectives of management regarding future operations, are forward-looking statements. In some cases, forward-looking statements may be identified by words such as "anticipate," "believe," "continue," "could," "design," "estimate," "expect," "intend," "may," "plan," "potentially," "predict," "project," "should," "will," "would," or the negative of these terms or other similar expressions. These forward-looking statements include, but are not limited to, statements concerning the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our expectations regarding our future revenue, expenses, and other operating results and key operating metrics;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to compete successfully in a highly competitive and evolving industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to attract new consumers and retain and grow our relationships with our existing consumers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our expectations regarding the development, innovation, introduction of, and demand for, our products;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to maintain, renew or replace our existing funding arrangements and build and grow new funding relationships;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of any of our funding sources becoming unwilling or unable to provide funding to us on terms acceptable to us, or at all;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the future growth rate of our revenue and related key operating metrics;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to achieve sustained profitability in the future;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability, and the ability of other partners, to comply, and remain in compliance with, laws and regulations that currently apply or become applicable to our business or the businesses of such partners;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to protect our confidential, proprietary, or sensitive information;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• past and future acquisitions, investments, and other strategic investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to maintain, protect, and enhance our brand and intellectual property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• litigation, investigations, regulatory inquiries, and proceedings;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• developments in our regulatory environment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of macroeconomic conditions on our business, including the impacts of inflation, an elevated interest rate environment and corresponding elevated negotiated interest rate spreads, ongoing recessionary concerns, and the potential impact of those macroeconomic conditions on the stability of the financial institutions with whom we do business; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the size and growth rates of the markets in which we compete.

Forward-looking statements, including statements such as "we believe" and similar statements, are based on our management's current beliefs, opinions and assumptions and on information currently available as of the date of this Report. Such information may be limited or incomplete, and our statements should not be read to indicate that we have conducted an exhaustive inquiry into, or review of, all potentially available relevant information. These forward-looking statements are subject to a number of known and unknown risks, uncertainties and assumptions, including risks described in the section titled "Risk Factors" in our Post-Effective Amendment to the Registration Statement on Form S-1/A declared effective on April 24, 2026, as amended to date and from time to time, including the definitive Prospectus filed pursuant to Rule 497(c) dated as of April 24, 2026, and elsewhere in this Form 10-Q, as well as those set forth in our most recently filed audited financial statements for the fiscal year ended December 31, 2025 included in the Annual Report on Form 10-

------

<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

K filed on March 20, 2026. Other sections of this Form 10-Q may include additional factors that could harm our business and financial performance. Moreover, we operate in a very competitive, heavily regulated and rapidly changing environment. New risks emerge from time to time, and it is not possible for our management to predict all risks that we may face, nor can we assess the impact of all risks on our business or the extent to which any risk, or combination of risks, may cause our actual results to differ from those contained in, or implied by, any forward-looking statements.

You should not rely upon forward-looking statements as predictions of future events. Although we believe that the expectations reflected in the forward-looking statements are reasonable as of the date of this Report, we cannot guarantee future results, levels of activity, performance, achievements, events, outcomes, timing of results or circumstances. Except as required by law, we undertake no obligation to update publicly any forward-looking statements for any reason after the date of this Report or to conform these statements to actual results or to changes in our expectations.

You should read this Form 10-Q and the documents that we have filed as exhibits to this Report with the understanding that our actual future results, levels of activity, performance, outcomes, achievements and timing of results or outcomes may be materially different from what we expect. We qualify all of our forward-looking statements by these cautionary statements.

Investors and others should note that we may announce material business and financial information to our investors using our website (ylds.com), our filings with the Securities and Exchange Commission ("SEC"), webcasts, press releases, conference calls, and social media. We use these mediums, including our website, to communicate with investors and the general public about our company, our products, and other issues. It is possible that the information that we make available on our website may be deemed to be material information. We therefore encourage investors and others interested in our Company to review the information that we make available on our website. The contents of our website are not incorporated into this filing. We have included our investor relations website address only as an inactive textual reference for convenience and do not intend it to be an active link to our website.

------

<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**PART I - FINANCIAL INFORMATION**

**ITEM 1. INTERIM FINANCIAL STATEMENTS**

**FIGURE CERTIFICATE COMPANY**

**BALANCE SHEETS**

**(UNAUDITED)**

(in thousands, except share and per share data)

---

| | | |
|:---|:---|:---|
| | **March 31, 2026** | **December 31, 2025** |
| **ASSETS** | | |
| Cash and cash equivalents (includes qualified assets of $601,524 and $329,526) | $601524 | $329526 |
| Interest receivable | 47 | 87 |
| Receivable from Parent | 200 |  |
| Receivable from related party | 20 | 20 |
| Prepaid expense | 56 | 170 |
| Total assets | $601847 | $329803 |
| **LIABILITIES AND STOCKHOLDER'S EQUITY** |  |  |
| &nbsp;&nbsp;Liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;Certificate reserve: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fully paid certificates, related parties | $472990 | $252282 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fully paid certificates, third parties | 125057 | 75911 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued interest to related parties | 1221 | 404 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued interest to third parties | 438 | 199 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total certificate reserve | 599706 | 328796 |
| &nbsp;&nbsp;&nbsp;Accounts payable | 438 | 204 |
| &nbsp;&nbsp;&nbsp;Accrued expenses | 170 | 120 |
| &nbsp;&nbsp;&nbsp;Other payable | 70 | 49 |
| &nbsp;&nbsp;&nbsp;Payable to related party | 1102 |  |
| &nbsp;&nbsp;&nbsp;Payable to officers and directors | 69 | 50 |
| Total liabilities | 601555 | 329219 |
| &nbsp;&nbsp;Stockholder's equity: |  |  |
| &nbsp;&nbsp;Common stock, $0.0001 par value per share, 1,000 shares authorized, issued and outstanding at March 31, 2026 and December 31, 2025 |  |  |
| &nbsp;&nbsp;&nbsp;Additional paid-in capital | 4930 | 4259 |
| &nbsp;&nbsp;&nbsp;Accumulated deficit | (4638) | (3675) |
| Total stockholder's equity | 292 | 584 |
| Total liabilities and stockholder's equity | $601847 | $329803 |

---

The accompanying notes are an integral part of these Interim Financial Statements.

------

**FIGURE CERTIFICATE COMPANY**

**STATEMENTS OF OPERATIONS**

**(UNAUDITED)**

(in thousands, except share and per share data)

---

| | | |
|:---|:---|:---|
| | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
| | **2026** | **2025** |
| Investment income: |  |  |
| &nbsp;&nbsp;&nbsp;Interest income | $3899 | $4 |
| Investment expenses: |  |  |
| &nbsp;&nbsp;&nbsp;Sales and marketing |  | 4 |
| &nbsp;&nbsp;&nbsp;General and administrative expenses: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Custodial fees | 14 | 5 |
| &nbsp;&nbsp;&nbsp;&nbsp;Director fees | 19 | 19 |
| &nbsp;&nbsp;&nbsp;&nbsp;Professional service fees | 585 | 281 |
| &nbsp;&nbsp;&nbsp;&nbsp;Offering cost expense |  | 686 |
| &nbsp;&nbsp;&nbsp;&nbsp;Organizational costs |  | 254 |
| &nbsp;&nbsp;&nbsp;General and administrative expense to related parties: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Investment advisory and management fees | 326 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Administration and transfer agent fees | 15 | 10 |
| &nbsp;&nbsp;&nbsp;&nbsp;Service fees | 20 | 1 |
| &nbsp;&nbsp;&nbsp;Total investment expenses | 979 | 1260 |
| &nbsp;&nbsp;&nbsp;Net investment income (loss) before provision for certificate reserves and income taxes | 2920 | (1256) |
| &nbsp;&nbsp;&nbsp;Provision for certificate reserve: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Additional interest to related parties | 2931 | 3 |
| &nbsp;&nbsp;&nbsp;&nbsp;Additional interest to third parties | 952 | 1 |
| &nbsp;&nbsp;Total provision for certificate reserve | 3883 | 4 |
| Net investment loss before income taxes | (963) | (1260) |
| Income tax provision |  |  |
| Net loss | $(963) | $(1260) |
| Net loss per share of common stock |  |  |
| &nbsp;&nbsp;&nbsp;Basic and diluted | $(963) | $(1260) |
| Weighted average common shares outstanding |  |  |
| &nbsp;&nbsp;&nbsp;Basic and diluted | 1000 | 1000 |

---

The accompanying notes are an integral part of these Interim Financial Statements.

------

**FIGURE CERTIFICATE COMPANY**

**STATEMENTS OF STOCKHOLDER'S EQUITY**

**(UNAUDITED)**

(in thousands, except share data)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Common Stock** | **Common Stock** | **Additional<br> Paid-in<br> Capital** | **Accumulated<br> Deficit** | **Total<br>Stockholder's<br> Equity** |
| | **Shares** | **Amount** | **Additional<br> Paid-in<br> Capital** | **Accumulated<br> Deficit** | **Total<br>Stockholder's<br> Equity** |
| Balance at December 31, 2025 | 1000 | $— | $4259 | $(3675) | $584 |
| &nbsp;&nbsp;Capital contributions from Parent |  |  | 671 |  | 671 |
| &nbsp;&nbsp;Net loss |  |  |  | (963) | (963) |
| Balance at March 31, 2026 | 1000 | $— | $4930 | $(4638) | $292 |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Common Stock** | **Common Stock** | **Additional<br> Paid-in<br> Capital** | **Accumulated<br> Deficit** | **Total<br>Stockholder's<br> Equity** |
| | **Shares** | **Amount** | **Additional<br> Paid-in<br> Capital** | **Accumulated<br> Deficit** | **Total<br>Stockholder's<br> Equity** |
| Balance at December 31, 2024 | 1000 | $— | $1126 | $(605) | $521 |
| &nbsp;&nbsp;Capital contributions from Parent |  |  | 1157 |  | 1157 |
| &nbsp;&nbsp;Net loss |  |  |  | (1260) | (1260) |
| Balance at March 31, 2025 | 1000 | $— | $2283 | $(1865) | $418 |

---

------

**FIGURE CERTIFICATE COMPANY**

**STATEMENTS OF CASH FLOWS**

**(UNAUDITED)**

(in thousands)

---

| | | |
|:---|:---|:---|
| | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
| | **2026** | **2025** |
| Operating activities: |  |  |
| Net loss | $(963) | $(1260) |
| &nbsp;&nbsp;Adjustments to reconcile net loss to net cash provided by operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Offering costs |  | 515 |
| &nbsp;&nbsp;&nbsp;&nbsp;Provision for certificate reserves, related parties | 2931 | 3 |
| &nbsp;&nbsp;&nbsp;&nbsp;Provision for certificate reserves, third parties | 952 | 1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating expenses paid by the Parent | 471 | 787 |
| &nbsp;&nbsp;Net change in assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest receivable | 40 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses | 114 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | 234 | 199 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses | 50 | (151) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other payable | 21 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Payable to related party | 1102 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Payable to officers and directors | 19 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued offering costs |  | (90) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by operating activities | 4971 | 4 |
| Financing activities: |  |  |
| &nbsp;&nbsp;Issuance of certificates to related parties | 263725 | 2530 |
| &nbsp;&nbsp;Issuance of certificates to third parties | 266727 | 504 |
| &nbsp;&nbsp;Surrender of certificates by related parties | (45131) |  |
| &nbsp;&nbsp;Surrender of certificates by third parties | (218294) | (343) |
| &nbsp;&nbsp;Direct capital contribution from Parent |  | 5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by financing activities | 267027 | 2696 |
| Net increase in cash and cash equivalents | 271998 | 2700 |
| Cash and cash equivalents, beginning of period | 329526 | 500 |
| Cash and cash equivalents, end of period | $601524 | $3200 |
| Supplemental disclosures of non-cash activities: |  |  |
| &nbsp;&nbsp;Indirect contributions for operating expenses paid by Parent on behalf of Company | $471 | $787 |
| &nbsp;&nbsp;Contribution due from Parent | 200 | 355 |
| &nbsp;&nbsp;Issuance of certificates for re-invested interest to related parties | 2931 | 3 |
| &nbsp;&nbsp;Issuance of certificates for re-invested interest to third parties | 952 | 1 |
| &nbsp;&nbsp;In-kind contributions of digital assets from Parent |  | 10 |
| &nbsp;&nbsp;In-kind receipts of digital assets for issuance of certificates |  | 11 |
| &nbsp;&nbsp;In-kind payments of digital assets for surrender of certificates |  | (2) |
| &nbsp;&nbsp;Certificate transfers from related party to third party | (41899) |  |
| &nbsp;&nbsp;Certificate transfers from third party to related party | 65811 |  |
| &nbsp;&nbsp;Deferred offering costs included in accounts payable |  | 109 |

---

The accompanying notes are an integral part of these Interim Financial Statements.

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**FIGURE CERTIFICATE COMPANY**

**NOTES TO ITEM 1. INTERIM FINANCIAL STATEMENTS (UNAUDITED)**

**(dollars in tables in thousands, except share and per share data, ratios or as otherwise noted)**

**NOTE 1** – **BASIS OF PRESENTATION**

***Organization and Nature of Operations***

Figure Certificate Company ("FCC" or the "Company") is registered with the SEC under the Investment Company Act of 1940, as amended ("Investment Company Act"), as a face-amount certificate company. Figure Transferable Certificates ("Certificates") issued by FCC are interest-bearing debt securities that entitle the Certificate owner to receive at maturity a stated amount of money and an interest rate equal to the overnight SOFR rate less 35 basis points, with a minimum of 0.00%. The Certificates issued by FCC are not insured by any government agency or other entity. On February 20, 2025, FCC launched the Certificates, called YLDS, as digital asset securities that are issued, surrendered and/or transferred using blockchain technology. YLDS offer holders the ability to earn interest, transfer securities peer-to-peer, and transact anytime.

FCC was incorporated on April 13, 2023 as a Delaware corporation and has been, since its inception, wholly owned by Figure Technologies, LLC (f/k/a Figure Technologies, Inc.) ("FT"). FT is a wholly owned subsidiary of Figure Markets Holding, Inc. ("FMH"), which is a wholly owned subsidiary of Figure Technology Solutions, Inc. ("FTS").

Throughout the financial statements, the term "Parent" is used interchangeably to refer to FT, FMH, or FTS.

***Basis of Presentation***

The accompanying unaudited financial statements have been prepared in accordance with U.S. GAAP for interim financial information and pursuant to the rules and regulations of the SEC for reporting financial information. The Company is an investment company and follows accounting and reporting guidance governed by the Financial Accounting Standards Board's ("FASB") Accounting Standards Codification ("ASC") Topic 946, Financial Services — Investment Companies. The interim financial information in this report has not been audited. In the opinion of management, all adjustments necessary for a fair statement of the consolidated results of operations and financial position for the interim periods have been made.

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the Balance Sheets and reported amounts of income and expense during the reporting periods. Actual results could differ from those estimates. The carrying amounts of the assets and liabilities recorded in the accompanying Balance Sheets approximate their respective fair values due to their short maturities and the election of the fair value option for Certificates. Management believes the fair value option is more meaningful to users of the financial statements and aligns with the measurement of investments in cash equivalents.

These unaudited financial statements should be read in conjunction with the Financial Statements and related notes, together with management's narrative analysis, contained in FCC's Annual Report on Form 10-K for the fiscal year ended December 31, 2025 filed on March 20, 2026.

***Liquidity and Going Concern***

The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") applicable to a going concern, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. FCC's assessment of its ability to fund future operations is inherently subjective, judgment-based and susceptible to change based on future events. The Company has obtained a commitment letter from its Parent for financial support of the Company in the form of allowing invoices to be paid directly by the Parent on behalf of the Company and periodically forgiving the Company's intercompany payable to the Parent in the form of in-kind capital contributions. Based on the commitment from the Parent, the Company has sufficient liquidity to fund operations for the next twelve months following the date these financial statements are issued.

**NOTE 2** – **SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

***Segments***

Operating segments are revenue-producing components of the Company for which separate financial information is produced internally for and analyzed by the Company's chief operation decision maker ("CODM"). The Company's CODM is its Chief Executive Officer ("CEO"). The Company commenced operations in the three months ended March 31,

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**FIGURE CERTIFICATE COMPANY**

**NOTES TO ITEM 1. INTERIM FINANCIAL STATEMENTS (UNAUDITED)**

**(dollars in tables in thousands, except share and per share data, ratios or as otherwise noted)**

2025. For the three months ended March 31, 2026, the Company's investment expenses include (i) general and administrative expenses including: custodial fees, director fees and professional service fees and (iii) general and administrative expenses to related parties including: investment advisory and management fees, administration and transfer service fees, and service fees. The Company also incurs interest expense, recorded as provision for certificate reserve. The Company's CODM reviews the financial information presented on an entity-wide basis for purposes of allocating resources and evaluating financial performance and currently considers net income (loss) as the primary metric of measure for assessing the performance of the Company. Accordingly, for all periods presented, the Company operated as a single segment.

***Significant Accounting Policies***

*Cash and Cash Equivalents*

Cash consists of bank deposits held in a business checking account. The Company's cash balances at times may exceed insurable amounts. Cash equivalents, defined as highly liquid financial instruments purchased with original maturities of three months or less, consist of money market funds, short dated U.S. Treasury securities, and overnight repurchase agreements. The Company may hold cash at Figure Payments Corporation ("Figure Pay" or "Pay") for Certificate purchases that will be paid to FCC. Figure Pay is an affiliate of FCC that is also wholly owned by the Parent. The Company considers cash held at Figure Pay as cash equivalents because the activity in the account with Figure Pay is controlled by FCC, it is only held with Figure Pay for a short period of time until settlement, and the deposits held for the certificate purchaser that will be paid to FCC are readily accessible for transfer to other FCC accounts held with financial institutions.

*Fair Value of Financial Instruments*

As more fully discussed in Note 3, financial assets and liabilities recorded at fair value in the Financial Statements are categorized based upon the level of judgment associated with the inputs used to measure their fair value. Hierarchical levels described in ASC 820, *Fair Value Measurement*, are utilized to evaluate the Company's financial instruments which are directly related to the amount of subjectivity associated with the inputs to the valuation of these assets or liabilities.

*Interest Income*

The Company currently derives interest income from its investments in money market funds, U.S. Treasury securities and through repurchase agreements that are collateralized by U.S. Treasury securities, using proceeds from the issuance of Figure Transferable Certificates ("Transferable Certificates"). Interest income for the three months ended March 31, 2026 was $3.9 million while in the prior year, the Company earned $4,000 of interest income between the initial public offering of the Figure Certificates on February 20, 2025 through March 31, 2025.

*Certificate Reserve Liability*

FCC currently issues Figure Transferable Certificates. In the three months ended March 31, 2026, the Company issued $530.5 million of Transferable Certificates including re-invested interest of $3.9 million, and paid $263.4 million for surrendered Transferable Certificates. During the period between the initial public offering of Figure Certificates on February 20, 2025 through March 31, 2025, the Company issued $3.0 million of Transferable Certificates including reinvested interest of $4,000 and paid $345,000 for surrendered Certificates. Transferable Certificates may be surrendered at any time by the holder at face amount, plus accrued interest minus any applicable expenses or fees. Otherwise, Transferable Certificates mature 20 years from the issue date at the face amount, plus accrued interest minus any applicable expenses or fees. Accordingly, Transferable Certificates are interest-bearing debt securities in nature and are classified as certificate reserve liability in the Balance Sheets. No Figure Installment Certificates have been issued since inception. There is no difference between the aggregate fair value and the aggregate unpaid principal balance of Transferable Certificates.

*Qualified Assets*

In accordance with the Investment Company Act, Section 28, the Company is required to maintain qualified assets with a fair value that exceeds the total of (i) the minimum capital stock requirement of $250,000 and (ii) a reserve for the future obligations associated with its issued face-amount certificates. As of March 31, 2026, the qualified assets of $601.5 million

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**FIGURE CERTIFICATE COMPANY**

**NOTES TO ITEM 1. INTERIM FINANCIAL STATEMENTS (UNAUDITED)**

**(dollars in tables in thousands, except share and per share data, ratios or as otherwise noted)**

exceed the total reserve requirement of $599.7 million as prescribed by Section 28 of the Investment Company Act. As of December 31, 2025, the qualified assets of $329.5 million exceeded the reserve requirement of $328.8 million.

*Investment Advisory, Administration, Transfer Agent, AML/KYC Service and Gas Fees Due to Related Parties*

The Company may incur certain investment advisory and management, administration, transfer agent and AML/KYC service fees, and gas fees with related party service providers. The Company expenses such fees as incurred. See Note 6 for more details on related party transactions.

*Income Taxes*

Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled.

The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is evaluated and may be established to reduce the deferred tax asset to the level at which it is "more likely than not" that the tax asset or benefits will be realized. Realization of tax benefits of deductible temporary differences and operating loss carryforwards depends on having sufficient taxable income of an appropriate character within the carryback or carryforward periods.

***Recently Issued Accounting Standards***

With the exception of those discussed below, there have not been recent changes in accounting pronouncements issued by the FASB that are applicable to, or adopted by, the Company during the three months ended March 31, 2026.

***Accounting Pronouncements Not Yet Adopted***

*Interim Reporting— Narrow-Scope Improvements*

In December 2025, the FASB issued ASU 2025-11, *Interim Reporting (Topic 270): Narrow-Scope Improvements* ("ASU 2025-11"), which clarifies the applicability of interim reporting guidance, establishes a comprehensive list of interim disclosures required under GAAP, and introduces a disclosure principle requiring entities to disclose events occurring after the most recent annual reporting period that have a material impact on the entity. ASU 2025-11 also improves navigability by organizing interim disclosure requirements across the Codification and clarifies the form and content of interim financial statements, including the use of condensed statements and required accompanying notes. ASU 2025-11 is effective for interim reporting periods within annual periods beginning after December 15, 2027, for public business entities, and after December 15, 2028, for all other entities, with early adoption permitted. The Company is currently evaluating the effect of adopting ASU 2025-11 on its interim reporting disclosures.

*Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures*

In November 2024, the FASB issued ASU 2024-03, "*Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses*", which requires disaggregated disclosure of income statement expenses for public business entities. The ASU does not change the expense captions an entity presents on the face of the income statement; rather, it requires new disclosures to disaggregate prescribed natural expenses underlying any income statement caption. This ASU is effective for annual periods in fiscal years beginning after December 15, 2026, and interim periods thereafter. Early adoption is permitted. The ASU applies on a prospective basis for periods beginning after the effective date. However, retrospective application to any or all prior periods presented is permitted. The Company does not expect this ASU to have a material impact on the Financial Statements and disclosures.

**NOTE 3** – **FAIR VALUE OF FINANCIAL INSTRUMENTS**

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction with market participants. The Company uses ASC 820, *Fair Value Measurement*, which includes a three-tier

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**FIGURE CERTIFICATE COMPANY**

**NOTES TO ITEM 1. INTERIM FINANCIAL STATEMENTS (UNAUDITED)**

**(dollars in tables in thousands, except share and per share data, ratios or as otherwise noted)**

fair value hierarchy used to prioritize the inputs used in measuring fair value. The hierarchy gives the highest priority to unadjusted quoted market prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. A financial instrument's level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement.

The three levels of the fair value hierarchy are as follows:

Level 1 — Quoted market prices in active markets for identical assets or liabilities.

Level 2 — Significant other observable inputs (e.g., quoted prices for similar items in active markets, quoted prices for identical or similar items in markets that are not active, inputs other than quoted prices that are observable such as interest rate and yield curves, and market-corroborated inputs).

Level 3 — Inputs that are unobservable in the market but reflective of the Company's assumptions about what market participants would use to price the asset or liability. The inputs are developed based on the best information available in the circumstances, which might include the Company's own data. Valuation techniques include discounted cash flow models and similar techniques.

The accounting guidance concerning fair value allows the Company to elect to measure financial instruments at fair value and report changes in fair value through results of operations. This election can only be made at certain specified dates and is irrevocable once made. When developing fair value measurements, the Company maximizes the use of observable inputs and minimizes the use of unobservable inputs. The classification of a financial asset within Level 3 is based upon the significance of the unobservable inputs to the overall fair value measurement.

The Company follows the above hierarchy for its financial instruments, with classifications based on the lowest level of input that is significant to the fair value measurement. Accordingly, the Company classifies its investments in U.S. Treasury securities and money market funds within cash equivalents as Level 1. The Company invests in repurchase agreements, included in cash equivalents, which involve a purchaser (in this case, the Company) of a specified security (in this case, U.S. Treasury securities) and the simultaneous agreement by the seller to repurchase at an agreed-upon future date and specified price. These repurchase agreements and certificates issued and payable are classified within Level 2 as they are based on quoted prices of similar assets. No transfers between levels have occurred during the periods presented.

The following tables summarize the assets and liabilities in each level of the fair value hierarchy as of March 31, 2026 and December 31, 2025. This table excludes cash, due from Parent, prepaid expenses, accounts payable, accrued expenses, and accrued offering costs as these balances are highly liquid or short-term in nature and as a result, their carrying amounts approximate fair value.

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| | | | | |
|:---|:---|:---|:---|:---|
| | **March 31, 2026** | **March 31, 2026** | **March 31, 2026** | **March 31, 2026** |
| | **Level 1** | **Level 2** | **Level 3** | **Total** |
| Assets (at fair value): |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash equivalents | $211268 | $389556 | $— | $600824 |
| Total assets measured at fair value | 211268 | 389556 |  | 600824 |
| Liabilities (at fair value): |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Certificate reserve |  | 599706 |  | 599706 |
| Total liabilities measured at fair value | $— | $599706 | $— | $599706 |

---

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<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**FIGURE CERTIFICATE COMPANY**

**NOTES TO ITEM 1. INTERIM FINANCIAL STATEMENTS (UNAUDITED)**

**(dollars in tables in thousands, except share and per share data, ratios or as otherwise noted)**

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| | | | | |
|:---|:---|:---|:---|:---|
| | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
| | **Level 1** | **Level 2** | **Level 3** | **Total** |
| Assets (at fair value): |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash equivalents | $84647 | $242941 | $— | $327588 |
| Total assets measured at fair value | 84647 | 242941 |  | 327588 |
| Liabilities (at fair value): |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Certificate reserve |  | 328796 |  | 328796 |
| Total liabilities measured at fair value | $— | $328796 | $— | $328796 |

---

***Cash Equivalents***

As of March 31, 2026 the Company held $211.3 million in cash equivalents consisting of U.S. Treasury securities and money market funds. This represents an increase from $84.6 million as of December 31, 2025 which consisted solely of U.S. Treasury securities. At both dates, these holdings were classified as Level 1 assets due to the availability of quoted prices in active markets. The Company invests in repurchase agreements, which are included in cash equivalents and totaled $389.6 million and $242.9 million as of March 31, 2026 and December 31, 2025, respectively. These agreements involve the purchase of U.S. Treasury securities with a simultaneous agreement by the seller to repurchase the securities at a predetermined price on a specified future date. These repurchase agreements are classified within Level 2 of the fair value hierarchy, as their valuation is based on quoted prices for similar assets.

***Certificate Reserve Liability***

The Certificate reserve, which was $599.7 million and $328.8 million as of March 31, 2026 and December 31, 2025, respectively, is valued using quoted prices for similar assets in active markets. These inputs are observable, and accordingly, the related financial liabilities are classified as Level 2.

**NOTE 4** – **CERTIFICATE RESERVE LIABILITY**

The following tables summarize the fair value of the activities of the Certificate reserve liability for the three months ended March 31, 2026 and 2025:

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| | |
|:---|:---|
| Certificate reserve liability at December 31, 2024 | $— |
| &nbsp;&nbsp;Issuance | 3045 |
| &nbsp;&nbsp;Surrender | (345) |
| &nbsp;&nbsp;Re-invested interest | 4 |
| Certificate reserve liability at March 31, 2025 | $2704 |

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| | |
|:---|:---|
| Certificate reserve liability at December 31, 2025 | $328796 |
| &nbsp;&nbsp;Issuance | 530452 |
| &nbsp;&nbsp;Surrender | (263425) |
| &nbsp;&nbsp;Re-invested interest | 3883 |
| Certificate reserve liability at March 31, 2026 | $599706 |

---

**NOTE 5** – **STOCKHOLDER'S EQUITY**

***Common Stock***

Pursuant to the certificate of incorporation dated April 13, 2023, the Company had a total of 1,000 shares of common stock authorized for issuance with par value of $0.0001 per share. As of March 31, 2026 and December 31, 2025, the Company had 1,000 shares of common stock issued and outstanding. As of March 31, 2026, Figure Technologies, LLC is the sole stockholder of the Company.

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<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**FIGURE CERTIFICATE COMPANY**

**NOTES TO ITEM 1. INTERIM FINANCIAL STATEMENTS (UNAUDITED)**

**(dollars in tables in thousands, except share and per share data, ratios or as otherwise noted)**

**NOTE 6** – **RELATED PARTY TRANSACTIONS**

***Parent***

The Company has been managed and operated in the normal course of business by its Parent, who makes payments to vendors on behalf of the Company for general and administrative expenses, offering costs and organizational costs. These payments from the Parent are shown within additional paid-in capital on the Balance Sheets.

For the three months ended March 31, 2026, the Parent contributed $471,000 toward the Company's operational invoices. The $471,000 of payments by the Parent for operating expenses have been recorded as a part of the indirect capital contributions from Parent in additional paid-in capital.

For the three months ended March 31, 2025, the Parent made a direct contribution in the amount of $5,000, provided $10,000 in digital assets as an in-kind contribution and paid $787,000 in operating expenses to vendors on behalf of the Company. The $787,000 of payments by the Parent for operating expenses have been recorded as a part of the indirect capital contributions from Parent in additional paid-in capital.

As of March 31, 2026 and December 31, 2025, the Parent and affiliate entities controlled by the Parent held $473.0 million and $252.3 million of Certificates, respectively, which includes approximately $15,700 and $17,100, respectively, of Certificates held by certain members of the board of directors and executive management.

For the three months ended March 31, 2026 and 2025, activity related to Certificate issuance for the Parent and affiliate entities was $263.7 million and $2.5 million, respectively, while activity related to Certificate surrender for the Parent and affiliate entities was $(45.1) million and zero, respectively. Interest expense for related party Certificate holders was $2.9 million and $3,000 during the three months ended March 31, 2026 and 2025 and is recorded as "Additional interest to related parties" on the Statements of Operations.

In connection with FCC's business of issuing and distributing Certificates and managing the assets that back the Certificates, the Company utilizes a number of service providers, who are the Company's related parties, to provide asset management and administrative services, distribution, transfer agent services, and custody as noted below.

***Democratized Prime***

In June 2025, Figure Lending, LLC ("Figure Lending") participated in an on-chain senior lending facility, which is collateralized by home equity lines of credit ("HELOCs") that were owned by Figure Lending and operates through the Democratized Prime marketplace. As of March 31, 2026 and December 31, 2025, there were $352.0 million and $197.9 million, respectively, of Certificates that were lent into the Democratized Prime platform. These balances include $— million and $10.0 million by a related entity and $0.5 million and $0.4 million by certain members of the board of directors at March 31, 2026 and December 31, 2025, respectively.

***Investment Advisor***

Figure Investment Advisors, LLC ("Advisor") serves as an investment adviser to FCC pursuant to an advisory agreement. Prior to October 1, 2025, FCC paid the Advisor 0.25% on net invested assets under management for its services, paid on a monthly basis. Effective October 1, 2025, FCC pays the Advisor 0.15% on net invested assets under management, paid on a monthly basis.

In addition to the monthly management fee based on net invested assets, the Advisor also receives a fee for managing and any servicing of bank loans, which has not yet occurred as of March 31, 2026. That fee is 0.20% of the book value of the bank loans, paid on an annual basis and accrued on a monthly basis.

Advisory fees to the Advisor were $326,000 for the three months ended March 31, 2026. There were nominal advisory fees paid for the period from commencement of investment operations and initial public offering of the Figure Certificates on February 20, 2025 through March 31, 2025. These costs are included in investment advisory and management fees on the Statements of Operations. The Parent paid the Advisor for the advisory fees on behalf of the Company, and the payments made by the Parent have been recorded as a part of the indirect capital contributions from Parent in Additional Paid-in Capital as disclosed above.

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<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**FIGURE CERTIFICATE COMPANY**

**NOTES TO ITEM 1. INTERIM FINANCIAL STATEMENTS (UNAUDITED)**

**(dollars in tables in thousands, except share and per share data, ratios or as otherwise noted)**

***Administrator & Transfer Agent***

Figure Equity Solutions, Inc. ("FES") is the administrator and transfer agent pursuant to agreements with FCC. Under the agreements, FES maintains Certificate owner accounts and records and provides administrative services. For transfer agent services, FCC pays a monthly fee of $5,000. FCC has not incurred any fees under the administrator agreement with FES.

Fees paid to FES for transfer agent services were $15,000 for the three months ended March 31, 2026 and were $10,000 for period from February 20, 2025 through March 31, 2025 and are included in administration and transfer agent fees on the Statements of Operations. The Parent paid FES for the transfer agent fees on behalf of the Company, and the payments made by the Parent have been recorded as a part of the indirect capital contributions from Parent in Additional Paid-in Capital as disclosed above.

***AML / KYC Service Provider***

Figure Payments Corporation ("Figure Pay") is FCC's AML / KYC service provider pursuant to an agreement with FCC. Under the AML/KYC Service Provider Agreement, Figure Pay conducts AML and KYC reviews on all Certificate investors as set forth in FCC's AML/KYC Program. FCC pays Figure Pay a $2.00 fee per review for this service.

Fees incurred for AML / KYC services provided by Figure Pay were approximately $16,000 for the three months ended March 31, 2026 and less than $1,000 for the period from February 20, 2025 through March 31, 2025. The fees are recorded in "Service fees" on the Statements of Operations. The Parent paid Figure Pay for the AML/KYC fees on behalf of the Company, and the payments made by the Parent have been recorded as a part of the indirect capital contributions from Parent in Additional Paid-in Capital as disclosed above.

***Gas Fee Service Provider***

Gas fees are transaction fees paid to certain network validators for processing and validating operations on the blockchain. Provenance Blockchain Foundation ("Provenance") is FCC's current gas fee service provider pursuant to a gas fee service agreement, as amended. As the gas fee service provider, Provenance pays, on behalf of FCC, gas fees for investor Certificate transactions on the Provenance Blockchain, or other blockchains, when applicable. FCC will make payments in U.S. dollars to Provenance for gas fees incurred for investor transactions upon receipt of invoices from Provenance.

FCC's payment in U.S. dollars to Provenance will be calculated based on the market value of the native digital asset of the Provenance Blockchain (which is HASH when operating on the Provenance Blockchain, the Provenance native token and the value of which fluctuates), at the time gas fees are incurred in connection with Certificate transactions. Provenance will use the native digital asset of the Provenance Blockchain to pay for Certificate transaction gas fees on the Provenance Blockchain, or other blockchains, when applicable and will be subsequently reimbursed by FCC for such fees.

Gas fees owed to Provenance were approximately $3,000 for the three months ended March 31, 2026 and were nominal for the period from February 20, 2025 through March 31, 2025. This fee is included in service fees on the Statements of Operations. The Parent paid Provenance for the gas fees on behalf of the Company, and the payments made by the Parent have been recorded as a part of the indirect capital contributions from Parent in Additional Paid-in Capital as disclosed above.

**NOTE 7** – **INCOME TAXES**

For the three months ended March 31, 2026 and 2025, the Company calculated its year-to-date income tax provision by applying the estimated annual effective tax rate to the year-to-date Net investment loss before income taxes and adjusted the Income tax provision for discrete tax items recorded in the period.

During the three months ended March 31, 2026 and 2025, the Company recorded no income tax expense. The Company's reported effective tax rates were 0.0% for the three months ended March 31, 2026 and 2025. The Company's effective tax rates differ from statutory rates primarily due to the absence of taxable income to realize the Company's net operating losses and other deferred tax assets.

Deferred tax assets are reduced by a valuation allowance if, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred tax assets will not be realized. The realizability of the Company's deferred tax assets, in each jurisdiction, is dependent upon the generation of future taxable income sufficient to utilize the deferred tax assets on income tax returns, including the reversal of existing temporary differences, historical and projected operating

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<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**FIGURE CERTIFICATE COMPANY**

**NOTES TO ITEM 1. INTERIM FINANCIAL STATEMENTS (UNAUDITED)**

**(dollars in tables in thousands, except share and per share data, ratios or as otherwise noted)**

results and tax planning strategies. As of March 31, 2026 and 2025, the Company believed that it was more likely than not that the net deferred tax assets would be realizable and thus maintained a full valuation allowance.

**NOTE 8** – **EARNINGS PER SHARE**

Basic and diluted net income (loss) per share is computed by dividing net income (loss) attributable to the Company by the weighted-average number of shares of common stock outstanding during the period. As the Company reported losses for the three months ended March 31, 2026 and 2025, and there were no shares outstanding or authorized that could be potentially dilutive during those periods, there is no difference between basic and diluted shares outstanding.

Basic and diluted earnings per common share were calculated as follows:

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| | | |
|:---|:---|:---|
| | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
| | **2026** | **2025** |
| Numerator: |  |  |
| &nbsp;&nbsp;Net loss | $(963) | $(1260) |
| Denominator: |  |  |
| Weighted average common shares outstanding | 1000 | 1000 |
| Net loss per share of common stock | $(963) | $(1260) |

---

**NOTE 9** – **COMMITMENTS AND CONTINGENCIES**

***Legal Contingencies***

The Company may become involved in a number of judicial, regulatory and arbitration matters arising in connection with our business. The outcome of matters the Company has been and currently is involved in cannot be determined at this time, and the results cannot be predicted with certainty. There can be no assurance that these matters will not have a material adverse effect on the Company's results of operations in any future period and a significant judgment could have a material adverse impact on our financial condition, results of operations and cash flows. The Company may in the future become involved in additional litigation in the ordinary course of our business, including litigation that could be material to its business.

The Company reviews the need for any loss contingency reserves and establishes reserves when, in the opinion of management, it is probable that a matter would result in liability and the amount of loss, if any, can be reasonably estimated. Management, after consultation with legal counsel, believes that there are no known actions or threats that would result in a material adverse effect on the Company's financial condition, results of operations, or cash flows.

***Regulatory Contingencies***

The level of regulatory activity in the financial services industry remains elevated. From time to time, FCC may receive requests for information from, and/or be subject to examination by, the SEC and potentially other regulatory agencies concerning its business activities and practices.

FCC may in the normal course of business be a party to legal proceedings which include regulatory inquiries, arbitration or litigation, including class actions, concerning matters arising in connection with the conduct of its activities. The Company cannot predict with certainty if, how, or when any such proceedings will be initiated or resolved. FCC believes that it is not a party to, nor are any of its properties the subject of, any pending legal, regulatory or arbitration proceedings that are reasonably likely to have a material adverse effect on FCC's results of operations, financial condition or liquidity.

Notwithstanding the foregoing, it is possible that the outcome of any such legal, arbitration or regulatory proceedings could have a material impact on FCC's results of operations, financial condition or liquidity in any particular reporting period as the proceedings are resolved.

In accordance with the Investment Company Act, Section 28(b), FCC is required to maintain qualified assets of $599.7 million in cash and cash equivalents as of March 31, 2026. The investments must exceed or equal the total of (i) the minimum capital stock requirement of $250,000 and (ii) a reserve for the future obligations associated with issued face-amount certificates. As of March 31, 2026, the qualified assets of $601.5 million exceed the total reserve requirement of

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**FIGURE CERTIFICATE COMPANY**

**NOTES TO ITEM 1. INTERIM FINANCIAL STATEMENTS (UNAUDITED)**

**(dollars in tables in thousands, except share and per share data, ratios or as otherwise noted)**

$599.7 million as prescribed by Section 28 of the Investment Company Act. As of December 31, 2025, qualified assets of $329.5 million exceeded the reserve requirement of $328.8 million.

**NOTE 10** – **FINANCIAL HIGHLIGHTS**

Financial highlights are shown below for the periods presented. Dollar values are stated per share outstanding throughout the year.

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended March 31, 2026** | **Year Ended** | **Year Ended** | **Period from Inception (April 13, 2023) to December 31, 2023** |
| | **Three Months Ended March 31, 2026** | **December 31, 2025** | **December 31, 2024** | **Period from Inception (April 13, 2023) to December 31, 2023** |
| Net asset value, beginning of period | $584 | $521 | $428 | $— |
| &nbsp;&nbsp;Investment operations: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net investment loss | (963) | (3070) | (574) | (31) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total from investment operations | (963) | (3070) | (574) | (31) |
| &nbsp;&nbsp;Payments by affiliates | 671 | 3133 | 667 | 459 |
| Net asset value, end of period | $292 | $584 | $521 | $428 |
| Total return %<sup>(A)(B)</sup> | (50.0)% | 12.1% | 21.7% | n.a. |
| Ratios/Supplemental Data: |  |  |  |  |
| &nbsp;&nbsp;Ratio of expenses to average net assets<sup>(C)(E)</sup> | (661.3)% | 924.1% | 168.3% | 15.1% |
| &nbsp;&nbsp;Ratio of net investment loss to average net assets<sup>(D)(E)</sup> | 131.0% | (652.6)% | (168.3)% | (15.1)% |

---

<sup>(A)</sup> Total return reflects the percentage change in net asset value per share over the period, based on shares wholly owned by the Parent.

<sup>(B)</sup> Total return % is not meaningful in the year of inception (2023) as there was no beginning net asset value.

<sup>(C)</sup> Ratio excludes the impact of capital contributions from Parent recorded in equity and therefore does not reflect results inclusive of Parent support.

<sup>(D)</sup> Ratio excludes the impact of capital contributions from Parent recorded in equity and therefore reflects net investment results excluding Parent support.

<sup>(E)</sup> Ratios for the year of inception (2023) are annualized.

**NOTE 11** – **SUBSEQUENT EVENTS**

The following events occurred subsequent to March 31, 2026 through May 14, 2026, the date at which the Company's Interim Financial Statements were available to be issued:

Subsequent to March 31, 2026, the parent made an additional capital contribution of $200,000 that was collected prior to the issuance of the financial statements. The Company recorded this as a receivable and corresponding paid in capital contribution as of March 31, 2026 in accordance with ASC 505-10-45-2.

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<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**SUPPLEMENTARY SCHEDULES**

**(dollars in tables in thousands, except share and per share data, ratios or as otherwise noted)**

**Schedule I**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Regulation S-X, Rule 12-21—Investment in securities of unaffiliated issuers as of March 31, 2026** | **Regulation S-X, Rule 12-21—Investment in securities of unaffiliated issuers as of March 31, 2026** | **Regulation S-X, Rule 12-21—Investment in securities of unaffiliated issuers as of March 31, 2026** | **Regulation S-X, Rule 12-21—Investment in securities of unaffiliated issuers as of March 31, 2026** | **Regulation S-X, Rule 12-21—Investment in securities of unaffiliated issuers as of March 31, 2026** |
| **Name of Issuer** | **Maturity Date** | **Principal Amount (debt) or Number of Shares (Equity)** | **(c) <br>Cost** | **(d) <br>Value of item at close of period** |
| **Money Market Fund** | | | | |
| &nbsp;&nbsp;Goldman Sachs Financial Square |  |  | $2362 | $2362 |
| **Government Bonds** |  |  |  |  |
| &nbsp;&nbsp;United States Treasury Bill | 4/7/2026 | $10000 | 9947 | 9947 |
| &nbsp;&nbsp;United States Treasury Bill | 4/16/2026 | 30000 | 29881 | 29881 |
| &nbsp;&nbsp;United States Treasury Bill | 4/23/2026 | 20000 | 19914 | 19914 |
| &nbsp;&nbsp;United States Treasury Bill | 4/28/2026 | 40000 | 39775 | 39775 |
| &nbsp;&nbsp;United States Treasury Bill | 4/30/2026 | 20000 | 19882 | 19882 |
| &nbsp;&nbsp;United States Treasury Bill | 5/5/2026 | 20000 | 19888 | 19888 |
| &nbsp;&nbsp;United States Treasury Bill | 5/7/2026 | 20000 | 19900 | 19900 |
| &nbsp;&nbsp;United States Treasury Bill | 5/19/2026 | 50000 | 49719 | 49719 |
| **Repurchase Agreements**<sup>(1)</sup> |  |  |  |  |
| &nbsp;&nbsp;UMB Bank N.A. (collateralized by U.S. Treasury securities) | 4/1/2026 |  | 389556 | 389556 |
| Total |  |  | $600824 | $600824 |

---

<sup>(1)</sup> The Company has a master repurchase agreement with Hidden Road Partners CIV US LLC; however, as of March 31, 2026, no investment transactions had been executed under the arrangement.

**Schedule V**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Regulation S-X, Rule 12-27—Qualified Assets on Deposit as of March 31, 2026** | **Regulation S-X, Rule 12-27—Qualified Assets on Deposit as of March 31, 2026** | **Regulation S-X, Rule 12-27—Qualified Assets on Deposit as of March 31, 2026** | **Regulation S-X, Rule 12-27—Qualified Assets on Deposit as of March 31, 2026** | **Regulation S-X, Rule 12-27—Qualified Assets on Deposit as of March 31, 2026** | **Regulation S-X, Rule 12-27—Qualified Assets on Deposit as of March 31, 2026** |
| **(a)<br> Name of depositary** | **(b)<br> Cash** | **(c)<br> Investments in Securities** | **(d)<br> First mortgages and other first liens on real estate** | **(e) <br> Other** | **(f)<br> Total** |
| UMB Bank N.A. | $— | $600824 | $— | $— | $600824 |
| Flagstar Bank, N.A. | 700 |  |  |  | 700 |
| &nbsp;&nbsp;Total | $700 | $600824 | $— | $— | $601524 |

---

**Schedule VI**

---

| | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** | **Regulation S-X, Rule 12-26—reconciliation of certificate liability activity** |
| | **(b) Balance at beginning of period (January 1, 2026)** | **(b) Balance at beginning of period (January 1, 2026)** | **(b) Balance at beginning of period (January 1, 2026)** | **(c) Additions** | **(c) Additions** | **(c) Additions** | **(d) Deductions** | **(d) Deductions** | **(d) Deductions** | **(e) Balance at close of period** <br>**(March 31, 2026)** | **(e) Balance at close of period** <br>**(March 31, 2026)** | **(e) Balance at close of period** <br>**(March 31, 2026)** |
|<br>**(a)<br> Description** | **(1) Number of accounts with<br>security bidders** | **(2) Amount of maturity value** | **(3) Amount of reserves** | **(1) Charged to profit and loss or<br>income** | **(2) Reserve payments by certificate<br>holders** | **(3) Charged to other accounts<br>describe** | **(1)<br>Maturities** | **(2) Cash<br>surrenders<br>prior to<br>maturity** | **(3)<br>Other—<br>describe** | **(1)<br>Number<br>of<br>accounts with<br>security<br>holders** | **(2)<br>Amount<br>of<br>maturity<br>value** | **(3)<br>Amount<br>of<br>reserves** |
| Figure Transferable Certificates | 1768 | $328796 | $328796 | $— | $530452 | $3883 | $— | $(263425) | $— | 2927 | $599706 | $599706 |
| Figure Installment Certificates |  | $— | $— | $— | $— | $— | $— | $— | $— |  | $— | $— |

---

(c)(3) - Re-invested interest for issuance of Certificates

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<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**Schedule VIII**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Regulation S-X, Rule 12-25 disclosure—Supplementary profit and loss information** <br>**For the Three Months Ended March 31, 2026** | **Regulation S-X, Rule 12-25 disclosure—Supplementary profit and loss information** <br>**For the Three Months Ended March 31, 2026** | **Regulation S-X, Rule 12-25 disclosure—Supplementary profit and loss information** <br>**For the Three Months Ended March 31, 2026** | **Regulation S-X, Rule 12-25 disclosure—Supplementary profit and loss information** <br>**For the Three Months Ended March 31, 2026** | **Regulation S-X, Rule 12-25 disclosure—Supplementary profit and loss information** <br>**For the Three Months Ended March 31, 2026** |
| **(a)<br>Item** | **(b)<br> Charged to investment <br>expense** | **(c)<br> Charged to other accounts** | **(c)<br> Charged to other accounts** | **(d) <br>Total** |
| **(a)<br>Item** | **(b)<br> Charged to investment <br>expense** | **(1)—Account** | **(2)—Amount** | **(d) <br>Total** |
| Legal expenses | $344 | $— | $— | $344 |
| &nbsp;&nbsp;Total | $344 |  | $— | $344 |

---

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<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**ITEM 2. MANAGEMENT'S NARRATIVE ANALYSIS**

You should read the following discussion and analysis of our financial condition and results of operations together with our Interim Financial Statements and the related notes appearing elsewhere in this Form 10-Q. Some of the information contained in this discussion and analysis or set forth elsewhere in this Form 10-Q, including information with respect to our plans and strategy for our business, includes forward-looking statements that involve risks and uncertainties. You should read the section titled "Special Note Regarding Forward-Looking Statements" and refer to Part 1, Item 1A. -"Risk Factors" for a discussion of important factors that could cause actual results to differ materially from the results described in or implied by the forward-looking statements contained in the following discussion and analysis.

FCC is a wholly-owned subsidiary of FT, whose ultimate parent is FTS. FCC is registered as an investment company under the Investment Company Act as a face-amount certificate company. FCC currently issues Figure Transferable Certificates, which are interest-bearing debt securities, and entitle the Certificate owner to receive at maturity a stated amount of money and an interest rate equal to the overnight SOFR rate less 35 basis points, with a minimum of 0.00%. Figure Transferable Certificates are not insured by any government agency or other entity, and are obligations of FCC, unsecured and solely backed by FCC's assets to pay the amount of principal investment, plus accrued interest (minus any applicable expenses or fees) when the Certificates are transferred, surrendered or mature.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Management's Narrative Analysis of the results of operations is presented in lieu of Management's Discussion and Analysis of Financial Condition and Results of Operations, pursuant to General Instructions H(2)(a) of Form 10-Q.

**Current Macroeconomic Environment**

FCC operates within a dynamic macroeconomic environment shaped by conditions in the United States and global economies, including changes in interest and inflation rates, volatility in financial markets, foreign exchange rate fluctuations, geopolitical developments, public health events, competitive dynamics, evolving client and customer behaviors and preferences, and ongoing regulatory and legislative developments. These broader economic and market forces have influenced, and are expected to continue to influence, FCC's financial condition, operating performance and overall results. FCC's performance may also be impacted by the risks described under the heading "Risk Factors" in our Annual Report on Form 10-K filed on March 20, 2026

**Significant Accounting Policies and Recent Accounting Pronouncements**

Refer to Note 2, "Summary of Significant Accounting Policies", in the Notes to Financial Statements in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025 for a complete discussion of our significant accounting policies and critical accounting estimates as well as recent accounting pronouncements and their expected impact on FCC's future results of operations or financial condition. The preparation of the Interim Financial Statements is in conformity with U.S. GAAP.

**Results of Operations**

The Company generates operating income in the form of interest income on cash and cash equivalents held in money market funds, debt securities issued by the U.S. Department of the Treasury ("U.S. Treasury securities"), which may include U.S. Treasury bills and U.S. Treasury notes, as well as from interests in U.S. Treasury securities obtained through repurchase agreements funded with proceeds from the issuance of Certificates.

The Company reported a net loss of $1.0 million for the three months ended March 31, 2026 compared to a net loss of $1.3 million for the three months ended March 31, 2025. This increase was primarily due to increased investment income, partially offset by an increase in the provision for certificate reserve.

Investment income for the three months ended March 31, 2026 was $3.9 million, consisting of interest income earned on proceeds from the issuance of Certificates that were invested in money market funds, U.S. Treasury securities and repurchase agreements. In the prior year, the Company earned $4,000 of interest income between the initial public offering of the Figure Certificates on February 20, 2025 through March 31, 2025.

Investment expenses decreased by $0.3 million for the three months ended March 31, 2026 compared to the same period in 2025. The decrease was primarily attributable to the absence of offering and organization costs in the current period, partially offset by higher professional service fees and investment advisory and management fees. The $0.7 million decrease in offering cost expense was attributable to the offering costs incurred as a result of the public offering of

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<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

Certificates and the commencement of investment operations in February 2025. Organizational costs decreased by $0.3 million compared to the prior year, reflecting the cessation of start-up costs upon the commencement of investment operations in the first quarter, after which no additional organizational costs were incurred. The $0.3 million increase in professional service fees was mainly attributable to increased legal, audit and accounting expenses, while the $0.3 million increase in investment advisory and management fees was a direct result of the increased volume of invested assets being managed by the Advisor compared to the prior year period.

Interest expense, recorded to "Provision for certificate reserve" on the Statements of Operations, accrues daily based on the amount of Figure Certificates outstanding and was $3.9 million for the three months ended March 31, 2026 compared to $4,000 between the initial public offering of the Figure Certificates on February 20, 2025 through March 31, 2025.

FCC did not record an income tax expense or benefit for the three months ended March 31, 2026 or 2025 due to its net loss for both periods and the full valuation allowance recorded against its net deferred tax assets. See Note 7 for additional information on income taxes.

**Fair Value Measurements**

FCC reports certain assets and liabilities at fair value; specifically cash equivalents and Certificate reserve liability. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction with market participants. FCC uses actual market prices, or observable inputs, in its fair value measurements to the extent available. See Note 3 of the accompanying notes to our Interim Financial Statements on this Form 10-Q for additional information regarding FCC's fair value measurements.

**ITEM 4. CONTROLS AND PROCEDURES**

**Evaluation of Disclosure Controls and Procedures**

Our management, with the participation of our Chief Executive Officer (CEO) and Chief Financial Officer ("CFO"), has evaluated the effectiveness of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act). Based on that evaluation, our CEO and CFO each concluded that such disclosure controls and procedures were effective as of the end of the period covered by this Quarterly Report on Form 10-Q and designed to ensure that information required to be disclosed in our reports filed or submitted under the Exchange Act is recorded, processed, summarized and reported within the requisite time periods specified in the applicable rules and forms and is accumulated and communicated to our management, including our CEO and CFO, as appropriate, to allow timely decisions regarding required disclosure. Management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving their objectives and management necessarily applies its judgment in evaluating the cost-benefit relationship of possible controls and procedures.

**Changes in Internal Control Over Financial Reporting**

There were no changes in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that occurred during the three months ended March 31, 2026 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

**Inherent Limitation on the Effectiveness of Internal Control**

The effectiveness of any system of internal control over financial reporting is subject to inherent limitations, including the exercise of judgment in designing, implementing, operating, and evaluating the controls and procedures, and the inability to eliminate misconduct completely. Accordingly, any system of internal control over financial reporting, no matter how well designed and operated, can only provide reasonable, not absolute assurance that its objectives will be met. In addition, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. We intend to continue to monitor and upgrade our internal controls as necessary or appropriate for our business but such improvements will be subject to the same inherent limitations outlined in this section.

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<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**PART II**

 **ITEM 1. LEGAL PROCEEDINGS**

From time to time, we may be subject to legal proceedings and claims in the ordinary course of business. We are not presently a party to any such legal proceedings that, if determined adversely to us, would individually or taken together have a material adverse effect on our business, results of operations, financial condition, or cash flows, nor, to our knowledge, are any material legal proceedings threatened against the Company. The results of any current or future litigation cannot be predicted with certainty, and regardless of the outcome, litigation can have an adverse impact on us because of defense and settlement costs, diversion of management resources, and other factors.

Please refer to Note 9 of the accompanying notes to our Interim Financial Statements for additional information on commitments and contingencies.

**ITEM 1A. RISK FACTORS**

The risks described under the heading "Risk Factors" in our Annual Report on Form 10-K filed on March 20, 2026 could materially and adversely affect our business, financial condition, results of operations, cash flows and future prospects. The risks and uncertainties described therein are not the only ones we face. Additional risks and uncertainties that we are unaware of or that we currently deem immaterial may also become important factors that adversely affect our business. There have been no material changes to the risk factors previously disclosed in the Form 10-K filed on March 20, 2026.

You should carefully read and consider such risks, together with all of the information in our Form 10-K, in this Quarterly Report on Form 10-Q including the disclosures in the section titled "Management's Narrative Analysis" and in our interim financial statements and related notes, and in the other documents that we file with the SEC.

**ITEM 4. MINE SAFETY DISCLOSURES**

Not applicable.

**ITEM 5. OTHER INFORMATION**

***Rule 10b5-1 and Non-Rule 10b5-1 Trading***

None.

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**ITEM 6. EXHIBITS**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | | **Incorporated by Reference** | **Incorporated by Reference** | **Incorporated by Reference** | **Incorporated by Reference** | |
|<br>**Exhibit <br>Number** |<br>**Description** | **Form** | **File No.** | **Exhibit** | **Filing <br>Date** |<br>**Filed Herewith** |
| 31.1\* | <u>[Certification of Chief Executive Officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934, as amended](fcc1q26ex311ceo.htm)</u> |  |  |  |  | X |
| 31.2\* | <u>[Certification of Chief Financial officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934, as amended.](fcc1q26ex312cfo.htm)</u> |  |  |  |  | X |
| 32.1\* | <u>[Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002](fcc1q26ex321ceo.htm)</u> |  |  |  |  | X |
| 32.2\* | <u>[Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002](fcc1q26ex322cfo.htm)</u> |  |  |  |  | X |
| 99.1\* | <u>[Figure Technology Solutions, Inc. financial support commitment letter, dated](fcc-20260331xex991commitme.htm)[Marc](fcc-20260331xex991commitme.htm)[h 31, 2026](fcc-20260331xex991commitme.htm)[.](fcc-20260331xex991commitme.htm)</u> |  |  |  |  | X |
| 101.INS | XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document |  |  |  |  | X |
| 101.SCH | Inline XBRL Taxonomy Extension Schema Document |  |  |  |  | X |
| 101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document |  |  |  |  | X |
| 101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document |  |  |  |  | X |
| 101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document |  |  |  |  | X |
| 101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document |  |  |  |  | X |
| 104 | Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) |  |  |  |  | X |

---

\* Filed electronically herewith.

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<u>[Table of contents](#i55463a3117254ee99503b50bfe7da0a3_7)</u>

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized,

---

| | | |
|:---|:---|:---|
| | **FIGURE CERTIFICATE COMPANY** | **FIGURE CERTIFICATE COMPANY** |
| Date: May 14, 2026 | By: | */s/ Michael Tannenbaum* |
|  |  | Michael Tannenbaum |
|  |  | Chief Executive Officer and Director |
|  |  | *(Principal Executive Officer)* |
| Date: May 14, 2026 | By: | */s/ Macrina Kgil* |
|  |  | Macrina Kgil |
|  |  | Chief Financial Officer |
|  |  | *(Principal Financial and Accounting Officer)* |

---

## Exhibit 31.1

**Exhibit 31.1**

**CERTIFICATION PURSUANT TO RULE 13a-14(a)/15d-14(a)**

**OF THE SECURITIES EXCHANGE ACT OF 1934, AS ADOPTED PURSUANT TO**

**SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002**

I, Michael Tannenbaum, certify that

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this quarterly report on Form 10-Q of Figure Certificate Company

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The registrant's other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: May 14, 2026 | |
| | */s/ Michael Tannenbaum* |
| | Michael Tannenbaum |
| | Chief Executive Officer |

---

## Exhibit 31.2

**Exhibit 31.2**

**CERTIFICATION PURSUANT TO RULE 13a-14(a)/15d-14(a)**

**OF THE SECURITIES EXCHANGE ACT OF 1934, AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002**

I, Macrina Kgil, certify that

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.I have reviewed this quarterly report on Form 10-Q of Figure Certificate Company

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: May 14, 2026 | |
| | */s/ Macrina Kgil* |
| | Macrina Kgil |
| | Chief Financial Officer |

---

## Exhibit 32.1

**Exhibit 32.1**

**CERTIFICATION PURSUANT TO RULE 13a-14(b)/15d-14(b)**

 **OF THE SECURITIES EXCHANGE ACT OF 1934, AS ADOPTED PURSUANT TO**

 **SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002**

Pursuant to 18 U.S.C. Section 1350, I, Michael Tannenbaum, hereby certify that, to the best of my knowledge, Figure Certificate Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2026 (the Report), as filed with the Securities and Exchange Commission on May 14, 2026 fully complies with the requirements of Section 13(a) or Section 15(d) of the Securities Exchange Act of 1934, as amended, and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of Figure Certificate Company.

---

| | |
|:---|:---|
| Date: May 14, 2026 | |
| | */s/ Michael Tannenbaum* |
| | Michael Tannenbaum |
| | Chief Executive Officer |

---

## Exhibit 32.2

**Exhibit 32.2**

**CERTIFICATION PURSUANT TO RULE 13a-14(b)/15d-14(b)**

**OF THE SECURITIES EXCHANGE ACT OF 1934, AS ADOPTED PURSUANT TO**

**SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002**

Pursuant to 18 U.S.C. Section 1350, I, Macrina Kgil, hereby certify that, to the best of my knowledge, Figure Certificate Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2026 (the Report), as filed with the Securities and Exchange Commission on May 14, 2026, fully complies with the requirements of Section 13(a) or Section 15(d) of the Securities Exchange Act of 1934, as amended, and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of Figure Certificate Company.

---

| | |
|:---|:---|
| Date: May 14, 2026 | |
| | */s/ Macrina Kgil* |
| | Macrina Kgil |
| | Chief Financial Officer |

---

## Exhibit 99.1

**Exhibit 99.1**

March 31, 2026

Figure Certificate Company

650 California Street, Suite 200

San Francisco, CA 94108

USA

Ladies and Gentlemen:

This letter confirms that Figure Technology Solutions, Inc., (the "Parent") or one or more of its subsidiaries, will provide financial support to Figure Certificate Company (the "Company") sufficient for it to satisfy its obligations and debt service requirements as they come due until at least June 30, 2027, and will satisfy, on a timely basis all liabilities and obligations of the Company that the Company is unable to satisfy when due from the date of this letter, through and including June 30, 2027. In addition, the undersigned represent that Parent (or one or more of its subsidiaries) has the intent and ability to provide the necessary financial support to the Company to the extent and when deemed necessary by the Company and that there are no restrictions on Parent (or one or more of its subsidiaries) to provide such support.

As of March 31, 2026, the Company was obligated to Parent and its affiliate organizations for certain loans/advances (including accrued interest amounts) and operating expenses paid for on behalf of the Company, recorded on the books and records of the Company. The Parent will not require the repayment of these loans or any portion thereof (including interest), any other loans/advances (including interest), or operating expenses paid for on behalf of the Company that the Parent or its affiliates may provide up to and through June 30, 2027.

Very truly yours,

*/s/ Macrina Kgil*

Macrina Kgil

Chief Financial Officer

Figure Technology Solutions, Inc.

<br>