Fri, May 9, 7:42 PM (3 days ago)
**Fidelity Ethereum Fund (FETH) Q1 2025 Financial Summary** **Financial Health and Performance:** - **Net Assets:** Decreased from $1.6 billion to $0.7 billion due to a 44.96% drop in ether price and net share redemptions. - **Net Asset Value (NAV) per Share:** Fell 45.16% from $33.44 to $18.34. - **Share Count:** Decreased from 47,175,000 to 40,025,000 due to net redemptions. - **Ether Holdings:** Decreased from 471,750 to 400,086 due to net sales for redemptions. **Revenue and Profit Margins:** - **Investment Income:** None reported. - **Expenses:** Sponsor fee of $666,000 and net realized/ unrealized losses of $664,631,000 from ether investments. - **Net Increase (Decrease) in Net Assets:** ($665,297,000) due to losses from ether investments. **Cash Flow:** - **Operating Activities:** Net cash provided by operating activities was $148,034,000. - **Financing Activities:** Net cash used in financing activities was ($148,034,000) due to share redemptions. **Earnings Changes:** - **Net Realized and Unrealized Losses:** $664,631,000 from ether investments. - **Sponsor Fee:** Began accruing at an annual rate of 0.25% of ether holdings on January 1, 2025. **Quarterly Performance Discussion:** - The decrease in net assets was primarily driven by the drop in ether price and net share redemptions. - The Trust's NAV per Share was affected by the decrease in ether price and the Sponsor fee. - The Trust's cash balance is expected to be insignificant at the end of each reporting period. **Trends and Uncertainties:** - The Trust's performance is heavily dependent on the price movements of ether. - The Trust's NAV per Share may not correlate with the market price of ether due to various factors. - The Trust's cash balance is expected to be insignificant due to the Sponsor's agreement to assume most expenses. **Future Operations Impact:** - The Trust will continue to seek to track the performance of ether, adjusted for expenses and liabilities. - The Trust's performance will be influenced by the price movements of ether and the Sponsor fee. - The Trust's cash balance is expected to remain insignificant due to the Sponsor's agreement to assume most expenses. **Ticker:** FETH