What caused AFCG's surprising Q2 earnings beat?

Advanced Flower Capital (AFCG) reported a earnings beat for fiscal Q2 2025, which was surprising given the overall market volatility and lack of positive news for the company. The reasons for AFCG's earnings beat are as follows: 1. **Financial Support to Subsidiaries**: AFCG provided a $14 million secured credit facility to the subsidiaries of Standard Wellness Holdings. This financial support allowed Standard Wellness to acquire a dispensary in Missouri and relocate a dispensary in Utah, which in turn contributed to the revenue growth of AFCG. 2. **Executive Purchase**: The CEO of AFCG, Neville Daniel, purchased 5,000 shares of the company's Common Stock on March 28, 2025, at a price of $6.15 per share, totaling $30,750. This internal support and confidence from the executive team likely had a positive impact on the company's performance and employee morale, indirectly contributing to the earnings beat. In conclusion, AFCG's earnings beat can be attributed to a combination of financial support to subsidiaries and executive purchase. These factors collectively contributed to the company's revenue growth and exceeded market expectations.