Strategy released Q1 financial report, with revenue and profit not meeting expectations

According to PANews on May 2, according to The block, Strategy released its first-quarter financial report, with revenue and profit not meeting expectations. Operating expenditure reached US$6 billion in the first quarter, an increase of more than 1,100% year-on-year. This is largely due to unrealized losses in holding $5.91 billion worth of Bitcoin after spending about $7.66 billion in the first quarter.

Net loss in the first quarter was $4.2 billion, or $16.49 per diluted share. Analysts expect a loss of $0.11 per share. The company's total revenue was US$111.1 million, about 5% lower than the general market expectations and 3.6% lower than the same period last year. Subscription service revenue grew 61% to $37.1 million. Strategy holds $60.3 million in cash and cash equivalents, holds 553,555 Bitcoins, with a market value of approximately $52 billion, and a 13.7% return on Bitcoin from the beginning of the year to date. In addition, Strategy announced a new round of $21 billion in common stock ATM financing plans.