Microstrategy ( (MSTR) ) has released its Q1 earnings. Here is a breakdown of the information Microstrategy presented to its investors.
MicroStrategy, operating under the name Strategy, is a publicly traded company recognized as the world’s largest Bitcoin Treasury Company, primarily engaged in accumulating Bitcoin as its main treasury reserve asset while offering AI-powered enterprise analytics software.
In its first quarter of 2025, Strategy reported significant achievements in its Bitcoin strategy, including a 13.7% year-to-date BTC Yield and a $5.8 billion BTC $ Gain, alongside a successful $21 billion common stock equity offering. The company also increased its 2025 BTC Yield and BTC $ Gain targets to 25% and $15 billion, respectively.
Key financial metrics for the quarter highlighted a BTC Yield of 11.0% and a BTC Gain of 49,131 bitcoins. The company also reported a substantial uplift in retained earnings due to the adoption of fair value accounting for its Bitcoin holdings, despite an unrealized loss from a quarter-end Bitcoin price. Strategy’s software business saw a decrease in total revenues by 3.6% year-over-year, with a notable increase in subscription services revenues by 61.6%.
Strategy’s capital markets activities included net proceeds of $7.7 billion from various offerings, and the company managed to increase its cash reserves to $60.3 million by the end of the quarter. Despite a net loss of $4.217 billion, largely due to unrealized losses on digital assets, the company remains focused on its Bitcoin strategy and capital market engagements.
Looking ahead, Strategy’s management remains optimistic about its Bitcoin strategy and capital market activities, aiming to further enhance shareholder value and maintain its leadership in the digital asset and enterprise analytics sectors.