| Metric | Value ($ M) | Q3 FY25 |
|---|---|---|
| Revenue | 124.30 | 11.9% |
| Total Income | 124.30 | 11.9% |
| Expenditure | 14.6K | 141.9% |
| PBT | -14.5K | 143.4% |
| Net Profit | -12.5K | 197.4% |
| OPM | — | |
| NPM | — | |
| EPS | -38.25 | 132.0% |
Strategy Reports Q1 2026 Revenue Up 11.9% YoY, Bitcoin Holdings Grow 22%
06 May 2026 · 6 May, 1:52 am
Summary
Strategy Inc announced its first quarter 2026 financial results, reporting total revenues of $124.3 million, an 11.9% increase year-over-year. Despite this revenue growth, the company posted a substantial operating loss of $14.47 billion and a net loss of $12.54 billion, largely due to a $14.46 billion unrealized loss on its digital assets. Management highlighted the continued growth in Bitcoin adoption and the significant success of its Digital Credit offerings, particularly STRC, which raised $5.58 billion year-to-date and demonstrated strong demand and liquidity. The company also emphasized its consistent track record of servicing preferred stock dividends, totaling over $693 million to date, and proposed a shareholder vote to increase dividend payment frequency for STRC.
Key Highlights
- 1
Strategy Inc reported total revenues of $124.3 million for the first quarter of 2026, marking an 11.9% increase year-over-year.
- 2
The company recorded a significant operating loss of $14.47 billion in Q1 2026, primarily driven by an unrealized loss of $14.46 billion on its digital assets.
- 3
Net loss for the quarter reached $12.54 billion, or $38.25 per common share on a diluted basis, compared to a net loss of $4.22 billion in the prior year period.
- 4
Gross profit for Q1 2026 stood at $83.4 million, representing a gross margin of 67.1%, a decrease from 69.4% in Q1 2025.
- 5
As of May 3, 2026, Strategy held 818,334 bitcoins, reflecting a 22% growth year-to-date in 2026, and achieved a 9.4% BTC Yield year-to-date.
- 6
The company's Digital Credit instrument, STRC, saw substantial growth, raising $5.58 billion year-to-date in 2026, an increase of 189%.
- 7
Strategy successfully raised aggregate gross proceeds of $7.37 billion through ATM offerings during Q1 2026, with an additional $4.32 billion raised between April 1 and May 3, 2026.
Management Comments
Phong Le
Adoption of Bitcoin continues to grow in 2026. Digital Credit, highlighted by STRC, has been a big success. STRC has shown strong demand, high liquidity, and low volatility. We raised $5.6 billion year-to-date of STRC gross proceeds, increased daily trading volume to $375 million, while bringing volatility down to 3%, all done during a bitcoin bear market. We also continue to see traditional finance and major banks including Morgan Stanley, Goldman Sachs, and Citi announcing bitcoin ETFs, trading, custody, and lending services.
Andrew Kang
Strategy is the dominant issuer of Digital Credit in the world, with over $13.5 billion of preferred equity outstanding, supported by a fortress Bitcoin balance sheet. We continue to extend our track record of servicing our dividends, having now met our payment obligations on time and in full across 23 consecutive distributions, totaling over $693 million since the launch of our preferred equity products in early 2025. Strong demand for our Digital Credit instrument, STRC, has driven a BTC Yield of 9.4% and BTC $ Gain of approximately $5 billion through the first four months of the year.
Michael Saylor
STRC has scaled to $8.5 billion in just 9 months and is now the largest preferred stock by market cap in the world. By extracting bitcoin's performance and engineering price stability, we have produced a credit instrument with a 2.53 Sharpe ratio. This has sparked a broader Digital Credit ecosystem, with $150 million of STRC held in corporate treasuries such as Prevalon, Strive, and Anchorage, and over $270 million held across DeFi protocols such as Apyx and Saturn. We have also proposed a shareholder vote to double STRC's dividend payment frequency to a semi-monthly schedule, which we believe will further improve attractiveness of STRC by enhancing liquidity and improving price stability.
Informational and educational content only. Not investment advice.