News

Microstrategy Had A Net Loss Of $250 Million In The Fourth Quarter Of 2022

Key Points:

  • In comparison to a loss of $90 million during the same time the previous year, MicroStrategy reported a net loss of $249.7 million for the fourth quarter of 2022.
  • When compared to the same period last year, revenue came in at $132.6 million, above analyst estimates, which were $134.5 million.
  • The company stated that $197.6 million in charges for the impairment of digital assets had an impact on the net loss.
MicroStrategy on Thursday reported its fourth quarter 2022 financial results.

MicroStrategy’s latest earnings report showed that the company had a net loss of $249.7 million in the fourth quarter of 2022, compared with a loss of $90 million in the same period last year. MicroStrategy noted that the net loss was primarily due to a $197.6 million Bitcoin impairment charge. During the period covered by the latest earnings report, Bitcoin is down over 60%.

The company said it sold 704 Bitcoins for $11.8 million in cash in the fourth quarter of last year. Overall, the company’s total Bitcoin holdings increased to 132,500 Bitcoins, worth $1.8 billion, by the end of 2022, compared to 130,000 at the end of the third quarter. The company said its cumulative impairment losses on bitcoin holdings reached $2.2 billion.

Andrew Kang, the Chief Financial Officer of MicroStrategy, said in the statement:

“I am pleased to report we again increased our bitcoin holdings this past quarter to a total of 132,500 bitcoins. Our corporate strategy and conviction in acquiring, holding, and growing our bitcoin position for the long term remains unchanged. And while we encountered macroeconomic and foreign currency headwinds in 2022, we continue to shift to higher quality, recurring revenues as we grow and scale our cloud business. We remain intentional and precise in prioritizing costs, focusing on areas that drive revenue growth while preserving margins.”

Co-founder Michael Saylor once again affirmed his belief in Bitcoin after the report was published.

But since the company started buying Bitcoin in August 2020, MicroStrategy stock has outperformed major indexes and big tech monopolies Google, including Apple, Microsoft and Amazon.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Harold

Coincu News

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.

Recent Posts

Missed the AAVE Bullish Ride? This New Presale Can Turn Your Thousands into Millions

While Aave finds itself in uncertain territory, a fresh face in the crypto scene, Qubetics…

1 hour ago

Dogecoin Price Forecast: Analysts Push For $0.2288 DOGE While This Ethereum Altcoin Eyes 8,000% Gains In The Next 16 Days

Analysts push for a Dogecoin price surge to its $0.2288 yearly high while ETFSwap (ETFS)…

2 hours ago

Below $1 Swift Altcoin Competitor Could Overshadow XRP Price Potential Election Rally 

Discover the promising altcoin under $1 that may outperform XRP amid election volatility and market…

2 hours ago

Polkadot and SP Negócios Collaborate to Enhance Crypto Economy Development

Campinas, Brazil, 5th November 2024, Chainwire

2 hours ago

Terra Shuttle Bridge Has Now Been Disabled

Terra Shuttle Bridge has now been closed, and all remaining LUNC and USTC tokens have…

4 hours ago

FLOKI Announces Dubai Takeover with WAFI Mall Campaign

Miami, Florida, 5th November 2024, Chainwire

4 hours ago

This website uses cookies.