First Quarter Financial Summary
Operating Loss: The operating loss for the first quarter of 2026 was $14.47 billion, compared to an operating loss of $5.92 billion for the first quarter of 2025. The operating loss for the first quarter of 2026 included unrealized losses on the company’s digital assets of $14.46 billion, while unrealized losses on the company’s digital assets for the first quarter of 2025 were $5.91 billion.
Net Loss and Net Loss Attributable to Common Shareholders: The net loss for the first quarter of 2026 was $12.54 billion, or diluted loss per common share of $38.25, compared to a net loss of $4.22 billion, or diluted loss per common share of $16.49, for the first quarter of 2025. The net loss attributable to common shareholders for the first quarter of 2026 was $12.77 billion, compared to $4.23 billion for the first quarter of 2025.
Cash and Cash Equivalents: As of March 31, 2026, the company had cash and cash equivalents of $2.21 billion, compared to $2.3 billion as of December 31, 2025.
Revenue: Total revenue for the first quarter of 2026 was $124.3 million, compared to $111.1 million for the first quarter of 2025, representing an increase of 11.9% year-over-year.
Gross Profit: Gross profit for the first quarter of 2026 was $83.4 million, with a gross margin of 67.1%, compared to a gross profit of $77.1 million and a gross margin of 69.4% for the first quarter of 2025.
Bitcoin Overview (as of May 3, 2026)
BTC Return: A realized BTC return of 9.4% year-to-date in 2026.
BTC Earnings: Realized BTC earnings of 63,410 year-to-date in 2026.
BTC Dollar Earnings: Realized BTC dollar earnings of $4.97 billion year-to-date in 2026.
Digital Assets: As of May 3, 2026, the company’s digital assets consisted of approximately 818,334 Bitcoins, with an original cost and market value of $61.81 billion and $64.14 billion, respectively. This reflects an average cost per Bitcoin of approximately $75,537 and a market price per Bitcoin of approximately $78,374 as of May 1, 2026.
“The adoption of Bitcoin will continue to grow in 2026. Digital credit represented by STRC has achieved significant success. STRC demonstrates strong demand, high liquidity, and low volatility. Year-to-date, we have raised $5.6 billion in total proceeds through STRC, with daily trading volume increasing to $375 million, while reducing volatility to 3%, all during a Bitcoin bear market. We are also witnessing traditional financial institutions and major banks, including Morgan Stanley, Goldman Sachs, and Citi, announcing the launch of Bitcoin ETFs, trading, custody, and lending services,” said Phong Le, President and Chief Executive Officer.
“Strategy is a global leader in digital credit issuance, with over $13.5 billion in outstanding preferred shares, supported by a robust Bitcoin balance sheet. We have maintained an excellent dividend track record, paying 23 consecutive dividends on time and in full since launching our preferred share product in early 2025, amounting to more than $693 million in cumulative dividends. Strong market demand for our digital credit instrument, STRC, has driven a Bitcoin return of 9.4% and approximately $5 billion in Bitcoin gains in the first four months of this year,” said Andrew Kang, Chief Financial Officer.
“STRC reached a market capitalization of $8.5 billion in just nine months and has become the largest preferred share by market capitalization globally. By leveraging Bitcoin’s performance and constructing price stability, we have created a credit instrument with a Sharpe ratio as high as 2.53. This has fostered a broader digital credit ecosystem, with $150 million worth of STRC currently held by enterprises such as Prevalon, Strive, and Anchorage, and over $270 million of STRC held by DeFi protocols like Apyx and Saturn. We have also proposed that shareholders vote to double the dividend frequency of STRC to once every two months. We believe this will further enhance STRC’s attractiveness by boosting liquidity and improving price stability,” said Michael Saylor, Founder and Executive Chairman.
Editor/Liam