The results come as another piece of bad news for the crypto markets
Coinbase released its earnings for the first quarter of 2022, and the results will do little to improve the current dour mood in the crypto markets.
The company disclosed that it pulled in $1.17 billion in revenue—well short of the $2.5 billion that it took in Q4, and far below analysts Q1 predictions of $1.5 billion.
Meanwhile, Coinbase posted a quarterly loss of $430 million. The scope of the loss—its first as a public company—was also unexpected as analysts had predicted its earnings to be close to break even.
The company had warned investors during its last earnings release to expect softer results as a result of an expected drop-off in trading.
While the recent turmoil in crypto markets will likely pad Coinbase’s revenue since the company benefits from volatility in either direction, this activity has taken place in April and May, and so is not reflected in the Q1 numbers.
Coinbase’s stock, which at one point last year eclipsed $350, has been in the doldrums for months and has fallen dramatically in recent days during the broader crypto market sell-off. Prior to the earnings release, it was trading around $73.
Coinbase executives will provide more details about the results and answer analyst questions on an earnings call scheduled for 5:30pm ET.
This post will be updated with more details shortly.
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