TLDR
- Strategy reported a Q1 2025 loss of $5.9 billion on Bitcoin holdings ($16.49 per share)
- The company plans to raise another $21 billion through a stock offering to buy more Bitcoin
- Strategy currently owns approximately 554,000 BTC valued at $53 billion
- Average purchase price of Strategy’s Bitcoin is $68,459 as of April 28
- Company reported 13.7% year-to-date Bitcoin yield despite missing Wall Street estimates
Strategy, the leading Bitcoin treasury firm formerly known as MicroStrategy, reported a first-quarter loss for 2025 while announcing plans to raise an additional $21 billion for future Bitcoin purchases. The company, led by Michael Saylor, remains committed to its Bitcoin-focused strategy despite recent market volatility.
The Tysons Corner, Virginia-based company announced its financial results on Thursday after markets closed. The quarterly loss came as a result of Bitcoin’s price decline during the period.
Despite this setback, Strategy’s Executive Chairman Michael Saylor confirmed on social platform X that the company would pursue a new $21 billion common stock equity offering. The proceeds will fund additional Bitcoin acquisitions.
$MSTR announces BTC Yield of 13.7% and BTC $ Gain of $5.8B year-to-date, doubles capital plan to $42B equity and $42B fixed income to purchase bitcoin, and increases BTC Yield target from 15% to 25% and BTC $ Gain target from $10B to $15B for 2025. https://t.co/LgeMEd6Dr5
— Michael Saylor (@saylor) May 1, 2025
“With over 70 public companies worldwide now adopting a Bitcoin treasury standard, we are proud to be at the forefront in pioneering this space,” said Phong Le, Strategy’s President and CEO, in a statement.
Strategy has already sold around $20.9 billion worth of common shares since establishing its at-the-money equity offering program. Only $128 million in common shares remain available for issuance and sale.
Bitcoin Holdings and Performance
Strategy currently holds approximately 554,000 BTC. This massive stockpile is valued at roughly $53 billion based on current market prices.
The company purchased its Bitcoin at an average cost of $68,459 per coin as of April 28. Bitcoin was trading at about $96,600 as of the announcement, up 2.1% over the previous 24 hours.
Strategy’s Chief Financial Officer, Andrew Kang, announced plans to increase the company’s Bitcoin yield target for the year to 25%. The Bitcoin gain target will be raised to $15 billion.
Le highlighted the company’s recent accomplishments, stating, “We successfully executed our record $21 billion common stock ATM, adding 301,335 BTC to our balance sheet while simultaneously achieving a 50% increase in MSTR share price during the same period.”
The company’s stock closed slightly up at $381.60 on the day of the announcement. Earlier in the day, it had risen to $403, just a dollar shy of its all-time high.
For the quarter, Strategy reported revenues of $111 million, a decrease of 3.6% year-over-year. This figure missed analyst estimates by approximately 5%.
Subscription services proved to be a bright spot, with revenues increasing to $37.1 million, up 61.6% compared to the same period last year.
The company’s Q1 operating expenses increased dramatically by nearly 2,000% year-on-year to $6 billion. This jump was primarily due to the $5.9 billion unrealized loss on its Bitcoin holdings.
Strategy reported a net loss of $4.2 billion for the quarter, which translates to about $16.49 per diluted share. This fell short of analyst expectations, which had projected a loss of just 11 cents per share.
Strategy’s stock performance for the year remains positive overall. MSTR is up over 31.5% year-to-date, though it’s still trading below its November high of more than $470 per share.
According to data from BitcoinTreasuries.NET, Strategy holds the largest Bitcoin treasury of any public company. Public firms collectively hold upward of $73 billion worth of Bitcoin, while Bitcoin funds and other institutional investors hold approximately $128 billion.
In October, Strategy announced plans to raise $42 billion through equity and fixed income sales over the next three years. This funding will allow the company to purchase more Bitcoin than it could otherwise acquire.
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