{"id":90149,"date":"2026-05-06T08:03:22","date_gmt":"2026-05-06T08:03:22","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=90149"},"modified":"2026-05-06T08:03:22","modified_gmt":"2026-05-06T08:03:22","slug":"strategy-posts-12-5b-q1-loss-as-btc-prices-weigh-on-results","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=90149","title":{"rendered":"Strategy Posts $12.5B Q1 Loss as BTC Prices Weigh on Results"},"content":{"rendered":"
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The world\u2019s largest corporate Bitcoin (BTC) holder, Strategy, yesterday released its Q1 2026 financial results, which show a net loss of $12.54 billion.<\/p>\n

According to the report, this was mostly due to a $14.46 billion unrealized loss stemming from poor BTC prices during the first few months of 2026.<\/p>\n

Losses Mount, But Accumulation Continues<\/h2>\n

Operating loss<\/a> was $14.47 billion, compared with $ 5.92 billion in the prior year. Loss for the quarter attributable to common stockholders was $12.77 billion, or $38.25 per diluted share, whereas a year earlier, it was $4.23 billion.<\/p>\n

However, if you strip out the Bitcoin accounting, the underlying software business held relatively steady, with total revenues growing 11.9% year-over-year to $124.3 million, while gross profit came in at $83.4 million.<\/p>\n

Furthermore, the company\u2019s actual BTC position kept growing through the quarter. Strategy bought 89,599 BTC in Q1, bringing<\/a> its total holdings to 818,334 BTC, which is a 22% increase year to date.<\/p>\n

The company has raised nearly $12 billion in capital markets activity so far in 2026, including $7.37 billion in Q1 alone through its at-the-market offering program spanning MSTR shares and its preferred stock instruments.<\/p>\n

The preferred equity side of the business was a particular focus on the call. STRC, Strategy\u2019s variable-rate preferred stock, has now scaled to $8.5 billion in notional value in just nine months, which the company described as the largest preferred stock by market cap in the world.<\/p>\n

According to CFO Andrew Kang, the cumulative dividends declared and paid across all instruments have now crossed $693 million across 23 consecutive distributions.<\/p>\n

The Bitcoin Sale Question<\/h2>\n

One of the biggest takeaways from the earnings call was Executive Chairman Michael Saylor\u2019s suggestion that Strategy could sell some of its BTC stash to cover dividend obligations.<\/p>\n

\n

\u201cWe will probably sell some Bitcoin to pay a dividend just to inoculate the market and send the message that we did it,\u201d he said.<\/p>\n<\/blockquote>\n

The statement was notable because Saylor has spent years evangelizing BTC as an asset you never sell, and analyst Jeff Park, who participated in the call, flagged<\/a> the comment as more material than the company\u2019s previous discussions on the subject.<\/p>\n

Park also pointed out that Strategy\u2019s exposure to US interest rates is becoming more relevant given STRC\u2019s nature as a floating instrument, especially when you consider the approaching tenure of Kevin Warsh as Federal Reserve chair and the prospect of rate cuts on the table.<\/p>\n

A couple of weeks ago, Bitcoin skeptic Peter Schiff held a live X Space, where he called<\/a> STRC \u201can obvious Ponzi scheme\u201d and argued that the company had no meaningful income outside its software division and therefore funds dividend payouts by continuously issuing new STRC shares.<\/p>\n

Strategy has pushed back on that characterization, pointing to its BTC holdings as a balance sheet backstop.<\/p>\n

MSTR shares closed at around $187, down roughly 3.5% in after-hours trading following the earnings release. STRC, meanwhile, is trading just below $100 with an effective annualized yield of 11.5%, with Bitcoin itself holding at around $81,000 at the time of writing.<\/p>\n

The post Strategy Posts $12.5B Q1 Loss as BTC Prices Weigh on Results<\/a> appeared first on CryptoPotato<\/a>.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The world\u2019s largest corporate Bitcoin (BTC) holder, Strategy, yesterday released its Q1 2026 financial results, which show a net loss of $12.54 billion. According to the report, this was mostly due to a $14.46 billion unrealized loss stemming from poor BTC prices during the first few months of 2026. Losses Mount, But Accumulation Continues Operating […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-90149","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/90149","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=90149"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/90149\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=90149"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=90149"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=90149"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}