The Bitcoin buying company Strategy reported a net loss of $12.4 billion in the fourth quarter of 2025, driven by Bitcoin’s 22% decline over the quarter.
Bitcoin (BTC) peaked near $126,000 in early October but fell to under $88,500 by Dec. 31. It is down about 30% year-to-date at $64,500, below Strategy’s average cost per BTC of $76,052.
Strategy (MSTR) said that despite the loss its Q4 revenues rose 1.9% year‑on‑year to $123 million, helped by its business intelligence segment. The recent Bitcoin sell-off pushed Strategy shares down 17% on Thursday to $107.
Bitcoin’s slide reached a low of $62,500 on Thursday, leaving Strategy about 17.5% lower on its 713,502 Bitcoin holdings.
Strategy on strong financial footing, says finance boss
Despite the large quarterly loss, CFO Andrew Kang said the company’s capital structure is “stronger and more resilient today than ever before.” He described Strategy as having “built a digital fortress anchored by 713,502 Bitcoins and our shift to Digital Credit, which aligns with our indefinite Bitcoin horizon.”
The company increased cash to $2.25 billion in Q4, which it says covers roughly 30 months of dividend payouts. Strategy also has no major debt maturing until 2027, reducing near-term pressure to sell Bitcoin to meet obligations.
CEO Phong Le told investors on an earnings call there is no reason to panic about the company’s financial position or its Bitcoin strategy: “I’m not worried, we’re not worried, and no, we’re not having issues.”
Le noted Strategy’s enterprise value remains above its roughly $45 billion Bitcoin reserve and that its $8.2 billion of convertible debt represents about 13% net leverage, below that of most S&P 500 companies.
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