Coinbase reports third-quarter miss due to low crypto trading, stock falls over 4%.

From CNBC: 2024-10-30 16:38:49

Coinbase reported weaker-than-expected third-quarter results due to muted trading in the cryptocurrency market, causing the stock to fall over 4% in extended trading. Earnings per share were 28 cents, missing the 41 cents expected, while revenue was $1.21 billion, below the $1.26 billion estimate. Net income was $75.5 million, up from a loss of $2.3 million the previous year.

The company’s core business saw impressive growth, with retail trading revenue up 98% to $483.3 million and institutional revenue increasing by 292% to $55.3 million. Total transaction revenue jumped 98% to $572.5 million, while revenue from subscriptions and services declined 7% to $556.1 million. Coinbase’s crypto investment portfolio suffered $121 million in pretax losses due to lower crypto prices.

The cryptocurrency market has experienced low volatility this year, with Bitcoin trading in a narrow range between $55,000 and $70,000. Coinbase has been actively lobbying for the crypto industry, spending millions supporting pro-crypto political action committees. Stay tuned for updates on this developing story.



Read more at CNBC:: Coinbase shares tumble as muted crypto trading leads to a third-quarter miss