Galaxy Digital (GLXY) Q4 2024 earnings summary

Executive summary

• Achieved record 2024 operating performance with over $400 million in revenue and first year of combined operating business profitability, reporting $365 million net income and $2.3 billion equity capital.

• Settled with the New York Attorney General, incurring a $166 million charge for a $200 million legal settlement, removing a major legal overhang.

• Announced a transformative 15-year, $4.5 billion lease with CoreWeave to convert Helios campus into a major AI/HPC data center, targeting 90% EBITDA margins and phased delivery by 1H26.

• Pursuing reorganization to become a Delaware company and list on Nasdaq, aiming for increased liquidity and U.S. shareholder access.

• Expanded institutional partnerships, launched new ETFs/ETPs, and played a key role in the largest crypto bankruptcy mandate.

Financial highlights

• 2024 net income of $365 million ($1.02 per diluted share), including the $166 million legal settlement; excluding the charge, net income was $532 million ($1.49 per share).

• Full-year 2024 revenue reached $1.15 billion, up from $614 million in 2023; Q4 2024 revenue was $698 million.

• Ended 2024 with $7.2 billion in total assets, $2.3 billion in equity capital, and over $1 billion in cash and net stablecoins.

• Assets under management totaled $5.7 billion; assets under stake reached $4.2 billion.

• Book value per share rose to $9.51 CAD, up 15% quarter-over-quarter.

Outlook and guidance

• Expect operating expenses to decline in 2025 due to absence of one-time items and reduced mining costs.

• Preliminary Q1 2025 guidance: pre-tax loss of $275–$325 million, with equity capital between $1.9–$2 billion, mainly due to digital asset price declines.

• Anticipate choppy to tough markets in the near term, but optimistic for crypto in the long run, especially with expected regulatory changes and Fed rate cuts in H2 2025.

• Ongoing efforts to complete reorganization and Nasdaq listing, pending SEC and shareholder approvals.

• Anticipate decline in mining hashrate and bitcoin production as Helios is retrofitted for AI/HPC.