Gemini Space Station (GEMI) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue grew 42% year-over-year to $50.3 million, driven by services, credit card, and OTC revenue growth.

• Net loss improved 27% year-over-year to $109 million, with adjusted EBITDA loss narrowing to $(59.9) million.

• Major restructuring included a 30–35% workforce reduction, exiting UK, EU, and Australia, and closing offices.

• Founders or Winklevoss Capital Fund invested $100 million at $14/share, funded in Bitcoin, to support growth and liquidity.

• Achieved key regulatory milestone with a CFTC DCO license, enabling in-house derivatives and prediction markets.

Financial highlights

• Total revenue: $50.3 million, up 42% year-over-year; net revenue: $48.6 million.

• Credit card revenue surged 292–300% year-over-year to $14.7 million; OTC revenue rose to $6.3 million.

• Services and interest income up 122% year-over-year to $24.5–25 million, now nearly half of total revenue.

• Operating expenses were $144.5 million, up 73% year-over-year, but down 16% sequentially.

• Cash and equivalents at quarter-end were $215.6 million.

Outlook and guidance

• No formal revenue guidance due to macro uncertainty; cost restructuring to reduce compensation by 15–20% from 2025 levels.

• Stock-based compensation expected at $100–$115 million for the year; technology and G&A at $155–$190 million.

• Management expects cost savings and operating efficiencies from restructuring to support liquidity for at least 12 months.

• Strategic investment and DCO license position the company for expansion into derivatives and prediction markets.

• Focus remains on scaling card, growing predictions, and building recurring services revenue.