Strategy (MSTR) Q4 2025 earnings summary

Executive summary

• Ended 2025 with 713,502 Bitcoin, representing 3.4% of all Bitcoin ever to exist, and raised $25.3B in capital, reinforcing position as the largest corporate holder.

• Adopted fair value accounting for Bitcoin holdings, aligning carrying value with market value each quarter, and received the first S&P credit rating for a Bitcoin treasury company.

• Launched five digital credit instruments in 2025, including STRC, which scaled to $3.4B with high liquidity and stable pricing.

• Established a $2.25B USD Reserve in Q4, providing over 2.5 years of dividend and interest coverage.

• Achieved MSCI index inclusion and robust access to capital markets, becoming the largest US equity issuer in 2025.

Financial highlights

• Q4 2025: Operating loss of $17.4B and net loss of $12.4B, driven by a $17.4B unrealized loss on digital assets under fair value accounting.

• Full year 2025: Operating loss of $5.4B and net loss of $4.2B, within target guidance based on year-end Bitcoin price.

• BTC Yield for 2025 was 22.8%, with a BTC gain of 101,873 and BTC dollar gain of $8.9B.

• Digital assets increased from $23.9B (2024) to $58.9B (2025); cash and equivalents at $2.3B at year-end.

• Annual revenue from operating business was $477M in 2025, with Q4 revenues at $123M and subscription services up 62% YoY.

Outlook and guidance

• Focus on systematically increasing Bitcoin per share and compounding shareholder value over the long term.

• Projected to double or more Bitcoin per share in 7 years, targeting 5%-14% annual BTC Yield depending on digital credit sales and market conditions.

• Return of capital (ROC) distributions on preferred equity expected to continue for at least ten years.

• No plans to issue new convertible debt; focus on strategic liability management and reducing leverage.