Coinbase Global (Nasdaq: COIN) managed to beat market estimates with third-quarter revenue of $674.1 million and an adjusted loss of $0.01 per share. However, shares of the cryptocurrency exchange fell nearly 5 percent due to the failure of overall trading volume forecasts.
According to official figures published yesterday (Thursday), the total trading volume between July and September amounted to $76 billion, less than the estimated $80.1 billion. The number was also down from $92 billion in the previous quarter.
Transaction revenue for the third quarter was $288.6 million, reflecting a 12 percent decrease quarter over quarter. Coinbase attributed the decrease in transaction revenue to the general decline in cryptocurrency markets and increased volatility.
The cryptocurrency exchange, which went public in April 2021, reported its seventh straight quarter of losses. However, it narrowed its net loss significantly to $2 million, down from $97 million in the previous quarter. Adjusted EBITDA for the quarter was $181 million, down from the prior quarter’s $194 million.
“We expect that we will achieve positive adjusted EBITDA in full-year 2023, revised from our previous target of improving EBITDA for full-year 2023 in absolute dollar terms versus full-year 2022,” a letter to Coinbase shareholders said. “.
The California-based exchange was able to reduce operating expenses by 4 percent, for a total of $754 million. Costs related to technology, development, sales, marketing, and general and administrative expenses combined decreased by 1% to $654 million.
Meanwhile, with the recent rise of cryptocurrencies, Coinbase has already generated nearly $105 million in transaction revenue in October.
Our 3Q23 update is in.
Read the full shareholder letter and listen to our earnings call here → https://t.co/fod43YZcAY pic.twitter.com/Iusjw1Uysx
— Coinbase 🛡️📞 (@coinbase) November 2, 2023
Markets react strongly
As a publicly traded company, Coinbase’s performance and the optimism of its inventors directly affects its stock price. The Nasdaq-listed currency rose about 9 percent at the close of the trading session on Thursday. However, after the numbers were released after the market closed, shares of the cryptocurrency exchange fell nearly 5 percent in after-hours trading.
Coinbase stock movement since Thursday
Coinbase is currently locked in a legal dispute with the US Securities and Exchange Commission (SEC), which has accused the exchange of operating an illegal trading platform and listing unregistered securities.
In the face of regulatory hostilities in its home country, the US stock exchange is strengthening its international presence. It has designated Ireland as its principal global regulatory center and has submitted a license application to the Central Bank of Ireland. In addition, it has obtained licenses in jurisdictions such as Singapore and Bermuda.
Coinbase Global (Nasdaq: COIN) managed to beat market estimates with third-quarter revenue of $674.1 million and an adjusted loss of $0.01 per share. However, shares of the cryptocurrency exchange fell nearly 5 percent due to the failure of overall trading volume forecasts.
According to official figures published yesterday (Thursday), the total trading volume between July and September amounted to $76 billion, less than the estimated $80.1 billion. The number was also down from $92 billion in the previous quarter.
Transaction revenue for the third quarter was $288.6 million, reflecting a 12 percent decrease quarter over quarter. Coinbase attributed the decrease in transaction revenue to the general decline in cryptocurrency markets and increased volatility.
The cryptocurrency exchange, which went public in April 2021, reported its seventh straight quarter of losses. However, it narrowed its net loss significantly to $2 million, down from $97 million in the previous quarter. Adjusted EBITDA for the quarter was $181 million, down from the prior quarter’s $194 million.
“We expect that we will achieve positive adjusted EBITDA in full-year 2023, revised from our previous target of improving EBITDA for full-year 2023 in absolute dollar terms versus full-year 2022,” a letter to Coinbase shareholders said. “.
The California-based exchange was able to reduce operating expenses by 4 percent, for a total of $754 million. Costs related to technology, development, sales, marketing, and general and administrative expenses combined decreased by 1% to $654 million.
Meanwhile, with the recent rise of cryptocurrencies, Coinbase has already generated nearly $105 million in transaction revenue in October.
Our 3Q23 update is in.
Read the full shareholder letter and listen to our earnings call here → https://t.co/fod43YZcAY pic.twitter.com/Iusjw1Uysx
— Coinbase 🛡️📞 (@coinbase) November 2, 2023
Markets react strongly
As a publicly traded company, Coinbase’s performance and the optimism of its inventors directly impact its stock price. The Nasdaq-listed currency rose about 9 percent at the close of the trading session on Thursday. However, after the numbers were released after the market closed, shares of the cryptocurrency exchange fell nearly 5 percent in after-hours trading.
Coinbase stock movement since Thursday
Coinbase is currently locked in a legal dispute with the US Securities and Exchange Commission (SEC), which has accused the exchange of operating an illegal trading platform and listing unregistered securities.
In the face of regulatory hostilities in its home country, the US stock exchange is strengthening its international presence. It has designated Ireland as its principal global regulatory center and has submitted a license application to the Central Bank of Ireland. In addition, it has obtained licenses in jurisdictions such as Singapore and Bermuda.