Bakkt Swings to Q1 Loss as Crypto Services Revenue Drops 77%, Shifts to Stablecoin Payments
Summary
- Bakkt said it swung to a loss in the first quarter, posting a net loss of $11.7 million and a loss of $0.41 per share.
- Bakkt said revenue from its crypto services fell about 77%% to $243.6 million from $1.07 billion a year earlier.
- Bakkt said it is shifting its focus to stablecoin payments and AI-based financial infrastructure, while holding $82.6 million in cash at the end of the first quarter and carrying no long-term debt.
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Bakkt Holdings Inc. swung to a loss in the first quarter as revenue from its crypto services business plunged, underscoring the company’s shift toward stablecoin payments and artificial intelligence-based financial infrastructure.
BlockBeats reported on May 12 that Bakkt posted a net loss of $11.7 million for the quarter, or 41 cents a share.
That compared with net income of $7.7 million, or $1.13 a share, a year earlier.
Revenue from Bakkt’s crypto services fell about 77% to $243.6 million from $1.07 billion in the first quarter of last year.
The company cited lower cryptocurrency trading volume as the main reason for the weaker results.
Most of that revenue was offset by crypto transaction costs and brokerage commissions, which totaled about $242 million in the quarter.
Some crypto firms have recently been trying to move away from transaction brokerage and toward stablecoin payments and financial infrastructure, according to the report.
Bakkt’s operating expenses excluding crypto-related costs were $18.5 million, down slightly from $18.9 million a year earlier.
The company said it had $82.6 million in cash at the end of the first quarter. Of that, $69.6 million came from funds raised through share issuance.
Bakkt also said it has no long-term debt.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.
