Strategy revenue grows 12% as Bitcoin volatility drives $14.5B non-cash loss

Strategy (NASDAQ:STRF), the world’s first Bitcoin Treasury Company, reported its financial results for the first quarter of 2026, highlighting steady growth in its core software business alongside the significant impact of digital asset volatility on its GAAP performance.

The company reported total revenues of $124.3 million for the quarter ended March 31, 2026, representing an 11.9% increase compared to the $111.1 million generated in the first quarter of 2025.

Gross profit for the period rose to $83.4 million, maintaining a healthy 67.1% margin as the company continues to leverage its cloud-based analytics and business intelligence solutions.

The company's bottom line, however, remains inextricably linked to the market value of its digital assets.

Strategy recorded an operating loss of $14.47 billion for the quarter, compared to a loss of $5.92 billion in the prior-year period.

This figure was almost entirely driven by an unrealized loss on the company’s digital assets of $14.46 billion, reflecting fluctuations in the price of Bitcoin held in its treasury.

Net loss for the quarter reached $12.54 billion, or $38.25 per diluted common share, compared to a net loss of $4.22 billion, or $16.49 per share, in the first quarter of 2025.

Despite these substantial non-cash losses, the company’s liquidity position remained stable, finishing the quarter with $2.21 billion in cash and cash equivalents.

Strategy Inc. continues to position itself as a unique investment vehicle, providing institutional and retail investors with exposure to Bitcoin via a regulated, publicly traded company.

With over $2 billion in cash on hand, the company retains significant flexibility to fund its operations and potentially increase its digital asset position as market opportunities arise.