Coinbase rallied 2.1% on Tuesday following its Q2 financial results. The indicators turned out to be higher than those predicted by analysts.
The revenue of the largest American cryptocurrency exchange Coinbase for the reporting period amounted to $ 2.23 billion against $ 1.78 billion predicted by analysts. Earnings per share were $ 3.45 versus $ 2.23 expected. The company’s net profit reached $ 1.6 billion, an increase of 4900% over the year. Such impressive indicators are explained by the high volatility of cryptocurrency rates, their dynamics determines the company’s financial results.
Coinbase had net revenue of $ 2.0 billion, of which $ 1.9 billion came from transactions, and the remaining $ 100 million came from subscriptions and other services. At the same time, the price of bitcoin dropped by 41% over the quarter. The audience of crypto exchange users who make monthly transactions reached 8.8 million (an increase of 44% compared to the previous quarter), the trading volume over the same period increased by 38% to $ 462 million. Bitcoin trade volumes accounted for 24% of the total. cryptocurrencies. For comparison: in the first quarter, this figure was 39%.
In the third quarter, Coinbase expects a decrease in user activity compared to the second quarter. At the end of the year, analysts predict the company earnings of $ 7.76 per share, revenue could reach $ 6.29 billion.
Coinbase went public in April 2021, in just a few minutes its shares rose by 58%, having risen in price to $ 381. The company’s value reached $ 100 billion, which was a landmark event for the entire cryptocurrency industry.