Coinbase shares dip on earnings miss

Published 08/05/2025, 21:38
© Reuters

Investing.com -- Coinbase Global Inc (NASDAQ:COIN) reported revenue and earnings for the first quarter of 2025 that fell short of analyst estimates, although the company gained market share. The cryptocurrency exchange’s shares slipped 3% in after-hours trading following the results.

Coinbase generated total revenue of $2.03 billion in Q1, below the consensus estimate of $2.2 billion. Adjusted earnings per share came in at $0.24, well below analysts’ expectations of $2.09.

The company’s transaction revenue declined 19% quarter-over-quarter to $1.3 billion, reflecting lower trading volumes amid volatile crypto markets. Subscription and services revenue grew 9% sequentially to $698 million, driven by stablecoin revenue as USDC market cap reached new highs.

"We delivered strong financial results in Q1, generating $2.0 billion in total revenue, $66 million in net income, and $930 million in Adjusted EBITDA," said Brian Armstrong, CEO of Coinbase. "With $9.9 billion in total $USD resources, we are well-positioned to drive further innovation and long-term growth."

Coinbase reported gaining market share in both global spot and derivatives trading during the quarter. The company’s average assets under custody grew $25 billion quarter-over-quarter to $212 billion.

For Q2 2025, Coinbase expects subscription and services revenue between $600-$680 million. The company noted macro uncertainty and softer crypto trading markets may impact results going forward.

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