BitGo Posts Q1 9% Revenue Growth, Misses EBITDA as Expenses Soar to $55.9M
BitGo reported Q1 net revenue of $48.9 million, up 9% year-over-year, but recorded a KBW-defined EBITDA loss of $6.9 million as $55.9 million in operating expenses exceeded estimates. KBW kept its Market Perform rating and $12 price target, raised 2026 revenue forecast to $226.9 million, and highlighted a $1 billion stablecoin extension through 2029.
1. Q1 Financial Results
BitGo delivered Q1 net revenue of $48.9 million, marking a 9% increase year-over-year. Total cash operating expenses reached $55.9 million—driven by $29.6 million in compensation, $20.3 million in general and administrative costs, and $6.0 million in interest—resulting in a KBW-defined EBITDA loss of $6.9 million, an adjusted EBITDA loss of $1.7 million, and a GAAP operating loss of $19.9 million.
2. Analyst Rating and Forecast Revisions
KBW maintained its Market Perform rating and $12 price target following the Q1 results. The firm raised its 2026 net revenue estimate to $226.9 million from $218.0 million but trimmed its EBITDA forecast to a $14.7 million loss from an $11.1 million profit, while modeling Q2 asset volumes up 2.5% quarter-over-quarter and a blended take rate rising to 32 basis points.
3. Stablecoin Service Extension
BitGo extended its USD 1 billion stablecoin-as-a-service contract with World Liberty Financial through 2029, replacing a July 2027 expiration. On April 7, BitGo launched its BitGo Mint platform, enabling institutional clients to mint and redeem stablecoins directly on its infrastructure.
4. Loan Collateral and Risk
The Q1 loan portfolio stood at $200.4 million, down 3% from the prior quarter. Excluding approximately $130 million of rehypothecated assets, collateral coverage falls to 1.1x, highlighting a limited buffer against volatility and introducing potential liquidity and counterparty risks if redeployed collateral becomes inaccessible in stress scenarios.