Strategy Reports $12.5B Net Loss, Raises $2.07B Through Preferred Stock
STRC•Strategy holds 818,334 bitcoins (market value $64.14 B) and posted an operating loss of $14.47 B and net loss of $12.54 B ($38.25/share) in Q1. Revenues climbed 11.9% to $124.3 M with $83.4 M gross profit (67.1% margin), while ATM offerings of STRC raised $2.07 B.
1. Q1 Financial Results
Strategy posted an operating loss of $14.47 billion for the quarter ended March 31, 2026, compared with $5.92 billion a year earlier. Net loss attributable to common stockholders was $12.77 billion, or $38.25 per share, versus a $4.23 billion loss in Q1 2025.
2. Revenue and Profit Margins
Total revenues increased 11.9% year-over-year to $124.3 million, driven by growth in digital credit issuance. Gross profit was $83.4 million, representing a 67.1% margin compared with 69.4% in the prior-year quarter.
3. Bitcoin Holdings and Performance
As of May 3, 2026, the company held 818,334 bitcoins with an original cost basis of $61.81 billion and a market value of $64.14 billion (average cost $75,537; market price $78,374). Year-to-date BTC yield reached 9.4%, generating approximately $4.97 billion in bitcoin gains.
4. Capital Markets and Preferred Equity
ATM offerings of STRC generated $2.07 billion in gross proceeds during Q1, adding to the $3.51 billion raised in Q2 to date. The company has paid over $693 million in preferred dividends across 23 distributions and has proposed doubling dividend frequency to semi-monthly.
