Strategy Reports Q4 Loss Amid Bitcoin Holdings Impairment, Targets $10B Gain in 2025
Strategy (formerly MicroStrategy) reported a fourth-quarter net loss of $3.03 per share on Wednesday, a sharp contrast to the $0.50 per share profit recorded a year ago. The loss stems from an impairment charge on its massive bitcoin (BTC) holdings, which currently stand at 471,107 tokens—valued at over $45 billion with BTC trading just above $97,000.
Despite the Q4 setback, Strategy has set an ambitious target for 2025, aiming for a $10 billion increase in the value of its bitcoin reserves.
The earnings report follows a busy week for the company, marked by an upsized preferred stock offering and an official rebranding from MicroStrategy to Strategy—reflecting its shift away from software toward a primary focus on bitcoin.
A recent change in accounting standards is also shaping the financial outlook. The Financial Stability Accounting Board (FASB) introduced a new fair value accounting rule for corporate digital asset holdings, which became mandatory in Q1 2025 after a voluntary adoption period last year.
In market action, Strategy’s stock dipped slightly in after-hours trading following a more than 3% decline during regular trading hours as bitcoin briefly dropped to $97,000.
