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Q1 26 EPS
$-38.25
MISS 101.50%
Est. $-18.98
Q1 26 Revenue
$124.3M
MISS 0.61%
Est. $125.1M
Did MSTR Beat Earnings? Q1 2026 Results
Strategy delivered a deeply disappointing Q1 2026, missing consensus estimates on both the top and bottom lines as a $14.46 billion unrealized loss on its bitcoin holdings overwhelmed every other metric. The company posted a loss of $38.25 per dilute… Read more Strategy delivered a deeply disappointing Q1 2026, missing consensus estimates on both the top and bottom lines as a $14.46 billion unrealized loss on its bitcoin holdings overwhelmed every other metric. The company posted a loss of $38.25 per diluted share, more than double the $18.98 consensus estimate, representing a 101.50% miss, while revenue of $124.30 million came in just shy of the $125.07 million forecast despite growing 11.9% year over year. The staggering net loss of $12.54 billion reflected bitcoin price declines that hammered the company's 762,099-coin position, compounded by $229.53 million in preferred stock dividend obligations. Beneath the bitcoin volatility, the underlying software business showed meaningful momentum, with subscription services climbing to $58.88 million from $37.10 million a year ago, even as gross margin slipped to 67.1%. The company raised $7.37 billion in Q1 through at-the-market offerings and an additional $4.32 billion in early Q2, continuing its aggressive bitcoin accumulation strategy that has drawn sustained analyst interest and strong buy-side conviction heading into the back half of the year.
Key Takeaways
- • Subscription services revenue grew to $58.9 million from $37.1 million year-over-year
- • Total revenue increased 11.9% year-over-year to $124.3 million
- • Bitcoin holdings grew 22% year to date to 818,334 BTC as of May 3, 2026
- • BTC Yield of 9.4% achieved year to date
- • BTC $ Gain of approximately $4.97 billion year to date
- • STRC raised $5.58 billion year to date, a 189% growth
- • $14.46 billion unrealized loss on digital assets drove massive operating loss
MSTR Forward Guidance & Outlook
Strategy expects distributions paid on its preferred equity instruments to be treated as non-taxable return of capital for the foreseeable future (ten years or more), based on its expectation that it will not have accumulated earnings & profits for U.S. federal income tax purposes. The company has proposed a shareholder vote to double STRC's dividend payment frequency to a semi-monthly schedule to enhance liquidity and improve price stability. The company continues to actively raise capital through its ATM offering programs, having raised an additional $4.32 billion in early Q2 2026, and continues its strategy of acquiring bitcoin in a manner it believes is accretive to shareholders.
MSTR YoY Financials
Q1 2026 vs Q1 2025, source: SEC Filings
MSTR Revenue by Segment
With YoY comparisons, source: SEC Filings
“Adoption of Bitcoin continues to grow in 2026. Digital Credit, highlighted by STRC, has been a big success. STRC has shown strong demand, high liquidity, and low volatility. We raised $5.6 billion year-to-date of STRC gross proceeds, increased daily trading volume to $375 million, while bringing volatility down to 3%, all done during a bitcoin bear market. We also continue to see traditional finance and major banks including Morgan Stanley, Goldman Sachs, and Citi announcing bitcoin ETFs, trading, custody, and lending services.”
— Phong Le, Q1 2026 Earnings Press Release
MSTR Earnings Trends
MSTR vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
MSTR EPS Trend
Earnings per share: estimate vs actual
MSTR Revenue Trend
Quarterly revenue: estimate vs actual
MSTR Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 MISS | $-18.98 | $-38.25 | -101.50% | $124.3M | -0.61% |
| Q4 25 MISS FY | $-20.99 | $-42.93 | -104.53% | $123.0M | +3.82% |
| FY Full Year | — | $-15.23 | — | $477.2M | — |
| Q3 25 MISS | $9.67 | $8.42 | -12.95% | $128.7M | +10.04% |
| Q2 25 BEAT | $-0.03 | $32.60 | +108,766.67% | $114.5M | +1.75% |
| Q1 25 MISS | $-0.02 | $-16.49 | -70,672.53% | $111.1M | -4.57% |