Strategy posted a net loss of $12.4 billion for the fourth quarter of 2025 due to Bitcoin’s 22% decline.
Bitcoin, which had reached $126,000 in early October, plunged to below $88,500 by the end of December, causing Strategy’s holdings of 713,502 Bitcoin to decline by 17.5%.
This year alone, Bitcoin has fallen 30%, currently around $64,500, lower than Strategy’s average cost per Bitcoin of $76,052.
Despite this, Strategy’s revenue continued to grow, rising 1.9% to $123 million, driven by its business intelligence business.
However, Strategy’s shares also fell 17% on Thursday, closing at $107 due to the Bitcoin market sell-off.
To reassure investors, CFO Andrew Kang stressed that the company’s finances remain strong.
Strategy now has $2.25 billion in cash, enough to pay dividends for 30 months, and no major debt that needs to be paid off until 2027.
CEO Phong Le insisted that there is no reason to panic, as the company's value still exceeds its Bitcoin holdings, and its long-term Bitcoin strategy remains solid.
Despite the large losses this fourth quarter due to the turbulent crypto market, Strategy is still on solid ground with ample cash, manageable debt, and a large Bitcoin holding.
The company stressed that this is just a temporary setback in its long-term strategy.
