The post Coinbase reported Q4 earnings Thursday. Here’s what stood out. appeared on BitcoinEthereumNews.com.

Coinbase’s fourth quarter results beat the estimates of most analysts, with one saying the company’s first quarterly net income in two years marks a turning point for the crypto exchange. The company notched positive adjusted EBITDA — earnings before interest, taxes, depreciation and amortization — in all four quarters in 2023, amounting to $964 million. Alyssa Choo, a crypto equities specialist at Bitwise, said she believes the fourth quarter is “a major positive inflection point” for Coinbase’s business. The company, for the first time since 2021, saw positive net income during the three-month period — generating $273 million. The net income came after seven straight quarters of net losses. “These gains can be attributed to balance sheet strength and the appreciation of Coinbase’s corporate crypto investment portfolio,” Choo told Blockworks.  Read more: Coinbase revenues surged to $954M in Q4 amid market rebound Coinbase’s stock rose 3.3% Thursday and was up nearly 15% in pre-market trading at 8:45 a.m. ET. Company executives made clear during the company’s Thursday earnings webcast that the newly launched US spot bitcoin ETFs are a positive for the exchange, and that it remains “confident” amid its legal battle against the Securities and Exchange Commission.   Keep reading for a deeper look at the results, and the company’s outlook going forward. A year of diversification, expense management  Coinbase had set out in 2023 to generate positive adjusted EBITDA “in all market conditions.” Its adjusted EBITDA hit $305 million during the fourth quarter, marking the fourth consecutive quarter that metric was positive.   The company’s success in that department came as it diversified its revenue base and significantly reduced its operating expense last year, compared to 2022. Nearly half of the company’s $3.1 billion of total revenue last year came from subscriptions and services. The $1.4 billion from that business…

---

Filed under: News - @ February 16, 2024 4:22 pm