01—Abstract
Summary
Summary of the 10-Q filed May 7, 2026. Cited figures are marked; the original filing is the authoritative source.
Coinbase Global, Inc. reported a net loss of $394.1 milliona for the first quarter of 2026, a significant downturn from a net income of $65.6 million in the prior year's comparable quarter.
This loss was driven by a substantial decrease in total revenue, which fell to $1.41 billionb from $2.03 billion year-over-year. The decline in revenue was primarily attributed to a 40% drop in transaction revenue, largely influenced by a 54% decrease in consumer trading volume, and a 14% decrease in subscription and services revenue. Despite the revenue challenges, the company made significant strategic investments, including the acquisition of Deribit for $4.3 billion and Echo for $176 million in 2025, which are expected to bolster its derivatives and capital markets offerings.
The company's balance sheet shows total assets of $28.85 billionc, down from $29.67 billion at the end of 2025. Liabilities increased to $15.37 billion from $14.88 billion, leading to a decrease in total shareholders' equity to $13.48 billion from $14.79 billion.
While cash and cash equivalents remain substantial at over $10.2 billiond, the company's net loss and reduced revenue indicate a challenging operating environment for the quarter. The company also highlighted a significant share repurchase program, having utilized $1.9 billion of its $4.0 billion authorization as of March 31, 2026, reflecting a commitment to returning value to shareholders.
02—Key points
Key Highlights
- Net loss of $394.1 million for Q1 2026, compared to net income of $65.6 million in Q1 2025.
- Total revenue decreased by 30.6% year-over-year to $1.41 billion from $2.03 billion.
- Transaction revenue declined 40% to $755.8 million, primarily due to a 54% decrease in consumer trading volume.
- Subscription and services revenue decreased 14% to $583.5 million, impacted by lower blockchain rewards and interest rates.
- Total assets decreased to $28.85 billion as of March 31, 2026, from $29.67 billion as of December 31, 2025.
- The company repurchased $1.06 billion of its Class A common stock during the quarter, as part of a $4.0 billion repurchase program.
- Significant strategic acquisitions in 2025 (Deribit and Echo) are expected to drive future growth in derivatives and capital markets.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ1 FY2026filed May 7, 2026Financial Statements
Q1 FY2026 against Q1 FY2025
| Line item | Q1 FY2026Q1 FY2025 | Change |
|---|---|---|
| Revenue | $1.41B$2.03B | −30.5% |
| R&D Expenses | $525.65M$355.37M | +47.9% |
| Operating Expenses | $1.43B$1.33B | +8.0% |
| Operating Income | -$21.42M$705.81M | −103.0% |
| Net Income | -$394.12M$65.61M | −700.7% |
| EPS (Basic) | $-1.49$0.26 | −673.1% |
| EPS (Diluted) | $-1.49$0.24 | −720.8% |
| Shares Outstanding (Basic) | 264.77M253.88M | +4.3% |
| Shares Outstanding (Diluted) | 264.77M271.25M | −2.4% |
05—Questions
Frequently Asked Questions
What was Coinbase's financial performance in the first quarter of 2026?
Coinbase reported a net loss of $394.1 million on total revenue of $1.41 billion for the first quarter of 2026. This contrasts with a net income of $65.6 million on revenue of $2.03 billion in the same period of 2025. The decline was primarily driven by lower transaction volumes and revenue.
What are the main drivers behind the decrease in revenue?
The decrease in revenue was mainly due to a 40% drop in transaction revenue, largely caused by a 54% decrease in consumer trading volume, and a 14% decrease in subscription and services revenue, influenced by lower blockchain rewards and interest rates.
How did the company's balance sheet change from the end of 2025 to the end of Q1 2026?
Total assets decreased from $29.67 billion to $28.85 billion, while total liabilities increased from $14.88 billion to $15.37 billion. Consequently, shareholders' equity decreased from $14.79 billion to $13.48 billion.
What strategic initiatives or acquisitions did Coinbase undertake that are highlighted in this report?
The report mentions the company's 'Everything Exchange' initiative launched in late 2025 and highlights the acquisitions of Deribit (August 2025) for $4.3 billion and Echo (October 2025) for $176 million, which are intended to strengthen its position in crypto derivatives and capital markets.
What is the company's stance on share repurchases?
Coinbase has an active share repurchase program, authorized up to $4.0 billion. As of March 31, 2026, approximately $1.9 billion had been used to repurchase shares, with $2.1 billion remaining available for future repurchases.
06—Continue