Coinbase reports Q4 earnings miss as trading revenue declines
- Coinbase reported total revenue of $1.78 billion, below the estimated $1.83 billion.
- Adjusted EPS was $0.66, significantly lower than the consensus estimate of $0.86.
- Total transaction revenue reached $983 million, down from $1.046 billion in Q3 and below the forecast of $1.02 billion.
- Subscription revenue was $727.4 million, a decrease from $746.7 million in the previous quarter but an increase from $641.1 million year-over-year.
- For Q1, Coinbase anticipates transaction revenue of approximately $420 million and subscription revenue between $550-$630 million.
The decline in transaction revenue reflects weaker trading activity amid lower crypto asset prices, impacting overall earnings for Coinbase during the fourth quarter.
Despite these challenges, Coinbase remains optimistic about future growth in the crypto industry, emphasizing that it is cyclical and subject to volatility.(Source)
