Strategy Reports Wide Miss of Q2 Earnings Estimates
MicroStrategy (now Strategy, Nasdaq: MSTR) reported an $8.22 billion net loss for the second quarter of 2026 due to a sharp decline in Bitcoin prices, which reduced the value of its holdings. The company recorded a diluted loss per share of -$24.45 compared with analysts' estimate of -$2.19 per share. Almost all of this operating loss was attributed to an $8.32 billion unrealized loss on its Bitcoin portfolio. Despite the losses, Strategy's revenue increased slightly year-over-year from $114.5 million in Q2 2025 to $122.4 million in Q2 2026. The company paused Bitcoin purchases for five consecutive weeks during the quarter and instead focused on strengthening its balance sheet by raising capital through stock offerings. Strategy raised a total of $8.41 billion via at-the-market sales, including $2.95 billion from common shares (MSTR) and $5.47 billion in preferred stock (STRC). The company also repurchased $1.5 billion worth of convertible debt.