a tight Bitcoin (BTC) Financial and digital payments giant Block (formerly Square), whose advocate Jack Dorsey is the CEO, published its first quarter results and misled analysts.
1.73 Billion Dollars Transactions Made in Bitcoin Themed Cash App
The company, which analysts expect a total revenue of $ 4.1 billion quarterly, announced that it had revenue of $ 3.96 billion in its published report. Excluding Bitcoin, the company’s total net income was $2.23 billion, up 44% from the same period last year. Adjusted earnings per share came in at $0.18 versus analysts’ forecast of $0.20.
Cash App, a peer-to-peer payment service that allows users to buy and sell Bitcoin directly, made $1.73 billion worth of BTC transactions in the first quarter of the year, generating a gross profit of $43 million. In the first quarter of last year, Block processed $ 1.96 billion in BTC transactions and earned $ 46 million in gross profit.
The company reported no impairment losses for Bitcoin in the first quarter of the year and said in a statement that as of March 31, the fair value of its BTC investments was $366 million, with a book value of $149 million.
Block also said that by the end of the first quarter of the year, 10 million Cash App accounts had purchased BTC. The company’s shares also fell by about 10% due to the drop in the Nasdaq.
*Not investment advice.