Bitcoin Loss Hits Bullish Balance Sheet: Subscription Revenue Reaches Record High

While Bullish bolstered its adjusted profitability in the second quarter thanks to a surge in subscription revenue, valuation losses on its Bitcoin holdings drove up the net loss.

Crypto platform Bullish (BLSH), the parent company of CoinDesk, announced its second-quarter financial results on Thursday. The company’s net loss rose to $280 million, up from $108.3 million in the same period last year.

Much of this loss stemmed from a $244.6 million impairment charge the company applied to its Bitcoin holdings due to the decline in Bitcoin prices during the quarter. Conversely, adjusted earnings before interest, taxes, depreciation, and amortization (Adjusted EBITDA), which better reflects the company’s operational performance, rose from $8.1 million to $29.5 million. Adjusted net income turned to a $14.3 million profit from a $6 million loss the previous year.

Bullish hits record in subscription revenue

Bullish’s adjusted revenue increased by 62% year-over-year to reach $92.6 million. This growth was driven by subscription and service revenues, which offset weakening trading conditions.

Subscription, service, and other revenues climbed to a record $62.7 million, while adjusted trading revenue rose from $24.1 million to $29.9 million. However, digital asset sales volume fell from $58.6 billion to $32.6 billion over the same period.

The company expects subscription, service, and other revenues to be between $225 million and $245 million for the full year. The acquisition of Equiniti is planned to be completed by the beginning of 2027. A year after its IPO, BLSH has lost up to 83% of its value after reaching as high as $118. The stock was trading at $24.99, up 1.5% in pre-market trading.