USDC’s issuer Circle fell in premarket trading despite more than doubling expectations for adjusted third-quarter earnings per share.
According to results reported by CoinDesk on November 4, Circle’s adjusted earnings per share came in at 84 cents. More than double analysts’ estimate of 37 cents, the result came alongside $778 million in revenue, which also topped expectations by more than 11%.
Net income from continuing operations rose 5% from the same period last year to $226 million. Total revenue and reserve income grew 17% year over year to $865 million.
USDC volume reaches $13.9 trillion
On-chain transaction volume for USDC, Circle’s dollar-pegged cryptocurrency, rose 49% to $13.9 trillion in the third quarter compared with the same period last year. The figure shows growing transfer activity for USDC on the blockchain.
Another contributor to the company’s revenue was ARC, the native token of its Arc blockchain. Circle said it generated $182 million in revenue from a private presale.
The launch of Arc’s public mainnet, an agreement to acquire Singapore-based payment network Tazapay, and Binance’s $100 million investment were also among the developments the company highlighted during the quarter.
Layoffs accompany strong balance sheet
Circle announced that it also reduced its workforce by 5% during the same period. The company recorded $9.1 million in restructuring expenses in the third quarter for the changes, which were made to better align its organizational structure with its operating model.
Circle shares, trading under the ticker CRCL, closed Tuesday up 4.36% at $75.22. In premarket trading on Wednesday, as reported in the article, the shares fell 1.18% to $74.33.
Not investment advice.