• Key Highlights:
  • The company, which has recently changed its name to Strategy, reported a net loss of $3.03 per share for Q4.
  • Strategy chose not to adopt a new accounting rule for fair value on its digital assets but will implement it in Q1 2025.

The company formerly known as MicroStrategy announced a fourth-quarter net loss of $3.03 per share, a significant change from a profit of $0.50 per share last year. The loss was due to an impairment charge on its Bitcoin holdings, totaling 471,107 tokens, valued at over $45 billion at current Bitcoin prices, just above $97,000.

Strategy aims for a $10 billion dollar gain on its Bitcoin holdings for 2025.

This past week, Strategy had a notable week, revealing a larger preferred stock offering and officially rebranding to reflect its commitment to Bitcoin investment, stepping away from a software focus.

In addition, the Financial Stability Accounting Board (FASB) recently instituted a voluntary fair value accounting rule for digital asset holders that becomes mandatory at the beginning of this quarter. Following the earnings announcement, shares of Strategy saw a slight decline in after-hours trading and a dip of over 3% during regular trading hours as Bitcoin’s value fell.