Coinbase announced fourth-quarter revenue rose 41% from the previous quarter to $953.8 million, beating analyst expectations, the company said in a statement.
Revenue for the fourth quarter of 2023 also increased by approximately 50% compared to the same period last year. Analysts had expected quarterly revenue of $826.1 million, according to estimates from FactSet cited by Yahoo Finance.
“In 2023, our rigorous management practices paid off,” Coinbase said in its earnings report. “We achieved our financial goals, launched new innovative products, strengthened our competitive position, and strengthened our efforts to advance a viable crypto regulatory framework in the United States.”
Coinbase also posted a net income of $273 million in the quarter, compared to a loss of $557 million in the year-ago period.
The company's shares rose more than 6% in after-hours trading to $177.44 as of 4:30 p.m. ET, according to Yahoo Finance. Coinbase stock has risen more than 150% in the last year.
Coinbase transaction revenue
The crypto trading platform also generated $529.3 million in trading revenue during the quarter. That's up from $288.6 million in the third quarter.
“Trading revenue in the fourth quarter increased 83% sequentially to $529 million, primarily due to volatility and higher crypto asset prices,” the company said in a statement. “We have seen a sharp rise in the volatility of crypto assets. This rise was driven by a variety of factors, primarily excitement around the approval of the Bitcoin Spot ETF and broader expectations regarding improving macroeconomic conditions in 2024. is.”
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