Galaxy Digital Inc. reported a net loss of $482 million for its fourth quarter of 2025, a decline from the $1.1 billion loss in the same period a year earlier. Total revenue for the quarter fell to $10.4 billion, down 4% from $10.8 billion in Q3 2025. Diluted earnings per share were $(1.08), beating the consensus estimate of $(1.24) by $0.16. Adjusted EBITDA for the full year 2025 was $34 million, a sharp turnaround from the negative adjusted EBITDA reported for the Digital Assets and Treasury & Corporate segments in the quarter.
The Digital Assets segment, which had generated an adjusted gross profit of $318 million in Q3 2025, produced only $51 million in Q4, an 84% decline that mirrors the steep drop in cryptocurrency prices and trading volumes. The segment’s loss of $29 million in adjusted EBITDA reflects the combination of lower asset valuations and higher operating costs. The Treasury & Corporate segment posted a negative adjusted EBITDA of $488 million, driven by one‑time impairment charges on legacy mining equipment.
The Data Center segment, still in its early development stage, reported an adjusted gross profit of $4.6 million, a modest contribution that underscores the company’s long‑term strategy to build a high‑performance computing platform. Management highlighted progress on the Helios Data Center campus, including a new power‑capacity agreement with hyperscaler CoreWeave, which is expected to generate recurring revenue in 2026.
Galaxy Digital’s balance sheet strengthened during the quarter, with total equity rising to $3.0 billion and cash and stablecoins totaling $2.6 billion. The company’s one‑time impairment of legacy mining equipment was $160 million, lower than the $200 million analysts had anticipated, helping the company beat earnings expectations. Cost‑control measures across the organization limited the impact of the impairment on the quarter’s profitability.
Management emphasized the company’s shift away from a pure digital‑asset trading model toward a diversified portfolio that includes data‑center services, asset management, and infrastructure solutions. The firm’s recent Nasdaq listing and completion of a corporate reorganization signal a commitment to long‑term stability. Regulatory clarity achieved in 2025, including the repeal of SAB 121 and new guidance for bank custody of digital assets, is expected to broaden the company’s addressable market in 2026.
Investors reacted negatively to the results, citing the larger‑than‑expected net loss, the revenue decline, and the broader downturn in the cryptocurrency market. The sharp compression in the Digital Assets segment’s profitability and the one‑time impairment charges were key factors that weighed on market sentiment.
The content on EveryTicker is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.