Coinbase released its first quarterly earnings report as a listed company, and its first quarter results are basically in line with the preliminary announcement made earlier last month. In addition, Coinbase raised the annual forecast range for active users, which is a key indicator.
Coinbase’s first quarter report is as follows:
The net income is 771.5 million U.S. dollars, and the initial estimated income is 730 to 800 million U.S. dollars.
Adjusted EBITDA was US$1.12 billion, with a preliminary estimate of US$1.1 billion.
Revenue was US$1.8 billion, of which US$1.54 billion came from transaction revenue, and US$56.4 million came from subscription and service revenue. The preliminary estimate is US$1.8 billion.
Transaction revenue from institutions increased from US$10 million in the first quarter of 2020 to US$85 million in the first quarter of 2021, an 8-fold increase.
Custody fees, activity surplus, and pledge business income all increased to a certain extent. Custody fee income was 23.5 million U.S. dollars, accounting for 41.6% of subscription and service income. The second is the pledge income of 10.3 million U.S. dollars, of which 4 million U.S. dollars comes from the acquisition of Bison Trails.
Total operating expenses for the quarter were $813 million. Coinbase spent the most on transaction fees, at $234.1 million.
As of the end of the quarter, Coinbase had 1,717 employees, an increase of 96% over the same period last year.
6.1 million monthly transaction users (MTUs) are in line with preliminary estimates.
Transaction volume was US$335 billion; US$120 billion came from retail transactions, and US$215 billion came from institutional transactions.
Coinbase raised the expected monthly trading user range for this year from 4 million to 7 million to 5.5 million to 9 million.
Coinbase said that in the past two years, the average net income per user has been between $34 and $45. The low point of this range appeared in 2019.
For the second quarter, Coinbase said that it expects all its business indicators to meet or exceed the results of the first quarter. At the same time, if the same speed is maintained, the transaction volume in the second quarter will “slightly” exceed the transaction volume in the first quarter. Coinbase estimates that the one-time fee associated with the direct listing is $35 million. In addition, in 2021, technology costs, development costs, and general management costs will reach US$1.3 billion to US$1.6 billion.
Author/ Translator: Jamie Kim
Bio: Jamie Kim is a technology journalist. Raised in Hong Kong and always vocal at heart. She aims to share her expertise with the readers at blockreview.net. Kim is a Bitcoin maximalist who believes with unwavering conviction that Bitcoin is the only cryptocurrency – in fact, currency – worth caring about.