Strategy With an $8.22 Billion Loss

Strategy ended the second quarter of 2026 with a net loss of $8.22 billion, or $24.45 per share. A year earlier, the company had reported a profit of $10.02 billion. The dramatic reversal was primarily caused by the decline in bitcoin’s value.

At the end of July, bitcoin was trading at approximately $64,915. This valued Strategy’s entire portfolio at around $54.8 billion, compared with the $63.9 billion the company had spent acquiring it.

At the same time, Strategy has been strengthening its financial position. Since the beginning of the year, it has raised $17.06 billion through share offerings. In May, the company repurchased $1.5 billion in convertible bonds at an 8% discount, reducing the related debt from $8.21 billion to $6.71 billion.

Strategy has also built up $3.75 billion in cash reserves. Chief Financial Officer Andrew Kang said the funds would be sufficient to cover preferred stock dividends and interest payments for more than 2.1 years.

The company has also begun selling part of its bitcoin holdings. Its new monetization program has generated approximately $218.4 million this year, helping to fund preferred stock dividends. This marks a departure from Strategy’s previous approach of buying bitcoin and holding it for the long term.

In addition, the company repurchased around $25 million worth of STRC preferred shares. It paid an average of $86.53 per share—approximately 13% below the $100 face value. Strategy said it plans to continue buying the shares for as long as they trade below that level.

Michael Saylor maintains that Strategy is continuing to develop its business model and aims to establish Digital Credit as a new asset class. The company’s shares edged lower in after-hours trading following the earnings release.