By George Ward
Bitcoin Bull, Michael Saylor, added his comments regarding the third quarter earnings of his company, MicroStrategy. According to him, the market received a shocker as the company’s earnings went deeper below the expectation of the market.
It dropped by 2.1% this quarter and ended with an aggregate earning of $125.4 million. In contrast, the expectation for this company was $127.58 million posted as their quarterly earnings.
Value Of MicroStrategy’s Shares Grows
Regardless of the disappointing earnings report from MicroStrategy, the value of the company’s shares still went upwards. It rose to 1.09%, an increment that commenced during the after-hours market trades hours on the announcement day.
As of this writing, the company’s share is worth $178. This slight increment closely followed a 3.85% decline in the company’s share rate that had earlier occurred during the regular market trades in the early hours of the day before the report’s release.
There is no news in the Bitcoin Market that MicroStrategy holds massive BTC. Hence, much pressure has been mounted on the company concerning its bottom line for the quarter under review.
This becomes more important as Bitcoin, and the broader crypto market experienced a downturn since the beginning of the year. However, during this third quarter of the year, Bitcoin’s price moved quite steadily until it finally became stable within the range of $17,000 and $25,000.
MicroStrategy’s CFO Also Comments About The Earnings Report
The chief financial Officer of MicroStrategy, Andrew Kang, also reported that the company suffered a bit of an impairment charge on Bitcoin this past quarter. This is due to the instability of the asset’s price in this third quarter.
In addition, he mentioned that the firm had up to 301 more Bitcoins acquired for that quarter. Thus, they are still the world’s largest publicly traded corporate Bitcoin owner.
Equally, the company’s new CEO, Phong Le, explicitly mentioned that the company’s initial business intelligent offers and products are still pretty well known in the market.
Worthy of note is the CEO’s declaration of the company’s 95% renewal rate in the third quarter in favor of their software platform. In addition, Phong Le boasted that MicroStrategy will still be making profits from its software product regardless of the ongoing macroeconomic effects on the state of the market.
Phong Le became the CEO of MicroStrategy around August this year. His appointment gave the previous CEO, who also doubles as the company’s co-founder, maximum focus time on the company’s strategy, advocacy, and educational initiatives for Bitcoin.
After MicroStrategy had announced their last purchase of Bitcoin, they had an aggregate sum of 13,000 Bitcoin with a total worth of $2.25 billion gauging with the price as of today, which is $17,393 for each Bitcoin.