Strategy Reports Record $21B Operating Income From Bitcoin, BTC Per Share Drops

On Thursday, Strategy — the company formerly known as MicroStrategy and the biggest corporate holder of Bitcoin — posted a record $21 billion operating profit for the third quarter. The entire sum came from a notional gain on its BTC holdings.

Yet the company's internal gauge moved inversely. Bitcoin per share, which Strategy advises investors to track, fell 3.7% this year even though total holdings increased 26%, leaving each share backed by less Bitcoin than at the start of the year.

Why a Record Profit Left Shareholders With Less Bitcoin

US accounting rules currently require companies to record quarterly changes in their crypto holdings as profit or loss, regardless of whether they sell. Bitcoin rose in the quarter, so Strategy booked a $20.91 billion gain on its coins and net income of $19.53 billion, or $44.75 per share.

In July, BeInCrypto reported that the same rules resulted in an $8.22 billion quarterly loss when prices dropped. At that point, Bitcoin per share was still up 4.5% for the year.

Three months later, it is 3.7% lower. Strategy raised $21.23 billion in 2026, mainly by selling new shares, and sold $431.8 million of Bitcoin to help pay dividends and buy back shares, the earnings release shows.

Strategy announces Q3 2026 results:
– $21 billion operating income, our largest quarter ever
– $21 billion capital raised YTD
– Returned $STRC to health
– 848,517 $BTC held, up 26% YTDhttps://t.co/CRzfxVQuez

— Strategy (@Strategy) October 29, 2026

Issuing new shares only adds Bitcoin per share if the stock price exceeds the value of the coins behind it.

Where the Money Went Instead of Bitcoin

This year, Strategy spent $2.04 billion buying back its STRC preferred stock, which it issues for cash in exchange for monthly dividends. It also built a $5.07 billion reserve to cover 3.4 years of preferred dividends and interest.

Weekly Bitcoin purchases dropped 84% in two weeks earlier this month as buybacks took priority.

“Strategy demonstrated its commitment to returning STRC to health,” CEO Phong Le said in the release.

Chief Financial Officer Andrew Kang is leaving on November 5, with operations chief Reza Virasteh taking over on January 1.

Shares closed down 2.4% at $141.62 before the results and slid a further 0.8% in after-hours trading, while BTC traded near $90,600 on Thursday evening.

Strategy says it aims to lead a market it calls digital credit, with its preferred shares paying daily dividends from November 1. The declining per-share figure shows the cost of funding that machine when the stock trades below the coins behind it.