Bloomberg News reports that MicroStrategy Inc, the largest publicly traded corporate owner of the digital token Bitcoin, was found posting a third-quarter loss after revenue dropped. The same happened even though the cryptocurrency reversed months of decline in the latest period of three months.
For the quarter that ended on September 30th, the net loss registered was $27.1 million, or $2.39 per share. This is compared to the $3.61 or $36.1 million just a year ago, as revealed by the company in its statement. Michael Saylor, the co-founder, gave up his position as chief executive officer in August to focus on the cryptocurrency strategy of the company.
As far as revenue is concerned, it slid to $125.4 million, which is about 2.1% for the enterprise software maker’s two biggest sources of revenue, product licenses and support. After it reported a $1 billion impairment loss in the second quarter, the number dropped to $727,000 recently.
Bitcoin has been bought in bulk by MicroStrategy since 2000, which served as a hedge against inflation. The company has been compelled to take on a huge write-down in the current year because of the lowering of the digital currency value.
Bitcoin plunged almost 60% during the year’s first half before it climbed by about 3.7% in the recent quarter.
Bloomberg News reports that MicroStrategy acquired almost 301 Bitcoins in the current quarter, compared with about 9000 just 12 months ago. Now, the company owns as many as 130,000 Bitcoins.
Tyson Corner, MicroStrategy, based in Virginia, dropped by about 2% post-market trading. The stock was found on plunging by approximately 53% in the present year. Bitcoin changed a little at $20,464.
