Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Coinbase (COIN) grew FY2025 revenue 9.4% YoY to $7.18B, but net income fell 51.5% to $1.26B as operating expenses surged, compressing operating margin from 35.1% to 20.0%.
Revenue
$7.18B
+9.40% YoY
EPS (Diluted)
$4.45
-53.06% YoY
Operating Income
$1.44B
-37.78% YoY
Source: SEC XBRL
Coinbase Global (COIN) reported FY2025 revenue of $7.18B, up 9.4% year over year. Operating margin was 20.0%, down 15.1 points from 35.1% a year earlier. Operating cash flow was $2.43B, down 21.8% year over year.
Last 4 quarters: 1 beat
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | -1.17 | -0.17 | Miss -574.4% |
| Mar 2026 | -1.49 | 0.32 | Miss -559.7% |
| Dec 2025This filing | -2.49 | 0.59 | Miss -519.8% |
| Sep 2025 | 1.50 | 1.08 | Beat +39.1% |
Reported EPS of -$2.49 versus the $0.59 analyst consensus — a -519.8% miss for Dec 2025.
Compiled by AI from this SEC filing
Total revenue increased 9.4% YoY to $7.18B in FY2025 (from $6.56B in the prior year), reflecting continued growth in transaction and subscription/services revenue amid volatile crypto market conditions.
Source: 10-K Income Statement (XBRL Financial Data)
Operating income declined 37.8% YoY to $1.44B, and operating margin fell sharply from 35.1% to 20.0%, indicating that expense growth materially outpaced revenue growth during FY2025.
Source: 10-K Income Statement & Key Ratios (XBRL Financial Data)
R&D expense rose 13.8% YoY to $1.67B, reflecting Coinbase's continued investment in product development, blockchain infrastructure, and platform expansion, which is a key driver of the cost pressure on margins.
Source: 10-K Income Statement (XBRL Financial Data)
Total assets grew 31.6% YoY to $29.67B, while long-term debt surged 70.2% to $7.21B, indicating Coinbase raised significant capital — likely through debt issuances — to fund strategic investments and operations.
Source: 10-K Balance Sheet (XBRL Financial Data)
Operating cash flow fell 21.8% YoY to $2.43B, and investing cash outflows ballooned to -$2.05B (from -$201M), suggesting significant capital deployment into investments or acquisitions during FY2025.
Source: 10-K Cash Flow Statement (XBRL Financial Data)
Compiled by AI from this SEC filing · 4 high, 1 medium, 0 low
Coinbase's revenue is highly correlated with cryptocurrency trading volumes and asset prices, which are notoriously volatile. The 51.5% decline in net income despite a 9.4% revenue increase illustrates how quickly profitability can erode in adverse market conditions. Sustained crypto bear markets could materially reduce transaction revenue.
Source: 10-K Income Statement (XBRL Financial Data)
Operating expenses, including R&D (up 13.8% to $1.67B), are growing faster than revenue, compressing operating margin from 35.1% to 20.0% in a single year. If Coinbase cannot scale revenue faster than its cost base, profitability could deteriorate further. This structural cost pressure is a key concern for long-term earnings sustainability.
Source: 10-K Income Statement & Key Ratios (XBRL Financial Data)
Long-term debt jumped 70.2% YoY to $7.21B, pushing the debt-to-equity ratio to approximately 1.01x. Higher leverage increases Coinbase's financial obligations and interest expense burden, which could strain cash flows if operating performance weakens. This limits financial flexibility during downturns.
Source: 10-K Balance Sheet (XBRL Financial Data)
As a leading U.S. crypto exchange, Coinbase operates in a rapidly evolving and uncertain regulatory environment. Adverse regulatory actions, new legislation, or enforcement proceedings could disrupt business operations, increase compliance costs, or restrict product offerings. This risk is inherent to Coinbase's core business model.
Source: 10-K (General Business Risk, XBRL Financial Data)
Coinbase's business is almost entirely dependent on the health and adoption of the cryptocurrency ecosystem, with limited diversification into non-crypto revenue streams. A prolonged decline in crypto adoption or a major security breach could have an outsized negative impact on revenue and user trust. The company's ROE of only 8.5% in FY2025 reflects the current earnings pressure from this concentration.
Source: 10-K Key Ratios & Income Statement (XBRL Financial Data)
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 7.18 $B | 6.56 $B | +9.40% |
Operating Income $B | 1.44 $B | 2.31 $B | -37.78% |
Net Income $B | 1.26 $B | 2.60 $B | -51.53% |
EPS (Basic) $ | 4.85 $ | 10.42 $ | -53.45% |
EPS (Diluted) $ | 4.45 $ | 9.48 $ | -53.06% |
R&D Expense $B | 1.67 $B | 1.47 $B | +13.78% |
Answers draw on this SEC filing and the data on this page
In Q2 FY2026, Coinbase reported an 18.5% year-over-year revenue decline to $1.22B and a net loss of $359.5M, driven by lower consumer crypto spot trading volumes and fair value losses on crypto assets held for investment.
Coinbase reported a net loss of $394.1M in Q1 FY2026, a sharp reversal from the prior year's $65.6M profit, as revenue fell 30.5% YoY to $1.41B amid declining crypto market activity and surging operating costs including a 47.9% jump in R&D spending.
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