Shares of Coinbase Global (COIN) are up 12% on news that the cryptocurrency exchange reported its first profit in two years.
Coinbase, which is the biggest crypto exchange in the U.S., reported earnings per share of $1.04 U.S, compared to $0.27 U.S. that was forecast on Wall Street.
It was the first time the company reported any profit since the fourth quarter of 2021.
Coinbase also reported that its revenue in Q4 2023 totaled $953.80 million U.S., up 58% from $605 million U.S. a year earlier, and ahead of expectations for $818.36 million U.S.
The crypto exchange said it benefitted from a resurgence of interest in cryptocurrencies in the lead-up to the U.S. Securities and Exchange Commission (SEC) approving the first spot Bitcoin (BTC) exchange-traded funds (ETFs).
Enthusiasm for cryptocurrencies continues, with the price of Bitcoin now above $52,000 U.S., up 122% over the last 12 months.
Coinbase said that transaction revenues were the primary driver of revenues during Q4 of last year, adding that subscription revenue remained relatively flat in the quarter.
Trading revenue from investors on Coinbase’s exchange totaled $493 million U.S. in Q4, up 79% from the third quarter of last year.
Prior to today (Feb. 16), the stock of Coinbase had gained 153% over the last 12 months to trade at $165.67 U.S. per share.
