Block’s Bitcoin Triumph: $66 Million Gross Profit Sparks Stock Surge
Jack Dorsey-led fintech firm Block achieved a remarkable $66 million in gross profit from Bitcoin sales through Cash App in the last quarter, marking a 90% YoY increase.
The Q4 2023 earnings report led to a NASDAQ:SQ stock rally, rising by 12.35% in after-hours trading. Block reported a total Bitcoin revenue of $2.52 billion, a 37% YoY increase, driven by higher average market prices and the appreciation of Bitcoin inventory. With investments of $50 million and $170 million in late 2020 and early 2021, Block’s Bitcoin holdings reached 8,038 Bitcoins, valued at over $400 million.
Mobile Cash App contributed significantly, generating $205 million in Bitcoin gross profit and $9.50 billion in Bitcoin revenue in 2023, up 31% and 34% YoY, respectively. Block’s fiscal year ending in 2023 saw revenues rise to $9,498,302, a growth of 33.54% from the previous year. While Dorsey highlighted Cash App’s reliability and direct deposit features, he also emphasized the increasing role of artificial intelligence in future financial services during the earnings call.
Clever Robot News Desk 24th February 2024
