Nakamoto posts $238.8M Q1 loss after revenue jumps 500%

Nakamoto reported a $238.8 million net loss for the first quarter and a 500% quarter-on-quarter increase in revenue after completing acquisitions of BTC Inc. and UTXO Management. The deals closed on Feb. 20 and contributed a partial quarter of sales.

The company attributed the bulk of the net loss to a $107.7 million non‑cash reduction tied to a pre-acquisition option recorded in connection with one of the transactions and a $102.5 million mark‑to‑market loss on its 5,058 BTC treasury after Bitcoin fell about 23% during the quarter.

Nakamoto reported more than $1.1 million in revenue from its Bitcoin treasury and derivatives strategy, roughly $800,000 from the media business, $500,000 from healthcare operations and about $200,000 from asset management services. The company did not buy Bitcoin during the quarter and sold 284 BTC on March 31 to cover operating expenses.

Shares remain far below prior highs; the stock rose 2.7% to $0.18 in after-hours trading following the results. Nakamoto described the acquired businesses as “foundational” for growth in the Bitcoin ecosystem and plans to wind down its healthcare business by the end of Q2.

Chief Executive David Bailey called Q1 “a transformational period” and outlined plans to scale the acquired businesses, expand revenue opportunities and use the company’s Bitcoin holdings as collateral for yield-generating derivatives strategies. He identified disciplined capital allocation and long-term conviction in Bitcoin as priorities for the remainder of 2026.

Bitcoin was about 37% below its all-time high during the quarter, and several public companies holding Bitcoin have slowed purchases or used portions of their treasuries to meet obligations. Nakamoto’s disclosure shows higher operating revenue after the acquisitions alongside accounting and market-valuation losses tied to the deals and Bitcoin price movements.