Bakkt Holdings reported third‑quarter 2025 revenue of $402.2 million, up 27% from $316.3 million in Q3 2024, while GAAP net loss widened to $23.2 million. Adjusted EBITDA, which strips out one‑time items, rose to $28.7 million—a 241% jump from the $20.1 million loss recorded in the same period last year—signaling that the company’s core operations are moving toward profitability.
Revenue growth was driven by stronger demand for Bakkt’s regulated trading and custody services, offsetting a $49 million decline in legacy loyalty‑program revenue that was sold on October 1. The company’s $402.2 million revenue fell short of the consensus estimate of $451.8 million, a miss that reflects softer market activity in the broader crypto‑asset space and the impact of higher operating expenses related to increased trading volumes.
On the profitability side, GAAP net loss widened to $23.2 million largely because of a $12.5 million mark‑to‑market charge on a 2024 registered direct‑offering warrant liability. Adjusted EBITDA, however, turned positive as cost‑control initiatives and the elimination of legacy Up‑C structure expenses reduced operating costs. Non‑GAAP earnings per share of $1.20 beat the consensus estimate of a $0.73 loss by $1.93, a margin that underscores the company’s ability to generate cash flow from its core services.
The balance sheet improved markedly: cash and restricted cash totaled $64.4 million, and the company reported no long‑term debt. The sale of the loyalty business and the collapse of the Up‑C structure eliminated significant operating expenses and simplified governance, reinforcing the company’s focus on its core crypto‑infrastructure business.
Management highlighted the transformation’s progress, noting that “the third quarter represents a defining moment in Bakkt’s transformation…the heavy lifting is largely behind us, and the momentum heading into 2026 is real.” The company is now channeling resources into three growth pillars—Brokerage‑in‑a‑box, the AI‑powered Bakkt Agent, and a Bitcoin treasury strategy—while targeting expansion in key Asian markets such as Japan, South Korea, and India.
Market reaction was largely positive, driven by the strong profitability beat and the company’s clear path to cash‑generating operations. The revenue miss and the announcement of the corporate restructuring to a single class of common stock tempered enthusiasm, but investors remained focused on the company’s debt elimination, cash position, and strategic focus on high‑margin crypto infrastructure services.
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