Strategy shares slipped approximately 2.5% in after-hours trading following the announcement, according to Yahoo Finance data.
The company also reported $125.4 million in quarterly revenue, down 3% from $128.7 million a year earlier, as its enterprise software business contributed relatively little to the overall earnings result.
Strategy Bitcoin holdings reach 848,517 $BTC
Strategy held 848,517 Bitcoin as of October 25, acquired for approximately $64.02 billion at an average purchase price of $75,446 per coin.
The holdings had an estimated market value of $68.9 billion based on Bitcoin trading near $81,200 on October 23, according to the company’s financial disclosure.
Strategy increased its Bitcoin holdings by 26% year to date, acquiring approximately $14.33 billion worth of the cryptocurrency during 2026.
However, the company also sold Bitcoin to fund preferred stock dividends and share repurchases.
During the third quarter, Strategy purchased 7,218 $BTC for approximately $588.1 million and sold 5,552 $BTC, receiving about $348.6 million.
The company disclosed approximately $431.8 million in Bitcoin sales year to date, with proceeds used to support dividend payments and repurchases of its STRC preferred stock.
Despite the increase in total holdings, Strategy reported a negative 3.7% Bitcoin yield year to date, reflecting a decline in Bitcoin holdings per assumed diluted share.
Strategy repurchases $2B in preferred stock and expands cash reserves
Strategy has repurchased approximately $2.04 billion of STRC preferred shares this year as it seeks to support the security’s trading price near its $100 stated amount.
The company bought back approximately 20.98 million STRC shares at an average price of $97.39, leaving roughly $956.7 million available under its $3 billion repurchase authorization.
Strategy also expanded its US dollar assets to $5.07 billion, including a $4.83 billion reserve and $242.4 million in additional cash.
The company said those assets provide approximately 3.4 years of coverage for preferred dividends and interest obligations.
“We grew our USD Assets to $5.1 billion, increased USD Duration to 3.4 years, and repurchased $2.0 billion of STRC,” said Phong Le, Strategy’s president and CEO.
The company also approved a transition to daily dividend accruals for its preferred stock products.
STRC will begin accruing dividends daily in November, while STRF, STRK and STRD are scheduled to follow in January 2027.
Le described the change as part of Strategy’s preparation for a financial system operating continuously through tokenized securities.
“Daily dividends are a natural step toward the tokenized, 24/7/365 financial system,” he said.
Michael Saylor predicts another Bitcoin bull market
Strategy Executive Chairman Michael Saylor said he expects Bitcoin to enter another bull market, citing growing institutional adoption and demand for Bitcoin-related financial products.
“We’re at the beginning of the next bitcoin bull market,” Saylor said, pointing to increased participation from banks and the expansion of Strategy’s preferred stock business.
The company reported approximately $16 billion in notional value across ten publicly listed digital credit securities.
Strategy also raised $21.23 billion in capital year to date, including $5.41 billion in net proceeds from common stock sales during the third quarter.
Separately, the company announced that Chief Financial Officer Andrew Kang will step down on November 5, with CEO Phong Le assuming responsibility for the finance organization during the transition.
Reza Virasteh, currently executive vice president of operations, is scheduled to become CFO on January 1, 2027.
cryptobriefing.com
