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Block's Bitcoin Revenue Reaches $1.97 Billion in Q3 2025 Amid Earnings Disappointment

Jack Dorsey's Block Inc. reported $1.97 billion in Bitcoin revenue for the third quarter of 2025, accounting for nearly one-third of its total $6.11 billion in revenue, according to filings and shareholder communications reported by Cryptonews. While the figure marked a decline from $2.4 billion in the same period in 2024, it remained the company's second-largest revenue stream, trailing only subscriptions and services, according to Blockonomi.

The results, however, were accompanied by a broader earnings miss, with adjusted earnings per share (EPS) of $0.54 falling short of the $0.63 forecast by analysts, according to an Investing.com transcript.

The fintech giant's gross profit rose 18% year-over-year to $2.66 billion, driven by 24% growth in its Cash App segment and 9% expansion in Square's merchant business, the Cryptonews report said. Net income surged 64% to $461.5 million, but adjusted operating income of $409 million and EBITDA of $833 million both missed expectations, prompting a sharp sell-off in Block's stock. Shares tumbled 9.6% in after-hours trading to $64.10, exacerbating a 18.24% decline for the year, Blockonomi noted.

Bitcoin operations, while a cornerstone of Block's strategy, showed mixed performance. The company's BTC holdings—8,780 coins valued at over $1 billion—incurred a $59 million negative remeasurement in Q3, with year-to-date losses reaching $178 million, the Cryptonews report said. Despite this, Block expanded its Bitcoin ecosystem, launching new payment tools and a merchant wallet in October to facilitate direct BTC transactions for sellers. CEO Dorsey emphasized the initiative in a shareholder letter, stating, "We're focused on making Bitcoin everyday money."

The firm's foray into Bitcoin mining also gained traction. Proto, Block's mining division, generated its first revenue in Q3 through hardware sales of ASICs, hashboards, and mining rigs. CFO Amrita Ahuja described the earnings as "modest" but highlighted a "robust pipeline for 2026," Blockonomi reported. Meanwhile, Block's Bitcoin costs fell to $1.89 billion in Q3 from $2.36 billion in 2024, reflecting operational efficiencies, according to the Cryptonews report.

Investor sentiment soured as the earnings report revealed broader challenges. Revenue growth of 2.3% year-over-year, though positive, lagged behind the $6.33 billion projected by analysts in the Investing.com transcript. Dorsey attributed the shortfall to macroeconomic headwinds but expressed optimism about future growth, projecting full-year 2025 gross profit of $10.24 billion—a 15% increase from 2024, the Cryptonews report said.

Market watchers remain cautious. Block's stock price has languished near an 8-month low, with analysts noting the company's reliance on Bitcoin as both a growth engine and a risk factor, according to Benzinga. Despite Dorsey's bullish stance on Bitcoin's long-term potential—predicting a $20 trillion market cap by 2030—the near-term outlook hinges on stabilizing earnings and expanding adoption of its crypto-centric services, as reported by Yahoo Finance.