Gemini Space Station 2025 Q3 Earnings Beats Revenue Estimates Despite Wider-Than-Expected Loss

Gemini Space Station (GEMI) reported Q3 2025 earnings that exceeded revenue expectations but fell short of profit forecasts. The company’s $50.6 million revenue beat FactSet estimates of $46.8 million, driven by robust transaction and services growth. However, the net loss widened to $159.5 million, or $6.67 per share, versus $90.2 million in Q3 2024, as operating expenses surged. Guidance for FY2025 services and interest revenue of $60–$70 million aligns with current performance trends but reflects ongoing cost pressures.

Revenue

Transaction revenue led the charge with $26.34 million, driven by exchange and OTC activities, while services revenue totaled $19.93 million, bolstered by credit card, staking, and custodial fee contributions. Credit card revenue alone reached $8.53 million, underscoring the product’s role in customer acquisition. Staking revenue grew to $5.88 million, and interest income added $3.51 million. Other segments, including corporate interest ($725,000) and advisory fees ($2.10 million), further diversified the revenue stream.

Earnings/Net Income

Gemini narrowed its loss per share to $6.67 from $18.33, a 63.6% improvement, but the net loss expanded to $159.5 million, a 76.9% increase year-over-year. Despite reduced per-share losses, the absolute loss widened due to elevated operating expenses.

Post-Earnings Price Action Review

Following the earnings report, GEMI’s stock price plummeted 39.61% month-to-date, with a 6.39% drop in the latest trading day and a 13.63% weekly decline. However, a brief 2.29% post-earnings rebound in after-hours trading signaled mixed investor sentiment. The stock remains below its 52-week high of $45.89, reflecting lingering concerns over profitability despite revenue growth.

CEO Commentary

Cameron and Tyler Winklevoss highlighted Q3 as a “significant step forward,” driven by institutional growth and the Gemini Credit Card’s success, which surpassed 100,000 accounts. Strategic milestones included the MiCA license in Europe, Australia expansion, and the Gemini Wallet launch. The Winklevosses emphasized a “flywheel model” of trust and liquidity, positioning Gemini as a “globally integrated super app” to lead crypto’s transition into mainstream finance.

Guidance

Gemini expects FY2025 services and interest revenue of $60–$70 million, with monthly transacting users growing at 20–25% CAGR. Technology and G&A expenses are forecast at $140–$155 million, while marketing costs (excluding rewards) are projected at $45–$60 million. The company plans to leverage a credit card warehouse facility for capital-efficient scaling and maintain balance sheet flexibility amid crypto volatility and regulatory challenges.

Additional News

Gemini announced plans to introduce regulated prediction markets for sports and political events, pending approvals, drawing comparisons to Bitcoin’s early adoption. The firm also expanded its MiCA-licensed operations to Australia and launched the Gemini Wallet, enhancing its digital asset ecosystem. Retail sentiment on Stocktwits shifted to “extremely bullish,” with traders advocating buying the dip, while Bernstein analysts labeled prediction markets a viable asset class.