SharpLink Gaming 2025 Q3 Earnings Record Net Income Surges 11880% as Revenue Jumps 1129.9%

SharpLink Gaming (SBET) reported a dramatic turnaround in Q3 2025, with net income surging 11880% to $104.27 million, reversing a $885k loss. While revenue of $10.84 million exceeded the prior year by 1129.9%, it fell short of the $3.4 million FactSet estimate. Management emphasized continued focus on ETH staking and capital management, though provided no explicit revenue guidance.

Revenue

Revenue from staking operations accounted for the lion's share at $10.27 million, while affiliate marketing contributed $569,758. The total revenue from operations reached $10.84 million, reflecting a substantial increase from the previous year's $881,690. This growth underscores the company's strategic emphasis on Ethereum-based capital management.

Earnings/Net Income

SharpLink Gaming returned to profitability with EPS of $0.70 in 2025 Q3, reversing from a loss of $3.02 per share in 2024 Q3. The EPS of $0.70 marked a remarkable turnaround, showcasing the company's effective capital management and strategic staking initiatives.

Price Action

The stock price of SharpLink Gaming has dropped 5.75% during the latest trading day, has edged down 1.61% during the most recent full trading week, and has plummeted 29.73% month-to-date.

Post-Earnings Price Action Review

Despite a significant revenue miss against the $3.4 million estimate, the stock remained relatively stable post-earnings, indicating investor confidence in the company's long-term strategy. SharpLink's strategic deployment of $200 million in ETH on Linea and its proactive capital management efforts seem to have reassured the market. Analysts recommend a 30-day hold, urging investors to monitor the impact of these partnerships on shareholder value in the coming months.

CEO Commentary

Joseph Chalom, Co-CEO of SharpLink, highlighted the company’s strong Q3 2025 performance, with revenue rising to $10.8 million (up 1,100% year-over-year) and net income of $104.3 million ($0.62 per diluted share). He emphasized disciplined execution of the ETH treasury strategy, including deploying nearly all ETH holdings into yield-generating staking and allocating $200 million in ETH to Consensys’ Linea via ether.fi and EigenCloud for enhanced DeFi yields. Chalom noted a doubling of ETH per share concentration to 4.0 since the treasury’s inception, underscoring a focus on long-term value accretion. The tone reflected optimism, with confidence in SharpLink’s role as a leader in the Ethereum institutional supercycle.

Guidance

The company outlined strategic priorities, including a $1.5 billion stock repurchase program (having repurchased $31.6 million of shares as of Q3 2025) and a registered direct offering priced at a 12% premium to its share price. Forward-looking initiatives include expanding leadership with hires in CIO, CMO, and CDO roles, advancing tokenized SBET on Ethereum, and deploying capital via partnerships to generate DeFi yields. Chalom emphasized the company’s model of combining active asset management with public transparency to capitalize on Ethereum’s growth.

Additional News

In addition to its earnings report, SharpLink Gaming announced a $1.5 billion stock repurchase program, having already repurchased $31.6 million worth of shares. The company also partnered with Consensys to deploy $200 million in ETH on the Linea platform to enhance DeFi yields. Leadership changes included the appointment of Matthew Sheffield as CIO, Mandy Campbell as CMO, and Michael Camarda as CDO, strengthening the executive team's institutional expertise.