Operating income experienced a sharp decline to $13.7 million in 2026Q1 from $1.0 billion in 2024Q4, reflecting a lack of scalability in SG&A costs during periods of market contraction.
| Sales/Revenue | 5.81B | - | - | - | - | - | - | - |
| Revenue Growth % | - | - | - | - | - | - | - | - |
| Cost of Goods Sold | 0 | - | - | - | - | - | - | - |
| COGS % of Revenue | - | - | - | - | - | - | - | - |
| Gross Profit | 4.41B | 5.36B | 4.91B | 1.97B | 2.56B | 6.1B | 1.14B | 451.68M |
| Gross Margin % | 75.94% | 74.64% | 74.75% | 63.47% | 80.28% | 77.82% | 89.39% | 84.63% |
| Gross Profit Growth % | - | 9.25% | 148.7% | -23.07% | -57.97% | 434.24% | 152.83% | - |
| Operating Expenses | 4.39B | 3.92B | 2.6B | 2.13B | 5.27B | 3.02B | 733.02M | 487.32M |
| OpEx % of Revenue | - | 54.65% | 39.6% | 68.67% | 165.13% | 38.58% | 57.38% | 91.3% |
| Selling, General & Admin | 2.27B | 1.88B | 1.19B | 691.77M | 2.11B | 1.1B | 336.66M | 256.08M |
| SG&A % of Revenue | - | 26.14% | 18.2% | 22.26% | 66.08% | 14.06% | 26.35% | 47.98% |
| Research & Development | 0 | - | - | - | - | - | - | - |
| R&D % of Revenue | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | - | - | - | - | - | - | - |
| Operating Income | 25.2M | 1.44B | 2.31B | -161.66M | -2.71B | 3.08B | 408.95M | -35.64M |
| Operating Margin % | 0.43% | 19.99% | 35.15% | -5.2% | -84.85% | 39.24% | 32.01% | -6.68% |
| Operating Income Growth % | - | -37.78% | 1527.15% | 94.04% | -188.09% | 652.31% | 1247.35% | - |
| EBITDA | 248.3M | 1.62B | 2.43B | -22.02M | -2.56B | 3.14B | 439.91M | -5.44M |
| EBITDA Margin % | 4.27% | 22.61% | 37.09% | -0.71% | -80.02% | 40.06% | 34.44% | -1.02% |
| EBITDA Growth % | -89.58% | -33.3% | 11156.67% | 99.14% | -181.4% | 613.83% | 8183.66% | - |
| D&A (Non-Cash Add-back) | 223.1M | 188.43M | 127.52M | 139.64M | 154.07M | 63.65M | 30.96M | 30.2M |
| EBIT | 1.04B | 1.61B | 3.02B | 5.92M | -2.98B | 3.06B | 408.95M | -35.64M |
| Net Interest Income | 1.69B | -85.41M | -80.64M | -82.77M | -88.9M | -29.16M | 0 | 0 |
| Interest Income | 1.78B | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 87.47M | 85.41M | 80.64M | 82.77M | 88.9M | 29.16M | 0 | 0 |
| Other Income/Expense | 0 | - | - | - | - | - | - | - |
| Pretax Income | 974.9M | 1.52B | 2.94B | -76.84M | -3.06B | 3.03B | 409.2M | -45.42M |
| Pretax Margin % | 16.78% | 21.19% | 44.83% | -2.47% | -95.94% | 38.61% | 32.03% | -8.51% |
| Income Tax | 174.3M | 261.74M | 363.58M | -171.72M | -439.63M | -597.17M | 86.88M | -15.03M |
| Effective Tax Rate % | 17.88% | 17.2% | 12.36% | 223.46% | 14.35% | -19.73% | 21.23% | 33.09% |
| Net Income | 800.6M | 1.26B | 2.58B | 94.87M | -2.62B | 3.62B | 322.32M | -30.39M |
| Net Margin % | 13.78% | 17.55% | 39.29% | 3.05% | -82.18% | 46.23% | 25.23% | -5.69% |
| Net Income Growth % | -45.48% | -51.13% | 2618.5% | 103.61% | -172.43% | 1024.4% | 1160.71% | - |
| Net Income (Continuing) | 800.6M | 1.26B | 2.58B | 94.87M | -2.62B | 3.62B | 322.32M | -30.39M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 3.02 | 4.45 | 9.48 | 0.37 | -11.83 | 14.50 | 0.58 | -0.45 |
| EPS Growth % | -50.19% | -53.06% | 2462.16% | 103.13% | -181.59% | 2400% | 228.89% | - |
| EPS (Basic) | - | 4.85 | 10.42 | 0.40 | -11.84 | 17.47 | 0.58 | -0.46 |
| Diluted Shares Outstanding | 264.77M | 287.21M | 273.38M | 254.39M | 222.34M | 219.97M | 185.99M | 66.99M |
| Basic Shares Outstanding | 264.77M | 260.09M | 247.37M | 235.8M | 222.31M | 177.32M | 185.99M | 66.09M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Regulatory and Volume Volatility
As reported in financial statements, Coinbase maintained a gross margin of 69.7% in 2026Q1, reflecting the inherent volatility of a business model that remains tethered to crypto-asset price fluctuations rather than consistent, predictable service-based fee structures across its diverse institutional and retail product segments.
The company's gross margin profile exhibits significant sensitivity to market cycles, oscillating between 69.7% and 86.4% over the last ten quarters. This variability suggests that while the platform benefits from high-margin custodial services, the underlying cost structure remains susceptible to shifts in staking reward pass-throughs and trading volume mix.
According to recent SEC filings, Coinbase's operating income plummeted to $13.7 million in 2026Q1 from $1.0 billion in 2024Q4, illustrating a lack of operating leverage as fixed costs, particularly SG&A, fail to scale efficiently during periods of declining transaction-based revenue and market activity.
The sharp contraction in operating margins from 45.5% in 2024Q4 to just 1.0% in 2026Q1 highlights the company's high fixed-cost burden. Investors should monitor whether management can successfully decouple operating expenses from revenue volatility, as current trends suggest that overhead remains stubbornly high despite fluctuations in top-line performance.
Based on reported figures, Coinbase consistently issued over $200 million in stock-based compensation per quarter throughout the 2024-2026 period, which significantly obscures the true economic profitability of the firm and creates a persistent drag on GAAP net income during cyclical downturns in trading volume.
The reliance on stock-based compensation as a primary component of the cost structure warrants caution, as it effectively shifts the burden of operational expenses onto shareholders through dilution. This practice complicates the assessment of core earnings power, particularly when net income swings between substantial profits and losses on a quarterly basis.
As evidenced by the 2025Q4 net loss of $666.7 million, the company's income statement remains highly vulnerable to crypto-market sentiment, suggesting that the transition toward recurring revenue streams has not yet sufficiently insulated the firm from the severe revenue contractions typical of crypto-asset market cycles.
Short-term volatility in net income suggests that the business model is not yet a mature, defensive financial utility. The reliance on retail trading volumes, which are notoriously fickle, poses a risk that the company may struggle to maintain profitability if institutional inflows fail to offset retail churn during prolonged market stagnation.
Quick answers to the most common questions about buying COIN stock.
Coinbase Global, Inc. (COIN) is profitable, generating $1.26B in net income for the fiscal year ending 2025 with a net profit margin of 17.6%.
Coinbase Global, Inc. (COIN) reported an operating income of $1.44B, resulting in an operating profit margin of 20.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Coinbase Global, Inc. (COIN) generated $5.36B in gross profit for the year, representing a gross profit margin of 74.6%. This demonstrates the company's core pricing power and production efficiency.