The company's core software business shows a modest 11.9% revenue growth in 2026Q1, though headline profitability remains obscured by digital asset impairments that resulted in a -100.9% net margin.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 |
|---|
| Sales/Revenue | 490.47M | 477.23M | 463.46M | 496.26M | 499.26M | 510.76M | 480.74M | 486.33M | 497.64M | 503.84M | 513.59M | 529.87M | 579.83M | 575.89M | 565.72M | 537.17M | 454.58M | 377.79M | 360.39M | 350.67M | 313.82M | 268.66M | 231.21M | 175.58M | 147.83M | 180.42M | 215.26M | 151.26M | 95.49M | 52.55M |
| Revenue Growth % | 6.79% | 2.97% | -6.61% | -0.6% | -2.25% | 6.25% | -1.15% | -2.27% | -1.23% | -1.9% | -3.07% | -8.62% | 0.68% | 1.8% | 5.32% | 18.17% | 20.33% | 4.83% | 2.77% | 11.74% | 16.81% | 16.2% | 31.68% | 18.77% | -18.06% | -16.19% | 42.31% | 58.4% | 81.71% | - |
| Cost of Goods Sold | 156.39M | 149.42M | 129.47M | 109.94M | 102.99M | 91.91M | 91.06M | 99.97M | 99.5M | 96.65M | 93.15M | 101.11M | 135.21M | 138.57M | 141.08M | 130.7M | 106.09M | 66.6M | 63.41M | 60.49M | 44.39M | 36.45M | 32.87M | 27.98M | 27.9M | 45.64M | 77.56M | 37.03M | 16.34M | 9.87M |
| COGS % of Revenue | - | 31.31% | 27.94% | 22.15% | 20.63% | 17.99% | 18.94% | 20.56% | 19.99% | 19.18% | 18.14% | 19.08% | 23.32% | 24.06% | 24.94% | 24.33% | 23.34% | 17.63% | 17.59% | 17.25% | 14.14% | 13.57% | 14.22% | 15.94% | 18.87% | 25.3% | 36.03% | 24.48% | 17.12% | 18.79% |
| Gross Profit | 334.07M | 327.82M | 333.99M | 386.32M | 396.27M | 418.85M | 389.68M | 386.35M | 398.14M | 407.19M | 420.44M | 428.76M | 444.62M | 437.32M | 424.65M | 406.47M | 348.49M | 311.19M | 296.99M | 290.18M | 269.44M | 232.21M | 198.34M | 147.59M | 119.93M | 134.77M | 137.7M | 114.22M | 79.14M | 42.68M |
| Gross Margin % | 68.11% | 68.69% | 72.06% | 77.85% | 79.37% | 82.01% | 81.06% | 79.44% | 80.01% | 80.82% | 81.86% | 80.92% | 76.68% | 75.94% | 75.06% | 75.67% | 76.66% | 82.37% | 82.41% | 82.75% | 85.86% | 86.43% | 85.78% | 84.06% | 81.13% | 74.7% | 63.97% | 75.52% | 82.88% | 81.21% |
| Gross Profit Growth % | - | -1.85% | -13.55% | -2.51% | -5.39% | 7.49% | 0.86% | -2.96% | -2.22% | -3.15% | -1.94% | -3.57% | 1.67% | 2.98% | 4.47% | 16.64% | 11.99% | 4.78% | 2.35% | 7.7% | 16.03% | 17.08% | 34.38% | 23.07% | -11.02% | -2.13% | 20.55% | 44.33% | 85.44% | - |
| Operating Expenses | -128.01M | 5.77B | 2.19B | 501.36M | 1.67B | 1.2B | 403.31M | 387.36M | 394.16M | 333.97M | 310.93M | 294.74M | 439.52M | 417.88M | 391.55M | 385.6M | 297.9M | 224.88M | 229.19M | 201.96M | 169.65M | 138.34M | 129.89M | 119.62M | 109.5M | 201.49M | 255.54M | 139.52M | 81.69M | 43.31M |
| OpEx % of Revenue | - | 1209.51% | 471.88% | 101.03% | 334.9% | 235.6% | 83.89% | 79.65% | 79.21% | 66.28% | 60.54% | 55.62% | 75.8% | 72.56% | 69.21% | 71.78% | 65.53% | 59.53% | 63.59% | 57.59% | 54.06% | 51.49% | 56.18% | 68.13% | 74.08% | 111.68% | 118.71% | 92.24% | 85.55% | 82.42% |
| Selling, General & Admin | 280.42M | 274.87M | 278.62M | 264.98M | 258.3M | 255.64M | 229.05M | 277.93M | 291.66M | 255.21M | 237.74M | 229.25M | 321.43M | 319.82M | 303.36M | 317.74M | 247.33M | 183.09M | 198.62M | 165.22M | 135.44M | 106.8M | 104.9M | 90.06M | 75.81M | 111.96M | 184.62M | 112.08M | 66.15M | 37.02M |
| SG&A % of Revenue | - | 57.6% | 60.12% | 53.4% | 51.74% | 50.05% | 47.64% | 57.15% | 58.61% | 50.65% | 46.29% | 43.27% | 55.44% | 55.54% | 53.62% | 59.15% | 54.41% | 48.46% | 55.11% | 47.12% | 43.16% | 39.75% | 45.37% | 51.29% | 51.29% | 62.06% | 85.76% | 74.1% | 69.28% | 70.45% |
| Research & Development | 94.1M | 93.86M | 118.49M | 120.53M | 127.43M | 117.12M | 103.56M | 109.42M | 102.5M | 78.77M | 73.14M | 65.21M | 103.36M | 98.06M | 88.19M | 67.86M | 50.57M | 41.8M | 30.57M | 36.66M | 34.13M | 31.47M | 24.91M | 27.68M | 26.3M | 32.82M | 43.89M | 24.23M | 12.11M | 5.05M |
| R&D % of Revenue | - | 19.67% | 25.57% | 24.29% | 25.52% | 22.93% | 21.54% | 22.5% | 20.6% | 15.63% | 14.24% | 12.31% | 17.83% | 17.03% | 15.59% | 12.63% | 11.12% | 11.06% | 8.48% | 10.45% | 10.88% | 11.71% | 10.78% | 15.77% | 17.79% | 18.19% | 20.39% | 16.02% | 12.68% | 9.61% |
| Other Operating Expenses | -1000K | 5.4B | 1.79B | 115.85M | 1.29B | 830.62M | 70.7M | 0 | 0 | 0 | 45K | 279K | 14.73M | 0 | 0 | 0 | 0 | 0 | 0 | 71K | 71K | 71K | 71K | 1.88M | 7.39M | 56.71M | 27.03M | 3.22M | 3.44M | 1.24M |
| Operating Income | 462.09M | -5.44B | -1.85B | -115.05M | -1.28B | -784.53M | -13.63M | -1M | 3.98M | 73.22M | 109.51M | 134.02M | 5.1M | 19.44M | 33.1M | 20.87M | 50.59M | 86.3M | 67.8M | 88.22M | 99.79M | 93.87M | 68.45M | 27.97M | 10.42M | -66.72M | -117.84M | -25.3M | -2.55M | -634K |
| Operating Margin % | 94.21% | -1140.82% | -399.82% | -23.18% | -255.52% | -153.6% | -2.83% | -0.21% | 0.8% | 14.53% | 21.32% | 25.29% | 0.88% | 3.38% | 5.85% | 3.88% | 11.13% | 22.84% | 18.81% | 25.16% | 31.8% | 34.94% | 29.61% | 15.93% | 7.05% | -36.98% | -54.74% | -16.72% | -2.67% | -1.21% |
| Operating Income Growth % | - | -193.82% | -1510.63% | 90.98% | -62.61% | -5658% | -1259.78% | -125.17% | -94.56% | -33.14% | -18.29% | 2525.82% | -73.74% | -41.27% | 58.63% | -58.75% | -41.38% | 27.29% | -23.15% | -11.59% | 6.31% | 37.13% | 144.71% | 168.37% | 115.62% | 43.38% | -365.83% | -892.43% | -302.05% | - |
| EBITDA | 479.6M | -5.42B | -1.84B | -100.52M | -1.26B | -773.17M | -293K | 7.59M | 7.68M | 88.75M | 129.46M | 155.24M | 30.4M | 45.84M | 55.55M | 38.14M | 63.39M | 96.94M | 74.2M | 95.82M | 107.42M | 102.36M | 76.77M | 36.81M | 23.53M | -37.16M | -88.22M | -18.46M | 887K | 609K |
| EBITDA Margin % | 97.78% | -1135.77% | -395.98% | -20.26% | -253.35% | -151.38% | -0.06% | 1.56% | 1.54% | 17.62% | 25.21% | 29.3% | 5.24% | 7.96% | 9.82% | 7.1% | 13.94% | 25.66% | 20.59% | 27.32% | 34.23% | 38.1% | 33.21% | 20.96% | 15.92% | -20.6% | -40.98% | -12.2% | 0.93% | 1.16% |
| EBITDA Growth % | 106.35% | -195.36% | -1725.68% | 92.05% | -63.6% | -263780.2% | -103.86% | -1.17% | -91.34% | -31.44% | -16.61% | 410.66% | -33.68% | -17.49% | 45.67% | -39.84% | -34.61% | 30.64% | -22.56% | -10.8% | 4.94% | 33.33% | 108.59% | 56.39% | 163.33% | 57.88% | -377.94% | -2180.95% | 45.65% | - |
| D&A (Non-Cash Add-back) | 17.51M | 24.08M | 17.81M | 14.53M | 10.87M | 11.36M | 13.33M | 8.59M | 3.7M | 15.53M | 19.94M | 21.21M | 25.3M | 26.4M | 22.45M | 17.27M | 12.8M | 10.63M | 6.4M | 7.6M | 7.63M | 8.5M | 8.32M | 8.83M | 13.11M | 29.56M | 29.62M | 6.84M | 3.44M | 1.24M |
| EBIT | 449.42M | -5.46B | -1.87B | -75.56M | -1.27B | -782.24M | -13.63M | -1M | 3.98M | 73.22M | 109.56M | 134.3M | 19.84M | 19.44M | 33.1M | 20.87M | 50.59M | 86.3M | 67.8M | 88.22M | 99.79M | 93.87M | 68.45M | 29.67M | 14.62M | -27.26M | -108.47M | -22.5M | -2.55M | -634K |
| Net Interest Income | -49.69M | -64.97M | -61.94M | -48.96M | -53.14M | -29.15M | 710K | 10.91M | 11.86M | 5.21M | 2.2M | 284K | 162K | 497K | 143K | 199K | 389K | 955K | 2.27M | 3.65M | 2.82M | 2.88M | 1.17M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 2.52M | 10.91M | 11.86M | 5.21M | 2.2M | 284K | 162K | 497K | 143K | 199K | 389K | 955K | 2.27M | 3.65M | 2.82M | 2.97M | 1.22M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 49.69M | 64.97M | 61.94M | 48.96M | 53.14M | 29.15M | 1.81M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 94K | 53K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -14.51B | -81.57M | -81.37M | -9.48M | -46.72M | -26.86M | -6.33M | 39.27M | 16.5M | -1.75M | 5.42M | 3.84M | 5.95M | -2.69M | -892K | 4.33M | 4.37M | -504K | 2.97M | 2.96M | 1.57M | 4.3M | 870K | -35.23M | 28.88M | 21.13M | -95.88M | 2.04M | 12.85M | 634K |
| Pretax Income | -14.05B | -5.53B | -1.93B | -124.53M | -1.32B | -811.39M | -19.95M | 38.26M | 20.48M | 71.47M | 114.93M | 137.86M | 11.05M | 16.75M | 32.21M | 25.2M | 54.96M | 85.8M | 70.77M | 91.19M | 101.36M | 98.17M | 69.32M | -7.25M | 39.31M | -45.59M | -213.72M | -23.26M | 10.3M | 0 |
| Pretax Margin % | -2864.4% | -1157.91% | -417.37% | -25.09% | -264.88% | -158.86% | -4.15% | 7.87% | 4.12% | 14.19% | 22.38% | 26.02% | 1.91% | 2.91% | 5.69% | 4.69% | 12.09% | 22.71% | 19.64% | 26% | 32.3% | 36.54% | 29.98% | -4.13% | 26.59% | -25.27% | -99.28% | -15.38% | 10.79% | - |
| Income Tax | -1.88B | -1.68B | -767.68M | -553.65M | 147.33M | -275.91M | -12.43M | 3.91M | -2.02M | 53.28M | 22.69M | 31.93M | 6.02M | -9.8M | 9.73M | 3.39M | 11.17M | 25.29M | 29M | 32.72M | 30.48M | 33.43M | -98.99M | -2.59M | 1.19M | 2.46M | 1.4M | 1.25M | 3.4M | 0 |
| Effective Tax Rate % | 13.35% | 30.36% | 39.69% | 444.61% | -11.14% | 34% | 62.29% | 10.21% | -9.86% | 74.54% | 19.75% | 23.16% | 54.44% | -58.5% | 30.22% | 13.46% | 20.32% | 29.48% | 40.98% | 35.88% | 30.08% | 34.05% | -142.81% | 35.66% | 3.03% | -5.4% | -0.66% | -5.36% | 33.01% | - |
| Net Income | -12.36B | -4.03B | -1.17B | 429.12M | -1.47B | -535.48M | -7.52M | 34.35M | 22.5M | 18.2M | 92.24M | 105.93M | 5.04M | 83.33M | 20.55M | 17.94M | 43.79M | 74.84M | 41.83M | 58.47M | 70.88M | 64.74M | 168.31M | -3.9M | 38.12M | -80.87M | -168.93M | -33.74M | -2.25M | -885K |
| Net Margin % | -2519.39% | -844.76% | -251.73% | 86.47% | -294.39% | -104.84% | -1.57% | 7.06% | 4.52% | 3.61% | 17.96% | 19.99% | 0.87% | 14.47% | 3.63% | 3.34% | 9.63% | 19.81% | 11.61% | 16.67% | 22.58% | 24.1% | 72.8% | -2.22% | 25.78% | -44.82% | -78.48% | -22.31% | -2.36% | -1.68% |
| Net Income Growth % | -131.79% | -245.56% | -371.87% | 129.2% | -174.48% | -7016.96% | -121.9% | 52.68% | 23.67% | -80.27% | -12.93% | 2003.89% | -93.96% | 305.59% | 14.53% | -59.03% | -41.48% | 78.89% | -28.45% | -17.51% | 9.47% | -61.53% | 4412.4% | -110.24% | 147.13% | 52.13% | -400.63% | -1396.36% | -154.8% | - |
| Net Income (Continuing) | -12.17B | -3.85B | -1.17B | 429.12M | -1.47B | -535.48M | -7.52M | 34.35M | 22.5M | 18.2M | 92.24M | 105.93M | 5.04M | 26.55M | 22.47M | 21.81M | 43.79M | 60.51M | 41.77M | 58.47M | 70.88M | 64.74M | 168.31M | -4.67M | 38.12M | -48.05M | -215.12M | -24.51M | -2.25M | -885K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 56.78M | -1.93M | -3.87M | 0 | 14.33M | 65K | 0 | 0 | 0 | 0 | 765K | 0 | -32.81M | 46.19M | -9.24M | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -37.01 | -15.23 | -6.06 | 2.64 | -12.98 | -5.34 | -0.08 | 0.33 | 0.20 | 0.16 | 0.80 | 0.92 | 0.04 | 0.74 | 0.18 | 0.16 | 0.37 | 0.61 | 0.34 | 0.46 | 0.52 | 0.42 | 0.98 | -0.03 | 0.31 | -0.93 | -3.28 | -0.22 | -0.02 | -0.10 |
| EPS Growth % | -84.14% | -151.32% | -329.55% | 120.34% | -143.07% | -6772.59% | -123.55% | 65% | 25% | -80% | -13.04% | 1990.91% | -94.05% | 311.11% | 12.5% | -56.76% | -39.34% | 79.41% | -26.09% | -11.54% | 23.81% | -57.14% | 3812.12% | -108.52% | 133.33% | 71.65% | -1390.91% | -1366.67% | 85% | - |
| EPS (Basic) | - | -13.89 | -6.06 | 3.14 | -12.98 | -5.34 | -0.08 | 0.34 | 0.20 | 0.16 | 0.81 | 0.93 | 0.04 | 0.74 | 0.19 | 0.17 | 0.39 | 0.63 | 0.35 | 0.47 | 0.55 | 0.44 | 1.05 | -0.03 | 0.32 | -0.93 | -3.28 | -0.22 | -0.02 | -0.10 |
| Diluted Shares Outstanding | 333.91M | 294M | 192.55M | 165.66M | 113.21M | 100.2M | 96.84M | 103.28M | 114.12M | 115.47M | 115.16M | 115.39M | 113.56M | 113.01M | 111.74M | 110.66M | 117.79M | 122.84M | 123.03M | 128.53M | 136.33M | 154.36M | 171.19M | 148.04M | 119.86M | 86.59M | 79.78M | 154.06M | 133.97M | 117.98M |
| Basic Shares Outstanding | 333.91M | 294M | 192.55M | 136.71M | 113.21M | 100.2M | 96.84M | 102.56M | 113.75M | 114.44M | 114.25M | 113.55M | 113.01M | 113M | 109.95M | 107.19M | 113.78M | 119.06M | 118.86M | 123.25M | 129.87M | 147.68M | 160.55M | 148.04M | 116.76M | 86.59M | 79.78M | 154.06M | 133.97M | 117.98M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 0.08% | - | - | - | - | - | - | - | - | - | - | - | - |
Digital asset price volatility
According to recent quarterly filings, MicroStrategy's revenue growth has exhibited a mixed trajectory, with the most recent period showing an 11.9% increase, yet this follows several quarters of contraction, suggesting that the core software business lacks the consistent momentum required to offset broader treasury-driven financial volatility.
The revenue profile appears to be stabilizing around the $120 million quarterly mark, though the transition from legacy licenses to subscription services introduces inherent lumpiness. Investors should monitor whether the current growth rate is sustainable or merely a reflection of cyclical enterprise IT budget renewals.
As reported in financial statements, the company maintains a gross margin of approximately 67.1%, which reflects the inherent efficiency of software delivery, yet headline operating margins remain deeply negative due to the accounting treatment of digital asset holdings rather than operational inefficiency in the software segment.
The underlying software business appears to retain healthy gross margins, suggesting that the core product remains competitive. However, the extreme volatility in operating margins warrants caution, as these figures are heavily distorted by non-cash impairment charges that do not necessarily reflect the cash-generating capability of the BI platform.
Based on the company's reported figures, net income is an unreliable metric for operational performance, as evidenced by the massive $12.5 billion loss in 2026Q1, which stems from digital asset accounting rather than a fundamental collapse in the company's ability to sell and support software.
The divergence between operational software performance and bottom-line results makes traditional EPS analysis largely irrelevant for this entity. Analysts should focus on adjusted metrics that strip out the impact of digital asset volatility to determine the true earnings power of the software operations.
Data from recent income statements suggests that the company's reliance on equity issuance to fund asset acquisitions creates a reflexive risk, where a narrowing premium to net asset value could severely limit the firm's ability to continue its aggressive Bitcoin-centric capital allocation strategy moving forward.
Short-sellers may focus on the potential for margin compression if the software business requires increased R&D to remain relevant against cloud-native competitors. Furthermore, the sustainability of the current valuation premium remains a critical risk factor, as any shift in investor sentiment toward direct asset exposure could undermine the company's primary growth lever.
Quick answers to the most common questions about buying MSTR stock.
For fiscal year 2025, Strategy Inc (MSTR) reported total revenue of $477.2M. This represents a 808.1% increase compared to $52.6M in 1997.
Strategy Inc (MSTR) reported a net loss of $4.03B for the fiscal year ending 2025.
Strategy Inc (MSTR) reported an operating income of $-5444.4M, resulting in an operating profit margin of -1140.8%. This margin reflects the operational efficiency of the business before interest and taxes.
Strategy Inc (MSTR) generated $327.8M in gross profit for the year, representing a gross profit margin of 68.7%. This demonstrates the company's core pricing power and production efficiency.