Metaplanet reported a net loss of ¥114.5 billion (approximately $725.6 million) in the first quarter of fiscal 2026, driven primarily by significant valuation losses on its Bitcoin holdings as prices declined.
The company recorded an ordinary loss of ¥114.9 billion (about $728 million), largely due to ¥116.3 billion ($736 million) in Bitcoin valuation losses booked during the quarter.
Metaplanet Quarterly Loss
Despite the large accounting losses, Metaplanet reported strong operating growth. Net sales climbed 251.1% year-over-year to ¥3.08 billion (around $19 million), while operating profit rose 282.5% to ¥2.27 billion (about $14.3 million). Revenue from its Bitcoin Income Generation business—which includes option premium strategies tied to BTC derivatives—increased sharply to ¥2.54 billion.
The company’s Bitcoin holdings grew to 40,177 BTC by the end of March 2026, up from 35,102 BTC at the end of December 2025. According to the filing, Metaplanet remains the largest Bitcoin-holding listed company outside the United States.
During the quarter, Metaplanet continued to raise capital through common share issuances, preferred shares, stock acquisition rights, and Bitcoin-backed credit facilities to support further BTC purchases.
Metaplanet also disclosed that it secured a $500 million Bitcoin-collateralized credit facility and had drawn $302 million under that arrangement as of May 13, 2026. Total assets decreased to ¥466.7 billion at the end of March from ¥505.3 billion at the end of 2025, mainly reflecting lower Bitcoin valuations.
“The Company will continue to accumulate Bitcoin, grow Bitcoin per share, and allocate capital with discipline. Over time, it intends to develop financing capabilities, operating businesses, and institutional relationships that make its Bitcoin position more productive and durable. This work sits inside a larger shift in how money and capital markets are organized. The Company intends to contribute to the development of Japan’s digital capital markets.”
Controversy Over Disclosure Practices
The results arrive amid online criticism of Metaplanet’s Bitcoin acquisition strategy and disclosure practices. Earlier this year, CEO Simon Gerovich defended the company’s approach, stating that all Bitcoin purchases, wallet addresses, and borrowing arrangements had been disclosed in real time.
Gerovich also explained that the company’s options strategy is designed to acquire Bitcoin below spot prices by generating premium income, rather than by speculating on short-term price moves.