Jack Dorsey’s Block had $5.62B in revenue, $44M in Bitcoin profits in Q3

Jack Dorsey-led Block, a Bitcoin-focused fintech company, published its third-quarter profits report on Nov. 2, exceeding and exposing a rewarding quarter analyst expectations.The firm had $5.62 billion in income in the 3rd quarter of 2023, enhanced by solid earnings development in Cash App and Square, with $44 million in revenue on its Bitcoin (BTC) holdings thanks to a cost rise in current months.In a shareholder letter, Dorsey clarified the companys focus and future strategies, especially with Square, along with the key financial metrics from the 3rd quarter. Dorsey said the company had authorized the repurchase of $1 billion in shares to balance out a part of dilution from share-based settlement. In the 3rd quarter of 2023, Block produced a gross profit of $1.90 billion, up 21% year-over-year. On the other hand, the mobile payment service Cash App created a gross earnings of $984 million, up 27% year-over-year, and Square produced a gross profit of $899 million, up 15%. Block Q3 revenues. Source: BlockBitcoin income represented around 43% of the $5.6 billion in revenue for Block. The fintech companies development in the 3rd quarter was also helped by strong consumer demand and positive spending.Related: Jack Dorsey ideas pro-crypto prospect Robert Kennedy to win presidencyBlocks Bitcoin gross earnings stood at $45 million, up by 22% year-over-year, with the firm selling $2.42 billion worth of BTC to customers through Cash App. The companys Bitcoin gross profit stood at 2% of Bitcoin revenue. The firm declared that the rise in BTC earnings was sustained by an increase in the typical market value of Bitcoin and the quantity of Bitcoin sold to customers.Block stated it has actually not seen any disability loss on its Bitcoin holding because the previous quarter. Blocks investment in Bitcoin had a bring worth of $102 million as of Sept. 30, 2023, however its reasonable worth, figured out by observable market prices, was $216 million, or $114 million more than its bring value.Magazine: Crypto policy– Does SEC Chair Gary Gensler have the last word?

Other Questions People Ask

What were the key financial highlights from Jack Dorsey’s Block's Q3 report?

In the third quarter of 2023, Jack Dorsey’s Block reported a remarkable $5.62 billion in revenue, surpassing analyst expectations. The company achieved a gross profit of $1.90 billion, reflecting a 21% increase year-over-year. Notably, the Cash App and Square segments contributed significantly to this growth, with Cash App generating $984 million and Square $899 million in gross profit.

How did Bitcoin contribute to Jack Dorsey’s Block's revenue in Q3?

Bitcoin played a substantial role in Jack Dorsey’s Block's financial performance in Q3, accounting for approximately 43% of the total revenue. The company reported $44 million in Bitcoin profits, driven by a rise in Bitcoin prices and increased sales through Cash App, which sold $2.42 billion worth of BTC. This growth in Bitcoin revenue highlights the company's strategic focus on cryptocurrency as a key component of its business model.

What future strategies did Jack Dorsey outline for Block in the Q3 report?

In the Q3 report, Jack Dorsey emphasized Block's commitment to enhancing its services, particularly through Square. He mentioned the authorization of a $1 billion share repurchase program aimed at mitigating dilution from share-based compensation. This strategic move reflects the company's focus on maintaining shareholder value while continuing to invest in growth opportunities within the fintech and cryptocurrency sectors.

What was the status of Block's Bitcoin holdings as of September 30, 2023?

As of September 30, 2023, Block reported that it had not experienced any impairment losses on its Bitcoin holdings since the previous quarter. The carrying value of its Bitcoin investment stood at $102 million, while its fair value was assessed at $216 million, indicating a significant appreciation. This positive valuation underscores the company's strong position in the cryptocurrency market and its ongoing commitment to Bitcoin as a core asset.