Jack Dorsey's Block Inc. generated nearly $2 billion in Bitcoin revenue during the third quarter, representing approximately one-third of total company revenues. The fintech giant reported overall earnings of $461.5 million on $6.11 billion in revenue.
Shares of Block, trading under ticker XYZ, dropped 3.7% to $70.94 at market close Thursday. After-hours trading saw further declines of 9.6% to $64.10.
The company's Bitcoin revenue totaled $1.97 billion, down from $2.4 billion in the same quarter last year. Digital assets remain Block's second-largest revenue source behind subscription and services-based income streams.
Financial Performance and Growth
Block grew gross profit 18% year over year in the third quarter, Dorsey wrote in a shareholder letter. Cash App demonstrated 24% year-over-year growth while Square increased 9% during the same period.
The firm missed several key analyst expectations despite meeting others. Adjusted operating income reached $409 million, falling short of consensus estimates at $473 million. EBITDA rose 3% to $833 million, below the projected $840 million.
Bitcoin Holdings and Operations
Bitcoin costs declined to $1.89 billion in Q3 2025 from $2.36 billion in Q3 2024. Block's holdings exceeding $1 billion recorded a negative remeasurement of approximately $59 million during the quarter and $178 million year-to-date.
Block held 8,780 BTC as of September's end, up from 8,485 at the beginning of 2025. The company rolled out new cryptocurrency payment tools and a merchant wallet for businesses in October.
Regulatory Settlements
Block paid $40 million earlier this year to settle with the New York Department of Financial Services over alleged Anti-Money Laundering failures. The settlement addressed concerns partly related to the firm's Bitcoin operations.