Strategy Inc (NASDAQ:MSTR) filed its Form 10-Q for the quarterly period ended September 30, 2026, reporting a net income of $19,532,972 thousand for the three months ended September 30, 2026, driven primarily by a gain on digital assets.

Key Highlights

  • Net income of $19.53 billion for the three months ended September 30, 2026, compared to $2.79 billion in the same period of 2025, according to the filing.
  • Digital asset gain of $20.91 billion recorded in Q3 2026, versus a gain of $3.89 billion in Q3 2025, as reported in the consolidated statements of operations.
  • Total digital assets of $70.82 billion on the balance sheet as of September 30, 2026, up from $58.85 billion at December 31, 2025.
  • Total revenues of $125.43 million for Q3 2026, compared to $128.69 million for Q3 2025, with subscription services growing to $68.59 million from $45.97 million year-over-year.
  • Nine-month net loss of $1.23 billion for the period ended September 30, 2026, compared to net income of $8.59 billion for the same period in 2025.
  • 402,714,357 shares of Class A common stock outstanding as of October 25, 2026, up from 292,422 thousand shares at December 31, 2025.
  • Preferred stock redemption value of $14.11 billion at September 30, 2026, compared to $8.03 billion at December 31, 2025.

Strategy Inc Q3 2026 Financial Results: Digital Asset Gains Drive Quarterly Profit

According to the 10-Q filing, Strategy Inc reported total revenues of $125,427 thousand for the three months ended September 30, 2026, a slight decrease from $128,691 thousand in the same quarter of 2025. The filing shows subscription services revenue grew to $68,590 thousand from $45,972 thousand year-over-year, while product licenses revenue declined to $3,829 thousand from $17,373 thousand. Total cost of revenues was $35,793 thousand for Q3 2026, producing a gross profit of $89,634 thousand.

The dominant driver of quarterly results, as disclosed in the filing, was a gain on digital assets of $20,912,392 thousand in Q3 2026. This produced income from operations of $20,909,792 thousand for the quarter. After a provision for income taxes of $1,409,311 thousand, the company reported net income of $19,532,972 thousand. Basic earnings per common share for Q3 2026 were $47.78, and diluted earnings per common share were $44.75, the filing stated. For the nine months ended September 30, 2026, the company reported a loss on digital assets of $1,858,452 thousand, contributing to a net loss of $1,229,326 thousand for that period.

The consolidated balance sheet as of September 30, 2026 showed total assets of $77,151,549 thousand, with digital assets comprising $70,824,007 thousand of that total. Total liabilities declined to $8,654,073 thousand from $10,598,110 thousand at December 31, 2025. The filing also disclosed that short-term investments of $3,404,457 thousand appeared on the balance sheet as of September 30, 2026, compared to zero at year-end 2025. Cash and cash equivalents were $2,501,456 thousand at September 30, 2026. The company also reported a gain on debt extinguishment of $113,916 thousand for the nine months ended September 30, 2026.

What Was Disclosed

Strategy Inc filed a quarterly report covering the period ended September 30, 2026, disclosing financial statements including a $19.53 billion net income for Q3 2026 primarily attributable to a $20.91 billion gain on digital assets, alongside balance sheet data showing $70.82 billion in digital assets.