Coinbase Global earned third-quarter adjusted net income of $719 million, up 66% from $433 million a year ago, largely due to a recovery in the cryptocurrency market.
Coinbase said it earned $2.51 a share in the latest quarter, although it wasn't immediately clear if that compared with the 6-cent-per-share profit that Wall Street analysts had estimated. Revenue of $1.20 billion trailed the $1.233 billion expected by analysts polled by LSEG.
Net income at the San Francisco-based platform surged thanks to the value of its volatile cryptocurrency investment portfolio, which can swing wildly even when the composition of the underlying holdings are little changed.
The third quarter value of Coinbase's crypto investment portfolio climbed due to a resurgence in the digital asset market. The price of bitcoin — often used as a gauge for all crypto assets — rose 39% in the three-month period ended Sept. 30 and the flagship cryptocurrency recently changed hands at roughly $80,809.
In the third quarter, Coinbase deepened its push into non-crypto products and services, including artificial intelligence integrations for traders, tokenized real-world assets and prediction markets.