According to Woofun AI, Strategy (MSTR.US), the listed company that holds the most bitcoins in the world, achieved a historic financial leap in the third quarter of 2026, with a net profit of 19.53 billion US dollars in a single quarter. This figure not only far exceeds $2.79 billion in the same period in 2025, but also marks the ultimate explosive power of its business model in the Bitcoin bull market cycle.
Meanwhile, the company's senior management structure has undergone major adjustments. Financial Director Andrew Kang has confirmed that he will officially step down on November 5. This personnel change has drawn widespread attention from the market to its future capital management strategy.
Looking at the profit structure, Strategy's 8-K filing with the US Securities and Exchange Commission (SEC) revealed the surprising details of its earnings. Diluted earnings per share reached $44.75 for the quarter, and the core driving force behind this performance came from the book revaluation of digital assets.
According to data compiled by Woofun AI, Strategy's operating profit for the quarter reached 20.91 billion US dollars, which is almost entirely composed of digital asset profits of 20.91 billion US dollars, that is, revenue generated by revaluing Bitcoin holdings at market prices. In comparison, operating profit for the same period in 2025 was only $3.89 billion, an impressive increase.
Notably, Strategy's traditional software business is relatively small. Third-quarter revenue was US$125.4 million, down 3% year on year; its gross profit was US$89.6 million, and gross margin remained high at 71%. As of September 30, the company held $2.5 billion in cash and cash equivalents and $3.4 billion in short-term investments, which provided a liquidity buffer for its subsequent asset allocation.
In terms of the size of Bitcoin holdings, Strategy's accumulation strategy continues to advance. As of October 25, the company held approximately 848,517 bitcoins, increasing its holdings by 26% since 2026. The total cost of these bitcoins is as high as $640.2 billion, and the average cost is around $75,446 each. If you calculate the price of $81,200 each on October 23, the market value of its positions is approximately $68.9 billion. Since 2026, Strategy has bought a total of $14.33 billion worth of Bitcoin, showing a strong desire to increase positions.
However, judging from the company's own metrics, the situation is not entirely optimistic. The “BTC Yield” indicator has been negative 3.7% since 2026, which means that share capital has increased faster than Bitcoin holdings, leading to a decrease in the number of corresponding bitcoins per share. The “BTC Gain” in terms of the number of bitcoins has been negative 24,947 since 2026, reflecting the potential erosion of shareholders' equity by dilution effects.
Funding and balance and liability conditions are key to maintaining this huge position. Strategy achieved net revenue of approximately US$5.41 billion through the issuance of new MSTR shares in the third quarter, and the cumulative amount raised since 2026 has reached US$21.23 billion. To optimize its capital structure, the company repurchased STRC's perpetual preferred stock worth $2.04 billion and increased its dollar assets to $50.7 billion.
This asset size is sufficient to cover dividend and interest expenses for the next 3.4 years, showing the company's cautious approach to liquidity management. Through this “borrowing eggs” strategy, Strategy was able to continue to expand its Bitcoin exposure without fully relying on internal cash flow while maintaining sufficient solvency.
Management handover details and preferred stock dividend changes further enriched the content of this financial report. According to the 8-K report, after Andrew Kang leaves office, President and CEO Phong Le will also serve as the chief financial officer during the transition period from November 6 to December 31. As of January 1, 2027, Reza Virasteh, Executive Vice President of Operations, will officially take over as Chief Financial Officer and will co-serve as Chief Financial Officer with Phong Le. Under this structure, Phong Le will focus on capital markets, capital and investor relationships related to Bitcoin's strategy, while Reza Virasteh will be responsible for financial management of the software business.
Additionally, Global Finance Director Shelley Khanna has served as Chief Accounting Officer since November 6. In terms of shareholders' rights, at the extraordinary shareholders' meeting on October 28, Strategy shareholders voted overwhelmingly with 381,373,199 votes in favor and 2,236,551 votes against, and passed a proposal to amend the issuance terms of STRF, STRC, STRK and STRD, allowing for a change to daily dividends. According to another 8-K document, STRC changed to daily dividends from November 1, and the remaining three levels will implement this change from January 1, 2027.
This adjustment is aimed at making preferred stocks more attractive to investors and in line with market practices.
Founder and Executive Chairman Michael Saylor expressed his optimistic expectations for the future in a press release, believing that Bitcoin is at the beginning of the next bull run. He pointed out that the current Bitcoin price is 21% above the 200-week moving average, a technical indicator generally viewed as a sign of a strong long-term trend. Saylor's view reinforces Strategy's logical foundation for continuing to increase Bitcoin positions by accumulating assets early in the cycle to maximize returns during long-term upward trends.
Despite short-term uncertainty brought about by the change of financial director and capital dilution, Strategy continues to play an important role in the global crypto asset sector through accurate capital operations and a strong belief in Bitcoin. This financial report is not only a presentation of financial data, but also the latest footnote on the execution of its long-term strategy, which indicates that Strategy will still play a key role in the upcoming market cycle.