Gemini Space Station (NASDAQ:GEMI) shares rose about 5% on Friday after the company reported first quarter financial results that came in ahead of Wall Street expectations, alongside a new strategic investment that underscored continued expansion beyond core crypto trading.
The company reported a net loss of $0.93 per share for the quarter ended March 31, compared with analyst expectations of a $1.07 per-share loss
Revenue was up 42% year-ovre-year at $50.3 million, above consensus estimates of $49.48 million. Revenue growth was driven primarily by expansion in services and interest income, which rose 122% year over year to $24.5 million and accounted for 49% of total revenue. Credit card revenue also increased sharply, rising nearly 300% year over year to $14.7 million as the company reported growth in new cardholders and higher receivables.
Transaction revenue held relatively steady at $24.1 million, while exchange revenue fell 27% year over year amid lower trading volumes. OTC revenue rose to $6.3 million from $0.1 million a year earlier, reflecting increased institutional activity. Prediction markets revenue contributed $0.4 million in its first full quarter since launch.