Galaxy Digital ($BRPHF) announced a net loss of $1 billion for 2022 but has bounced back with a pre-tax profit of $150 million in the first quarter of 2023. 💵💵💵
Galaxy Digital experienced a significant loss in 2022 compared to a profit of $1.7 billion in 2021. The company also reported a net loss of $288 million for the last quarter of 2022, in contrast to a net income of $521 million for the same period in the previous year.
The main contributors to this loss were unrealized losses of $659 million on digital assets and $496 million on investments in the firm’s Principal Investments Portfolio, driven by the substantial decline in digital asset prices throughout 2022.
By the way, if you want the nitty-gritty on how substantial 2022’s declines were, read our review of 2022 here.
In contrast, 2023 has started positively for Galaxy Digital, with the company reporting a pre-tax income of $150 million and maintaining a strong liquidity position through March 24, 2023. In addition, the firm anticipates further profits in its operating businesses, bolstered by gains from digital assets on its balance sheet.
Additionally, Galaxy Mining has doubled its capacity since the beginning of 2023 – they might need to step that up because $BTC‘s hash rate had the biggest 3-month spike in 5 years. ⛏️