Exchange operator Gemini (GEMI) posted an earnings per share loss of $15.52 for the full year 2025 on 19 Mar. The firm saw its services growth help offset weaker trading activity, but elevated losses point to deeper structural issues at the company.
Gemini Bleeds Trading Volume as Services Pivot Masks Deepening Losses
19 March 2026 - 23:30 CET
By Ana Pereira
The deficit was more than double the average estimate, as market analysts were expecting a loss of $6.78 per share for the year, according to Yahoo Finance data. This wider gap highlights the immense cost of pivoting the business model away from a reliance on transaction fees.
Shifting revenue models
Fourth-quarter results revealed a clear shift in the revenue mix for the exchange, with growth increasingly driven by services rather than trading. Services and interest revenue surpassed transaction revenue for the first time in the history of the company, reflecting contributions from products such as the credit card and staking. It comes as retail and institutional trading activity softened noticeably, tying into an insider filing that recently highlighted revenue pressures at the firm.
Core exchange pressures
The turnaround is not happening fast enough to plug the gaps, however. Services revenue fell short of the range projected in February for the full year, and trading volume in the last three months of 2025 fell by $4bn quarter over quarter. This highlights the intense pressure on the core exchange business in the latter months of the year.
The path to profitability is likely to be longer than previously expected as the company faces mounting pressure from slowing crypto activity and a deteriorating market backdrop, according to a report from Citi. The bank downgraded the stock to sell from neutral and cut its price target to $5.50 from $13 the day before the financial disclosure.
Execution risks and leadership
The financial results land against a backdrop of significant executive turnover at the exchange operator, which has compounded investor concerns about long-term execution. The departures of three senior executives, its chief financial officer, chief operating officer and chief legal officer, were disclosed last month and became effective on 17 Feb. This exodus occurred alongside broader restructuring that included layoffs affecting roughly 25% of staff and a pullback from international markets such as the EU, UK and Australia.
Shares closed at $6.01 on 19 Mar ahead of the earnings release, with the stock down roughly 79% from its $28 initial public offering price in Sept 2025. In after-market trading at 21:45UTC, GEMI was changing hands at $6.43.
The results will be discussed on a conference call on 20 Mar at 12:30UTC.
