Why Did Metaplanet Report a Large Quarterly Loss?
Metaplanet reported a net loss of 114.5 billion yen, or $725.6 million, for the first quarter of fiscal 2026, as mark-to-market losses on its bitcoin holdings outweighed stronger operating results.
The company recorded 116.4 billion yen in bitcoin valuation losses during the quarter. The losses were tied to accounting adjustments after bitcoin prices fell by the end of the reporting period, rather than realized sales of the asset.
The result shows the earnings volatility facing listed companies that hold large bitcoin treasuries. Even when core operations improve, quarterly profit can be dominated by unrealized valuation changes on crypto holdings.
How Did the Operating Business Perform?
Metaplanet’s operating performance improved sharply. Revenue rose 251.1% year-over-year to 3.08 billion yen, while operating profit increased 282.5% to 2.3 billion yen.
The company attributed the improvement mainly to its bitcoin income generation business, which includes options-based strategies tied to its BTC holdings, along with contributions from its hotel operations.
This split between operating profit and net loss is central to the investment case. Metaplanet is building income streams around its bitcoin position, but its reported earnings remain highly exposed to end-period bitcoin prices.
Investor Takeaway
How Much Bitcoin Does Metaplanet Hold?
Metaplanet added 5,075 BTC during the quarter, bringing total holdings to 40,177 BTC as of March 31. The company says it holds about 87% of all bitcoin held by listed companies in Japan as of May 2026.
That makes Metaplanet the third-largest corporate bitcoin holder globally, behind Strategy and Twenty One Capital. The company adopted a “Bitcoin Standard” in April 2024, making bitcoin its primary treasury reserve asset.
Metaplanet plans to continue expanding its holdings through equity issuance and debt financing. This includes a $500 million bitcoin-collateralized credit facility, of which $302 million had been drawn as of May 13.
“The Company will continue to accumulate Bitcoin, grow Bitcoin per share, and allocate capital with discipline,” Metaplanet wrote in the report. “Over time, it intends to develop financing capabilities, operating businesses, and institutional relationships that make its Bitcoin position more productive and durable.”
Investor Takeaway
What Should Investors Watch Next?
Metaplanet kept its fiscal 2026 guidance unchanged, targeting total revenue of 16 billion yen and operating profit of 11.4 billion yen. The targets imply year-over-year increases of 80% and 81%, respectively.
The company will continue tracking bitcoin-related performance indicators, including total BTC holdings, BTC per share, BTC Yield, and mNAV, a valuation multiple comparing enterprise value with the market value of net bitcoin assets.
BTC Yield reached 2.8% for the quarter, while mNAV traded below prior-quarter levels during the recent market correction. These metrics are likely to remain more important to investors than conventional earnings, given the company’s bitcoin-heavy strategy.
The key question is whether Metaplanet can keep increasing bitcoin per share while managing dilution, debt exposure, and income volatility from its BTC-linked strategies.
