Block posts $1.73 billion from bitcoin sales in the quarter

In the first quarter of 2022, Block (formerly Square) generated $1.73 billion in revenue from selling bitcoin through the Cash App. The operations delivered gross profit of $43 million for the payments company.

According to the письму акционерам, compared with the corresponding period in 2021, results fell by 51% and 42% respectively.

“The year-over-year decline in bitcoin sales revenue and gross profit is primarily due to the relative stability of the cryptocurrency’s price, which affected consumer demand and trading activity,” Block said.

Overall, the results were in line with those of the fourth quarter, the company said. For the three months ended 2021 the firm received $1.96 billion from the sale of digital gold with a profit of $46 million.

Total revenue for the first quarter was $3.96 billion. The firm recorded a net loss of $204 million, though gross profit stood at $1.29 billion.

In January, the company completed the приобретение австралийского сервиса рассрочки Afterpay. For the reporting period, the platform generated $65 million in revenue and $46 million in profit.

Against the backdrop of the financial results, the company’s shares on the premarket rose almost 7%. However, the shares trade at levels roughly three times below the 12-month high.

In April, Cash App introduced an automated conversion feature for a portion of direct deposits into bitcoin.