Over the past four quarters, Huobi has failed to deliver net profit, but expects to reach break-even in October–December. The Block reported this, citing TRON co-founder Justin Sun, to whom is attributed with control over the bitcoin exchange.
He did not provide specific figures. Sun acknowledged that Huobi had spent “too much” on marketing, advertising and salaries, but to date the platform has optimized costs.
Apart from the preceding four quarters, the exchange’s operations since its 2013 launch have been profitable, he added.
On X (formerly Twitter) Sun presented results for the group as a whole, including TRON. For the period April–June, net income stood at $85 million on revenue of $193 million. In January–March, the first figure was almost three times smaller ($30 million).
“According to conservative estimates, revenue in the third quarter will be $200 million […], and net profit — $100 million. These figures do not include investment gains and losses”, Sun forecast.
As reported in November 2022, media reports discussed a possible merger of Huobi with Poloniex, which Sun and a group of investors bought in 2019. The entrepreneur denied the rumors, but did not rule out such a development in the future. The platforms established a strategic partnership.