MicroStrategy Q1 Operating Loss of $53.1M After Bitcoin Holdings Impairment Charge of

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MicroStrategy (MSTR) reported a net operating loss of $53.1 million, or $3.09 per share, in the first quarter after taking a digital asset impairment charge of $191.6 million, according to a Monday afternoon press release.

While some had expected the company might adopt the new fair value accounting standard, and thus report a sizable profit thanks to bitcoin’s (BTC) first quarter rally, the company elected not to do so. By the old standard, MicroStrategy at quarter’s end valued its bitcoin holdings at a price of $23,680 each rather than March’s closing price of $71,028.

The company also announced a small April addition of 122 tokens to its bitcoin stack, bringing total holdings to 214,400. That would be valued at $13.5 billion at bitcoin’s current price of about $63,000.

Shares are lower by 3.3% in after hours trading.

MicroStrategy will hold a conference call to discuss the results at 5 pm ET.