Q3 Loss Narrows 63% as Card Revenue Tops Trading, But Charge-Offs Jump
GEMI is trading near its 52-week low of $2.31 (2.6% above the low).
Summary
Gemini's Q3 net loss came to $58.6 million, down 63% from a year ago, with the $0.46 per-share loss beating estimates even as revenue missed. The mix is the story: credit card revenue jumped 82% to $15.5 million and now exceeds exchange revenue, a real shift away from a trading business whose volume fell 73% in the quarter. The catch is credit quality — charge-offs climbed to $11.5 million from $3.4 million, mostly tied to first-quarter fraud, so the card book is growing fast but costing real losses. The Apex Fintech Solutions agreement is still only a nonbinding letter of intent, meaning no signed deal and no certainty it closes. Stock sits near its 52-week low at $2.37 against a $15.27 high, so the market has already priced in a lot of pain; the card revenue line is the one thing that could change that story if charge-offs stabilize.
At the time of this announcement, GEMI was trading at $2.37 on NASDAQ in the Crypto Assets sector, with a market capitalization of approximately $311.2M. The 52-week trading range was $2.31 to $15.27. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Wiseek News.