Bakkt (US:BKKT)2024-03-25 20:23Financial Performance - Quarterly gross crypto services revenues reached $199.4 million, with associated crypto costs and execution, clearing, and brokerage fees of $197.8 million[2]. - Total revenues for FY23 were $780.1 million, a significant increase from $56.2 million in FY22[24]. - Total revenues for Q4 2023 reached $214.5 million, a significant increase from $15.9 million in Q4 2022, representing a growth of 1,250%[50]. - Crypto services generated $199.4 million in Q4 2023, compared to only $0.3 million in Q4 2022, indicating a substantial increase in demand[50]. - The net loss attributable to Bakkt Holdings, Inc. for FY23 was $74.9 million, an improvement from a net loss of $578.1 million in FY22[50]. - The company reported a net loss of $78.7 million for Q4 2023, an improvement from a net loss of $326.4 million in Q4 2022[38]. - Basic net loss per share for Q4 2023 was $(0.29), an improvement from $(1.23) in Q4 2022[50]. Operating Expenses - Total operating expenses for the quarter were $293.0 million, with operating expenses excluding crypto costs down 55% year-over-year to $27.8 million[2][7]. - Operating expenses decreased to $293.0 million in Q4 2023 from $347.9 million in Q4 2022, reflecting a reduction of approximately 15.8%[50]. - Goodwill and intangible assets impairments were $37.2 million in Q4 2023, down from $274.4 million in Q4 2022, indicating a positive trend[50]. - Goodwill, intangible, and long-lived assets impairments for FY23 were $90.8 million, down 95% from $1,833.6 million in FY22[24]. Future Projections - Full year 2024 revenues are expected to be between $3,292 million and $5,114 million, including gross crypto revenues of $3,239 million to $5,057 million[6]. - Full year 2024 total operating expenses, excluding crypto costs, are projected to be $160 million to $170 million[6]. - The company expects to reduce full year 2024 operating cash flow usage by approximately 70% year-over-year to between $58 million and $72 million[18]. - Free Cash Flow for FY 2024 is projected to be between -$65 million and -$79 million, indicating continued cash outflow[47]. Assets and Liabilities - As of December 31, 2023, total assets increased to $966.9 million from $455.5 million as of December 31, 2022, representing a 112.4% growth[36]. - Total liabilities rose to $831.2 million as of December 31, 2023, compared to $119.4 million as of December 31, 2022, marking a 694.1% increase[36]. - The company’s accumulated deficit increased to $(751.3) million as of December 31, 2023, from $(676.4) million a year earlier[36]. - The total stockholders' equity decreased to $135.7 million as of December 31, 2023, from $336.1 million in the previous year, a decline of 59.6%[36]. Market and Product Development - Crypto-enabled accounts increased to 6.2 million, while transacting accounts decreased by 39% year-over-year to 915,000[7]. - Assets under custody increased by 41% year-over-year to $702 million due to higher coin prices[7]. - The company plans to launch institutional trading services in Q3 2024, enhancing its product offerings[2][19]. - The company plans to continue focusing on new product development and market expansion in the crypto economy[41]. - The company is focusing on expanding its crypto services and improving operational efficiency as part of its future strategy[50].