MicroStrategy Increases Bitcoin Holdings to 226,500 BTC, Introduces "BTC Yield" as Key Performance Indicator

MicroStrategy Incorporated (Nasdaq: MSTR) reported its financial results for Q2 2024, revealing an increase in its Bitcoin holdings.

MicroStrategy (Nasdaq: MSTR) announced its financial results for Q2 2024 on Monday. The business intelligence firm said it acquired 12,222 bitcoins during the quarter, at an average price of $65,882 per bitcoin.

With the latest addition, MicroStrategy’s total Bitcoin holdings stood at 226,500 BTC, purchased for $8.3 billion at an average cost of $36,821 per bitcoin, as of July 31st. In July alone, the company acquired an additional 169 BTC for $11.4 million, as announced by Michael Saylor.

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"Since the beginning of Q2, we grew our bitcoin holdings by adding 12,222 bitcoins through proceeds from our capital markets activities and excess cash," said CFO Andrew Kang in the earnings press release.

MicroStrategy also highlighted its focus on Bitcoin strategy, introducing “BTC Yield” as a key performance indicator. This metric measures the percentage change in the ratio of the company's Bitcoin holdings to its assumed diluted shares outstanding.

For the year-to-date period, MicroStrategy achieved a BTC Yield of 12.2%. The company is targeting an annual BTC yield of 4-8% from 2025-2027.

Other notable highlights from MicroStrategy’s Q2 earnings report

Subscription services revenues increased by 21% year over year to $24.1 million.

MicroStrategy raised $800 million through a convertible senior notes offering.

The company announced a 10-for-1 stock split, effective August 7th.

MicroStrategy now plans to file for a registration statement for a new $2 billion at-the-market (ATM) equity offering programme.

At the end of Q2, the original cost basis and market value of MicroStrategy’s Bitcoin were $8.3 billion and $14 billion, respectively. This translates to an average cost per Bitcoin of $36,798 and a market price per Bitcoin of $61,926.69 on June 30th.

The MicroStrategy stock opened about 3% down on Monday but recovered the entire loss in the next hour of trading. MSTR shares are now exchanging hands at $225 versus the prior closing price of $224.