Fold Holdings Inc. (NASDAQ: FLD) Announces First Quarter 2025 Results

Revenue: $7.1 million, 44% YoY increaseBitcoin Treasury Holdings: 1,490 BTC, ~50% increase from Q4 2024Launched Bitcoin Gift Card with access to network of thousands of retailersNew accounts up over 300% YoY and platform volumes up 67% YoY PHOENIX, May 15, 2025 (GLOBE NEWSWIRE) -- Fold Holdings, Inc. (NASDAQ: FLD) (“Fold”), the first publicly traded bitcoin financial services company, today announced financial results for the first quarter ended March 31, 2025. Financial Highlights Revenue: $7.1 million; 44% YoY increaseGAAP Net Loss: ($48.9) millionAdjusted EBITDA (Loss) (non-GAAP): ($4.2) millionGAAP Loss Per Share: ($1.92) per shareAdjusted EBITDA (Loss) Per Share (non-GAAP): ($0.17) per shareBitcoin Treasury Holdings: 1,490 bitcoin; +$150 million value as of 5/13/2025 Key Operating Metrics Total Transaction Volume: +$250 million; 67% YoY increaseTotal Active Accounts: +600,000, added +17,000 new accounts in the quarterTotal Verified Accounts: +76,000, added +5,000 new verified accounts in the quarter CEO Commentary“We are pleased to report a strong first quarter, with revenues for the period increasing by 44% versus a year ago, while core KPIs such as Active Accounts and Transaction Volumes were also up”, said Fold Chairman and CEO, Will Reeves. “From Fold’s public listing in February to our recent new product announcements, we have already made meaningful progress in 2025.” Mr. Reeves continued, “In particular, we made significant progress on new initiatives that we believe improve the growth prospects for Fold. First, in February, we announced the launch of the Fold Bitcoin Rewards Credit Card, which currently has a waitlist of 75,000 people. We are working towards launching the card later this year and believe it can be an important growth driver of Fold’s business. Second, we are prioritizing the expansion of our Custody and Trading business by adding enhanced functionality to the platform. Our initiatives include increasing access to the platform beyond Fold cardholders to all users, supporting larger bitcoin orders through acceptance of wire deposits, and expanding the geographic reach of Fold’s suite of services. We believe these developments will allow us to open our platform to a meaningfully larger market. Our most recent announcement, the Fold Bitcoin Gift Card, is designed to allow consumers to acquire bitcoin by purchasing the Fold Bitcoin Gift Card online and at participating retail locations throughout the United States. Americans spend billions of dollars annually on gift cards and we believe the Fold Bitcoin Gift Card will allow us to capitalize on this large and meaningful market.” Reeves concluded, “Finally, our bitcoin treasury holdings increased by 50% during the first quarter and currently stands at 1,490 bitcoin, which represents more than $150 million of value based on recent bitcoin prices. At Fold, we remain committed believers in Bitcoin and see it as central to everything we do. Building on our first quarter of 2025, we will continue to seek opportunities to add to our bitcoin holdings and believe in the long-term value proposition of a robust bitcoin treasury strategy.” Strategic & Business Updates: Fold Credit Card (announced in February 2025) Over 75,000 applicants on the waitlist215 million credit cards users in the USExpected to launch later this year Fold Bitcoin Gift Card (announced May 15, 2025) Partnered with Totus for a target nationwide launch later this yearRollout will be in phases with initial accessibility through Fold’s websiteFull rollout expected to include deployment to thousands of online and physical locations throughout the US Custody and Trading Expansion Expanding accessibility to our bitcoin exchange platform to a larger user baseExpanding features and making the platform accessible in additional states Bitcoin Treasury Expanded our bitcoin investment treasury by approximately 50% in Q1 2025Currently hold 1,490 Bitcoin with a value of over $150 million 2025 Full Year Outlook: Revenue: Prior guidance of $61.6 million in 2025 remains unchangedMarketing Expenses: $3 million, an approximately 10x increase from 2024 Earnings Call and Webcast Information:Fold Inc. will host a conference call at 5:00 p.m. Eastern Time today, which will include a brief discussion of results followed by a question and answer period. To participate in this event, please log on or dial in approximately 5 minutes before the beginning of the call. Date: May 15, 2025Time: 5:00 p.m. ETParticipant Call Links: Live Webcast: LinkDial-in Registration Link: Link A replay of the call will be archived at https://investor.foldapp.com About Fold Inc.:Fold (NASDAQ: FLD) is the first publicly traded Bitcoin financial services company, making it easy for individuals and businesses to earn, save, and use Bitcoin. With 1,490 BTC in its treasury, Fold is at the forefront of integrating Bitcoin into everyday financial experiences. Through innovative products like the Fold App, Fold Card, Fold Credit Card, and Fold Bitcoin Gift Card, the company is building the bridge between traditional finance and the Bitcoin-powered future. Forward-Looking Statements:The information in this press release includes “forward-looking statements” within the meaning of the federal securities laws with respect to the anticipated benefits of the business combination. Forward-looking statements may be identified by the use of words such as “may,” “could,” “would,” “should,” “predict,” “estimate,” “plan,” “project,” “forecast,” “intend,” “will,” “expect,” “anticipate,” “believe,” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include the potential benefits of the new convertible note, Fold’s treasury strategy and the potential success of Fold’s market and growth strategies. These statements are based on assumptions and on the current expectations of Fold’s management and are not predictions of actual performance. Many actual events and circumstances are beyond the control of Fold. These forward-looking statements are subject to a number of risks and uncertainties, including: (i) changes in domestic and foreign business, market, financial, political and legal conditions; (ii) the failure to realize the anticipated benefits of the business combination; (iii) the effect of the consummation of the business combination on Fold’s business relationships, performance, and business generally; (iv) the ability to implement business plans and other expectations after the completion of the business combination, and identify and realize additional opportunities; (v) the risk of downturns, new entrants and a changing regulatory landscape in the highly competitive industry in which Fold operates; and (vi) those factors discussed in Fold’s filings with the Securities and Exchange Commission. If any of these risks materialize or Fold’s assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. While Fold may elect to update these forward-looking statements at some point in the future, each specifically disclaims any obligation to do so, except as required by law. Fold Holdings, Inc. Condensed Balance Sheets (Unaudited) March 31, December 31, 2025 2024 Assets Current assets Cash and cash equivalents $11,699,552 $18,330,359 Accounts receivable, net 942,888 451,455 Inventories 403,595 262,813 Digital assets - rewards treasury 7,365,544 8,569,651 Prepaid expenses and other current assets 4,003,918 687,100 Total current assets 24,415,497 28,301,378 Digital assets - investment treasury 122,957,753 93,568,700 Capitalized software development costs, net 1,175,215 1,000,065 Deferred transaction costs - 2,784,893 Total assets $148,548,465 $125,655,036 Liabilities and stockholders' equity (deficit) Current liabilities Accounts payable $1,486,978 $1,113,552 Accrued expenses and other current liabilities 1,898,812 71,858 December 2024 convertible note, net - 11,752,905 Customer rewards liability 7,365,544 8,569,651 Deferred revenue 358,716 387,776 Total current liabilities 11,110,050 21,895,742 Deferred revenue, long-term 470,176 487,690 December 2024 convertible note, net 12,278,826 - March 2025 convertible note - related party 52,813,643 - Simple Agreements for Future Equity (“SAFEs”) - 171,080,533 Total liabilities 76,672,695 193,463,965 Commitments and contingencies (Note 13) Stockholders’ equity (deficit) Preferred stock, $0.0001 par value; 20,000,000 shares authorized, 0 shares issued and outstanding at March 31, 2025 and 10,204,880 shares issued and outstanding at December 31, 2024 - 1,020 Common stock, $0.0001 par value; 600,000,000 shares authorized, 46,888,876 shares issued and 46,250,665 shares outstanding at March 31, 2025 and 5,836,882 shares issued and outstanding at December 31, 2024 4,625 584 Additional paid-in-capital 222,098,867 33,537,989 Accumulated deficit (150,227,722) (101,348,522)Total stockholders’ equity (deficit) 71,875,770 (67,808,929)Total liabilities and stockholders’ equity $148,548,465 $125,655,036 Fold Holdings, Inc. Condensed Statements of Operations (Unaudited) Three Months Ended March 31, 2025 2024 Revenues, net $7,087,837 $4,931,211 Operating expenses Banking and payment costs 6,758,924 4,626,748 Custody and trading costs 45,785 21,288 Compensation and benefits 6,457,940 757,365 Marketing expenses 399,798 42,467 Professional fees 1,788,505 36,668 Amortization expense 91,071 57,353 (Gain) loss on customer rewards liability (1,100,857) 3,423,045 Loss (gain) on digital assets - rewards treasury 1,010,586 (3,491,889)Other selling, general and administrative expenses 1,136,455 312,894 Total operating expenses 16,588,207 5,785,939 Operating loss (9,500,370) (854,728) Other income (expense) Loss on digital assets - investment treasury (15,617,152) - Change in fair value of SAFEs (6,503,113) (95,064)Change in fair value of convertible note (6,534,143) - Convertible note issuance costs and fees (9,569,109) - Interest expense (1,271,638) - Other income 120,303 12,855 Other income (expense), net (39,374,852) (82,209) Net loss before income taxes (48,875,222) (936,937)Income tax expense 3,978 8,109 Net loss $(48,879,200) $(945,046) Net loss per share attributable to common stockholders: Basic and diluted $(1.92) $(0.16)Weighted average common shares outstanding: Basic and diluted 25,436,398 5,836,882 Fold Holdings, Inc. Condensed Statements of Cash Flows (Unaudited) Three Months Ended March 31, 2025 2024 Cash flows from operating activities Net loss $(48,879,200) $(945,046)Adjustments to reconcile net loss to net cash used in operating activities: Amortization expense 91,071 57,353 Loss (gain) on digital assets - rewards treasury 1,010,586 (3,491,889)Loss on digital assets - investment treasury 15,617,152 - (Gain) loss on customer rewards liability (1,100,857) 3,423,045 Change in fair value of convertible note 6,534,143 - Convertible note issuance costs and fees 9,569,109 - Amortization of debt discount 525,921 - Change in fair value of SAFEs 6,503,113 95,064 Share-based compensation expense 5,170,275 - Increase (decrease) in cash resulting from changes in: Accounts receivable, net (491,433) (38,400)Inventories (140,782) (11,860)Prepaid expenses and other current assets (962,423) 9,756 Accounts payable 373,426 168,239 Accrued expenses and other current liabilities 660,721 10,908 Customer reward liability 611,552 487,032 Deferred revenue (46,574) (118,433)Net cash used in operating activities (4,954,200) (354,231) Cash flows from investing activities Purchases of digital assets (1,562,973) (441,467)Proceeds from sales of digital assets - - Payments for capitalized software development costs (266,221) (171,134)Net cash used in investing activities (1,829,194) (612,601) Cash flows from financing activities Proceeds from recapitalization 804,600 - Payments of deferred IPO costs (652,013) - Proceeds received from SAFE financings - 500,000 Net cash provided by financing activities 152,587 500,000 Net decrease in cash and cash equivalents (6,630,807) (466,832)Cash and cash equivalents, beginning of period 18,330,359 1,491,544 Cash and cash equivalents, end of period $11,699,552 $1,024,712 Non-cash investing and financing activities Distributions of digital assets to fulfill customer reward redemptions 714,802 1,317,262 Distributions of digital assets to satisfy other current liabilities 1,012 8,940 Recapitalization 173,019,904 - Proceeds from convertible debt received in digital assets - related party 43,965,525 - Distributions of digital assets for prepaid interest - related party 2,313,975 - Non-GAAP Financial Measures Adjusted EBITDA In addition to net loss and other results under GAAP, we utilize non-GAAP calculations of adjusted earnings before interest, taxes, depreciation, and amortization (“Adjusted EBITDA”) to monitor the financial health of our business. Adjusted EBITDA is defined as net loss, excluding (i) interest expense, (ii) provision for (benefit from) income taxes, (iii) depreciation and amortization, (iv) share-based compensation, (v) remeasurement gains and losses such as fair value remeasurements on our digital assets, convertible notes, and SAFE notes, and (vi) impairments, restructuring charges, and business acquisition- or disposition-related expenses that we believe are not indicative of our core operating results. This non-GAAP financial information is presented for supplemental informational purposes only, should not be considered in isolation or as a substitute for, or superior to, financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies. The above items are excluded from our Adjusted EBITDA measure because these items are non-cash in nature, or because the amount and timing of these items are unpredictable, are not driven by core results of operations, and/or render comparisons with prior periods and competitors less meaningful. We believe Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our results of core operations, as well as providing a useful measure for period-to-period comparisons of our business performance. Moreover, Adjusted EBITDA is a key measurement used by our management internally to make operating decisions, including those related to operating expenses, evaluate performance, and perform strategic planning and annual budgeting. The following table presents a reconciliation of Adjusted EBITDA to the most directly comparable GAAP measure, net loss: Three Months Ended March 31, 2025 2024 Net loss $(48,879,200) $(945,046)Add: Interest expense 1,271,638 - Income tax expense 3,978 8,109 Amortization expense 91,071 57,353 Share-based compensation expense 5,170,275 - (Gain) loss on customer rewards liability (1,100,857) 3,423,045 Loss (gain) on digital assets - rewards treasury 1,010,586 (3,491,889)Loss on digital assets - investment treasury 15,617,152 - Change in fair value of SAFEs 6,503,113 95,064 Change in fair value of convertible note 6,534,143 - Convertible note issuance costs and fees 9,569,109 - Adjusted EBITDA (non-GAAP) $(4,208,992) $(853,364) Three Months Ended March 31, 2025 2024 Adjusted EBITDA (Loss) $(4,208,992) $(853,364)Weighted-average shares used to compute basic and diluted net loss per share 25,436,398 5,836,882 Adjusted EBITDA (Loss) per share attributable to common stockholders: Basic and diluted $(0.17) $(0.15) For investor and media inquiries, please contact: Investor Relations:Orange GroupSamir Jain, CFAFoldIR@orangegroupadvisors.com Media:Elev8 New MediaJessica Starman, MBAMedia@foldapp.com

Fold Holdings Inc. (NASDAQ: FLD) Announces First Quarter 2025 Results

FAQ

Why Bullish?

How important is it?

Why Long Term?

Related Companies

Related News