Coinbase Global Inc. (COIN) delivered a notable performance in the third quarter, significantly exceeding Wall Street’s expectations on earnings and revenue, even as it experienced a dip in trading volume. 
The leading cryptocurrency exchange <a href="https://www.sec.gov/Archives/edgar/data/1679788/000167978823000112/secshareholderletterq320.htm" rel="nofollow noopener" target="_blank">reported</a> an adjusted loss of just $0.01 per share, a figure that stands in stark contrast to the anticipated loss of $0.55 per share according to FactSet estimates, marking the third quarter in a row that Coinbase has beaten earnings forecasts. 
The exchange’s total revenue reached $674.1 million, surpassing the analyst predictions of $650.9 million. 
<img decoding="async" class="size-full wp-image-25044 alignnone" src="https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-23-37.png" alt="image 2023 11 03 15 23 37" width="842" height="552" srcset="https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-23-37.png 842w, https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-23-37-300x197.png 300w, https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-23-37-768x503.png 768w, https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-23-37-750x492.png 750w" sizes="(max-width: 842px) 100vw, 842px" title="Coinbase beats earnings estimates but sees trading volume dip 17"> 
Despite the positive earnings and revenue results, <a href="https://crypto.ro/en/exchange/gdax/">Coinbase</a> reported total trading volume for the third quarter at $76 billion, which fell short of the estimated $80.1 billion and was a downturn from $92 billion in the prior quarter. 
<img decoding="async" class="size-full wp-image-25046 alignnone" src="https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-24-38.png" alt="image 2023 11 03 15 24 38" width="828" height="667" srcset="https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-24-38.png 828w, https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-24-38-300x242.png 300w, https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-24-38-768x619.png 768w, https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-24-38-750x604.png 750w" sizes="(max-width: 828px) 100vw, 828px" title="Coinbase beats earnings estimates but sees trading volume dip 18"> 
Transaction revenue also saw a decrease, dropping 12% to $288.6 million from the previous quarter’s $327 million. In a candid disclosure, Coinbase attributed these declines to the overall diminishing crypto markets and decreased volatility. 
<img decoding="async" class="size-full wp-image-25045 alignnone" src="https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-24-23.png" alt="image 2023 11 03 15 24 23" width="837" height="680" srcset="https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-24-23.png 837w, https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-24-23-300x244.png 300w, https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-24-23-768x624.png 768w, https://crypto.ro/en/wp-content/uploads/2023/11/image_2023-11-03_15-24-23-750x609.png 750w" sizes="(max-width: 837px) 100vw, 837px" title="Coinbase beats earnings estimates but sees trading volume dip 19"> 
Even so, the exchange has shown a robust start to the fourth quarter, generating approximately $105 million in transaction revenue in October alone. Looking ahead, Coinbase has updated its forecast, projecting to achieve “meaningful” positive adjusted EBITDA for 2023, fine-tuning its previous aim of merely “improving” it. 
After the earnings announcement, Coinbase’s stock experienced volatility, falling by 5.5% in post-market trading after an 8.7% climb during the regular session. 
Notably, the company’s shares have surged approximately 131% this year, outperforming bitcoin which has seen an increase of about 110% in the same timeframe. Investors are cautiously optimistic as Coinbase steers through the evolving crypto landscape with an eye on profitability in the coming year.

Coinbase beats earnings estimates but sees trading volume dip

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