Strategy Inc (MSTR) reported operating income of $20.91 billion for the three months ended September 30, 2026, reversing an $8.33 billion operating loss in the second quarter and a $14.47 billion operating loss in the first quarter.

The bitcoin treasury company said the entire operating-income figure was a gain on digital assets, compared with a $3.89 billion digital-asset gain in the third quarter of 2025. Net income was $19.53 billion, or $44.75 a share on a diluted basis, versus $2.79 billion, or $8.42 a share, a year earlier. Net income attributable to common stockholders was $19.12 billion after $419.6 million of preferred dividends.

Chief Financial Officer Andrew Kang said the $21 billion of operating income was the largest in Strategy’s history.

Total revenues were $125.4 million, down 3% from $128.7 million in the third quarter of 2025. Gross profit was $89.6 million, a 71% margin, versus $90.7 million and a 70% margin a year earlier.

Bitcoin holdings stood at 848,517 as of October 25, 2026, up from 843,775 as of July 26, 2026. Year-to-date 2026 growth was 26%. Original cost basis was $64.02 billion and market value $68.90 billion, reflecting an average cost of about $75,446 a bitcoin and a market price of about $81,200 as of October 23, 2026. The company purchased $14.33 billion of bitcoin year to date.

BTC Yield turned negative year to date at (3.7)%, versus +4.5% at the July 26 snapshot. BTC Gain was (24,947) and BTC $ Gain was $(2.03) billion year to date.

Cash and cash equivalents were $2.50 billion as of September 30, 2026, versus $1.71 billion as of June 30. Short-term investments were $3.40 billion, versus $736.1 million at June 30.

The company received about $5.41 billion of ATM net proceeds in the three months ended September 30, all from MSTR, plus about $58.7 million between October 1 and October 23. Capital raised year to date was $21.23 billion.

Digital Credit USD Assets grew to $5.07 billion, providing 3.4 years of coverage on dividend and interest obligations. The USD Reserve was $4.83 billion and USD Cash $242.4 million. STRC’s dividend rate was held at 12.00%.

Year to date, Strategy repurchased 20,980,508 shares of STRC ($2.10 billion aggregate notional) for about $2.04 billion at an average $97.39 a share, an approximate 2.6% discount to the $100 stated amount. About $956.7 million of authorization remained. Cumulative dividends paid on all preferred stock were $1.48 billion to date. The company sold about $431.8 million of bitcoin year to date under its monetization program.

With shareholder approval on October 28, Strategy upgraded STRC to daily dividends starting November 1, 2026, and STRF, STRK, and STRD to daily dividends starting January 1, 2027. President and Chief Executive Officer Phong Le said daily dividends would let investors accrue dividends every calendar day.

Kang will step down as CFO effective November 5, 2026, remaining in an advisory role through December 31. Le will serve as principal financial officer during the transition. Reza Virasteh, current Executive Vice President of Operations, becomes CFO effective January 1, 2027.

The company said it does not expect positive accumulated earnings and profits for U.S. federal income tax purposes and expects preferred distributions to be treated as non-taxable return of capital for the foreseeable future.