Tokyo-listed bitcoin treasury company Metaplanet posted a net loss of 95 billion yen ($619 million) for fiscal 2025 ended December 31.
The loss stemmed from a 102.2 billion yen ($665.8 million) reported valuation decline on its bitcoin holdings under Japanese accounting rules.
The company's Bitcoin (BTC) stack grew to 35,102 BTC by year-end from 1,762 BTC twelve months earlier. That 1,892% increase makes Metaplanet the fourth-largest corporate bitcoin holder globally, trailing Strategy's 714,644 BTC.
What Happened
Despite the bottom-line loss, Metaplanet's operating performance showed dramatic improvement. Revenue reached 8.905 billion yen ($58 million), up 738% from 1.06 billion yen in fiscal 2024.
Operating profit surged 1,694% to 6.287 billion yen ($41 million). Bitcoin-related operations generated approximately 95% of total revenue, primarily through premium income from bitcoin options transactions.
The valuation loss represents a non-cash accounting adjustment required under Japanese standards. Bitcoin traded around $87,500 on December 31, below Metaplanet's average acquisition cost of approximately $107,600 per coin.
The company raised 517.2 billion yen ($3.37 billion) cumulatively through 2025 to fund its accumulation strategy. This included 21.25 billion yen ($138 million) from December's preferred share issuance.
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Why It Matters
Metaplanet's results illustrate the volatility inherent in corporate bitcoin treasury strategies. The company transformed itself from a hotel operator into a bitcoin-focused entity mirroring Strategy's approach.
For fiscal 2026, Metaplanet forecasts revenue of 16 billion yen ($104 million) and operating profit of 11.4 billion yen ($74.3 million), representing growth of approximately 80% in both metrics.
The company declined to provide net income guidance due to bitcoin price volatility. Management maintains a long-term target of 210,000 BTC by 2027, equivalent to 1% of bitcoin's total supply.
Despite unrealized losses, Metaplanet emphasized its balance sheet remains robust with a 90.7% equity ratio. The company stated liabilities would remain covered even with an 86% bitcoin price decline.
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