NASDAQ$BKKT

Bakkt Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Announced second quarter 2024 results, demonstrating revenue growth and reduced operating expenses.

Bakkt reported total revenues of $509.9 million, driven by growth in crypto services. The company reduced its operating expenses excluding crypto costs by 43.1% year-over-year. Operating loss improved by 56.9% year-over-year to $22.0 million, and net loss improved by 29.7% year-over-year to $35.5 million.

  • Total revenues reached $509.9 million, including gross crypto revenues and net loyalty revenues.
  • Operating expenses, excluding crypto costs, decreased by 43.1% year-over-year and 24.6% sequentially.
  • Crypto enabled accounts grew to 6.4 million, up 6.7% year-over-year.
  • Notional traded volume increased 26.6% year-over-year to $672 million.

Headline financials

Total Revenue

$510M

Previous: $348M+46.7%
EPS

-$2.67

Previous: -$4.75+43.8%
Capital Expenditures

-$463K

No prior period
Free Cash Flow

-$16.4M

Previous: -$16.8M+2.5%
Net Income

-$16.4M

Previous: -$16.8M+2.5%
Operating Income

-$22M

Previous: -$51.1M+56.9%
Stock-Based Comp

$2.41M

Previous: $4.09M-41.1%

Revenue & EPS history

Bakkt · Revenue · Quarterly

$510M

Q2 2024+46.7%vs Q2 2023
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Revenue by segment

Bakkt · $335M total across 1 segment · Q2 2023

  • Crypto Services
    $335M

Forward guidance

Bakkt provided full year 2024 revenue guidance of $2,568 million - $2,827 million, including gross crypto revenues of $2,515 million - $2,770 million and net loyalty revenues of $53 million – $57 million.

Tailwinds

  • Full year 2024 revenues expected to be $2,568 million – $2,827 million.
  • Gross crypto revenues expected to be $2,515 million - $2,770 million.
  • Net loyalty revenues expected to be $53 million – $57 million.
  • Full year 2024 crypto costs expected to be $2,505 million – $2,755 million, in line with gross crypto revenues.
  • Full year 2024 total operating expenses excluding certain costs expected to be $157 million – $162 million.

Headwinds

  • Full year 2024 net cash used in operating activities expected to be ($72 million) – ($79 million).
  • Full year 2024 free cash flow usage expected to be ($79 million) – ($86 million).
  • End of year available cash, cash equivalents and available-for-sale securities of $35 million – $42 million.
  • Decrease in new crypto trading accounts driven by re-alignment of international strategy.
  • Reduction in upper end of expected end of year balance driven by $10mm reduction in net contribution from crypto trading.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

+4.3%

Avg return

Earnings day

+14.5%

Avg return

5 days after

+21.3%

Avg return

30 days after

47%

9 / 19 earnings

Positive

+62.5%

Q3 2023

Best reaction

-33.7%

Q4 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+0.6%-16.0%-14.8%
Q3 2025-13.0%-23.3%-45.7%
Q1 2025+48.0%+27.8%+29.8%
Q4 2024+13.0%+30.4%-8.6%
Q3 2024-1.8%+155.9%+150.0%
Q2 2024-10.8%-9.8%-27.1%
Q1 2024-5.9%+49.3%+67.4%
Q4 2023-16.3%-14.5%-33.1%
Q3 2023+62.5%+76.4%+143.1%
Q2 2023+0.7%-4.3%-9.2%
Q1 2023-12.4%-5.8%+1.5%
Q4 2022-13.5%-3.2%+25.4%
Q3 2022+20.8%+24.9%-2.9%
Q2 2022+11.1%+2.2%-6.3%
Q1 2022+37.2%+28.8%+13.5%
Q4 2021-33.7%-31.8%-25.3%
Q3 2021-4.1%-11.2%+146.1%
Q2 2021-0.4%-0.7%+3.3%
Q1 2021+0.1%+0.1%-1.6%

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