Gemini Space Station (GEMI) Q2 2026 earnings summary

Executive summary

• Total revenue for Q2 2026 was $45.5 million, up 37% year-over-year, driven by services and OTC growth, despite a 38% decline in exchange revenue due to weak crypto market volumes.

• Operating expenses declined 15% sequentially, with a 40% reduction in headcount from the Q3 2025 peak, reflecting cost restructuring and a focus on U.S. markets.

• Net loss improved 19% year-over-year to $107.7 million, with operating loss improving 18% sequentially to $76.9 million.

• Product expansion included commission-free U.S. stock trading, prediction markets, and a derivatives clearing house, broadening the platform to over 5,000 tradable markets.

• AI adoption increased engineering output by 1.5x since Q4 2025, with disciplined spend and multi-provider strategy.

Financial highlights

• Net revenue was $43.7 million, up 33% year-over-year; total revenue was $45.5 million.

• Services revenue and interest income reached $26 million, up 117% year-over-year, now 59% of net revenue.

• Credit card revenue was $16.2 million, up 231% year-over-year; card MTUs at 106,000, up 165% year-over-year.

• OTC revenue surged 671% year-over-year to $4.7 million, driven by episodic client demand.

• Adjusted EBITDA was $(74.0) million, down from $(51.9) million in Q2 2025, mainly due to realized and unrealized losses on bitcoin received in a May 2026 private placement.

Outlook and guidance

• No formal revenue guidance provided due to early-stage monetization of new products and macro uncertainty.

• Cash compensation expected to decline 15%-20% from 2025 levels; stock-based compensation forecasted at $100-$115 million for the year.

• Technology and G&A expenses guided to $155-$170 million for the full year.

• Marketing spend to remain within 10%-15% of revenue (excluding rewards/promotions), with increased investment expected in H2.

• Management is focused on diversifying revenue streams and reducing sensitivity to crypto market volatility.