Nakamoto posted a net loss of $238 million for the first quarter of 2026, but revenue jumped more than 500% quarter-over-quarter to $2.7 million. The loss was driven largely by non-cash items — a $107 million charge from a pre-acquisition option and a $102 million mark-to-market loss on its Bitcoin holdings. The company, which rebranded from KindlyMD in January, sold 284 Bitcoin on March 31 to cover operating expenses and held 5,058 BTC at quarter's end — a stash that lost 23% of its value during the period.
A $238M loss, but revenue climbs
Nakamoto's four business lines generated the $2.7 million in revenue: Bitcoin treasury and derivatives brought in $1 million, media contributed $800,000, healthcare pulled in $500,000, and asset management added $200,000. The healthcare segment is on the chopping block — the company plans to fully wind it down by the end of Q2 2026. CEO David Bailey called Q1 a transformational period and said the focus for 2026 is execution, scaling revenue, and disciplined capital allocation.
Bitcoin holdings take a hit
Nakamoto didn't buy any Bitcoin during Q1, a notable pause for a firm that made its name as a Bitcoin treasury play. Bitcoin was roughly 37% below its record high during the quarter, and most treasury-focused firms have pulled back on purchases. The mark-to-market loss of $102 million reflects that price drop. The company's decision to sell 284 BTC to cover expenses — rather than issuing equity or debt — signals a tight cash position.
Four revenue streams and two acquisitions
On February 20, Nakamoto closed its acquisitions of Bitcoin news outlet BTC Inc. and investment platform UTXO Management. Those deals are already contributing to the media and asset management revenue lines. The Bitcoin treasury/derivatives business remains the largest revenue driver at $1 million, suggesting the firm is still leaning on its core crypto strategy despite the market downturn.
Healthcare exit and stock response
The planned wind-down of the healthcare business by end of Q2 marks a clean break from Nakamoto's origins as a Utah healthcare provider. After-hours trading on the Q1 release saw shares rise 2.7% to $0.18 — a tiny blip for a stock that has fallen more than 99% from its all-time high. The company hasn't outlined any new Bitcoin purchase plans for Q2, and the next quarterly report will show whether the revenue surge is sustainable without healthcare.
