Novogratz’s Galaxy Digital Posts Loss as Crypto Rout Lingers

Novogratz’s Galaxy Digital Posts Loss as Crypto Rout Lingers

Galaxy Digital Inc., the crypto financial services conglomerate founded and run by billionaire Michael Novogratz, posted a narrower-than-estimated first-quarter loss, citing a shift toward data centers in the business mix as recurring fee revenue and transaction income continue to improve. Revenue was higher than analysts’ estimates.

The net loss was $216 million, or 49 cents a share, driven primarily by the depreciation of digital asset prices in the quarter, Galaxy said in a statement Tuesday. Revenue was around $10 billion, compared with a consensus estimate of $8.8 billion of analysts surveyed by Bloomberg. Shares of the New York-based firm fell about 4% in pre-market trading.

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