Shares of crypto firm Block fall as reported profits disappoint

Crypto financial firm Block just released its financials for the fourth quarter of 2024, missing Wall Street expectations.

According to the revenue report released by Block on Thursday, in Q4, 2024, the firm was $0.71 worth of earnings per share instead of the expected $0.87. The firm’s total revenue in the quarter was $6.03 billion — falling short of the expected $6.29 billion.

Block’s revenue increased by about 4.5% from a previously reported value of $5.77 billion a year. According to a recent CNBC report, the firm’s CEO Jack Dorsey explained during an earnings call that the company is pivoting to combining more services into its app to increase spending and engagement:

“We have a huge base of Cash Card customers that we can deploy this to. […] We can do that extremely quickly. It’s easy to roll out for us and alert people proactively of entirely new utility that they can use that day, instantly. […]

There will be a significant reason to use Cash App and not have to go to the App Store for 10 different apps. […] Everything is in one app, and that will be the Cash App.”

The news follows the November 2024 reports that Block leaped Bitcoin (BTC) mining. The firm’s Bitcoin mining system is called proto and its chief financial officer Amrita Ahuja said during the call that it is expected to start benefiting from the initiative’s growth in the second half of 2025.

Dorsey said that Block is already manufacturing its own Bitcoin mining chips that it is looking to roll out later this year. He said of the Bitcoin mining market:

“We do think the market is large, and we do think we’re poised to take a significant percentage of it. […] This year is gonna be one of unexpected upside in this business, and one that we significantly change the market dynamics on because of just how well our system works and how configurable it is.”

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