Galaxy Digital (Nasdaq: GLXY) reported net income of $323 million for the third quarter, against a net loss of $85 million in the second, the company said on Tuesday. Diluted earnings per share were $0.66, or $0.83 on its adjusted measure, and the board authorised a new $200 million share buyback on 26 Oct. This is CryptoWatchDesk’s first report on Galaxy’s results.
The quarter’s real driver was the balance sheet, not the franchise. Galaxy’s Treasury & Corporate segment, which holds its own crypto, equity and venture positions, produced $419 million of the group’s $569 million adjusted gross profit, about 74% by our arithmetic. The Digital Assets segment, home to trading, lending and asset management, posted adjusted EBITDA of minus $9 million, slightly better than minus $11 million in the second quarter.
The franchise numbers did move. Trading volumes rose 12% from the second quarter while spot volumes across the market fell, the company said, and the average loan book grew 27% to $1.8 billion.
Assets under management and assets under stake reached $10.4 billion, up 46%, including $2.5 billion in ETFs and $4.6 billion staked to Galaxy validators. Galaxy also signed a multi-year agreement with BNY that covers staking on the bank’s digital asset custody platform; for the basics, see what a crypto custodian does.
The data centre side is now the second earnings engine. Its Helios campus in Texas, whose first 133 MW are leased to CoreWeave, delivered $79 million of adjusted gross profit and $69 million of adjusted EBITDA in its first full quarter. Galaxy raised $3.5 billion of senior secured notes for the second phase, with data halls due from the second quarter of 2027.
Mike Novogratz, founder and chief executive, said progress in the digital assets and data centre businesses “is strengthening and diversifying our earnings profile.”
On capital, Galaxy finished its first $200 million buyback on 15 Oct after retiring about 9.8 million shares since February. Strategy, by contrast, paused its bitcoin buying and spent $204.9M on an STRC buyback this week, while BNY keeps building out tokenized collateral, as in BNY’s tokenized Treasury repo work with Citadel Securities. Strategy and Coinbase both report on Thursday, according to the week’s earnings calendar.
Galaxy ended September with total equity of $3.0 billion and $4.9 billion in cash, stablecoins and US Treasuries.
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This article is for information only and is not investment advice.