SharpLink Gaming reported a dramatic turnaround in its third‑quarter 2025 results, with revenue climbing to $10.8 million—an increase of more than 1,100% from the $0.9 million earned in the same quarter a year earlier. Net income flipped from a $0.9 million loss in Q3 2024 to $104.3 million, driven largely by unrealized gains on the company’s Ethereum holdings and the first full reporting period of its treasury strategy. Earnings per share rose to $0.62, beating the consensus estimate of $1.30 and the prior‑year EPS of $-0.08 by a margin of $0.54.
The revenue surge is almost entirely attributable to the company’s shift toward an Ethereum treasury model. By staking 580,841 ETH—valued at roughly $2.4 billion as of September 30, 2025—SharpLink generated significant yield and capital appreciation, which translated into higher operating income. The affiliate‑marketing segment, which had been a modest revenue source, declined as management reallocated resources to the treasury program, a move that the company said would strengthen long‑term shareholder value.
Net income’s positive swing reflects the impact of the ETH holdings. While operating expenses, particularly selling, general and administrative costs, rose to $12.4 million from $709,000 a year earlier, the unrealized gains on the treasury offset those costs and produced a net profit. The company’s balance sheet now shows 861,251 ETH as of November 9, 2025, up from 580,841 ETH at the end of September, underscoring the scale of the treasury expansion.
During the call, Co‑CEO Joseph Chalom highlighted the milestone, saying, “This quarter marks the first full reporting period since we launched the treasury strategy, and the results confirm that our focus on Ethereum staking and yield generation is delivering tangible value.” Co‑CEO Rob Phythian added, “While the affiliate‑marketing business remains steady, we are concentrating our efforts on the treasury program, which is now the primary driver of revenue and profitability.”
Management provided guidance for the next quarter but did not disclose specific figures. The company signaled confidence in sustaining growth from the treasury strategy, while acknowledging that the volatility of Ethereum and the higher SG&A spend could temper short‑term margins. The guidance suggests a cautious but optimistic outlook for continued earnings momentum.
Investors responded positively to the results, noting the company’s successful pivot to a crypto‑asset‑centric model and the substantial improvement in profitability. Headwinds remain in the form of declining affiliate‑marketing revenue and increased operating costs, but the company’s large ETH holdings and staking yield are positioned to support future earnings growth.
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