Circle Q4 2025 Earnings Rally On USDC Demand
Circle Q4 2025 Earnings show USDC adoption lifted revenue and profit on Feb. 25, 2026 and point to higher margins and reserve-backed flows for traders
KEY TAKEAWAYS
- Following the filing, Q4 revenue and reserve income was $770 million, up 77% year-over-year.
- Adjusted EBITDA rose to $167 million, a 412% year-over-year gain.
- USDC in circulation totaled $75.3 billion, supporting on-chain volume and segregated reserves.
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Circle Internet Group (NYSE: CRCL) reported Q4 2025 earnings on Feb. 25, 2026, showing a sharp rise in revenue and profitability as growing demand for USDC boosted transaction volume and strengthened the firm’s stablecoin backing.
Revenue and Profitability
Circle posted total revenue and reserve income of $770 million in Q4 2025, up 77% year over year. Revenue less distribution costs (RLDC) reached $309 million, reflecting a 40% margin and a 136% increase from the prior year. Adjusted EBITDA rose 412% to $167 million, while net income from continuing operations climbed to $133 million from $4 million in Q4 2024. Basic and diluted earnings per share were $0.56 and $0.43, respectively.
For full-year 2025, the company reported total revenue and reserve income of $2.7 billion, up 64% year over year, and adjusted EBITDA of $582 million, a 104% increase. The company recorded a net loss from continuing operations of $70 million, primarily due to $424 million in IPO-related stock-based compensation.
USDC Scale and Outlook
USDC in circulation stood at $75.3 billion at Dec. 31, 2025, up 72% year over year, with an average circulation in Q4 of $76.2 billion, roughly double the prior-year quarter. On-chain transaction volume reached $11.9 trillion in Q4, a 247% increase year over year. USDC’s stablecoin market share rose 426 basis points to 28% at year-end.
Circle reported total current assets of $77.8 billion at year-end, including $75.1 billion of cash segregated for stablecoin holders. Deposits from stablecoin holders totaled $74.9 billion. The company projects USDC circulation will grow at a roughly 40% compound annual rate over multiple years. It set 2026 targets for other revenue of $150 million to $170 million, an RLDC margin of 38% to 40%, and adjusted operating expenses of $570 million to $585 million.
The company said in its press release, "The fourth quarter marked another step forward in Circle’s mission to build the infrastructure for an open, programmable internet financial system."
The surge in USDC circulation and transaction activity, combined with large segregated reserves and management’s multi-year growth guidance, frames the quarter as a scaling moment for stablecoin-driven revenue and margin expansion rather than a recovery tied to broader crypto-asset prices.
