Galaxy Digital Achieves Record Q3 2025 Profit: $505 Million

Galaxy Digital Posts Record Quarter With $505 Million Net Income In Q3 2025

Galaxy Digital (Nasdaq: GLXY, TSX: GLXY), a leading institutional digital assets and AI infrastructure firm, has announced exceptional financial results for the third quarter of 2025, marking its strongest operational quarter in the company's 8-year history. With net income soaring to $505 million and adjusted EBITDA reaching $629 million, Galaxy Digital continues to solidify its leadership amidst a burgeoning digital asset market and increasing demand for AI compute capacity.

Impressive Financial Performance Highlights

Galaxy Digital reported a net income of $505 million for the quarter ended September 30, 2025. This figure represents a significant leap, especially when compared to a net loss of $33.3 million in the prior year's corresponding period. Diluted Earnings Per Share (EPS) stood at $1.01, while Adjusted EPS came in at $1.12, significantly outperforming the average analyst estimate of $0.16. The company's adjusted EBITDA reached $629 million, a substantial increase from $211 million in Q2 2025.

Galaxy Digital's total revenue also surged to $29.22 billion, representing a remarkable 20,329% year-over-year increase and far exceeding analyst expectations. Total equity stood at $3.2 billion as of September 30, 2025, a 21% increase from the prior quarter, and cash and stablecoin holdings grew by 62% quarter-over-quarter to $1.9 billion.

Growth Driven By Digital Assets Business

Galaxy Digital's digital assets operating unit was a primary catalyst for this record quarter. Digital asset trading volumes jumped by an impressive 140% from the prior quarter, reaching all-time highs. Notably, the firm executed a substantial $9 billion notional Bitcoin sale, representing over 80,000 BTC, on behalf of a single client. This reflects heightened activity across both spot and derivatives trading, coupled with strong institutional demand.

The digital assets business segment generated a record adjusted gross profit of $318 million and adjusted EBITDA of $250 million. Total assets on Galaxy's platform reached an all-time high of approximately $17 billion. The asset management arm also made significant contributions, with Assets Under Management (AUM) climbing to nearly $9 billion, fueled by over $2 billion of net inflows into its alternatives suite and ETFs. New digital-asset-treasury mandates added more than $4.5 billion in assets to Galaxy, expected to generate over $40 million in annual recurring fee revenue.

Strategic Investments In AI Infrastructure

Beyond its digital assets core, Galaxy Digital is rapidly advancing its data center ambitions. Its Helios campus in Texas is envisioned by CEO Mike Novogratz as a "cornerstone" for the company's AI-compute operations. Galaxy secured a $1.4 billion project financing facility that fully funds Phase I of its Helios data center development, which has a total build cost of $1.7 billion. CoreWeave, a US-based cloud computing company specializing in GPU infrastructure for artificial intelligence workloads, executed a lease agreement for Phase II and exercised its final option to access an additional 133 megawatts of critical IT load, bringing its total commitment to the full 800 MW of approved power capacity.

While the Helios data center is not expected to generate meaningful profits until the first half of 2026, when Phase I begins delivering critical IT capacity and recognizing revenue, it is projected to generate around $1 billion in annual revenue from its long-term partnership with CoreWeave.

Other Developments And Market Outlook

During Q3 2025, Galaxy Digital undertook several key strategic initiatives. On October 6, 2025, the company launched GalaxyOne, a unified financial technology platform for U.S.-based individual investors, providing access to high-yield cash, cryptocurrencies, and equities trading through a single platform. Additionally, on October 10, 2025, Galaxy announced a $460 million equity investment by one of the world's largest asset managers, with net proceeds of $325 million aimed at supporting the build-out of the Helios data center campus and general corporate purposes.

The global crypto market experienced its third consecutive quarter of expansion in Q3 2025, adding approximately $563 billion in value to reach $4 trillion, its highest level since 2021. Galaxy Digital's results reflect this broader trend, underscoring continued strength across the digital asset industry. With its stock trading near its 52-week high, Galaxy Digital is well-positioned to continue leveraging the growth in both digital assets and AI infrastructure demand.

Conclusion

The third quarter of 2025 proved to be a landmark period for Galaxy Digital, characterized by record net income and trading volumes, alongside significant strategic advancements in its AI infrastructure segment. This robust performance not only validates the company's capability to navigate the dynamic digital asset market but also highlights its long-term vision of integrating digital finance with high-performance computing. Galaxy Digital is actively shaping the future of finance and technology, serving as a crucial bridge between traditional financial markets and emerging crypto services.

The content above reflects the author's personal views only and does not represent any official stance of Cobic News. The information provided is for reference purposes only and should not be considered investment advice from Cobic News.