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Circle Posts Strong Q3 as ARC Presale Lifts Results

The quarter signals Circle's shift from yield-dependent USDC income toward payments and blockchain infrastructure driven by a one-time $182 million ARC presale.

Overview

  • Circle reported Q3 revenue of about $865 million and net income of $226 million in results released Wednesday, with adjusted EBITDA of $317 million that beat analyst expectations.
  • The company recognized $182 million from a private presale of ARC tokens, a non-recurring item that accounted for most of the surge in other revenue and materially boosted profitability.
  • USDC on-chain activity grew sharply, with average circulation near $73.3 billion and on-chain transaction volume up about 49% to $13.9 trillion, even as reserve income fell 8% to $658 million because reserve yields dropped to roughly 3.5%.
  • Strategic moves continued: Arc launched its public mainnet on Sept. 16 with more than 100 institutional builders and 11 founding validators, Binance made a $100 million equity investment and Circle reaffirmed a planned $400 million acquisition of Tazapay expected to close in 2027 pending approvals.
  • Circle disclosed an organizational realignment that cut about 5% of staff and produced roughly $9.1 million in restructuring charges as it reallocates resources toward Arc, payments expansion and international growth.