NAKA · Nakamoto Inc.

Nakamoto Inc.'s Q4 and full year 2025 results reflect a transformative period marked by the launch of its Bitcoin strategy in August 2025, including a merger with KindlyMD and rebranding. GAAP operating losses were dominated by non-cash items: a $142.6 million loss on digital assets in Q4 from Bitcoin's price drop from $114,078 (Sep 30) to $87,519 (Dec 31), and $166.2 million annually from a weighted average purchase price of $118,171. A $10.8 million Q4 and $9.9 million annual investment loss tied to Metaplanet holdings further pressured results. Healthcare revenue fell to $444,924 in Q4 from $603,887 YoY amid clinic closures and service declines, contributing to ongoing losses, while Bitcoin operations generated no revenue. Non-GAAP adjusted operating loss improved relatively to $5.2 million in Q4 and $13.6 million annually after backing out fair value changes and $1.8 million Q4/$5.0 million annual transaction costs from the merger and acquisitions. Post-year end, Nakamoto sold $20 million Bitcoin to build a USD operating reserve for liquidity, separating short-term needs from its 5,342 BTC treasury. Acquisitions of BTC Inc (media/events) and UTXO Management (asset management) in February 2026 diversify into revenue-generating verticals. Exiting Healthcare is expected to cut losses, with focus shifting to execution, integration, operating leverage, and Bitcoin accumulation. Management, led by CEO David Bailey, emphasizes disciplined capital allocation and M&A. Non-operating gains of $204.5 million Q4/$226.4 million annual from BTC Inc/UTXO call options offset some impacts. Enterprise value stood at $341 million at year-end (market cap $154M + $210M notes payable - $23M cash). Share repurchases of 2.3 million shares underscore confidence, with shares outstanding rising to 690 million by March 27, 2026.