GEMI: Massive 2025 Loss, C-Suite Shake-Up

Gemini Space Station’s preliminary Form 8-K filed on February 17, 2026, lays out a stark picture: user growth and higher revenues paired with what the company calls a massive 2025 loss c-suite event that leaves the business facing steep expenses and three simultaneous executive departures. The filing shows net revenue for 2025 between $165 million and $175 million—up from $141 million in 2024—and roughly 600,000 Monthly Transacting Users, a 17% increase year‑over‑year. But operating expenses are projected at $520 million to $530 million, producing a headline net loss of $587 million to $602 million and an Adjusted EBITDA loss in the $257M–$267M range.

Massive 2025 loss c-suite: Financial picture

The numbers Gemini released are preliminary and unaudited, but they are detailed enough to explain why management framed the year as a watershed moment. Revenue growth came from transaction revenue—projected at $93M–$99M—and services revenue—$72M–$76M—driven in particular by expansion in credit‑card related services. On the other side of the ledger, total operating expenses ballooned from $308M in 2024 to an expected $520M–$530M in 2025. That swing explains the company’s estimated $587M–$602M net loss.

Adjusted EBITDA—a non‑GAAP measure the company uses to show underlying performance—was forecast at a negative $267M to $257M. The reconciliation in the filing shows how large non‑cash and financing items contributed to the gap: $85M–$90M of stock‑based compensation, $70M of interest expense, $31M of depreciation and amortisation, and sizeable fair‑value adjustments on related‑party instruments (including $119M tied to related‑party loans and $26M on related‑party convertible notes). The filing also includes an expected $30M–$35M of net realised and unrealised losses, all underscoring that the headline loss includes both operating cash burn and accounting charges.

Massive 2025 loss c-suite: Leadership reshuffle

Complicating the financial story, Gemini simultaneously announced the departure of three senior executives effective February 17, 2026: Chief Operating Officer Marshall Beard, Chief Financial Officer Dan Chen, and Chief Legal Officer Tyler Meade. The filing says Beard also resigned from the board and that his resignation was not the result of any disagreement over company matters. Gemini does not plan to hire a replacement COO; instead, many of the COO’s revenue‑related duties will be assumed by co‑founder Cameron Winklevoss.

The board appointed internal successors on an interim basis. Danijela Stojanovic, previously Gemini’s Chief Accounting Officer, is Interim Chief Financial Officer. The company disclosed a $450,000 base salary for Stojanovic and an award of 132,275 restricted stock units expected to vest quarterly over two years, subject to committee approval. Kate Freedman, who had been Associate General Counsel and Corporate Secretary, is Interim General Counsel. Both interim appointments are intended as immediate stabilising moves while the board evaluates longer‑term staffing.

Drivers of the operating shortfall

Gemini’s filing is clear about the proximate causes of the large 2025 loss: rapid cost expansion tied to personnel, stock‑based compensation, technology investments, and marketing to support strategic initiatives. Personnel‑related costs and stock awards were singled out as major contributors to higher operating expenses. The company also highlighted investments in technology and general and administrative overhead—areas that typically produce short‑term cash outflows while preparing a platform for future revenue streams.

Beyond operating decisions, financing and accounting items amplified the headline losses. The filing details significant changes in fair value for related‑party loans and convertible instruments; those one‑time or mark‑to‑market swings do not necessarily reflect ongoing operating performance but they do affect net income and investor perception. In short, the 2025 results are a mix of higher growth‑period spending and discrete accounting items that together produced an unusually large reported loss.

Market implications and investor outlook

The twin announcements—large preliminary losses and a synchronized C‑suite exit—raise three immediate questions for investors: liquidity and runway, governance and execution risk, and the credibility of internal controls around financial reporting. Because the 2025 figures are preliminary and unaudited, investors must wait for final audited results to determine whether the estimates hold and what additional one‑time charges may appear.

Public market reactions to such filings typically focus on near‑term funding needs and whether management can slow the burn without derailing growth. The company’s decision not to appoint a new COO and to have Cameron Winklevoss absorb many operating responsibilities signals a leaner executive team in the short term but also concentrates decision authority at the founder level—something some investors find reassuring and others view as an added governance risk. The appointment of an experienced accounting professional as Interim CFO offers a stabilising signal on reporting quality, but it does not, by itself, close a multi‑hundred‑million‑dollar loss.

What Gemini Space Station is and where it stands

Gemini Space Station operates as a technology‑enabled crypto‑asset and services platform; its Monthly Transacting Users include retail and institutional customers engaging in trading, custody, pooled staking, credit‑card activity, and other services that generate revenue. The company argues that 2025 showed clear traction—600,000 MTUs and higher services revenue—but the business model still requires scale and margin improvement to reach profitability.

Whether the stock is a buy, hold, or sell depends on an investor’s time horizon and risk tolerance. For long‑term investors bullish on the sector, the user growth and higher services revenue could be encouraging if the company can reduce operating leverage and preserve capital. For shorter‑term or risk‑averse investors, the combination of heavy cash burn, large non‑cash charges, and leadership turnover increases uncertainty until the audited 2025 statements and a clearer strategy are in hand.

Signs to watch next

In the coming weeks, investors and analysts should focus on several concrete items: the final audited 2025 financial statements and any material adjustments to the preliminary ranges; management’s plan for cost control and whether the company needs additional capital; details of separation agreements and any ongoing obligations to departing executives; and whether the interim appointments become permanent. Regulatory and legal developments—if any—could also change the calculus, given the company’s activity in regulated financial services and crypto‑adjacent products.

The filing itself contains forward‑looking statements and cautions that actual results may differ materially, underscoring that these are estimates prepared ahead of the formal close. For market participants, the near term will be defined by a demand for more clarity: audited numbers, forecast revisions, and a firm plan to either reduce cash burn or secure funding that preserves the company’s strategic initiatives.

Sources

• Securities and Exchange Commission (Form 8‑K filed February 17, 2026)
• Gemini Space Station, Inc. preliminary 2025 results (Form 8‑K disclosures)