Circle shares fall 3% despite earnings beat as stablecoin issuer misses on revenue

Circle Internet (CRCL) shares fell about 3% in premarket trading Wednesday after an initial jump after the stablecoin issuer reported second-quarter earnings. While the company topped profit expectations, revenue came in slightly below Wall Street forecasts.

Circle posted adjusted earnings of 18 cents a share, beating analysts’ consensus estimate of 16 cents, while revenue and reserve income rose 7% from a year earlier to $701 million, missing expectations of $712 million. Net income from continuing operations reached $48 million, topping analysts’ estimates of $43 million, while adjusted EBITDA climbed 8% to $143 million.

USDC, Circle’s dollar-backed stablecoin, continued to expand. Circulation reached $73.3 billion at the end of June, up 19% from a year earlier, but down from its 2026 peak of nearly $80 billion. Onchain transaction volume surged 151% to $14.8 trillion during the quarter.

“Our quarterly financial results reflect the current rate environment and a crypto market that has slowed,” CEO Jeremy Allaire said in a statement. “But the institutions using USDC today, like BlackRock, BNY and Standard Chartered aren’t piloting, they are expanding.”

The earnings also offered the clearest update yet on Arc, Circle’s blockchain network scheduled to launch its public mainnet on Sept. 16.