Bakkt Holdings, Inc. reported increased net revenues of $15.6 million in Q4 2022, up by 14% YoY, and full-year net revenues of $54.6 million, reflecting a 38% YoY increase. The company's digital asset conversion volume also increased by 19% YoY in Q4 2022 and 51% YoY for the full year. Bakkt's priorities for 2023 are to expand the crypto platform, activate and broaden partner network, and focus on expense and capital allocation decisions. The company also plans to close its acquisition of Apex Crypto in H1 2023. Bakkt's FY 2023 net revenues are expected to grow to $62-$72 million, while net cash used in operating activities is expected to improve by 5%-15% compared to 2022. The company plans to focus on new initiatives to drive value and profitability, such as expanding custody and investing in Lightning Network. The CEO of Bakkt, Gavin Michael, stated, "While market conditions continue to be challenging, we are optimistic that our differentiated platform, regulatory and compliance-first approach, balance sheet strength, and broad partner network will position us well for success." Overall, Bakkt's strong financial results and strategies moving forward position the company well within the competitive crypto market.
"We are proud of all that we accomplished throughout 2022 despite an incredibly difficult market environment," said Gavin Michael, President and CEO of Bakkt.
The financial outlook for FY 2023 excludes the net revenue and expenses from Apex Crypto since the acquisition is subject to regulatory approval.