Company: CRCL
Filing Date: 2025-08-12
Form Type: S-1
Source: 0001193125-25-178989
Chunk: 141

Company: Circle Internet Group, Inc.
Filing Date: 2025-08-12
Form: S-1
Chunk 141
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 $                  | -482,100 |     | $ |  32,923 |     | $                     | -515,023 |     |     | (1564.3)%                         |

**Revenue and reserve income Reserve income.Reserve income increased by $211.0 million, or 49.9%, for the three months ended June 30, 2025, compared to the three months ended June 30, 2024, of which approximately $327.4 million of the 89

increase is attributable to a 86% increase in average daily USDC in circulation reflecting increased demand for Circle stablecoins related to digital asset trading activity, market share gains as we continue to grow in key markets, as well as expanded strategic partnerships and integrations. This was offset by a decrease of approximately $117.2 million attributable to a 103 basis point decline in the average yields reflecting interest rate actions undertaken by the U.S. Federal Reserve.

Other revenue. Other revenue increased by $17.0 million, or 251.8%, for the three months ended June 30, 2025, compared to the three months ended June 30, 2024, primarily due to an $18.4 million increase driven by additional Integration Services performed, fund management fees, and redemption fees related to our Tokenized Funds and Circle stablecoins.

Distribution, transaction and other costs

Distribution and transaction costs. Distribution and transaction costs increased by $159.6 million, or 64.6%, for the three months ended June 30, 2025, compared to the three months ended June 30, 2024, primarily driven by a $90.2 million increase in distribution costs paid to Coinbase as a combined result of increased reserve income and their on-platform balances, along with a $68.7 million increase in other distribution costs related to new strategic distribution partnerships.

Other costs. Other costs decreased by $1.0 million, or 68.2%, for the three months ended June 30, 2025, compared to the three months ended June 30, 2024, primarily driven by a decrease in the costs related to the discontinued legacy products.

Operating expenses

Compensation expenses. Compensation expenses increased by $435.8 million, or 644.6%, for the three months ended June 30, 2025, compared to the three months ended June 30, 2024, primarily driven by $423.8 million of stock-based compensation expense related to the vesting of