According to Crypto.news, Metaplanet CEO Simon Gerovich has confirmed that the company is still working through the path to list its planned preferred shares in Japan, with the Mars and Mercury preferred share listing now delayed due to regulatory and market structure challenges. The planned instrument would be only the seventh listed preferred share in Japan and the first listed perpetual preferred if approved, making it a significant addition to Japan's capital markets. Gerovich explained that the review process is taking longer due to Japan's small and cautious preferred share market, describing the planned product as a possible addition to Japan's capital markets but emphasizing the need for careful consideration due to the structure's novelty.
As reported by Crypto.news, two key obstacles have emerged as the primary reasons for the preferred share delay. First, Japanese exchange rules require preferred dividends to be backed by sustainable, recurring cash flows assessed across multiple market conditions. Metaplanet must demonstrate that its Bitcoin Income Generation Business can produce stable returns even in adverse bitcoin environments, and has just a six-quarter operating track record. Second, the company's ambition to pay monthly dividends is far more frequent than Japan's typical once or twice-yearly cadence, which requires building entirely new dividend infrastructure around record dates. Gerovich concluded that the company is committed to delivering preferred shares to the market and highlighted Japan's status as one of the world's most yield-starved major capital markets.
According to The Block, Metaplanet reported a net loss of ¥114.5 billion ($725.6 million) for Q1 fiscal 2026, driven primarily by bitcoin mark-to-market valuation losses despite strong operational performance. The company's operating profit increased 282.5% to ¥2.3 billion ($14.4 million) on revenue of ¥3.1 billion ($19.5 million), representing a 251.1% year-over-year increase. The losses were attributed to accounting valuation adjustments tied to bitcoin price drops at quarter-end, with the company recording ¥116.4 billion ($737.6 million) in bitcoin valuation losses during the quarter. In a separate May 13 notice, Metaplanet recorded Bitcoin valuation losses of ¥116.36 billion alongside interest expenses of ¥934 million and amortization of share issuance costs of ¥300 million.
As reported by The Block, Metaplanet continued its aggressive bitcoin accumulation strategy during the quarter, adding 5,075 BTC to bring its total holdings to 40,177 BTC as of March 31. Within Japan, the company holds approximately 87% of all bitcoin held by listed companies as of May 2026, positioning it as the third-largest corporate holder of bitcoin globally, trailing only Strategy's 818,869 BTC and Twenty One Capital's 43,514 BTC. The company's BTC NAV fell from ¥481.4 billion at the end of December to ¥435.7 billion at the end of March, though it included a May 12 reference value of ¥514.4 billion, showing how sharply BTC-linked net asset value can move when Bitcoin rebounds after a quarter-end drawdown. The company's BTC Yield reached 2.8% for the quarter, while it maintains plans to expand its position through equity issuance and debt financing, including a $500 million bitcoin-collateralized credit facility of which $302 million was drawn as of May 13.
According to Crypto.news, Metaplanet shares are down 25% year to date, reflecting broader market challenges and the uncertainty surrounding the preferred share listing timeline. The company's fiscal year 2026 guidance remains unchanged, targeting total revenue of ¥16 billion ($101.4 million) and operating profit of ¥11.4 billion ($72.2 million), representing year-over-year increases of 80% and 81% respectively. The company stated it will continue to accumulate Bitcoin, grow Bitcoin per share, and allocate capital with discipline, intending to develop financing capabilities and institutional relationships that make its Bitcoin position more productive and durable. Metaplanet became the first listed Japanese company to adopt a Bitcoin Standard in April 2024, designating cryptocurrency as its primary treasury reserve asset, with the company's Bitcoin-related operations generating ¥2.98 billion of Q1 revenue compared with ¥96.2 million from hotel and media operations.
