Sequans Sells 1,025 BTC as Revenue Falls 24.8% in Q1

TLDR

• Sequans sold 1,025 bitcoin during the first quarter to fund debt redemption and ADS buybacks.
• The sale reduced Sequans’ total bitcoin holdings from 2,139 BTC to 1,114 BTC by late April.
• Sequans pledged 817 BTC as collateral for $35.9 million in outstanding convertible notes.
• The company reported a 24.8% year on year revenue decline to $6.1 million in Q1 2026.
• Sequans posted an operating loss of $50.5 million compared with $6.8 million a year earlier.

Paris-based Sequans Communications reduced its bitcoin holdings by nearly half during the first quarter. The company sold 1,025 BTC to finance convertible debt redemptions and an ADS buyback program. The move came as revenue fell 24.8% year on year to $6.1 million in the first quarter of 2026.

Sequans Cuts Bitcoin Reserves to Manage Debt and Liquidity

Sequans lowered its total digital asset reserves from 2,139 BTC at the end of 2025 to 1,114 BTC by late April. The company confirmed the figures in a statement released on Tuesday. It said it used proceeds from the sales to support debt obligations and share repurchases.

Of the remaining 1,114 BTC, Sequans pledged 817 BTC as collateral. This amount represents over 70% of its current holdings. The pledged bitcoin backs $35.9 million in outstanding convertible notes.

The company had started accumulating bitcoin in July 2025. At that time, CEO Georges Karam announced plans to acquire 3,000 BTC within weeks. He described the strategy as a “long-term store of value for our shareholders.”

However, Sequans adjusted that strategy in November. It sold about 970 BTC and reduced holdings from 3,234 BTC to 2,264 BTC. The company used the proceeds to redeem $94.5 million in convertible debt.

Karam said the November sale was a “tactical decision” linked to balance sheet management. He added that the company remained committed to its bitcoin strategy. The latest sale follows that earlier reduction and further reshapes the company’s digital asset position.

Financial Results Reflect Bitcoin Losses and Revenue Decline

Sequans reported a 24.8% drop in revenue for the first quarter of 2026. Revenue declined to $6.1 million compared with the same period last year. The company recorded an operating loss of $50.5 million for the quarter.

By comparison, Sequans posted an operating loss of $6.8 million in the first quarter of 2025. The latest loss included $29.3 million in unrealized impairment losses on bitcoin holdings. It also included $11.7 million in realized net losses from digital asset sales.

The company disclosed that bitcoin impairments affected its financial performance. It recorded the unrealized losses as part of its operating results. It also recognized realized losses from the 1,025 BTC sale during the quarter.

Sequans currently ranks No. 40 among publicly traded companies holding bitcoin, according to Bitcoin Treasuries data. Strategy holds 818,334 BTC and leads the list. Twenty One Capital and Metaplanet report holdings of 43,514 BTC and 40,177 BTC.

Sequans trades on Nasdaq, and its shares have declined 51.5% over the past six months. The stock closed at $3.01 on Tuesday, according to Google Finance data. The share price reflects the latest reported financial results and asset adjustments.

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