# Circle financial performance and revenue structure

> Live situation record from CLSTR: https://clstr.news/situations/circle-financial-performance-and-revenue-structure
> Updated: 2026-10-19T19:42:13.000Z. Sources: 6. Developments: 2.

Circle, the issuer of the USDC stablecoin, reported approximately $1.4 billion in revenue for the first half of 2026. This revenue was primarily driven by interest income from reserves, with approximately $1.32 billion or 95% of second-quarter revenue derived from cash and short-term government-backed instruments.

Despite the high gross revenue, the company faced significant expenditures. Circle spent roughly $819 million on transaction-related costs and distribution partners, such as Coinbase, which receive a share of the reserve income. Additionally, about $473 million was allocated to infrastructure, regulatory compliance, product development, and banking partnerships.

After accounting for these costs, Circle reported a net income attributable to common shareholders of approximately $103.47 million, representing a margin of roughly 7.4%. The company’s business model remains highly sensitive to fluctuations in interest rates.

## Timeline

### 2026-10-19: Circle reports $1.4 billion revenue amid high distribution costs

Circle generated $1.4 billion in revenue in the first half of 2026 but retained only $103 million in profit after paying $819 million to partners and transaction costs.

2 sources. https://clstr.news/cluster/circle-reports-14-billion-revenue-amid-high-distribution-costs

### 2026-10-16: Circle reports $1.4 billion in H1 revenue amid high distribution costs

Circle generated $1.4 billion in H1 revenue, but high distribution and infrastructure costs left a net profit of approximately $103.47 million.

4 sources. https://clstr.news/cluster/circle-reports-14-billion-in-h1-revenue-amid-high-distribution-costs

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Cite as: Circle financial performance and revenue structure. CLSTR, https://clstr.news/situations/circle-financial-performance-and-revenue-structure