NEW YORK - Bit Digital, Inc. (NASDAQ:BTBT), a sustainable platform for digital assets and artificial intelligence infrastructure, reported second quarter financial results with revenue that exceeded analyst expectations, driving shares up 13% in trading.
The company posted revenue of $29 million for Q2 2024, surpassing the consensus estimate of $26.09 million and marking a 220% increase from the same quarter last year. The substantial growth was primarily attributed to the commencement of Bit Digital's high performance computing (HPC) services business and higher realized bitcoin prices.
However, Bit Digital reported a loss per share of -$0.09, falling short of analyst projections for a -$0.03 loss. The wider loss came despite the revenue growth, as the company faced challenges from the bitcoin halving event in April 2024 and increased network difficulty.
Revenue from bitcoin mining rose 80% YoY to $16.1 million, while the newly launched HPC business contributed $12.5 million. The company's bitcoin production decreased 23% YoY to 244.2 bitcoins, impacted by reduced block rewards following the halving.
"The second quarter of 2024 was an important step in the evolution of Bit Digital," said CEO Sam Tabar. "Despite the reduction in block rewards from the April 'halving event', our total revenue more than doubled from the prior year, principally aided by the first full quarter of revenue from our HPC services business."
Bit Digital maintained a strong balance sheet with $61.4 million in cash and total liquidity of approximately $191.9 million as of June 30, 2024. The company's active hash rate for bitcoin mining stood at 2.6 EH/s at quarter-end.
Looking ahead, management remains cautious on expanding bitcoin mining operations given current market conditions, instead focusing on optimizing its existing fleet and pursuing growth in the HPC business.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.