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American Bitcoin Q2 net loss widens on price decline

American Bitcoin Q2 net loss widens on price decline


Overview

  • Bitcoin mining platform's Q2 revenue rose 8% sequentially to $67 mln

  • Company posted Q2 net loss of $57 mln, wider than prior quarter

  • Bitcoin holdings grew 14% to over 8,000, with record 932 Bitcoin mined in Q2


Outlook

  • Company did not provide specific financial guidance for the current quarter or full year


Result Drivers

  • RECORD BITCOIN PRODUCTION - Co mined 932 Bitcoin in Q2, its highest quarterly output, helping grow holdings by 14%

  • CAPACITY EXPANSION - Completed energization of over 11,000 next-generation miners, increasing operational fleet and efficiency

  • BITCOIN PRICE DECLINE - Revenue per Bitcoin mined fell 5% as Bitcoin price dropped ~12% qtr-over-qtr, though gross margin held near 50%


Company press release: ID:nPn2t8whDa


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q2 Revenue

Miss

$67.02 mln

$70.65 mln (2 Analysts)

Q2 Net Loss

Miss

$57.15 mln

$550,000 (2 Analysts)

Q2 Adjusted EBITDA

Miss

-$45.03 mln

$27 mln (1 Analyst)

Q2 Income From Operations

Miss

-$74.08 mln

-$150,000 (2 Analysts)


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the blockchain & cryptocurrency peer group is "buy"

  • Wall Street's median 12-month price target for American Bitcoin Corp is $37.50, about 579.3% above its July 31 closing price of $5.52


Reuters Recommended Reads

  • July 31 - Coinbase shares take hit on quarterly loss, analysts back diversification strategy

  • July 31 - Tether bought 14 t of gold for USDT reserves in second quarter

  • July 31 - Top US data center-serving utility Dominion tops profit estimates


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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