By
Godfrey Benjamin
May 2nd, 2024
Riot Platforms reported total revenue of about $76.7 million and hit a new high hash rate at about 10.7 EH/s in Q2 2023.
One of the leading crypto mining publicly traded companies Riot Platforms Inc (NASDAQ: RIOT) released its Q2 2023 earnings on Wednesday. According to the announcement, Riot Platforms produced 1,775 Bitcoins during the quarter that ended on June 30, compared to 1,395 Bitcoins that were generated during the same period last year. As a result, the company announced that its total revenue for the quarter came in at $76.7 million, compared to approximately $72.9 million for the same period last year. However, analysts surveyed by FactSet expected the crypto mining company to report revenue of about $84.6 million.
During the second quarter, Riot Platforms announced adjusted earnings per share loss of 17 cents, which beat FactSet consensus analysts’ estimates for a loss of 20 cents per share. Having reported mixed earnings during the second quarter, RIOT shares closed Wednesday trading at $16.34, down 4.42 percent from the day’s opening price. Nonetheless, RIOT shares have recorded over 380 percent in gaining streaks YTD, following an impressive Bitcoin performance.
Riot Platforms Q2 2023 Financial Statements
Riot Platforms announced a 27 percent increment in Bitcoin production despite the increased mining difficulty amid heightened competition from other institutional investors. However, the company announced that the average cost to mine Bitcoin was $8,389 during the second quarter, compared to $11,316 per Bitcoin for the same period last year. As a result, Riot Platforms announced that its mining revenue for the second quarter came in at $49.7 million, compared to $46.2 million for the same period last year.
Other notable revenue sources for the company include data center hosting which posted about $7.7 million for the second quarter, compared to $9.8 million during the same time last year. The company’s engineering revenue came in at $19.3 million for the quarter, as compared to $16.9 million for the same period last year.
Consequently, the company closed the second quarter with $408.4 million in working capital.
Forward, the company remains optimistic about adding more hash rate despite the increased headwinds. Riot expects to achieve a total self-mining hash rate capacity of 12.5 EH/s during the fourth quarter of 2023.
During the second quarter, the company announced the signing of a long-term purchase agreement with MicroBT Electronics Technology Co., which included an initial order of 7.6 EH/s of next-generation Bitcoin miners for its Corsicana mining facility. Additionally, the company secured an option to purchase up to 66,560 M56S++ miners from MicroBT on the same terms.