Hut 8 Corp. Q1 FY2024 Earnings Call

· Earnings call transcript and AI-powered summary

  • Revenue: $51.7 million, up 231% from $15.6 million in Q1 2023 (U.S. Bitcoin Corp standalone).
  • Net Income: $250.9 million, compared to $17.3 million in Q1 2023; primarily driven by $274.6 million gain resulting from FASB fair value revaluation of bitcoin holdings.
  • Adjusted EBITDA: $297 million, up from $11.1 million in Q1 2023. Excluding fair value gain, adjusted EBITDA was $22.4 million.
  • Digital Asset Mining Revenue: $30.4 million, up from $7.6 million in Q1 2023; average price per bitcoin mined increased from ~$23,400 to ~$51,300.
  • Managed Services Revenue: $9.2 million, up from $5.1 million, driven by launch of Ionic Digital contract.
  • HPC / Cloud / Co-location Revenue: $3.3 million, with no prior-year counterpart as this originated from the merged Hut 8 Mining Corp.
  • Other Revenue: $8.8 million, including hosting, equipment sales, and power revenues from the Ontario plant.
  • Bitcoin Holdings: 9,103 BTC valued at $648.9 million as of March 31, 2024, with 7,230 BTC unencumbered.
  • Average Cost to Mine Bitcoin (Self-owned facilities): $20,419; including hosted facilities: $24,594.

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Operator: Good morning and welcome to Hut 8’s Q1 2024 financial results conference call. After today’s presentation, there will be an opportunity to ask questions. Please note this event is being recorded and a transcript will be available on Hut 8’s website. In addition the press release issued earlier today, you can find Hut 8’s quarterly report on Form 10-Q on the company’s website at www.hut8.com, under the company’s EDGAR profile at www.sec.com, and under the company’s SEDAR+ profile at www.sedarplus.ca. Unless otherwise noted, all amounts referred to during this call are denominated in U.S. dollars. Any comments made during this call may include forward-looking statements within the meaning of applicable securities laws regarding Hut 8 Corp. and its subsidiaries. The statements may reflect current expectations and as such are subject to a variety of risks and uncertainties that could cause actual results to differ materially from current expectations. These risks and uncertainties include but are not limited to factors discussed in Hut 8’s Form 10-Q for the three months ended March 31, 2024, and Form 10-K for the year ended December 31, 2023, as well as the company’s other continuous disclosure documents. Except as required by applicable law, Hut 8 undertakes no obligation to publicly update or review any forward-looking statements. During the call, management may also make reference to certain non-GAAP measures that are not separately defined under GAAP, such as adjust

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