Marathon Digital Misses Q2 Earnings and Revenue Estimates

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Bitcoin miner Marathon Digital missed on both the top and bottom lines in its Q2 earnings report released on Tuesday. $MARA By NelWang

Marathon Digital , one of the largest bitcoin miners in North America, missed on both the top and bottom lines in its second-quarter earnings report on Tuesday. The miner reported an adjusted loss per share of $0.13 on revenues of $81.8 million compared to FactSet analyst estimates for a loss of $0.06 on revenues of $83.4 million.

Shares of Marathon were roughly flat at $15.73 in after-hours trading on Tuesday. Marathon shares are up almost 360% this year as the price of bitcoin has surged. “After a strong start to the year, we accelerated our progress in the second quarter by significantly growing our hash rate and improving our efficiency,” said Fred Thiel, Marathon’s chairman and CEO, in a press release.

The company gained $23.4 million on the sale of bitcoin in the quarter as it sold 63% of the bitcoin produced in the quarter to fund operating costs. Marathon also benefited from lower impairment charges in the quarter of $8.4 million, down from $131.6 million in the year-ago quarter, as bitcoin prices rose in the quarter.

Marathon also filed an 8-K on Tuesday saying it needed to restate cash flow figures for the first quarter. The company said the restatement came from reclassifying proceeds from the sale of digital assets from operating activities to investing activities. Operating cash flow went from -$28.8 million to -$91.5 million, while investing cash flow went from -$72 million to -$9.4 million.

 

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