Marathon Digital Falls Short of Revenue Prediction, Shares Plunge 8%
Marathon Digital missed estimates for the second straight quarter, citing this year’s halving, rising hash rates, and equipment failures.
Marathon Digital (MARA) saw its shares drop over 8% in after-hours trading on Thursday following a second-quarter revenue report that fell short of Wall Street’s forecasts.
However, the stock has since recovered some of these losses.
Marathon Digital Sees a Revenue Miss
Marathon Digital reported second-quarter revenue of $145.1 million, falling short of Wall Street’s forecast of $157.9 million, approximately 9% lower.
The company attributed the revenue miss to operational challenges, including unexpected equipment failures, transmission line maintenance at its Ellendale site, an increased global hash rate, and the impact of the recent halving event on the mining sector.
CEO Fred Thiel noted that these issues had adversely affected the company’s BTC production. Despite these setbacks, Marathon achieved a record mining power of 31.5 exahash per second (EH/s) in the quarter. The company aims to reach a hashrate of 50 EH/s by the end of the year and plans further expansion in 2025.
Meanwhile, the miner’s adjusted EBITDA dropped to a loss of $85.1 million from a $35.8 million gain in the previous year, primarily due to unfavorable fair value adjustments of its digital assets and reduced BTC production.
In response to its financial pressures, Marathon sold 51% of the BTC it mined to cover operating costs. The company has since purchased $100 million worth of bitcoin, opting to retain all of it on its balance sheet, which now exceeds 20,000 BTC.
The report also highlighted that the average price of BTC mined in Q2 2024 was 136% higher than the previous year. On average, Marathon mined 22.9 BTC per day, a decrease of 9.3 BTC per day compared to the prior period.
Thiel has acknowledged that the company has restructured internally to better align with growth opportunities and enhance operational efficiency.
Riot Platforms Revenue Closer to Estimate
The report follows Marathon Digital’s recent legal trouble when the company was fined $138 million for breaching a non-disclosure agreement.
Meanwhile, rival crypto miner Riot Platforms recently reported revenue of $70 million for Q2 2024, marking an 8.8% decrease year-over-year. The company’s performance was notably closer to Wall Street’s estimates, with the reported revenue just 0.63% below Zacks’ prediction.
Riot Platforms’ stock (RIOT) dropped 8.54% on the earnings report day, closing at $9.32 per share. Meanwhile, MARA’s stock fell 7.78%, ending the trading day at $18.14, according to Google Finance data .
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
BlockDAG, Solana, Monero, & PEPE Could Shape the Top-Performing Crypto Rankings in 2025
Want to know the top-performing crypto for 2025? See why BlockDAG’s 17,750 miners & 2,520% ROI lead the pack, along with strong contenders Solana, Monero, & PEPE.1. BlockDAG (BDAG): Massive Hardware Rollout and Market Momentum2. Solana (SOL): A Scalable Solution with Strong Developer Demand3. Monero (XMR): Privacy-Focused with Long-Term Resilience4. PEPE: A Meme Coin That Keeps Delivering Unexpected GainsWhich Crypto Has the Edge in 2025?

Best Crypto Presale: 3 New Crypto Projects Raising Millions And Attracting Investors
Nexchain, Solaxy, and BTC Bull shine in 2025 presales—AI, Solana scaling, and BTC rewards drive investor interest as the crypto market rebounds.Nexchain: Where AI Meets Autonomous BlockchainSolaxy: Scaling the Solana SurgeBTC Bull: Airdrop for Bitcoin MaxisNexchain Leads the Charge in 2025 Pre-Sales

XMR Price Surges & Tron (TRX) Price Action Gains Steam – but Unstaked’s AI-Powered Token Is the Smartest Buy
Tron (TRX) price action targets $0.73, Monero (XMR) price surge passes $400, but Unstaked’s $0.010126 presale and 2,700% ROI potential could overshadow them both.(TRX) Eyes $0.73 as 2025 Price Forecast Builds MomentumMonero (XMR) Surges Past $400: Is a New All-Time High on the Horizon?Unstaked Is the Future of Decentralized MarketingSumming Up

Pavel Durov and Elon Musk Teamed Up to Bring xAI’s Grok to Telegram’s 1B Users

Trending news
MoreCrypto prices
More








