Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert
Zero fees, no slippage
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
BitFuFu reports strong Q2 revenue despite Bitcoin production decline

BitFuFu reports strong Q2 revenue despite Bitcoin production decline

GrafaGrafa2024/08/21 02:40
By:Mahathir Bayena

BitFuFu Inc., a leading digital asset mining and cloud-mining service provider, reported robust financial results for the second quarter of 2024, highlighting significant revenue growth despite challenges in Bitcoin (CRYPTO:BTC) production.  

For the quarter ending June 30, 2024, BitFuFu achieved a total revenue of $129.4 million, marking a 69.7% increase from the $76.3 million reported in the same period of 2023.  

The surge was primarily driven by a 66.8% growth in revenue from cloud-mining solutions, which reached $77.0 million.  

Additionally, revenue from Bitcoin self-mining operations rose by 81.0% to $51.1 million, despite a 23.1% decrease in Bitcoin production due to increased mining difficulty and the April 2024 halving event.  

Operationally, BitFuFu expanded its hosting capacity to 522 MW across 25 sites worldwide, up from 374 MW across 17 sites in 2023.  

The company also saw its total mining capacity increase by 62.5% to 24.7 EH/s, with a notable rise in cloud-mining registered users, reaching 395,056 by the end of June 2024, an 86.8% increase year-over-year.  

However, the quarter also presented challenges.  

The cost to mine Bitcoin from self-mining operations averaged $51,887 per BTC, significantly higher than the $19,344 per BTC in the same period last year.  

Despite these higher costs, BitFuFu maintained a healthy financial position, with cash, cash equivalents, and digital assets totaling $155.0 million as of June 30, 2024.  

Net income for the quarter was $1.3 million, down from $5.1 million in Q2 2023, while adjusted EBITDA stood at $8.3 million, reflecting a 39.6% decline due to a non-cash fair value loss on Bitcoin holdings.  

Despite these challenges, BitFuFu's management expressed confidence in the company’s growth strategy, bolstered by a strong balance sheet and continued expansion in the cloud-mining sector.  

BitFuFu's leadership emphasised the company’s ability to hedge against Bitcoin price volatility through its cloud-mining business, which accounted for nearly 60% of total revenue in the quarter.  

The company remains focused on leveraging its global mining network and strategic partnerships to drive future growth.  

As of now, the Bitcoin price is $59,064.78.

0

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.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!