Bitfarms Reports Q3 2023 Earnings

Bitfarms Ltd., a prominent player in the Bitcoin mining sector, has disclosed its financial outcomes for the third quarter of 2023, revealing a mixture of stability and setbacks amid a fluctuating cryptocurrency mining environment, according to bitfarms.

In Q3 2023, Bitfarms’ revenues held steady at $35 million, but the company recorded a net loss of $19 million, a slight improvement over the $25 million loss from the prior quarter. This reduction in losses was aided by a decrease in operational deficits and impairment charges, leading to an Adjusted EBITDA of $7 million.

The company mined 1,172 BTC and added 154 BTC to their reserves, ending the quarter with 703 BTC in hand. They managed to increase their mining hashrate to 6.1 EH/s, reflecting an efficient expansion of their mining capabilities. Looking ahead, Bitfarms aims to boost its operational capacity by 24% to 290 MW by the beginning of 2024.

Financially prudent, Bitfarms lessened its general and administrative costs by 9% compared to the second quarter and raised $28 million by selling 1,018 BTC, with proceeds used to diminish equipment-related debt to $10 million. Their liquid assets stood at $47 million in cash and 703 BTC.

On the operational front, Bitfarms attained an average of 12.7 BTC per day and maintained a corporate hashrate of 6.1 EH/s. They continued the strategic sale of mined BTC, selling 341 out of 398 BTC mined in October for an additional $10 million, further solidifying their treasury.

Executives Geoff Morphy and Jeff Lucas have highlighted the company’s steady progress despite market challenges, with a strategy focused on growth, cost management, and preparation for the next Bitcoin Halving event, which the company believes will offer significant opportunities despite the potential difficulties it may introduce. Bitfarms stays on course with its development strategy, emphasizing sustainable and cost-efficient mining operations to capitalize on expected market consolidation.