The company’s second-half revenue and adjusted EBITDA fell mainly due to the decline in bitcoin prices.

Publicly traded bitcoin miner Argo Blockchain (ARBK) lowered its year-end 2022 hashrate, or mining power capacity, guidance to 3.2 exahash per second (EH/s), down 42% from previous guidance of 5.5 EH/s.

“The revision to our hashrate guidance reflects our current expectations for delivery and deployment of the custom machines we are developing with ePIC Blockchain Technologies that utilize the Intel Blockscale ASIC chips,” said CEO Peter Wall in a statement. “We have worked closely with ePIC and Intel to modify the machine design to increase total mining efficiency, which has delayed our expected deployment schedule,” he added.

The company expects hashrate to rise to 4.1 EH/s by the end of the first quarter of 2023.

Argo was one of the miners that received chip giant Intel’s (INTC) second-generation bitcoin (BTC) mining chip, called “Intel Blockscale ASIC,” which is said to offer miners more efficient rigs than most models available in the market. The company in late April had raised its year-end hashrate guidance to 5.5 EH/s from 3.7 EH/s, expecting timely delivery of the mining rigs.

Miner Hive Blockchain (HIVE) and Griid Infrastructure as well as technology giant Block (formerly Square) were also among the first customers to receive the new Intel Blockscale ASIC.

Argo’s revenue from mining in the first half of the year was $32.5 million, down 14% from the same period last year, mainly due to lower bitcoin prices and an increase in the global hashrate and associated network difficulty. Adjusted EBITDA for the first half of 2022 fell 28% from the year-ago level to $20.9 million.

Shares are down about 4% in post-market action on Wednesday and remain lower by about 60% on a year-to-date basis.

The post Bitcoin Miner Argo Cuts Year-End Hashrate View Citing Delayed Intel Mining Rigs appeared first on Crypto Insider.

The miner suffered a $29.3 million loss for the fiscal quarter, partly driven by the previously disclosed decision to sell its energy assets.

CleanSpark (CLSK) – reporting results for its fiscal third quarter – said it will sell its energy business assets in order to focus completely on bitcoin (BTC) mining.

CleanSpark got its start in 2014 providing energy products to homes and businesses. It entered bitcoin mining in 2020, according to the company website. Today, more than 90% of revenue comes from bitcoin mining, CEO Zach Bradford said during Tuesday’s earnings conference call.

The firm reported a $29.3 million net loss for the third quarter of its fiscal year, in part driven by the reclassification of the energy business to be discontinued, which resulted in a $10.6 million impairment charge.

The miner’s adjusted EBITDA was $15.2 million for the quarter, down from $22.5 million in the previous quarter.
Revenue of $31 million missed analyst estimates for $34.5 million, according to FactSet data. Adjusted EBITDA of $15.2 million was down from $22.5 million the previous quarter.

CleanSpark differs from some other bitcoin miners as it has been a consistent seller of mined bitcoin to raise cash. It thus entered this current bear market with less debt and has been in acquisition mode. The latest deal was announced earlier Tuesday – the purchase for $25.1 million of an active 36 megawatt (MW) bitcoin mine in the U.S. state of Georgia, as well as 3,400 mining rigs currently running at the site.

The company upped hashrate guidance for year-end 2022 to 5 exahash/second (EH/s), and issued guidance for the end of 2023, when it expects to reach 22.4 EH/s.
CleanSpark differs from some other bitcoin miners as it has been a consistent seller of mined bitcoin to raise cash. It thus entered this current bear market with less debt and has been in acquisition mode. The latest deal was announced earlier Tuesday – the purchase for $25.1 million of an active 36 megawatt (MW) bitcoin mine in the U.S. state of Georgia, as well as 3,400 mining rigs currently running at the site.

The post CleanSpark Raises Year-End Hashrate Guidance, Sets 2023 Outlook appeared first on Crypto Insider.