Riot Gets $84.8M Revenue Boost in Q3 2024, But Future Hash Rate Capacity Guidance Revised Downward

Bitcoin mining company Riot reported revenue of $84.8 million in the third quarter of 2024, representing an increase of 65% compared to the same quarter of 2023.

This growth can be attributed to the 159% year-over-year increase in deployed hash rate, which reached 28 EH/s at the end of the quarter.

Riot’s third quarter financial results

According to the official press release, the rising hash rate allowed Riot to maintain strong operational production, producing 1,104 Bitcoins during the quarter. Notably, this production level matches the company’s Bitcoin production from Q3 2023, even against the backdrop of the recent halving event.

However, the quarter ended with a net loss of $154.4 million, reflecting an increase from a net loss of $80 million in the same quarter of 2023. Riot reported that this figure included an unrealized loss on marketable equity securities of $38 million, $30 million. million related to non-cash stock-based compensation expense and $60 million attributed to depreciation and amortization.

In a statement, Riot CEO Jason Les revealed that the mining company ended the quarter with approximately $1.3 billion in cash, restricted cash, tradable equity securities, and 10,427 Bitcoins held. The executive added,

“Looking ahead, I’m incredibly excited about our future path, as our teams continue to work to develop and deploy even more power and hash rate capacity in Texas and Kentucky, towards Riot’s next goal to reach 100 EH/s in self-mining capacity. »

Riot previously announced the acquisition of Kentucky-based Block Mining in a deal worth approximately $92.5 million. The deal included $18.5 million in cash from Riot’s reserves and $74 million in Riot common stock.

Revised Hash Rate Projections

Riot has revised its self-mining hash rate capacity expectations, now forecasting a total capacity of 34.9 EH/s by the end of 2024, down from 36.3 EH/s s previously projected. This adjustment is primarily due to delays in the expansion of the newly acquired Kentucky facilities, which are now expected to be operational in 2025 instead of 2024.

The company said it forecast year-end capacity of 46.7 EH/s for 2025, down from the previous estimate of 56.6 EH/s. Meanwhile, full development of the Corsicana facility is expected to be completed by 2026, alongside Kentucky’s expansion plans to reach a total hash rate capacity of 65.7 EH/s by the end of this year.