Riot Platforms reported quarterly losses of 32 cents per share, which missed the analyst consensus estimate of losses of 14 cents by 128.57%. Quarterly revenue came in at $70.018 million, missing the analyst consensus estimate of $72.222 million and representing a 8.76% decrease from the same period last year.
Riot shares slipped 1.2% in after hours trading.
Riot produced 844 Bitcoin (CRYPTO: BTC) during the quarter, which represents a decrease of 52% from the 1,775 Bitcoin mined during the same three-month period in 2023.
Riot said the decrease was due primarily to the block subsidy “halving” event, which occurred in April 2024, and increases in network difficulty.
The company’s average direct cost to mine Bitcoin, inclusive of power credits, was $25,327 in the quarter, as compared to $5,734 per Bitcoin for the same three-month period in 2023.
Riot said the increase was primarily driven by the block subsidy “halving” event, which occurred in April 2024 and an increase of 68% in global network hash rate as compared to the same three-month period in 2023.
Riot reported Bitcoin mining revenue of $55.8 million for the quarter, as compared to $49.7 million for the same three-month period in 2023, primarily driven by higher average Bitcoin prices and an increase in operational hash rate, partially offset by an increase in network difficulty and the block subsidy “halving” event.
Riot held 9,334 in unencumbered Bitcoin (equating to $585 million assuming a market price for one Bitcoin on June 30, 2024, of approximately $62,678), all of which were produced by the company’s self-mining operations, as of June 30, 2024.
“I am extremely pleased to present results for Riot’s second quarter 2024, during which we accomplished significant operational growth and execution of our long-term strategy,” said Jason Les, CEO of Riot.
“The second quarter saw the Bitcoin network ‘halving’ in April of this year, a preprogrammed event whereby the Bitcoin block subsidy received by miners from the network is cut in half every four years. Despite this reduction in available production for all Bitcoin miners, Riot posted $70.0 million in revenue for the quarter and maintained strong gross margins in our core Bitcoin mining business.”
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