Bit Digital (BTBT) Earnings Watch For Cloud Services Revenue Growth and Revenue From ETH Staking

$Bit Digital, Inc.(BTBT)$ is scheduled to release its financial results for the third quarter ended September 30, 2025, before the market opens on Friday, November 14, 2025.

Analyst Consensus Estimates (as of the search results)

The consensus suggests a notable increase in revenue and a near break-even on EPS, a significant improvement from the prior year.

Bit Digital (BTBT) Fiscal Q2 2025 Earnings Summary and Guidance

Bit Digital's fiscal Q2 2025 (period ended June 30, 2025) earnings report was characterized by a major strategic pivot away from Bitcoin mining and toward becoming a "pure-play Ethereum treasury and staking company." The financial results were mixed, reflecting this transitional phase.

Financial Highlights (Q2 2025)

The key takeaway from the financial results is the sharp decline in Bitcoin mining revenue, which was intentionally offset by the growing contribution from Cloud Services revenue, validating the company's diversification efforts. The significant Net Income and EPS beat were largely attributed to a one-time gain on digital assets, rather than operating profit.

Lesson Learned from Management Guidance

The most critical takeaway from the Q2 2025 earnings call was the explicit, unreserved commitment to a new corporate strategy. The guidance provided a clear direction and structural roadmap for the company's future:

1. The Definitive Pivot to Ethereum (ETH)

Guidance Statement: "Bit Digital is now finally in a position to scale as a pure-play Ethereum treasury and staking company... We see ETH as a scarce productive treasury asset."

Action/Data Point: The company significantly ramped up its ETH holdings after the quarter closed, increasing its staked ETH to over by August 2025. This was funded in part by recent equity offerings and the conversion of substantially all remaining Bitcoin (BTC) holdings into ETH.

Lesson Learned: Investors must now evaluate BTBT primarily as an Ethereum-focused digital asset platform, not a Bitcoin mining stock. The performance will be intrinsically linked to the price of ETH and the yield generated from its staking operations, as opposed to BTC production and hash rate competition.

2. The End of Bitcoin Mining Investment

Guidance Statement: "To be very clear, we will not invest in additional mining units. Simply put, we believe EAS (Ethereum-native treasury and staking) will deliver better long-term returns than mining."

Action/Data Point: The Bitcoin mining segment is being methodically wound down. Active Bitcoin hash rate declined to at the quarter's end.

Lesson Learned: The Bitcoin mining business has been formally labeled a legacy operation. The capital from the sale of mining units will be redeployed into the ETH strategy. Future analyst models should reflect zero long-term growth for the BTC mining segment.

3. Focus on Diversified Infrastructure (Cloud/HPC)

Guidance Statement: The company highlighted the successful IPO of WhiteFiber, its former AI infrastructure business, retaining a significant stake (74.3%).

Action/Data Point: Cloud Services revenue was the largest and fastest-growing segment in the quarter, offsetting the mining decline.

Lesson Learned: The strategy involves a two-pronged approach: (1) The core high-growth, high-margin Ethereum staking/treasury business, and (2) The continued financial strength and potential upside from its retained interest in the WhiteFiber/AI infrastructure business. This diversification aims to reduce pure crypto volatility risk.

The key lesson is that BTBT's management has decisively rebooted the company, transforming it from a generalist crypto miner into a highly specialized Ethereum Treasury and Staking platform supported by a strong, liquid balance sheet and a massive minority stake in a growing AI infrastructure company.

Key Metrics Investors Should Watch

Given Bit Digital's shift in strategy toward a more diversified digital asset platform (including Cloud Services and Ethereum staking alongside Bitcoin mining), investors should pay close attention to the following:

1. Revenue Mix and Growth of Infrastructure Services

• Cloud/High-Performance Computing (HPC) Revenue: Bit Digital has been actively expanding its HPC/Cloud services business (leveraging GPU and data center capacity). Investors will look for a substantial sequential and year-over-year increase in this segment, as it is a key driver for the company's diversification strategy and stability, particularly after the Bitcoin Halving event. In Q1 2025, Cloud services revenue made up the majority of the total.

• Colocation Services Revenue: Look for growth or stability in this newer revenue stream, which further diversifies their income away from pure mining.

• Segment Margins: Assess the Gross Margin for the Cloud and Colocation segments, as these are often higher-margin businesses than self-mining. Improved overall gross margins would indicate the success of the diversification.

2. Digital Asset Mining & Staking Performance

• Bitcoin (BTC) Earned: While diversification is ongoing, BTC mining remains important. Look at the total number of bitcoins earned during the quarter.

• Active Hash Rate (): This metric indicates the current operational capacity of their Bitcoin mining fleet. Investors will want to see successful deployment and an increase from the 1.5 reported at the end of Q1 2025.

• Ethereum (ETH) Staking Revenue and Holdings: Bit Digital is focused on Ethereum-native strategies. Check for growth in ETH staking revenue and any changes to their ETH treasury balance, as ETH staking offers a more predictable yield than mining.

3. Balance Sheet and Liquidity

• Liquidity (Cash, Equivalents, and Digital Assets): In a capital-intensive industry like crypto mining, maintaining a strong, debt-free balance sheet provides flexibility. The company has previously highlighted its liquidity position as a strength.

• Capital Expenditure (CapEx) and Investment: Pay attention to how much capital has been deployed for new HPC/GPU purchases and infrastructure upgrades, as this indicates the future growth potential of the Cloud services segment.

Bit Digital (BTBT) Price Target

Based on 6 analysts from Tiger Brokers offering 12 month price targets for Bit Digital in the last 3 months. The average price target is $5.83 with a high forecast of $7.00 and a low forecast of $5.00. The average price target represents a 105.40% change from the last price of $2.84.

Short-Term Trading Opportunity Post-Earnings

Trading around earnings is high-risk, as the stock price movement often depends on whether the company beats or misses consensus estimates and, more importantly, the guidance and commentary provided by management.

Potential Catalysts for a Positive Move

Significant Beat on Cloud/HPC Revenue: A large beat in the infrastructure segments, coupled with strong contract announcements (like the recent DNA Fund agreements), could signal a successful pivot and a re-rating of the stock.

Positive Guidance: An optimistic outlook on future hash rate expansion, Cloud services capacity, and revenue guidance for Q4 2025 could drive the stock higher.

High Liquidity and Low Debt: Reaffirmation of a strong, debt-free balance sheet is always a positive in a volatile sector.

Short Squeeze Potential: The stock currently has a high short interest % of float (). A very positive earnings surprise could trigger a short squeeze, leading to a sharp, short-term rally.

Potential Catalysts for a Negative Move

Miss on Revenue/EPS: A miss on the consensus estimates would likely result in an immediate sell-off.

Weak Hash Rate or Bitcoin Production: While less of a focus, poor performance in BTC mining, especially compared to peers, could disappoint investors.

Muted Guidance: Any negative or flat guidance for the next quarter could be interpreted as slowing momentum in their high-growth segments (Cloud/HPC).

Implied Volatility (IV) Crush: Historically, the options market's predicted move for BTBT post-earnings has often overestimated the actual move. This suggests that simply buying options ahead of earnings to bet on a large move may not be profitable due to the "IV Crush" (rapid drop in implied volatility after the event).

BTBT's last earnings implied volatility (IV30) going into earnings was 110.9. 5 days after earnings, the 30 day IV was 98.1. You can compare how BTBT implied volatility changed around earnings for the last 12 quarters.

1. Average Implied Volatility Crush For BTBT Earnings: 6%

2. Average 30 Day Implied Volatility 1 Day Before Earnings: 111.8

3. Average BTBT 30 Day IV for the Day of Earnings: 105.3

4. Average 30 Day Implied Volatility 5 Days After Earnings: 105.5

For short-term trading, the focus should be on the surprise factor. An unexpected acceleration in the high-growth Cloud Services segment is the most likely driver of a significant positive reaction, while a disappointing outlook would likely lead to a drop.

Technical Analysis - Exponential Moving Average (EMA)

BTBT share price have seen a decline in recent weeks due to the ETH prices suffering a pullback, and currently, BTBT is trading below the 200-day period with a positive RSI momentum though, but this does not bore well for this stock.

Unless BTBT could show that their cloud revenue could provide significant growth in upcoming earnings which is a driver for this stock, and also how well have BTBT performed in their staked ETH holdings and the revenue generated.

I would think BTBT might suffer a slight dip before moving higher if we could see an earnings beat.

Summary

Bit Digital (BTBT) is set to report Q3 2025 earnings on Friday, November 14, 2025.

Consensus Estimates: Analysts anticipate a significant turnaround, with Revenue forecast at approximately $30.3 million ( YoY) and EPS near break-even at $-$0.004 (a improvement YoY).

Key Metrics to Watch:

1. Cloud Services Revenue: Watch for accelerated sequential growth in this segment, as it's the primary driver for the company's diversification away from pure Bitcoin mining.

2. Ethereum (ETH) Staking & Treasury: Look for updates on their staked ETH holdings and the revenue generated, confirming their definitive pivot to an ETH-focused treasury strategy.

3. Balance Sheet: Strong liquidity and low debt remain critical for funding their new strategy.

Short-Term Trading Opportunity: The stock has a high Short Interest % of Float (around 17.13%). A substantial beat, particularly in the Cloud/ETH segments, could trigger a short squeeze, leading to a sharp, volatile rally post-earnings.

Appreciate if you could share your thoughts in the comment section whether you think BTBT could provide a significant improvement on its cloud services revenue and also the revenue generated from Ethereum (ETH) staking.

@TigerStars @Daily_Discussion @Tiger_Earnings @TigerWire @MillionaireTiger appreciate if you could feature this article so that fellow tiger would benefit from my investing and trading thoughts.

Disclaimer: The analysis and result presented does not recommend or suggest any investing in the said stock. This is purely for Analysis.