Riot Platforms, Inc.

Previous wording

The following Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) provides information that will assist the reader in understanding our results of operations and financial condition. This MD&A should be read in conjunction with our Condensed Consolidated Financial Statements and the related notes (the “Notes”) and other financial information included elsewhere in this Quarterly Report, as well as our audited consolidated financial statements for the year ended December 31, 2024, as included in our 2024 Annual Report.

Current wording

The following Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) provides information that will assist the reader in understanding our results of operations and financial condition. This MD&A should be read in conjunction with our Condensed Consolidated Financial Statements and the related Notes and other financial information included elsewhere in this Quarterly Report, as well as our audited consolidated financial statements for the year ended December 31, 2024, as included in our 2024 Annual Report.

Previous wording

We are a vertically integrated Bitcoin Mining company principally engaged in enhancing our power infrastructure to support efficient and large-scale Bitcoin Mining operations in support of the Bitcoin blockchain. In addition to our growing mining and engineering businesses, we are in the processof developing a scalable data center platform designed to allocate a portion of our power capacity toward supporting AI/HPC workloads. This dual-pronged strategy will enable us to capitalize on both the long-term potential of bitcoin and the growing demand for power and data center infrastructure, positioning us to participate in two rapidly evolving sectors.

Current wording

We are a vertically integrated bitcoin mining company principally engaged in enhancing our power infrastructure to support efficient and large-scale Bitcoin Mining operations in support of the Bitcoin blockchain. We are also in the processof developing a scalable data center platform intended to allocate our power capacity to support non-mining data centers operations, including potential applications in AI and HPC, with the objective of maximizing the value of our energy portfolio. We believe this dual-pronged strategy will enable us to capitalize on both the long-term potential of bitcoin and the growing demand for power and data center infrastructure, positioning us to participate in two rapidly evolving sectors.

Previous wording

We own and operate multiple Bitcoin Mining facilities in the United States, including the Rockdale Facility, the Corsicana Facility, and the Kentucky Facility. The Rockdale Facility in Texas, with 700 MW of developed capacity, is believed to be one of the largest Bitcoin Mining facilities in North America, as measured by developed capacity. In 2024, we completed 400 MW of developed capacity at our second large-scale Texas site, the Corsicana Facility. Also in 2024, we expanded our operations through the acquisition of Block Mining, a Kentucky-based vertically integrated bitcoin miner, and E4A Solutions, a leading provider of electrical engineering services to a diverse customer base of energy developers and data center operators. The Block Mining Acquisition added 60 MW of developed capacity for self-mining, which we plan to expand to 110 MW during the remainder of 2025, and provided us with access to a second electrical grid. The E4A Solutions Acquisition added engineering expertise to service our electrical infrastructure and allows us to provide electrical solutions and services to support the rapidly growing market for electrical infrastructure.

Current wording

We own and operate multiple data center facilities in Texas and Kentucky that currently provide comprehensive and critical infrastructure for our own Bitcoin Mining operations. The Rockdale Facility in Texas, with 700 MW of developed capacity, is believed to be one of the largest Bitcoin Mining facilities in North America, as measured by developed capacity. In 2024, we completed construction of 400 MW of developed capacity at our second large-scale data center in Texas, the Corsicana Facility. Upon completion, we expect the Corsicana Facility to have approximately one GW of developed capacity available for data center workloads.

Previous wording

We strengthened our execution capacity by recruiting critical talent and launching a scalable data center platform to support the initial phase of development designated for AI/HPC applications at the Corsicana Facility, or AI/HPC Phase I. Additionally, we are evaluating further expansion opportunities and assessing the feasibility of developing additional power capacity to support AI/HPC applications. We are in the process of standardizing design templates and assessing procurement of all long-lead equipment, in alignment with our disciplined capital allocation strategy focused on delivering superior risk-adjusted returns. These foundational investments reflect a proactive, strategic approach that positions us for durable, long-term leadership and value creation in the data center sector.

Current wording

We strengthened our execution capacity by recruiting critical talent and launching a scalable data center platform to support the initial phase of our data center development at the Corsicana Facility (“Data Center Phase I”). Additionally, we are evaluating further expansion opportunities and assessing the development of our additional power capacity to support future data center applications, including for AI/HPC workloads. We have completed our basis of design for our standard data center build and are assessing procurement of all long-lead equipment, in alignment with our disciplined capital allocation strategy focused on delivering superior risk-adjusted returns. We believe that these foundational investments reflect a proactive, strategic approach to maximize our energy portfolio and access additional revenue opportunities that positions us for durable, long-term leadership and value creation in the data center sector.

Previous wording

During the six months ended June 30, 2025, we continued to deploy miners across all our Facilities, with the objective of increasing our operational efficiency and performance moving forward. As of June 30, 2025, we had a total deployed hash rate capacity of 35.4 EH/s, as compared to 31.5 EH/s as of December 31, 2024, an increase of 12.3%.

Current wording

During the nine months ended September 30, 2025, we continued to deploy miners across all our Facilities, with the objective of increasing our operational efficiency and performance moving forward. As of September 30, 2025, we had a total deployed hash rate capacity of 36.5 EH/s, as compared to 31.5 EH/s as of December 31, 2024, an increase of 15.9%.

Previous wording

During the six months ended June 30, 2025, we mined 2,956 bitcoin, reflecting an increase of 748 bitcoin compared to the 2,208 bitcoin we mined during the six months ended June 30, 2024. The increase was primarily due to our increase in deployed hash rate and significantly improved operational efficiency, partially offset by the increase in the global network hash rate and the halving that occurred in April 2024.

Current wording

During the nine months ended September 30, 2025, we mined 4,362 bitcoin, reflecting an increase of 1,050 bitcoin compared to the 3,312 bitcoin we mined during the nine months ended September 30, 2024. The increase was primarily due to our increase in deployed hash rate and significantly improved operational efficiency, partially offset by the increase in the global network hash rate and the halving that occurred in April 2024.

Previous wording

Our bitcoin custodian and brokerage services relationships are non-exclusive, and we may change our custodian and brokerage relationships at any time. We continually monitor our bitcoin assets held by our custodians. The Company’s insurance providers do not have inspection rights associated with our bitcoin assets held in cold storage. For additional information regarding our relationships with our custodians, NYDIG Trust Company LLC and Coinbase, Inc., on behalf of itself and Coinbase Custody Trust Company, LLC, and, if applicable, Coinbase or Coinbase Custody International Ltd., and a description of our underlying agreements with them, see Part I, Item 7 “Management’s Discussion and Analysis of Financial Condition and Results of Operations” of our 2024 Annual Report.

Current wording

Our bitcoin custodian and brokerage services relationships are non-exclusive, and we may change our custodian and brokerage relationships at any time. We continually monitor our bitcoin assets held by our custodians. Our insurance providers do not have inspection rights associated with our bitcoin assets held in cold storage. For additional information regarding our relationships with our custodians, NYDIG Trust Company LLC and Coinbase, Inc., on behalf of itself and Coinbase Custody Trust Company, LLC, and, if applicable, Coinbase or Coinbase Custody International Ltd., and a description of our underlying agreements with them, see Part I, Item 7 “Management’s Discussion and Analysis of Financial Condition and Results of Operations” of our 2024 Annual Report.

Previous wording

During 2023, 2024, and 2025, we entered into purchase orders under the Master Agreement to acquire new miners from MicroBT. These purchase orders represented a total hash rate of 44.7 EH/s, with a total purchase price of approximately $709.0 million, subject to downward price adjustments as provided by the Master Agreement. These miners are primarily intended for deployment at the Corsicana Facility, which commenced operations in April 2024. Delivery of these miners began in 2023, and all miners under these purchase orders are expected to be received by the end of 2025, with deployment following on an ongoing basis. The Master Agreement provided us with four additional annual options to purchase miners, on the same or more favorable terms as the second purchase order executed under the Master Agreement.

Current wording

During 2023, 2024, and 2025, we entered into purchase orders under the Master Agreement to acquire new miners from MicroBT. These purchase orders represented a total hash rate of 49.2 EH/s, with a total purchase price of approximately $779.5 million, subject to downward price adjustments as provided by the Master Agreement. These miners are primarily intended for deployment at the Corsicana Facility, which commenced operations in April 2024. Delivery of these miners began in 2023, and all miners under these purchase orders are expected to be received by the second quarter of 2026, with deployment following on an ongoing basis. The Master Agreement provided us with four additional annual options to purchase miners, on the same or more favorable terms as the second purchase order executed under the Master Agreement.

Previous wording

For the three and six months ended June 30, 2025, Bitcoin Mining revenue was approximately $140.9 million and $283.7 million, respectively.

Current wording

For the three and nine months ended September 30, 2025, Bitcoin Mining revenue was approximately $160.8 million and $444.5 million, respectively.

Previous wording

Our Engineering business designs and manufactures power distribution equipment and custom-engineered electrical products. These products support our vertical integration strategy by enabling the internal development of critical electrical components and engineering services necessary for our site developments. This integration helps mitigate our execution and counter-party risk in ongoing and future expansion projects. The specialized talent employed in our Engineering business allows us the opportunity to explore new methods to optimize and develop best-in-class Bitcoin Mining operations, which has been instrumental in the development of our industrial-scale immersion-cooled Bitcoin Mining hardware.

Current wording

Our Engineering business designs and manufactures power-distribution equipment and custom-engineered electrical products. These products support our vertical integration strategy by enabling the internal development of critical electrical components and engineering services necessary for our site developments. This integration helps mitigate execution and counter-party risk in ongoing and future expansion projects. The specialized talent employed in our Engineering business allows us to explore new methods to optimize and develop best-in-class Bitcoin Mining operations, which has been instrumental in the development of our industrial-scale immersion-cooled Bitcoin Mining hardware.

Previous wording

In December 2024, we completed the E4A Solutions Acquisition. This acquisition is consistent with our vertically integrated strategy by adding engineering expertise to service our own existing and future electrical infrastructure and allows us to provide electrical solutions and services to support the rapidly growing market for electrical infrastructure.

Current wording

In December 2024, we completed the E4A Solutions Acquisition. This acquisition is consistent with our vertically integrated strategy by adding engineering expertise to service our own existing and future electrical infrastructure and enables us to provide electrical solutions and services to support the rapidly growing market for electrical infrastructure.

Previous wording

For the three and six months ended June 30, 2025, Engineering revenue was approximately $10.6 million and $24.5 million, respectively.

Current wording

For the three and nine months ended September 30, 2025, Engineering revenue was approximately $19.1 million and $43.6 million, respectively.

Previous wording

Long-term power contracts form the basis of our power strategy. We utilize the Rockdale PPA and the Corsicana PPA (together, the “PPAs”) at our Facilities in the following ways:

Current wording

Long-term power contracts form the basis of our power strategy. We utilize the Rockdale PPA, Corsicana PPA, and Kentucky PPA (together, the “PPAs”) at our Facilities in the following ways:

Previous wording

We power down operations and return power to the utility when market prices for electricity provide the potential for us to receive more power curtailment credits than the Bitcoin Mining revenues we would have generated had we not curtailed our mining operations. We receive power credits for the difference between the market power price and our fixed power price, which provides

Current wording

We power down operations and return power to the grid when market prices for electricity indicate the potential for us to receive more power curtailment credits than the Bitcoin Mining revenues we would have generated had we not curtailed our mining operations. We receive power credits for the difference between the market power price and our fixed power price, which enables us to maximize our overall profitability between Bitcoin Mining and supporting the grid by not drawing power from the grid when electricity is most scarce.

Previous wording

The price of bitcoin increased during the first quarter of 2024 due to a new source of demand, the 11 bitcoin spot Exchange Traded Funds (“ETFs”), which were approved to begin trading by the SEC on January 11, 2024. These ETFs, as investment vehicles, provide investors with a new way to gain exposure to bitcoin through more traditional financial markets.

Current wording

The price of bitcoin increased during the first quarter of 2024 due to a new source of demand, 11 bitcoin spot Exchange Traded Funds (“ETFs”), which were approved to begin trading by the SEC on January 11, 2024. These ETFs, as investment vehicles, provide investors with a new way to gain exposure to bitcoin through more traditional financial markets.

Previous wording

We have observed that when the market price for bitcoin experiences sustained increases, new miners are introduced onto the bitcoin network, contributing to an increase in the global network hash rate. Despite the halving in April 2024 and increase in the global network hash rate, our hash rate grew by approximately 186% from December 31, 2023 to June 30, 2025. This growth contributed to an increase of approximately 33.9% in the number of bitcoin we mined during the six months ended June 30, 2025 as compared to the same period in 2024.

Current wording

We have observed that when the market price for bitcoin experiences sustained increases, new miners are introduced onto the bitcoin network, contributing to an increase in the global network hash rate. Despite the halving in April 2024 and the increase in the global network hash rate, our hash rate grew by approximately 29.4% from December 31, 2023 to September 30, 2025. This growth contributed to an increase of approximately 31.7% in the number of bitcoin we mined during the nine months ended September 30, 2025 as compared to the same period in 2024.

Previous wording

Since 2021, we have led the industry by focusing on a vertically integrated business model. We remain committed to building long-term stockholder value by taking strategic actions to further vertically integrate our business at the current Rockdale Facility, developing the Corsicana Facility, and integrating our acquisitions, including the Kentucky Facility and E4A Solutions. Management believes that vertical integration will strengthen each of our business segments by providing increased capacity for our Bitcoin Mining operations, expanding opportunities for implementing our proprietary power strategy, and positioning us to capitalize on supply chain efficiencies and electrical engineering services through our Engineering segment. We continue to focus on deploying our efficient Bitcoin Mining fleet, at scale, while realizing the benefits of being an owner and operator of our Bitcoin Mining facilities.

Current wording

Since 2021, we have focused on a vertically integrated business model. We remain committed to building long-term stockholder value by taking strategic actions to further vertically integrate our business at the current Rockdale Facility, developing the Corsicana Facility, and integrating our acquisitions, including the Kentucky Facility and E4A Solutions. Management believes that vertical integration will strengthen each of our business segments by providing increased capacity for our Bitcoin Mining operations, expanding opportunities for implementing our proprietary power strategy, and positioning us to capitalize on supply chain efficiencies and electrical engineering services through our Engineering segment. We continue to focus on deploying our efficient Bitcoin Mining fleet, at scale, while realizing the benefits of being an owner and operator of our Bitcoin Mining facilities.

Previous wording

As Texas’s grid operator, ERCOT is responsible for monitoring and testing market participants, including our Bitcoin Mining facilities at the Rockdale Facility and the Corsicana Facility, to evaluate their impact on grid reliability. As part of this process, ERCOT may issue curtailment notices to reduce the power usage at our Texas operations. Our Facilities in Texas are subject to periodic testing and monitoring and have experienced power curtailments in response to instructions we receive from Oncor and

Current wording

As Texas’s grid operator, ERCOT is responsible for monitoring and testing market participants, including our Bitcoin Mining facilities at the Rockdale Facility and the Corsicana Facility, to evaluate their impact on grid reliability. As part of this process, ERCOT may issue curtailment notices to reduce the power usage at our Texas operations. Our Facilities in Texas are subject to periodic testing and monitoring and have experienced power curtailments in response to instructions we receive from Oncor and ERCOT. Given the inherent uncertainty regarding the duration or extent of power curtailments and testing procedures, we are currently unable to reasonably estimate their potential impact on our operations. If we cannot secure adequate access to electrical power, we may be forced to reduce or shut down our operations, which would have a material adverse effect on our business, prospects, financial condition, and operating results.

Previous wording

See Part I, Item 1A. “Risk Factors” of our 2024 Annual Report for additional discussion regarding potential impacts the competitive and evolving industry may have on our business.

Current wording

See Part I, Item 1A. “Risk Factors” of our 2024 Annual Report for additional discussion regarding potential impacts that our competitive and evolving industry may have on our business.

Previous wording

An inflationary environment marked by global supply chain logistics disruptions across multiple distribution channels, has in the past contributed to delays in certain of our miner delivery schedules and in our infrastructure development schedules, driven by constraints in the globalized supply chains for miners, electricity distribution equipment, and construction materials, and these conditions may contribute to delays in the future. We have also experienced delays in our Engineering business segment’s manufacturing and delivery schedule, and in our infrastructure development schedules, resulting from constraints in the globalized supply chains for miners, electricity distribution equipment, and construction materials.

Current wording

An inflationary environment marked by global supply chain logistics disruptions across multiple distribution channels, has at times contributed to delays in certain of our miner delivery schedules and in our infrastructure development schedules, driven by constraints in the globalized supply chains for miners, electricity distribution equipment, and construction materials, and these conditions may contribute to delays in the future. We have also experienced delays in our Engineering business segment’s manufacturing and delivery schedule, and in our infrastructure development schedules, resulting from constraints in the globalized supply chains for miners, electricity distribution equipment, and construction materials.

Previous wording

During the six months ended June 30, 2025, we continued to operate under such conditions; however, we effectively and efficiently mitigated delivery delays to avoid material impacts to our miner deployment schedule, although we cannot guarantee continued success in mitigating any such delivery delays in the future. Additionally, the development and expansion of our Facilities requires large quantities of construction materials, specialized electricity distribution equipment, and other critical components, all of which are in high demand and may be difficult to source. To help mitigate the impacts of increasing demand for these goods, global supply chain constraints, and uncertainty arising from recently imposed U.S. tariffs on imports and retaliatory tariffs imposed by other countries, including any inflationary pricing that may result from such impacts, we procured and already hold many electrical infrastructure components and materials we require to develop the Corsicana Facility and to expand the Kentucky Facility, as well as replacement components and parts for our existing systems, to help shorten the impact of potential damage to installed equipment.

Current wording

During the nine months ended September 30, 2025, we continued to operate under such conditions; however, we effectively and efficiently mitigated delivery delays to avoid material impacts to our miner deployment schedule, although we cannot guarantee continued success in mitigating any such delivery delays in the future. Additionally, the development and expansion of our Facilities require large quantities of construction materials, specialized electricity distribution equipment, and other critical components, all of which are in high demand and may be difficult to source. To help mitigate the impacts of increasing demand for these goods, global supply chain constraints, and uncertainty arising from recently imposed U.S. tariffs on imports and retaliatory tariffs imposed by other countries, including any inflationary pricing that may result from such impacts, we procured and currently hold many electrical infrastructure components and materials we require to develop the Corsicana Facility and to expand the Kentucky Facility, as well as replacement components and parts for our existing systems, to help shorten the impact of potential damage to installed equipment.

Previous wording

The following tables present additional information about our own Bitcoin Mining activities, including bitcoin production and sales of the bitcoin mined:

Current wording

The following tables present additional information about our Bitcoin Mining activities, including bitcoin production and sales of bitcoin mined:

Previous wording

Total revenue for the three months ended June 30, 2025 and 2024 was $153.0 million and $70.0 million, respectively. Total revenue consists of our Bitcoin Mining revenue, Engineering revenue, and Other revenue. Other revenue consists almost entirely of residual activity related to our remaining data center hosting operations.

Current wording

Total revenue for the three months ended September 30, 2025 and 2024 was $180.2 million and $84.8 million, respectively. Total revenue consists of our Bitcoin Mining revenue, Engineering revenue, and Other revenue. Other revenue consists almost entirely of residual activity related to our former data center hosting operations.

Previous wording

For the three months ended June 30, 2025 and 2024, Bitcoin Mining revenue was $140.9 million and $55.8 million, respectively. The increase of $85.1 million was primarily due to higher bitcoin prices in the 2025 period, which averaged $98,800 per bitcoin, as compared to $66,004 per bitcoin for the 2024 period. Despite the substantial increase in the global network hash rate, Bitcoin production increased by 68.9% during the three months ended June 30, 2025 compared to the same period in 2024, primarily due to a 61.3% increase in deployed hash rate.

Current wording

For the three months ended September 30, 2025 and 2024, Bitcoin Mining revenue was $160.8 million and $67.5 million, respectively. The increase of $93.3 million was primarily due to higher bitcoin prices in the 2025 period, which averaged $114,361 per bitcoin, as compared to $61,133 per bitcoin for the 2024 period. Despite the substantial increase in the global network hash rate, Bitcoin production increased by 27.4% during the three months ended September 30, 2025 compared to the same period in 2024, primarily due to a 29.4% increase in deployed hash rate.

Previous wording

For the three months ended June 30, 2025 and 2024, Engineering revenue was $10.6 million and $9.6 million, respectively. Of the increase, $3.7 million was due to the E4A Solutions Acquisition in December 2024, which was partially offset by a reduction of revenue resulting from change orders received on numerous custom projects.

Current wording

For the three months ended September 30, 2025 and 2024, Engineering revenue was $19.1 million and $12.6 million, respectively. Of the increase, $3.1 million was due to the E4A Solutions Acquisition in December 2024. The remaining increase was primarily attributable to the accelerated completion of certain custom products and, therefore, the recognition of revenue.

Previous wording

The increase of approximately $42.9 million in Cost of revenue for Bitcoin Mining was primarily due to the increase in Bitcoin Mining capacity at the Corsicana Facility, which requires additional headcount and direct costs necessary to maintain and support our expanded Bitcoin Mining operations. Property taxes increased due to the continued expansion of the Corsicana Facility and the acquisition of the Kentucky Facility in July 2024. Cost of revenue for Bitcoin Mining excludes depreciation and amortization, which are stated separately on our Condensed Consolidated Statements of Operations.

Current wording

The increase of approximately $44.3 million in Cost of revenue for Bitcoin Mining was primarily due to the increase in Bitcoin Mining capacity at the Corsicana Facility, which requires additional headcount and direct costs necessary to maintain and support our expanded Bitcoin Mining operations and the acquisition of the Kentucky Facility in July 2024. Property taxes increased due to the continued expansion of the Corsicana Facility. Cost of revenue for Bitcoin Mining excludes depreciation and amortization, which are stated separately on our Condensed Consolidated Statements of Operations.

Previous wording

Cost of revenue for Engineering for the three months ended June 30, 2025 and 2024 was $9.9 million and $8.3 million, respectively, an increase of approximately $1.6 million. The costs consisted primarily of direct materials and labor, as well as indirect manufacturing costs, which increased along with the increase in revenue compared to the three months ended June 30, 2024.

Current wording

Cost of revenue for Engineering for the three months ended September 30, 2025 and 2024 was $13.7 million and $13.5 million, respectively, an increase of approximately $0.2 million. The costs consisted primarily of direct materials and labor, as well as indirect manufacturing costs, which increased along with the increase in revenue compared to the three months ended September 30, 2024.

Previous wording

Selling, general and administrative expenses for the three months ended June 30, 2025 and 2024 were $75.9 million and $61.2 million, respectively, an increase of approximately $14.7 million. Selling, general and administrative expenses consist of stock-based compensation, legal and professional fees, and other personnel and related costs. The increase was primarily due to a$12.3 million increase in legal and professional fees, primarily related to ongoing litigation and a $4.7 million increase in compensation expense as a result of hiring additional employees to support our ongoing growth, partially offset by a $2.0 million decrease in stock-based compensation due to the vesting of awards during 2024.

Current wording

Selling, general and administrative expenses for the three months ended September 30, 2025 and 2024 were $69.8 million and $66.9 million, respectively, an increase of approximately $2.9 million. Selling, general and administrative expenses consist of stock-based compensation, legal and professional fees, and other personnel and related costs. The increase was primarily due to a$2.3 million increase in stock-based compensation due to the hiring of employees related to our data center development. The remaining increase was due to an increase in other general operating costs such as insurance and information technology projects to support our growth, partially offset by a $1.4 million decrease in legal and professional fees, primarily related to decreased ongoing litigation.

Previous wording

Depreciation and amortization for the three months ended June 30, 2025 and 2024 was $83.2 million and $37.3 million, respectively, an increase of approximately $45.9 million. The increase was primarily due to increased depreciation from the Corsicana Facility coming online in April 2024 and additional miners being deployed.

Current wording

Depreciation and amortization for the three months ended September 30, 2025 and 2024 was $82.9 million and $60.0 million, respectively, an increase of approximately $22.9 million. The increase was primarily due to increased depreciation from the Corsicana Facility coming online in April 2024 and additional miners being deployed.

Previous wording

The change in fair value of bitcoin for the six months ended June 30, 2025 and 2024 were gains of $262.8 million and $157.7 million, respectively, and was recognized to adjust the fair value of our bitcoin held at the end of each period.

Current wording

The change in fair value of bitcoin for the three months ended September 30, 2025 and 2024 were gains of $133.1 million and $8.6 million, respectively, and was recognized to adjust the fair value of our bitcoin held at the end of each period.

Previous wording

The change in fair value of our derivative assets for the three months ended June 30, 2025 and 2024 was a loss of $42.7 million and a gain of $27.5 million, respectively, and was recorded to adjust the fair value of our PPAs, which were classified as a derivative asset and measured at fair value. The changes in fair value were due to changes in future power prices over the applicable periods. The loss incurred during the three months ended June 30, 2025 was primarily attributable to the average of the forward prices utilized in the discounted cash flow estimation models decreasing from $55.41 per MWh as of March 31, 2025 to $53.31 per MWh as of June 30, 2025. The gain recognized during the three months ended June 30, 2024 was primarily attributable to the average of the forward prices increasing from $47.46 per MWh as of March 31, 2024 to $51.13 per MWh as of June 30, 2024.

Current wording

The change in fair value of our derivative assets for the three months ended September 30, 2025 and 2024 was a gain of $10.8 million and a loss of $24.3 million, respectively, and was recorded to adjust the fair value of our PPAs, which were classified as a derivative asset and measured at fair value. The changes in fair value were due to changes in future power prices over the applicable periods. The gain incurred during the three months ended September 30, 2025 was primarily attributable to the average of the forward prices utilized in the discounted cash flow estimation models increasing from $53.31 per MWh as of June 30, 2025 to $55.9 per MWh as of September 30, 2025. The loss recognized during the three months ended September 30, 2024 was primarily attributable to the average of the forward prices decreasing from $51.13 per MWh as of June 30, 2024 to $48.8 per MWh as of September 30, 2024.

Previous wording

Power curtailment credits for the three months ended June 30, 2025 and 2024 were $8.3 million and $13.9 million, respectively, and represent sales of unused power under certain of our PPAs and participation in ancillary services under ERCOT Demand Response Services Programs. The amount of these credits varies from period to period depending on various factors impacting the supply of power to, and the demand for power on, the ERCOT grid, such as weather and global fuel costs.

Current wording

Power curtailment credits for the three months ended September 30, 2025 and 2024 were $30.6 million and $12.4 million, respectively, and represent sales of unused power under certain of our PPAs and participation in ancillary services under ERCOT Demand Response Services Programs. The amount of these credits varies from period to period depending on various factors impacting the supply of power to, and the demand for power on, the ERCOT grid, such as weather and global fuel costs.

Previous wording

Interest income for the three months ended June 30, 2025 and 2024 was $3.3 million and $8.5 million, respectively. The decrease was primarily due to a decrease in cash balances on deposit.

Current wording

Interest income for the three months ended September 30, 2025 and 2024 was $3.9 million and $5.5 million, respectively. The decrease was primarily due to a decrease in average cash balances on deposit.

Previous wording

Interest expense for the three months ended June 30, 2025 and 2024 was $6.1 million and $0.3 million, respectively. The increase was primarily due to the debt from new financing arrangements entered into during late 2024 and 2025.

Current wording

Interest expense for the three months ended September 30, 2025 and 2024 was $8.1 million and $0.4 million, respectively. The increase was primarily due to the debt from new financing arrangements entered into during late 2024 and 2025.

Previous wording

Gain (loss) on equity method investment – marketable securities for the three months ended June 30, 2025 and 2024, were gains of $6.1 million and $24.5 million, respectively, and were recognized to adjust the fair value of our equity method investment held at the end of each period.

Current wording

Gain (loss) on equity method investment – marketable securities for the three months ended September 30, 2025 and 2024, were gains of $28.9 million and losses of $38.1 million, respectively, and were recognized to adjust the fair value of our equity method investment held at the end of each period. The equity method investment was sold in its entirety during the three months ended September 30, 2025.

Previous wording

Comparative Results for the Six Months Ended June 30, 2025 and 2024:

Current wording

Comparative Results for the Nine Months Ended September 30, 2025 and 2024:

Previous wording

Total revenue for the six months ended June 30, 2025 and 2024 was $314.4 million and $149.3 million, respectively. Total revenue consists of our Bitcoin Mining revenue, Engineering revenue, and Other revenue. Other revenue consists almost entirely of residual activity related to our remaining data center hosting operations.

Current wording

Total revenue for the nine months ended September 30, 2025 and 2024 was $494.6 million and $234.1 million, respectively. Total revenue consists of our Bitcoin Mining revenue, Engineering revenue, and Other revenue. Other revenue consists almost entirely of residual activity related to our former data center hosting operations.

Previous wording

For the six months ended June 30, 2025 and 2024, Bitcoin Mining revenue was $283.7 million and $127.2 million, respectively. The increase of $156.6 million was primarily due to higher bitcoin prices in the 2025 period, which averaged $95,991 per bitcoin, as compared to $57,591 per bitcoin for the 2024 period. Despite the substantial increase in the global network hash rate and the April 2024 halving, bitcoin production increased by 33.9% during the six months ended June 30, 2025 compared to the same period in 2024 due to the significant increases in our deployed and operating hash rate during each of the periods.

Current wording

For the nine months ended September 30, 2025 and 2024, Bitcoin Mining revenue was $444.5 million and $194.7 million, respectively. The increase of $249.9 million was primarily due to higher bitcoin prices in the 2025 period, which averaged $101,912 per bitcoin, as compared to $58,771 per bitcoin for the 2024 period. Despite the substantial increase in the global network hash rate and the April 2024 halving, bitcoin production increased by 31.7% during the nine months ended September 30, 2025 compared to the same period in 2024 due to the significant increases in our deployed and operating hash rates during each of the periods.

Previous wording

For the six months ended June 30, 2025 and 2024, Engineering revenue was $24.5 million and $14.3 million, respectively. The increase of $10.2 million was primarily attributable to the E4A Solutions Acquisition in December 2024, which accounted for $7.6 million of the increase. The remaining increase was primarily attributable to the accelerated completion of certain custom products and, therefore, the recognition of revenue.

Current wording

For the nine months ended September 30, 2025 and 2024, Engineering revenue was $43.6 million and $26.9 million, respectively. The increase of $16.7 million was primarily attributable to the E4A Solutions Acquisition in December 2024, which accounted for $11.8 million of the increase. The remaining increase was primarily attributable to the accelerated completion of certain custom products and, therefore, the recognition of revenue.

Previous wording

The increase of approximately $81.2 million in Cost of revenue for Bitcoin Mining was primarily due to the increase in Bitcoin Mining capacity at the Corsicana Facility, which requires additional headcount and direct costs necessary to maintain and support our expanded Bitcoin Mining operations. Property taxes increased due to the continued expansion of the Corsicana Facility and the acquisition of the Kentucky Facility in July 2024. Cost of revenue for Bitcoin Mining excludes depreciation and amortization, which are stated separately on our Condensed Consolidated Statements of Operations.

Current wording

The increase of approximately $125.5 million in Cost of revenue for Bitcoin Mining was primarily due to the increase in Bitcoin Mining capacity at the Corsicana Facility, which requires additional headcount and direct costs necessary to maintain and support our expanded Bitcoin Mining operations and the acquisition of the Kentucky Facility in July 2024. Property taxes increased due to