Riot Platforms, Inc.
For the period ended Mar 31, 2026. Filed Apr 30, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2026 · Filed Apr 30, 2026
RIOT$16.71+13.2%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-09-30; filed 2025-10-30.
0001104659-25-104466
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-03-31; filed 2026-04-30.
0001104659-26-053120
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 161 previous paragraphs and 161 current paragraphs.
71 unchanged; 50 reworded; 36 added; 33 removed; 7 previous and 4 current paragraphs rearranged.
Tables are not compared: 27 previous and 26 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (36)
Current report
We are a vertically integrated digital infrastructure company principally engaged in developing and optimizing our large-scale power assets. Our business strategy centers on enhancing our electrical infrastructure and deploying it across two complementary platforms: (i) bitcoin mining and (ii) scalable data center solutions designed to support non-mining workloads. By leveraging our energy portfolio, engineering capabilities, and operational footprint, we aim to capitalize on both the long-term potential of bitcoin and the accelerating demand for power-intensive compute.
Current report
Our industry remains highly competitive and continues to evolve alongside broader growth in digital assets and high-performance compute. With our scale, integrated power strategy, and engineering foundation, we believe we are well positioned to participate in the rapidly converging markets for Bitcoin Mining, AI, HPC, and modern data center infrastructure.
Current report
In 2025, we began leveraging our core competencies in power optimization, strategic land acquisition, engineering design, and construction execution to pursue opportunities to develop and monetize portions of our existing facilities and power pipeline through data center leasing services. We strengthened our execution capacity by recruiting critical talent and establishing a scalable data center platform to support data center development at the Corsicana Facility. We have completed our basis of design for our standard data center build and have initiated development of our first core & shell at the Corsicana Facility.
Current report
In January 2026, we announced the execution of the AMD Lease to provide 25 MW of critical IT load capacity at our Rockdale Facility. The AMD Lease has an initial term of ten years and provides for expansion options for up to an additional 75 MW of critical IT load capacity, as well as a right of first refusal for up to an additional 100 MW. The AMD Lease also provides three successive five-year term renewal options at the lessee’s discretion.
Current report
In April 2026, we entered into the AMD Lease Amendment to exercise a portion of the existing expansion option set forth in the AMD Lease, to provide an additional deployment of 25 MW of critical IT load capacity. Under the AMD Lease Amendment, AMD holds a remaining balance of 50 MW of reserved critical IT load capacity under the existing expansion option. The AMD Lease Amendment also grants AMD a conditional, first-priority right to lease up to an additional 100 MW of critical IT load capacity, exercisable in increments of not less than 50 MW. If both the remaining 50 MW of reserved capacity under the existing expansion option and the additional 100 MW option are fully exercised, AMD’s total leased capacity at the Rockdale Facility would increase to 200 MW. This conditional, first-priority right replaces the right of first refusal for an additional 100 MW previously granted to AMD in the AMD Lease.
Current report
During the three months ended March 31, 2026, we mined 1,473 bitcoin, reflecting a decrease of 57 bitcoin compared to the 1,530 bitcoin mined during the three months ended March 31, 2025. The decrease was primarily due to increases in the global network hash rate, partially offset by our increase in deployed hash rate and significantly improved operational efficiency. For the three months ended March 31, 2026 and 2025, Bitcoin Mining revenue was $111.9 million and $142.9 million, respectively. The decrease of $31.0 million was primarily due to lower bitcoin prices during the 2026 period, which averaged $68,223 per bitcoin, as compared to $82,535 per bitcoin for the 2025 period, and a slight decrease in bitcoin production of 3.7% due to the substantial increase in the global network hash rate. These decreases were partially offset by a 22.6% increase in our average operating hash rate, which increased from 29.7 EH/s during the three months ended March 31, 2025 to 36.4 EH/s during the three months ended March 31, 2026.
Current report
For the three months ended March 31, 2026, Bitcoin Mining revenue was approximately $111.9 million.
Current report
Data Center
Current report
Our Data Center business designs, develops and operates large-scale data center projects designed to support the growing demand for high-density compute. This includes the lease of data center space and power capacity, which is generally paid monthly. Power costs are passed through to customers at cost. Additionally, we provide tenant fit-out services to our customers for the build-out of customer-specific equipment at cost plus a margin.
Current report
For the three months ended March 31, 2026, Data Center revenue was approximately $33.2 million, reflecting initial leasing activity and associated tenant fit-out, through the AMD Lease.
Current report
For the three months ended March 31, 2026, Engineering revenue was approximately $22.2 million.
Current report
Our investment strategy with respect to our bitcoin (“Bitcoin Treasury Strategy”) is designed to balance long-term value appreciation with operational flexibility and liquidity management. We selectively sell or leverage portions of our bitcoin holdings, and may continue to do so in the future, to fund operational needs, capital expenditures, and strategic initiatives, particularly when market conditions present opportunistic pricing above predetermined thresholds that we believe maximize shareholder value.
Current report
This approach enables us to realize value from our bitcoin holdings at favorable market conditions to support our liquidity profile and fund business growth. We believe this strategy enhances our operational stability, supports our liquidity profile, and provides the financial flexibility necessary to execute on our business plan and meet our capital allocation objectives.
Current report
Bitcoin Mining Industry Consolidation and Emergence of Data Center Alternative
Current report
The bitcoin mining industry is undergoing significant structural transformation. A combination of factors, including the 2024 halving event, record high network hash rates in 2025, rising mining difficulties, and constrained access to large-scale power resources, has led to increased consolidation across the industry. These dynamics have made efficient, large-scale mining operations increasingly capital-intensive and have prompted miners to seek new avenues for maximizing the value of their existing infrastructure. A notable emerging trend is the convergence of bitcoin mining operations with large-scale data center services, including those supporting AI/HPC workloads. As demand for data center infrastructure accelerates, driven by advances in machine learning, generative AI, and compute-intensive enterprise applications, access to reliable, low-cost power has become a critical constraint on the development of new data centers. Bitcoin mining companies that own and operate their facilities are increasingly repurposing or reallocating portions of their power and physical infrastructure to support data center applications. This shift is enabled by the similarities between the underlying facility requirements for Bitcoin Mining and Data Center workloads, including large electrical loads, advanced cooling systems, and high-density rack deployments.
Current report
As a result, the industry is experiencing an evolution in which mining operators with robust power portfolios are leveraging their existing assets to participate in the rapidly growing market for data center services. This trend reflects both the challenges facing the Bitcoin mining sector and the significant economic opportunities presented by the global expansion of compute-intensive digital infrastructure.
Current report
Vertical Integration
Current report
Prior to the 2024 halving event, shifts in strategy by prominent bitcoin miners focused on implementing vertically-integrated business models by investing in infrastructure, and upgrading and expanding fleets at their own facilities rather than renting out space from a third-party data center. Vertical integration provides additional control over operational outcomes as well as better management of any input costs such as power and overhead fees. Flexibility, and the ability to manage expenses, becomes increasingly important as the amount of competition on the bitcoin network expands and the subsidy in bitcoin provided by the network contracts decreases.
Current report
We anticipate the bitcoin network will continue to see increased competition and consolidation in the bitcoin mining industry. Further, given our relative position and liquidity, we believe we are well positioned to benefit from such consolidation. We are continuously evaluating opportunities which we may decide to undertake as part of our strategic growth initiatives; however, we can offer no assurances that any strategic opportunities which we decide to undertake will be achieved on the schedule or within the budget we anticipate, if at all, and our business and financial results may change significantly as a result of such strategic growth.
Current report
Data Center Scrutiny and Regulation
Current report
Driven by the proliferation of energy-intensive applications such as bitcoin mining and HPC, demand for energy capacity continues to outpace supply. Data centers are increasingly scrutinized by federal, state, and local authorities due to concerns regarding energy consumption, land use, carbon emissions, water usage, environmental impacts, data-sovereignty considerations, and national-security-related issues. Regulators may impose new permitting requirements, energy-efficiency standards, carbon-reduction mandates, sustainability reporting rules, or operational restrictions specific to data centers, AI infrastructure, or high-density compute environments. Such regulations, particularly at the federal level or in the States of Texas and Kentucky, where our Facilities operate, could increase our capital expenditures, delay development timelines, limit expansion opportunities, or require costly modifications to existing infrastructure.
Current report
Tax abatement programs that have historically supported development, and specifically, data center development, are subject to increasing scrutiny as residents and policymakers reassess the associated economic benefits to their communities relative to perceived impacts on energy demand, utility costs, and natural resource consumption. In response, certain jurisdictions are becoming
Current report
more selective in offering incentives or eliminating them altogether. Certain jurisdictions have implemented, or are considering implementing, temporary moratoriums or other restrictions on new data center development due to these concerns.
Current report
Global supply chain disruptions and inflationary pressures have, at times, resulted in delays to our miner delivery schedules, infrastructure development timelines, and the manufacturing and delivery schedules within our Engineering segment. These delays are primarily driven by constraints in the globalized supply chains for miners, specialized electrical distribution equipment, and construction materials. While we have effectively mitigated these delays, there can be no assurance that we will be successful in mitigating such disruptions in the future.
Current report
The development and expansion of our Facilities require significant quantities of critical components that are currently in high demand and may be difficult to source. To mitigate the risks associated with supply chain volatility, increasing demand, and uncertainty arising from U.S. tariffs and retaliatory international tariffs, we have proactively procured and currently maintain a supply of essential electrical infrastructure components and construction materials. These strategic reserves are intended to support the expansion and data center development of the Corsicana and Rockdale Facilities, the expansion of our Kentucky Facilities, and the maintenance of our existing systems, and to reduce our exposure to potential inflationary pricing and equipment delivery delays.
Current report
We sell our bitcoin to fund operations. Subsequent to the fiscal year ending December 31, 2025, we have experienced an impact from the recent volatility and downward trend in the market price of Bitcoin reducing the purchasing power of our bitcoin holdings. This decline may necessitate the sale of a greater volume of our bitcoin than previously anticipated to generate the liquidity required to fund our ongoing operations and working capital needs. By diversifying our infrastructure to support broader data services, we aim to mitigate our direct exposure to cryptocurrency price fluctuations and establish a more stable, diversified revenue stream centered on digital infrastructure.
Current report
For the three months ended March 31, 2026, Data Center revenue was approximately $33.2 million, primarily attributable to initial leasing activity and associated tenant fit-out through the AMD Lease. We recognized our new Data Center operations as a reportable segment in the three months ended March 31, 2026. Accordingly, there were no Data Center revenues for the three months ended March 31, 2025.
Current report
For the three months ended March 31, 2026 and 2025, Engineering revenue was $22.2 million and $13.9 million, respectively. The increasewas primarily attributable to the record third-party data center demand for custom electrical equipment. Our custom electrical products are used as important components in data center development and in power generation and distribution facilities. There continues to be significant third-party demand for these products due to the increased interest in data center construction, as well as growing worldwide demand for power.
Current report
The following table presentsCost of revenue for Bitcoin Mining:
Current report
Interest expense for the three months ended March 31, 2026 and 2025 was $2.6 million and $2.3 million, respectively, and was primarily related to interest paid on our revolving lines of credit and letters of credit.
Current report
Data Center
Current report
Data Center revenue is derived from lease income from the leasing of data center space and provisioning of power under long-term lease agreements, and the construction of assets to support tenants.
Current report
Lease rent and power reimbursement income is recognized on a monthly basis as costs are incurred and services are provided and revenue generated from providing tenant fit-out services is recognized using the percentage of completion model whereby total costs incurred are divided by total costs expected to be incurred, which reflects progress towards completion of the performance obligation.
Current report
The $60.6 million increase in cash used in operating activities for the three months ended March 31, 2026, as compared to the three months ended March 31, 2025, was primarily attributable to increased power costs of $10.5 million and cash outflows during the three months ended March 31, 2026 consisting of a one-time cash payment of $20.0 million for the SBI legal settlement and $30.7 million for costs related to tenant fit-out, for which we expect to be reimbursed in the second quarter of 2026.
Current report
For the three months ended March 31, 2026, no cash was provided by financing activities as we did not issue any shares under our ATM Program, issue debt, or increase the borrowings on any of our existing debt. For the three months ended March 31, 2025, net cash provided by financing activities primarily consisted of proceeds from our ATM Program offerings of $70.0 million.
Current report
Critical Accounting Policies and Estimates
Removed paragraphs (33)
Previous report
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 report
Also in 2024, we expanded our operations through the acquisitions 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 currently expanded to approximately 95 MW of operational capacity, and are targeting to reach a total of approximately 160 MW during the
Previous report
remainder of 2025. The Block Mining Acquisition also provided us with access to additional energy markets located within the MISO region. 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.
Previous report
Our market environment is highly competitive, both globally and regionally. We compete with other large-scale bitcoin miners, as well as individual participants, to earn the bitcoin reward that is central to our operations. Our industry continues to evolve alongside the proliferation of bitcoin and cryptocurrencies in general, and we believe we are well positioned within the digital commodities industry in which we operate.
Previous report
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 report
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 report
For the three and nine months ended September 30, 2025, Bitcoin Mining revenue was approximately $160.8 million and $444.5 million, respectively.
Previous report
For the three and nine months ended September 30, 2025, Engineering revenue was approximately $19.1 million and $43.6 million, respectively.
Previous report
Our investment strategy with respect to our bitcoin (“Bitcoin Treasury Strategy”) involves retaining a majority of our currently held bitcoin and acquiring new bitcoin through our mining operations. We may sell or leverage our bitcoin to support operational needs and strategic initiatives. We believe this approach will contribute to operational stability and position us to capitalize on the appreciation of bitcoin while supporting our liquidity profile.
Previous report
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 report
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 report
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 report
The following table presents Cost of revenue for Bitcoin Mining:
Previous report
The gain on sale of equipment for the three months ended September 30, 2025 of $2.7 million was primarily attributable to sales of miners for proceeds of $2.9 million.
Previous report
The impairment of property and equipment in 2025 of $15.3 million was from certain long-lead items previously included in Construction in progress related to the planned expansion of the Corsicana Facility for bitcoin mining purposes. These items were deemed to be impaired as a result of our decision to expand the Corsicana Facility for data center application purposes instead.
Previous report
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 report
Revenue
Previous report
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 report
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 report
Costs and expenses
Previous report
The following table presents Cost of revenue for Bitcoin Mining:
Previous report
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
Previous report
Selling, general and administrative expenses for the nine months ended September 30, 2025 and 2024 were $217.2 million and $185.8 million, respectively, an increase of approximately $31.4 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$17.1 million increase in legal and professional fees primarily related to ongoing litigation and a $7.7 million increase in compensation expense as a result of hiring additional employees to support our ongoing growth and data center team. 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 $2.1 million decrease in stock-based compensation, primarily due to the vesting of awards granted in prior years.
Previous report
Depreciation and amortization for the nine months ended September 30, 2025 and 2024 was $244.1 million and $129.7 million, respectively, an increase of approximately $114.4 million. The increase was primarily due to increased depreciation from the Corsicana Facility coming online in April 2024 and additional miners being deployed.
Previous report
The change in fair value of bitcoin for the nine months ended September 30, 2025 and 2024 were gains of $395.9 million and $166.2 million, respectively, and was recognized to adjust the fair value of our bitcoin held at the end of each period.
Previous report
The loss on contract settlement of $158.1 million was attributable to the Rhodium Settlement.
Previous report
The gain on sale of equipment for the nine months ended September 30, 2025 of $2.3 million was primarily attributable to sales of miners for proceeds of $2.9 million.
Previous report
The impairment of property and equipment of $15.3 million was from certain long-lead items previously included in Construction in progress related to the planned expansion of the Corsicana Facility for bitcoin mining purposes. These items were deemed to be impaired as a result of our decision to expand the Corsicana Facility for data center application purposes instead.
Previous report
Other income (expense)
Previous report
Interest income for the nine months ended September 30, 2025 and 2024 was $10.7 million and $22.2 million, respectively. The decrease was primarily due to a decrease in average cash balances on deposit.
Previous report
Interest expense for the nine months ended September 30, 2025 and 2024 was $16.5 million and $1.1 million, respectively. The increase was primarily due to the debt from new financing arrangements entered into during late 2024 and 2025.
Previous report
The increase in cash used in operating activities was primarily attributable to increased power costs of $110.0 million, a $32.9 million increase in selling, general, and administrative costs, excluding stock-based compensation, both of which were primarily driven by our increased mining capacity and headcount, combined with other general operating costs such as insurance and information technology projects to support our growth. During the nine months ended September 30, 2025, we paid a one-time cash cost of $122.6 million related to the loss on contract settlement related to the Rhodium Settlement.
Previous report
Critical Accounting Policies
Reworded paragraphs (50)
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 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 to assist readers in understanding our results of operations and financial condition. This MD&A should be read in conjunction with the Notes and other financial information included elsewhere in this Quarterly Report, as well as our audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2025.
Previous wording
This MD&A includes forward-looking statements based on current expectations that involve risks and uncertainties, such as our plans, objectives, expectations, and intentions. Actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of a number of factors. See “Cautionary Note Regarding Forward-Looking Statements” and “Risk Factors” for a discussion of factors that could cause actual results to differ materially – and potentially adversely – from the results described in or implied by the forward-looking statements contained in this MD&A and elsewhere in this Quarterly Report.
Current wording
This MD&A includes forward-looking statements based on current expectations that involve risks and uncertainties, such as our plans, objectives, expectations, and intentions. Actual results and the timing of events may differ materially from those anticipated in these forward-looking statements as a result of various factors. See “Cautionary Note Regarding Forward-Looking Statements” and “Risk Factors” for a discussion of factors that may cause actual results to differ materially – and potentially adversely – from the results described in or implied by the forward-looking statements contained in this MD&A and elsewhere in this Quarterly Report.
Previous wording
We operate in two reportable business segments: Bitcoin Mining and Engineering.
Current wording
We operate in three reportable business segments: Bitcoin Mining, Data Center, and Engineering.
Previous 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.
Current wording
We own and manage multiple large-scale data center facilities in Texas and Kentucky that provide mission-critical power and infrastructure for our Bitcoin Mining at our Facilities, and non-mining Data Center operations at our Rockdale Facility. Our Rockdale Facility in Texas currently provides up to approximately 700 MW of developed capacity for Bitcoin Mining and Data Center leasing and is among the largest digital infrastructure campuses in North America, as measured by developed capacity. We have completed construction of approximately 400 MW of developed capacity at our second large-scale Texas development, the Corsicana Facility. We expect the Corsicana Facility to reach approximately 1 GW of developed capacity available for Bitcoin Mining and other high-density compute workloads upon full build-out.
Previous 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%.
Current wording
During the three months ended March 31, 2026, we continued to deploy miners across all our Facilities, with the objective of improving our operational efficiency and performance. As of March 31, 2026, we had a total deployed hash rate capacity of 42.5 EH/s, as compared to 38.5 EH/s as of December 31, 2025, an increase of 10.4%.
Previous wording
As bitcoin is a decentralized cryptocurrency, it is not required that bitcoin be held by a custodian, and we may choose to self-custody. However, we believe that our private keys associated with our bitcoin are better safeguarded within the secure environment provided by custodians. Self-custody poses an increased risk to our private keys, and we may not have the same level of protection as that offered by custody providers who are well-versed in industry best practices for safeguarding digital assets from potential theft, loss, or destruction.
Current wording
As bitcoin is a decentralized digital asset, we are not required to use a third-party custodian and may elect to self-custody our holdings. However, we believe that our private keys associated with our bitcoin are better safeguarded within the secure environment provided by custodians. Self-custody poses an increased risk to our private keys, and we may not have the same level of protection as that offered by custody providers who are well-versed in industry best practices for safeguarding digital assets from potential theft, loss, or destruction.
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 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.
Current wording
engineering services necessary for developments at our Facilities. This integration helps mitigate execution and counterparty 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 and has been instrumental in the development of our industrial-scale immersion-cooled Bitcoin Mining hardware. The vertical integration of our Engineering division gives us additional strength and security in developing and deploying our Data Center build-outs. Our Data Center business is able to leverage Engineering’s market specific expertise for best-in-class design as well as speed to market.
Previous wording
Our Engineering business also provides electricity distribution product design, manufacturing, and installation services primarily focused on large-scale commercial and governmental customers and serves a broad scope of clients across a wide range of markets, including data center, power generation, utility, water, industrial, and alternative energy.
Current wording
Our Engineering business also provides electrical distribution product design, manufacturing, and installation services primarily focused on large-scale industrial and governmental customers and serves a broad scope of clients across a wide range of markets including data center, power generation, utility, water, industrial, and alternative energy.
Previous wording
Engineering revenue is derived from the sale of custom products built to customers’ specifications under fixed-price contracts with one identified performance obligation. Engineering revenue is recognized over time as performance creates or enhances an asset with no alternative use, and for which we have an enforceable right to receive compensation as defined under the contract.
Current wording
Engineering revenue is primarily derived from the sale of custom products built to customers’ specifications under fixed-price contracts with one identified performance obligation. Engineering revenue is recognized over time as performance creates or enhances an asset with no alternative use, and for which we have an enforceable right to receive compensation as defined under the contract.
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 enables 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 strengthens our vertically integrated strategy by adding engineering expertise to service our existing and future electrical infrastructure as well as providing solutions and services to the rapidly growing market for electrical infrastructure.
Previous 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:
Current wording
Long-term power contracts form the foundation 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 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.
Current wording
We power down operations and return power to the utility when prevailing market electricity prices offer the potential for us to realize power curtailment credits in excess of the Bitcoin Mining revenues we would have otherwise generated. We receive power credits for the difference in the market power price and our fixed power price. By capturing the spread between market power prices and our fixed-rate power contracts, we are able to maximize our overall profitability while supporting grid stability by reducing demand for power during periods of peak scarcity.
Previous wording
At the Rockdale Facility and the Corsicana Facility, we voluntarily power down operations during times of peak demand in summer months. Participation provides us with substantial savings on transmission costs in the subsequent year’s power bills, reducing our overall power costs.
Current wording
At the Rockdale Facility and the Corsicana Facility, we participate in ERCOT’s 4CP Program by voluntarily powering down operations during times of peak demand in summer months. Participation in this program provides substantial savings on transmission costs in the subsequent year’s power bills and contributes to reduced overall power costs.
Previous wording
The following graph presents the primary decision points that guide our decision to curtail power usage or power down our mining operations, and when we might resume mining operations:
Current wording
The following graph presents the primary decision factors that guide our decision to curtail power usage or power down our mining operations, and when we might resume mining operations:
Previous 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.
Current wording
The price of bitcoin reached new all-time highs in 2025, supported by continued institutional investment in the Bitcoin spot exchange-traded funds (“ETFs”), global adoption, and increased interest from both retail and sovereign investors, but fell in the first quarter of 2026 to prices last seen in 2024. Bitcoin spot ETFs remained a primary driver of institutional demand, with total assets under management exceeding $85 billion as of March 31, 2026. These ETFs, as investment vehicles, provide investors with a broader way to gain exposure to bitcoin through more traditional financial markets. In March 2025, the United States established the United States Bitcoin Strategic Reserve, which currently holds the largest bitcoin reserve in the world, solidifying bitcoin as a mainstream financial asset and alternative source of value to fiat currency.
Previous wording
During 2023 and 2024, the bitcoin mining industry experienced record growth as the price of bitcoin increased from the lows experienced in early 2023. The rising bitcoin price renewed opportunities to access capital markets to fund growth, leading to unprecedented expansion in mining operations, which resulted in a doubling of the size of provisioned hash calculation services on the network, as measured by total hash rate. In advance of the April 2024 bitcoin network halving, many bitcoin mining companies heavily invested in implementing vertically integrated business models, infrastructure, and upgrading and expanding mining fleets. Competition on the bitcoin network has expanded in kind, and we expect competition within the mining industry to intensify as long as bitcoin prices remain elevated or increase further.
Current wording
During 2023 and 2024, the bitcoin mining industry experienced record growth as the price of bitcoin increased from the lows experienced in early 2023. In 2025 and the first quarter of 2026, the industry continued to grow, though at a slower pace due to increased network difficulty during 2025 and more aggressive competition for efficient energy sources globally. The rising bitcoin price renewed opportunities to access capital markets to fund growth, leading to unprecedented expansion in mining operations, which resulted in a doubling of the size of provisioned hash calculation services on the network, as measured by total hash rate. Competition among mining companies continued to intensify in 2025, with top operators focusing on mergers, acquisitions, and direct power procurement contracts to secure stable energy pricing in the face of volatile market conditions.
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 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.
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. Our hash rate grew by approximately 10.4% from December 31, 2025 to March 31, 2026, though the number of bitcoin we mined during the same period decreased slightly as a result of the increase in the global network hash rate as compared to the same period in 2025.
Previous wording
Accordingly, as the global network hash rate continues to rise, miners must scale their operations to maintain or improve their share of mining rewards. In response, we have expanded our Bitcoin Mining capacity through the development of new facilities, such as the Corsicana Facility, and strategic acquisitions, including the Block Mining Acquisition. These efforts are supported by investments in electricity supply and distribution infrastructure. We are also focused on other strategic growth opportunities that enhance our long-term competitiveness. Further, we have adopted new and improved technology to increase both our mining power and efficiency, including our industrial-scale adoption of immersion cooling and our strategic acquisitions of large quantities of the latest powerful and efficient miners available.
Current wording
Accordingly, as the global network hash rate continues to rise, miners must scale their operations to maintain or improve their share of mining rewards. In response, we have made investments in electricity supply and distribution infrastructure and are focused on other strategic growth opportunities that enhance our long-term competitiveness. Further, we have adopted new and improved technology to increase both our mining power and efficiency, including our industrial-scale adoption of immersion cooling and our strategic acquisitions of large quantities of the latest powerful and efficient miners available.
Previous wording
The bitcoin mining industry recently experienced an increase in transaction fees on the bitcoin network, alongside growing overall demand for bitcoin. While transaction fees remain inherently volatile, they are paid directly to miners and are representative of the public interest in transacting on the bitcoin network. These transaction fees, combined with the block subsidy issued by the bitcoin network, make up the total reward paid to miners upon solving a block.
Current wording
The bitcoin mining industry recently experienced an increase in transaction fees on the bitcoin network, alongside growing overall demand for bitcoin. While transaction fees remain inherently volatile, they are paid directly to miners and are representative of the
Previous 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.
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, expanding the Kentucky 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
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.
Current wording
See Part I, Item 1A. “Risk Factors” of the 2025 Annual Report for additional discussion regarding potential impacts that our competitive and evolving industry may have on our business.
Previous 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.
Current wording
Total revenue for the three months ended March 31, 2026 and 2025 was $167.2 million and $161.4 million, respectively. Total revenue consists of our Bitcoin Mining revenue, Data Center revenue, Engineering revenue and Other revenue. Other revenue consists almost entirely of residual activity related to our former Data Center Hosting bitcoin mining operations. See below for explanations of changes in revenue by operating segment.
Previous 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.
Current wording
For the three months ended March 31, 2026 and 2025, Bitcoin Mining revenue was $111.9 million and $142.9 million, respectively. The decrease of $31.0 million was primarily due to lower bitcoin prices in the 2026 period, which averaged $68,223 per bitcoin, as compared to $82,535 per bitcoin for the 2025 period, and a slight decrease in bitcoin production of 3.7% due to the substantial increase in the global network hash rate. These decreases were partially offset by a 22.6% increase in our average operating hash rate, which increased from 29.7 EH/s in the three months ended March 31, 2025 to 36.4 EH/s in the three months ended March 31, 2026.
Previous 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.
Current wording
The increase of approximately $11.9 million was primarily due to increased Bitcoin Mining capacity and power consumption due to the 125 MW of power capacity at the Rockdale Facility that was assumed in the settlement of litigation between the Company and Rhodium Encore LLC in April 2025 and the continued expansion at the Kentucky Facility. The expanded facilities require additional headcount and direct costs necessary to maintain and support our expanded Bitcoin Mining operations. Cost of revenue for Bitcoin Mining excludes depreciation and amortization, which are stated separately on our Condensed Consolidated Statements of Operations. In 2025, we acquired the Rockdale Facility land that was previously subject to a ground lease. As a result, ground rent was zero in 2026.
Previous 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.
Current wording
Cost of revenue for Engineering for the three months ended March 31, 2026 and 2025 was $18.1 million and $11.8 million, respectively, an increase of approximately $6.3 million. The costs consisted primarily of direct materials and labor, as well as indirect manufacturing costs. Consistent with the causes of increased Engineering revenue noted above, the increase was primarily due to increased receipts of materials resulting in our ability to complete projects.
Previous 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.
Current wording
Selling, general, and administrative expenses for the three months ended March 31, 2026 and 2025 were $76.2 million and $71.4 million, respectively, an increase of approximately $4.8 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 an $11.8 million increase in compensation expense, including stock-based compensation, as a result of hiring additional employees to support our ongoing growth and data center development. This increase was partially offset by a $5.0 million decrease in legal fees due to recently ending or settling much of our outstanding litigation. Additional decreases were from lower consulting and insurance costs.
Previous 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.
Current wording
Depreciation and amortization for the three months ended March 31, 2026 and 2025 was $97.7 million and $77.9 million, respectively, an increase of approximately $19.8 million. The increase was primarily due to increases in miners deployed.
Previous 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.
Current wording
The change in fair value of bitcoin for the three months ended March 31, 2026 and 2025 were losses of $326.7 million and $208.0 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 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.
Current wording
The change in fair value of our derivatives for the three months ended March 31, 2026 and 2025 was a loss of $51.9 million and a gain of $41.9 million, respectively, and was recorded to adjust the fair value of our PPAs, which were classified as derivatives and measured at fair value. The loss incurred during the three months ended March 31, 2026 was primarily attributable to the average of the forward prices utilized in the discounted cash flow estimation models decreasing from $55.7 per MWh as of December 31, 2025 to $49.1 per MWh as of March 31, 2026. The gain recognized during the three months ended March 31, 2025 was primarily attributable to the average of the forward prices increasing from $51.98 per MWh as of December 31, 2024 to $55.41 per MWh as of March 31, 2025.
Previous 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.
Current wording
Power curtailment credits for the three months ended March 31, 2026 and 2025 were $21.0 million and $7.8 million, respectively, and represent sales of unused power under our PPAs and participation in ancillary services under ERCOT and MISO Demand Response Service 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 power grids, such as weather and global fuel costs.
Previous wording
The change in fair value of contingent consideration for the nine months ended September 30, 2025 was a gain of $17.6 million, as compared to no gain or loss for the nine months ended September 30, 2024, and was a result of the change in estimates for the potential contingent consideration of the acquisitions of Block Mining and E4A Solutions.
Current wording
The change in fair value of contingent consideration during the three months ended March 31, 2026 and 2025 were zero and a gain of $8.3 million, respectively, and were a result of the change in estimates for the potential earnout contingent consideration to the former sellers in the Block Mining Acquisition and the E4A Solutions Acquisition.
Previous 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.
Current wording
Interest income for the three months ended March 31, 2026 and 2025 was $2.3 million and $3.4 million, respectively, and was earned from interest on cash balances held during the period. The decrease was due to lower cash balances on hand and lower interest rates.
Previous wording
Gain (loss) on equity method investment – marketable securities for the nine months ended September 30, 2025 and 2024, were losses of $28.2 million and $13.6 million, respectively, and was 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.
Current wording
The loss on equity method investment – marketable securities for the three months ended March 31, 2025, of $63.2 million was 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 year ended December 31, 2025.
Previous wording
In addition to financial measures presented under GAAP, we consistently evaluate our use of and calculation of non-GAAP financial measures such as “Adjusted EBITDA.” EBITDA is computed as net income before interest, taxes, depreciation, and amortization. Adjusted EBITDA is a financial measure defined as EBITDA adjusted to eliminate the effects of certain non-cash and/or non-recurring items that do not reflect our ongoing strategic business operations, which management believes results in a performance measurement that represents a key indicator of our core business operations in Bitcoin Mining. The adjustments include fair value adjustments such as derivative power contract adjustments, equity securities fair value changes, and non-cash stock-based compensation expense, in addition to financing and legacy business income and expense items.
Current wording
In addition to financial measures presented under generally accepted accounting principles in the United States (“GAAP”), we consistently evaluate our use of and calculation of non-GAAP financial measures such as “Adjusted EBITDA.” EBITDA is computed as net income before interest, taxes, depreciation, and amortization. Adjusted EBITDA is a financial measure defined as EBITDA adjusted to eliminate the effects of certain non-cash and/or non-recurring items that do not reflect our ongoing strategic business operations, which management believes results in a performance measurement that represents a key indicator of our core business operations. The adjustments include fair value adjustments such as derivative power contract adjustments, equity securities fair value changes, and non-cash stock-based compensation expense, in addition to financing and legacy business income and expense items.
Previous wording
Adjusted EBITDA is provided in addition to, and should not be considered a substitute for, or superior to, net income, the most comparable measure under GAAP to Adjusted EBITDA. Further, Adjusted EBITDA should not be considered as an alternative to revenue growth, net income, diluted net income per share, or any other performance measure derived in accordance with GAAP, or as an alternative to cash flow from operating activities as a measure of our liquidity. Adjusted EBITDA has limitations as an analytical tool, and you should not consider this financial measure either in isolation or as a substitute for analyzing our results as reported under GAAP.
Current wording
Adjusted EBITDA is provided in addition to, and should not be considered to be a substitute for, or superior to, net income, the most comparable measure under GAAP to Adjusted EBITDA. Further, Adjusted EBITDA should not be considered as an alternative to revenue growth, net income, diluted net income per share or any other performance measure derived in accordance with GAAP, or as an alternative to cash flow from operating activities as a measure of our liquidity. Adjusted EBITDA has limitations as an analytical tool, and you should not consider this financial measure either in isolation or as a substitute for analyzing our results as reported under GAAP.
Previous wording
We generate non-cash revenue through mining bitcoin at our Facilities, which we manage based on our Bitcoin Treasury Strategy, while financing operations and other expenses through sales of our bitcoin production, borrowing against our credit facilities, and issuance of common stock under the ATM offering program. During the nine months ended September 30, 2025 and 2024, we issued and sold approximately 16.1 million shares and 70.1 million shares, respectively, of our common stock under our ATM offering program for aggregate net proceeds (net of commissions and expenses) of $195.2 million and $730.8 million, respectively.
Current wording
We generate non-cash revenue through mining bitcoin at our Facilities, which we manage based on our Bitcoin Treasury Strategy, while financing operations and other expenses through sales of our bitcoin production, borrowing against our credit facilities, and issuance of common stock under the ATM offering program. During the three months ended March 31, 2026, no shares were sold under the ATM Program. During the three months ended March 31, 2025, we issued and sold approximately 5.4 million shares of our common stock under our ATM offering program for aggregate net proceeds (net of commissions and expenses) of $68.4 million.
Previous wording
As of September 30, 2025, we had net working capital of approximately $170.0 million, which included cash and cash equivalents of $330.7 million. We reported net income of $27.6 million during the nine months ended September 30, 2025, which included $498.4 million in non-cash net gains, primarily resulting from revenue recognized from bitcoin mined of $444.5 million and the change in fair value of bitcoin of $395.9 million, partially offset by depreciation and amortization of $244.1 million, stock-based compensation of $92.6 million, and losses on marketable securities of $28.2 million.
Current wording
As of March 31, 2026, we had net working capital of approximately $33.3 million, which included cash and cash equivalents of $205.7 million. We reported a net loss of $500.5 million during the three months ended March 31, 2026, which included $407.1 million in non-cash net losses primarily consisting of the loss from the change in fair value of bitcoin of $326.7 million, depreciation and amortization of $97.7 million, change in the fair values of derivatives of $51.9 million, and stock-based compensation of $39.2 million, partially offset by revenue recognized from bitcoin mined of $111.9 million.
Previous wording
We monitor our balance sheet on an ongoing basis and evaluate the level of bitcoin retained from monthly production in consideration of our cash requirements for ongoing operations and expansion.
Current wording
During the three months ended March 31, 2026, we sold 3,778 bitcoin for proceeds of approximately $289.5 million. We monitor our balance sheet on an ongoing basis and evaluate the level of bitcoin retained in consideration of our cash requirements for ongoing operations and expansion.
Previous wording
As of September 30, 2025, we had a remaining commitment of approximately $105.4 million due to MicroBT for the contractual purchase of miners, which we expect to pay through the second quarter of 2026.
Current wording
As of March 31, 2026, we had a remaining commitment of approximately $4.8 million due to MicroBT for the contractual purchase of miners, which we expect to pay through the second quarter of 2026.
Previous wording
We expect to generate ongoing revenue from bitcoin rewards in connection with our Bitcoin Mining operations and our ability to liquidate bitcoin rewards at future values will be regularly evaluated to generate cash for operations.
Current wording
We expect to generate ongoing revenue from bitcoin rewards in connection with our Bitcoin Mining operations and we will continue to evaluate our ability to liquidate bitcoin rewards at future values to generate cash for operations.
Showing the first 40 of 50 pairs. Open the source sections for the rest.
Rearranged current paragraphs (4)
Current report — wording carried from elsewhere
Our Engineering business designs and manufactures power-distribution equipment and engineered-to-order electrical products. These products support our vertical integration strategy by enabling the internal development of critical electrical equipment and
Current report — wording carried from elsewhere
public interest in transacting on the bitcoin network. These transaction fees, combined with the block subsidy issued by the bitcoin network, make up the total reward paid to miners upon solving a block.
Current report — wording carried from elsewhere
Customers are typically required to make monthly rent and power reimbursement payments as well as periodic tenant fit-out progress payments based on contractually agreed-upon milestones.
Current report — wording carried from elsewhere
We have primarily financed our strategic growth through proceeds from the issuance of our common stock through ATM Program offerings and various credit facilities, and it is reasonably likely that we will continue to finance our ongoing growth similarly.
Rearranged previous paragraphs (7)
Previous report — wording carried elsewhere
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 report — wording carried elsewhere
Comparative Results for the Nine Months Ended September 30, 2025 and 2024:
Previous report — wording carried elsewhere
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 report — wording carried elsewhere
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 report — wording carried elsewhere
Cost of revenue for Engineering for the nine months ended September 30, 2025 and 2024 was $35.4 million and $27.8 million respectively, an increase of approximately $7.6 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 nine months ended September 30, 2024.
Previous report — wording carried elsewhere
The change in fair value of our derivative assets for the nine months ended September 30, 2025 and 2024 were gains of $9.9 million and $23.4 million, respectively, and were 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 period. The gain incurred during the nine 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 $51.98 per MWh as of December 31, 2024 to $55.9 per MWh as of September 30, 2025. The gain recognized during the nine months ended September 30, 2024 was primarily attributable to the average of the forward prices increasing from $45.15 per MWh as of December 31, 2023 to $48.8 per MWh as of September 30, 2024.
Previous report — wording carried elsewhere
Power curtailment credits for the nine months ended September 30, 2025 and 2024 were $46.7 million and $31.4 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.