Connect with us

Hi, what are you looking for?

Oracle of  Omaha SaysOracle of  Omaha Says

Editor's Pick

Marathon Digital Reports Facing ‘Operational Challenges’ in Q1 Earnings

Bitcoin mining firm Marathon Digital reportedly battled against “operational challenges” to produce record financial results in the first quarter of 2024.

In its first-quarter earnings report, the firm reported producing 2,811 Bitcoins during the first quarter of 2024, compared to 4,242 in the last quarter of 2023, a decline of 33.73%.

Marathon Digital reported revenues increased 223% to $165.2 million in the first quarter of 2024 from $51.1 million in the first quarter of 2023. The firms’ energized hash rate which measures the computational power of a blockchain network, increased 142% to 27.8 EH/s in the first quarter of 2024 from 11.5 EH/s in the first quarter of 2023.

Marathon Digital shared trading under the ticker “MARA” were down 2.19% at $19.56 at market close on Thursday.

“During the first quarter of 2024, we doubled the size of our portfolio of digital asset compute, launched our first products and services to support the Bitcoin ecosystem, and we battled against operational challenges to produce record financial results,” said Fred Thiel, Marathon’s chairman and chief executive officer, a press release.

Thiel explained in less than four months the mining firm initiated, closed, and integrated the acquisitions of its first three sites. Due to this, the firm doubled the size of its portfolio to 1.1 gigawatts of capacity, 54% of which is directly owned and operated by Marathon Digital.

The firm said it had secured its first paying customers for MARA firmware and began building a sales pipeline for its two-phase immersion system.

HODL Strategy Helps Firm Gain Momentum

“Despite the operational challenges we faced in the first quarter, we were able to leverage our agility to redistribute equipment to newly acquired sites amidst ongoing repairs,” said Thiel. “When combined with our HODL strategy, these actions allowed us to capitalize on Bitcoin’s positive momentum and produce record financial results for the quarter,” added Thiel.

The firm went on to grow its topline to $165.2 million, improved net income to a record $337.2 million, and generated adjusted EBITDA of $528.8 million.

Mining Companies Experience Production Decline

Earlier this year, several public mining companies reported decreases in Bitcoin production ranging from 6% to 12% for April following the halving event. Major Bitcoin miners, including Bitfarms, Cipher, CleanSpark, Core Scientific, Riot, and Terawulf, were all affected, according to a report from The Miner Mag.

However, the report said that the robust Bitcoin fee market briefly mitigated the impact of the halving on these companies. Hut 8, one of the prominent Bitcoin mining companies in North America, has reported a significant decline in its proprietary production for April. In their monthly update released on Monday, Hut 8 disclosed that they mined 148 BTC with their proprietary mining fleet during April, marking a 36% decrease compared to March.

The post Marathon Digital Reports Facing ‘Operational Challenges’ in Q1 Earnings appeared first on Cryptonews.

Enter Your Information Below To Receive Free Trading Ideas, Latest News And Articles.






    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.
    Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

    You May Also Like

    Latest News

    A former Republican legislative candidate who traveled to Washington for former President Donald Trump’s ‘Stop the Steal’ rally was arrested Friday and charged with...

    Latest News

    Abbe Lowell, Hunter Biden’s attorney, filed an ethics complaint Friday against Georgia Rep. Marjorie Taylor Green after she displayed censured nude photos of the president’s...

    Stock

    Even as U.S. inflation broadly cools, frozen vegetable prices are hot. The average shelf price for frozen veggies rose by 18% in the past year...

    Latest News

    President Biden has overruled the Pentagon and chosen Adm. Lisa Franchetti to lead the Navy, making her the first woman, if she’s confirmed, to...

    Disclaimer: Oracleofomahasays.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


    Copyright © 2024 Oracleofomahasays.com