Hut 8 Corp. Q2 FY2023 Earnings Call
· Earnings call transcript and AI-powered summary
Period: Second Quarter 2023 (ended June 30, 2023). All figures in CAD unless noted. Comparisons are to Q2 2022.
Financial Highlights
- Revenue: $19.2 million, down $24.6 million from $43.8 million in Q2 2022, driven by lower Bitcoin mined and Bitcoin price decline.
- Digital Asset Mining Revenue: $15.0 million (399 Bitcoin mined) vs. $39.1 million (946 Bitcoin mined) in Q2 2022. Factors included higher network difficulty, Drumheller electrical issues, North Bay suspension, and end of GPU Ethereum mining.
- Bitcoin Price Impact: Average daily closing price ~$37,600 vs. ~$41,400 in Q2 2022.
- HPC Revenue: $4.2 million vs. $4.7 million in Q2 2022 (prior year included discontinued low-margin products; Q2 2023 impacted by client churn).
- Cost of Revenue: $23.8 million, down $23.9 million from prior year.
- Depreciation: $9.5 million vs. $29.8 million in Q2 2022 (lower due to Q4 2022 impairment).
- Site Operating Costs: $14.3 million, down $12.5 million year-over-year; digital mining costs fell $12.7 million mainly from lower power costs. Average cost per Bitcoin: ~$29,600 vs. ~$25,600 in Q2 2022.
- Mining Profit: $3.2 million vs. $14.9 million in Q2 2022 (impacted by Bitcoin price, lower production, and Drumheller issues).
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