Group 1 - The article does not provide any relevant content regarding the company or industry [1]

Business Transformation and Strategy - The company is undergoing a strategic transformation from Bitcoin Mining to HPC Infrastructure, which may not be successful [39] - The company has a limited operating history and a history of operating losses, making it difficult to evaluate its business and prospects [39] - The rapidly evolving regulatory landscape surrounding HPC, AI, and Bitcoin Mining may negatively impact the company's expansion efforts [43] Financial Risks and Performance - The high volatility of Bitcoin prices has significantly affected the profitability of the company's operations [43] - The company anticipates that future capital needs may not be met on acceptable terms, posing a risk to its operations [43] - The company has no current intention of paying cash dividends on its common shares [43] - The market price of the company's common shares has fluctuated significantly and may continue to do so [43] Supply Chain and Customer Dependence - The company relies on a limited number of third-party suppliers and manufacturers, exposing it to supply chain disruptions and trade risks [39] - The company is dependent on significant customers for its HPC data centers, with risks of customer default or late payments [43] Competition - The company faces intense competition from other Bitcoin Mining companies and established HPC data center operators [39]

Core Viewpoint - The company is shifting its focus from Bitcoin mining to high-performance computing (HPC) and AI infrastructure, rebranding as Keel Infrastructure effective April 1, 2026 [1] Strategic Shift - Management is prioritizing a pure-play colocation and powered-shell business model over GPU-as-a-Service to maximize shareholder value and meet specific hyperscaler demands [1] - The strategy will focus exclusively on North American markets, particularly Pennsylvania, Washington, and Quebec, where high barriers to entry and power scarcity create a competitive advantage [1] Operational Momentum - The operational momentum is driven by an 'energy bottleneck,' where the structural shortage of power generation makes secured megawatts the primary driver of lease economics [1] - The company is winding down legacy Bitcoin operations to reinvest capital and physical site capacity into higher-margin HPC infrastructure [1] Value Drivers - Management emphasizes that speed to power is the critical value driver, as customers face high opportunity costs for delayed AI deployments [1] - The transition is supported by a new executive team with over 110 combined years of experience in infrastructure, energy, and data center construction [1]

Core Insights - The company is transitioning from Bitcoin mining to high-performance computing (HPC) and artificial intelligence (AI) infrastructure, rebranding as Keel Infrastructure to reflect this shift [5][15] - The company has a unique portfolio of approximately 2.2 gigawatts of energized, secured, and expansion capacity across Pennsylvania, Quebec, and Washington, with a focus on leveraging low-cost renewable energy [3][16] - The company emphasizes the importance of location for data centers, concentrating on northern geographies to improve efficiency and reduce costs [6] Capacity and Development - In Quebec, the company has 170 MW of capacity, with plans to consolidate power onto a new campus near existing sites [1] - The Scrubgrass site in Pennsylvania has the potential for 1 gigawatt of capacity, including a 750 MW load study currently in progress [2] - Panther Creek in Pennsylvania has secured 350 MW, with potential expansion beyond 400 MW, attracting significant interest due to its proximity to major metro areas [3] Strategic Focus - The company is not competing in compute or cloud services but aims to support hyperscalers and "neo cloud" customers [4] - The focus is on securing leases and converting expansion capacity into secured capacity, which is seen as a key near-term catalyst for valuation [9][11] - The company plans to maintain liquidity through leasing without needing to access capital markets, emphasizing limited soft development costs [12] Timeline and Milestones - The company views 2026 as a year of execution and 2027 as a year of delivery, with several sites expected to come online and generate revenue [10] - Key milestones include site advancement, conversion of expansion capacity, and project commissioning [8] Customer and Financing Strategy - The company is focused on investment-grade counterparties for customer selection, which is crucial for financing large projects [11] - The strategy includes de-risking sites through permitting and execution before committing to specific delivery dates in leases [14] Bitcoin Exposure - The company still holds approximately 2,500 Bitcoin but is winding down its exposure to Bitcoin mining to reinvest in HPC and AI initiatives [15]

Summary of Bitfarms Conference Call (March 31, 2026) Company Overview - **Company Name**: Bitfarms, transitioning to **Keel Infrastructure** - **Industry**: Data Center Infrastructure, focusing on High-Performance Computing (HPC) and Artificial Intelligence (AI) - **Re-domiciliation**: Effective March 31, 2026, Bitfarms will no longer be a Canadian company and will operate as a U.S. company [3][4] Strategic Focus - **Shift in Business Model**: Transitioning from Bitcoin mining to 100% focus on HPC and AI infrastructure [3] - **Infrastructure Development**: Positioning as a pure infrastructure developer and owner, not competing in HPC and AI compute or cloud space [4] Site Locations and Capacity - **Total Capacity**: Approximately **2.2 GW** of energized, secured, and expansion capacity across Pennsylvania, Quebec, and Washington [5] - **Pennsylvania Sites**: - **Sharon**: 110 MW - **Panther Creek**: 350 MW secured, potential expansion to 500 MW [5][6] - **Scrubgrass**: Potential capacity of 1.3 GW, with a 750 MW load study in progress [6][7] - **Quebec Sites**: 170 MW total, focusing on consolidating three Bitcoin mining sites into a new campus [8] - **Washington Site**: 18 MW under development [7] Competitive Advantages - **Location**: Sites are strategically located in northern states, providing cooler climates for higher efficiency and lower operational costs [9][10] - **Market Position**: Concentration in high-demand markets (Pennsylvania, Quebec, Washington) with significant barriers to entry [10] Market Dynamics and Tenant Engagement - **Latency Considerations**: Proximity to major metropolitan areas enhances appeal for inference applications, which are expected to drive demand [11][12] - **Tenant Selection**: Focus on investment-grade rated customers or those with credit wraps to ensure lower financing costs [29][30] Milestones and Catalysts - **Key Catalysts for 2026**: 1. Continued execution on site advancements, permitting, and construction [16][17] 2. Conversion of expansion capacity into secured capacity [18] 3. Delivery of commissioned sites in 2027, reducing development risk [19][23] - **Timeline Expectations**: Panther Creek expected to come online in 2027, with other sites following [23][47] Financial Position and Revenue Streams - **Bitcoin Holdings**: Currently holding under **2,500 Bitcoin**, with plans to wind down Bitcoin mining exposure [78][80] - **Liquidity Management**: Strong liquidity position to support operations without relying on Bitcoin mining revenues [80][81] Regulatory and Market Challenges - **Data Sovereignty in Canada**: Canadian regulations require data to be stored within the country, creating higher barriers to entry and potentially higher lease values [82][83] - **Expansion Opportunities**: Engaging with local utilities for additional power generation to support data center growth [40][42] Future Outlook - **Long-term Strategy**: Focus on energy markets with excess capacity and stable pricing, avoiding volatile markets like Texas [85][86] - **Market Adaptation**: Willingness to explore new opportunities as market conditions evolve [87] This summary encapsulates the key points discussed during the Bitfarms conference call, highlighting the company's strategic shift, operational capacity, competitive advantages, and future outlook in the HPC and AI infrastructure market.

Core Viewpoint - The company is undergoing a significant strategic transformation from Bitcoin mining to developing high-performance computing (HPC) and artificial intelligence (AI) data center infrastructure in North America, with a focus on execution and delivery in the coming years [4][3]. Strategic Shift - The company plans to complete a U.S. re-domiciliation and rebranding to Keel Infrastructure, with trading under a new ticker expected to begin shortly after the transaction closes [3]. - The transformation is framed in a three-year plan: fiscal 2025 as foundational, 2026 focused on execution, and 2027 on delivery of HPC and AI revenue [1]. Site Development and Leasing Strategy - The company is focusing on three primary sites—Panther Creek, Sharon, and Moses Lake—with active work on permitting and leasing [4]. - Leasing strategy emphasizes achieving better terms by advancing permitting and related milestones, with a focus on long-term agreements of 10 to 15 years [5]. - The first site to be leased is likely to be the first to receive permitting [7]. Financial Performance - Fiscal 2025 revenue reached $229 million, a 72% increase year-over-year, but the company reported an operating loss of $150 million, influenced by non-cash items [9]. - The net loss for 2025 was $209 million, or $0.38 per share, compared to a net loss of $7 million in 2024 [10]. - Liquidity as of March 27, 2026, stood at $520 million, providing the company with the runway to advance projects without immediate capital market access [12]. Capital Strategy - The financial strategy is based on capital allocation, formation, and structure, with potential construction funding from project-level debt and equity [13]. - The company has eliminated legacy debt through an oversubscribed $588 million convertible offering, enhancing balance sheet flexibility [11]. Transition from Bitcoin Mining - The company plans to continue Bitcoin mining until construction preparations are needed, aiming to maximize free cash flow before selling mining equipment [14]. - The company benefits from capacity payments through participation in PJM capacity auctions, although these payments have reached auction ceilings [14]. Future Outlook - The company expects the Panther Creek, Sharon, and Moses Lake projects to begin generating customer revenue in 2027, with more visibility anticipated after achieving notice to proceed and signing leases [15].

Financial Data and Key Metrics Changes - Revenue for fiscal year 2025 was $229 million, up 72% year-over-year [28] - Operating loss for fiscal year 2025 was $150 million, compared to an operating loss of $28 million in 2024 [28][29] - Net loss for 2025 was $209 million, or $0.38 loss per share, compared to a net loss of $7 million, or $0.02 loss per share in 2024 [29] - Adjusted EBITDA for 2025 was $29 million, down from $31 million in 2024 [30] Business Line Data and Key Metrics Changes - The company has shifted focus entirely to North American HPC infrastructure development, moving away from Bitcoin mining [5][6] - The transition includes a significant capital raise of $588 million, which was fully institutional and oversubscribed [11][31] - The company is now positioned as Keel Infrastructure, emphasizing its role in supporting AI and HPC infrastructure [6][10] Market Data and Key Metrics Changes - The company has secured over 2 GW in its pipeline, making it a regional leader in high-demand markets [8][14] - The demand for power and land for AI infrastructure is increasing, with significant barriers to entry in the markets where the company operates [15][25] - The company is experiencing a surge in customer interest, particularly after securing zoning for its Panther Creek site [15] Company Strategy and Development Direction - The company aims to provide critical infrastructure for AI platforms, focusing on colocation facilities rather than competing with hyperscalers [7][10] - The strategy includes a disciplined exit from Bitcoin mining, with plans to reinvest capital into HPC and AI infrastructure [13][24] - The company is focused on executing its three-year transformation plan, with 2026 being a year of execution and 2027 anticipated for revenue generation [11][13] Management's Comments on Operating Environment and Future Outlook - Management believes that the demand for power will remain a structural bottleneck for AI infrastructure deployment [16] - The company is confident in its ability to secure leases and generate revenue as it progresses through permitting and site development [12][20] - The management emphasizes the importance of securing favorable lease terms to maximize shareholder value [40][41] Other Important Information - The company will officially rebrand as Keel Infrastructure and begin trading under the new ticker on Nasdaq and TSX [8][12] - The company has a strong liquidity position of $520 million, providing flexibility for future developments [31][32] Q&A Session Summary Question: What were the major drivers for the decision to focus on colocation instead of GPU rental at Moses Lake? - The decision was based on increasing customer conversations indicating that remaining a pure play infrastructure developer would maximize shareholder value [39] Question: Can you update on the lease execution strategy and potential timing? - The strategy remains consistent, focusing on securing the best lease terms to drive long-term value [40][41] Question: What permits are still pending at the various sites? - Permitting is a complex process with progress expected in the coming months, aiming for full permitted status across sites by mid to late summer [46] Question: What is the timeline for data center construction and revenue generation? - The company expects to start generating revenue from its sites in 2027, following the completion of permitting and lease execution [82] Question: How is the company managing its Bitcoin mining operations during the transition? - The company is scaling back its mining operations while maximizing free cash flow before transitioning fully to HPC and AI infrastructure [76][84]

Financial Data and Key Metrics Changes - Revenue for fiscal year 2025 was $229 million, up 72% year-over-year [28] - Operating loss for fiscal year 2025 was $150 million, compared to an operating loss of $28 million in 2024 [28][29] - Net loss for 2025 was $209 million, or $0.38 loss per share, compared to a net loss of $7 million, or $0.02 loss per share in 2024 [29] - Adjusted EBITDA for 2025 was $29 million, down from $31 million in 2024 [30] Business Line Data and Key Metrics Changes - The company has shifted its focus entirely to North American HPC infrastructure development, moving away from Bitcoin mining [5][6] - The transition included the acquisition of Stronghold and securing more power in Pennsylvania, contributing to a robust pipeline of over 2 GW [11] Market Data and Key Metrics Changes - The company is positioned in high-demand markets with significant barriers to entry, including Pennsylvania, Washington, and Quebec [14][25] - The demand for power and land for AI infrastructure is expected to remain high, with investment-grade tenants seeking to secure sites quickly [16][25] Company Strategy and Development Direction - The company plans to rebrand as Keel Infrastructure, focusing on enabling hyperscalers and Neoclouds rather than competing with them [6][7] - The strategy includes a disciplined exit from Bitcoin mining, with plans to reinvest capital into HPC and AI infrastructure [10][24] - The company aims to complete permitting and secure leases in 2026, with revenue generation expected to begin in 2027 [12][82] Management's Comments on Operating Environment and Future Outlook - Management emphasized the structural bottleneck in power generation for AI infrastructure, which is expected to persist for years [16] - The company is confident in its ability to execute its strategy and deliver value to shareholders, with a strong liquidity position of $520 million [31][34] Other Important Information - The company successfully raised $588 million through an oversubscribed convertible offering, enhancing its liquidity [31] - The transition to HPC and AI infrastructure is supported by a new executive team and strategic partnerships with industry leaders [22][23] Q&A Session Summary Question: What were the major drivers for choosing colocation over GPU rental at Moses Lake? - The decision was based on increasing customer conversations indicating a preference for leasing megawatts rather than GPU rental [39] Question: Can you update on the lease execution strategy and timing? - The strategy remains consistent, focusing on securing the best lease terms to maximize shareholder value, with permitting timelines influencing lease negotiations [40][41] Question: What permits are pending at the various sites? - Permitting is a complex process with progress expected in the coming months, aiming for full permitted status across sites by mid to late summer [46] Question: Can you clarify the sequencing between notice to proceed and lease execution? - Customers are likely to want notice to proceed before committing to binding leases, particularly investment-grade counterparties [55] Question: How is the global memory shortage impacting site development? - The memory shortage primarily affects customers, as the company focuses on infrastructure development rather than investing in GPUs [67]

Financial Data and Key Metrics Changes - Revenue for fiscal year 2025 was $229 million, up 72% year-over-year [28] - Operating loss for fiscal year 2025 was $150 million, compared to an operating loss of $28 million in 2024 [28][29] - Net loss for 2025 was $209 million, or $0.38 loss per share, compared to a net loss of $7 million, or $0.02 loss per share in 2024 [29] - Adjusted EBITDA for 2025 was $29 million, down from $31 million in 2024 [30] Business Line Data and Key Metrics Changes - The company has shifted its focus entirely to North American HPC infrastructure development, moving away from Bitcoin mining [5][6] - The transition included the acquisition of Stronghold and securing more power in Pennsylvania, which supports the new strategy [11] Market Data and Key Metrics Changes - The company has secured over 2 gigawatts in its pipeline, positioning itself as a regional leader in high-demand markets [8][14] - The demand for power and land for AI infrastructure is increasing, with significant barriers to entry in the markets where the company operates [15][16] Company Strategy and Development Direction - The company is rebranding as Keel Infrastructure, focusing on enabling hyperscalers and Neoclouds rather than competing with them [6][7] - The strategy includes designing site developments as powered shell or colocation facilities to maximize shareholder value [9][10] - The company aims to complete its transition from Bitcoin mining to HPC and AI infrastructure by 2027, with significant milestones expected in 2026 [13][14] Management's Comments on Operating Environment and Future Outlook - Management emphasized the structural bottleneck in power generation for AI infrastructure, which is expected to persist for the next five years [16] - The company is well-positioned to capitalize on the demand for AI infrastructure, with a strong balance sheet and liquidity [26][34] Other Important Information - The company successfully raised $588 million in a convertible offering, enhancing its liquidity [31] - The current cash position stands at $520 million, providing flexibility for future developments [32] Q&A Session Summary Question: What drove the decision to focus on colocation instead of GPU rental at Moses Lake? - The decision was based on customer conversations indicating that remaining a pure play infrastructure developer would maximize shareholder value [39] Question: What is the current strategy regarding lease execution? - The strategy is to secure the best terms for leases, which may take longer but will drive long-term value [40][41] Question: What permits are still pending for the various sites? - Permits are being pursued across multiple sites, with expectations to achieve full permitted status in the coming months [46] Question: What is the timeline for data center construction and revenue generation? - The company expects to start generating revenue from its sites in 2027, following the completion of permitting and lease execution [82] Question: How is the company managing its Bitcoin mining operations during the transition? - The company is scaling back its mining operations while maximizing free cash flow before selling miners [83]

Financial Data and Key Metrics Changes - Revenue for fiscal year 2025 was $229 million, up 72% year-over-year [28] - Operating loss for fiscal year 2025 was $150 million, compared to an operating loss of $28 million in 2024 [28] - Net loss for 2025 was $209 million, or $0.38 loss per share, compared to a net loss of $7 million, or $0.02 loss per share in 2024 [28] - Adjusted EBITDA for 2025 was $29 million, down from $31 million in 2024 [29] Business Line Data and Key Metrics Changes - The company has shifted focus entirely to North American HPC infrastructure development, moving away from Bitcoin mining [4][5] - The decision to focus on colocation rather than GPU rental was made based on increased customer demand for leasing megawatts [8][39] Market Data and Key Metrics Changes - The company has secured over 2 gigawatts in its pipeline, positioning itself as a regional leader in high-demand markets [6][13] - The demand for power and land for AI infrastructure is expected to remain high, with significant barriers to entry in the markets of Pennsylvania, Washington, and Quebec [13][14] Company Strategy and Development Direction - The company is rebranding as Keel Infrastructure, emphasizing its role as an infrastructure developer for HPC and AI [5][11] - The strategy includes a disciplined exit from Bitcoin mining, with plans to reinvest capital into HPC and AI infrastructure [12][23] - The company aims to complete permitting and lease execution in 2026, with revenue generation expected to commence in 2027 [12][84] Management's Comments on Operating Environment and Future Outlook - Management believes that the demand for power will remain a structural bottleneck for AI infrastructure deployment in the coming years [15] - The company is confident in its ability to execute its development plans and deliver value to shareholders [24][35] Other Important Information - The company successfully raised $588 million in a convertible offering, significantly enhancing its liquidity [30] - The current cash position stands at $520 million, providing flexibility for advancing development projects [32] Q&A Session Summary Question: What were the major drivers for the decision to focus on colocation instead of GPU rental? - The decision was based on increasing customer conversations indicating that the best opportunity is to remain a pure play infrastructure developer and owner [39] Question: Can you update on the lease execution strategy and potential timing? - The strategy remains consistent, focusing on securing the best terms for leases to maximize shareholder value [40][41] Question: What permits are still pending at the various sites? - Permitting is a complex process with progress being made across multiple sites, with expectations to achieve full permitted status in the coming months [46][47] Question: Can you clarify the sequencing between notice to proceed and lease execution? - Customers are likely to want notice to proceed before committing to a lease, particularly investment-grade counterparties [56] Question: What is the timeline for data center construction and revenue generation? - Revenue generation is expected to commence in 2027, with all three projects anticipated to come online and start delivering megawatts [84]