Core Viewpoint - Bitfarms (NASDAQ: BITF) shares declined 12.8% following the release of Q3 earnings, which were perceived negatively by the market despite showing strong revenue growth [1][4]. Financial Performance - Bitfarms reported Q3 revenue of $69 million, a 156% increase year over year, but the loss per share remained at $0.05, consistent with the previous quarter and an improvement from a loss of $0.07 in Q1 [3][4]. - The reported revenue and earnings missed analyst expectations, which were $85 million for revenue and a loss per share of $0.02, indicating concerns about mining margins and profitability outlook [4][7]. Strategic Shift - The company announced a strategic pivot to utilize some compute capacity for digital infrastructure projects in AI and cloud sectors, but the market response has been cautious due to ongoing investments in Bitcoin mining infrastructure and uncertainty regarding future earnings [5][6].

Core Insights - Bitfarms Ltd. is a significant player in the cryptocurrency mining industry, primarily focusing on Bitcoin and operating server farms across North America [1] - The company is part of a competitive landscape that includes other major players like Galaxy Digital and HIVE Digital Technologies [1] Price Target and Analyst Outlook - The consensus price target for Bitfarms has remained stable at $6.25 over the past quarter, indicating a steady outlook from analysts [2][6] - Over the past year, the price target has increased from $5.25, reflecting growing confidence in Bitfarms' potential [2] - However, Industrial Alliance Securities has set a lower price target of $3.25, indicating concerns about the company's ability to meet earnings expectations [3][6] Strategic Direction - Bitfarms is making a strategic pivot towards high-performance computing (HPC) to capture explosive growth opportunities [4][6] - This strategic direction is aimed at maintaining competitiveness alongside peers like Rezolve Ai, which reported a 426% year-over-year revenue increase in the first half of 2025 [4] Market Position - Bitfarms is recognized as one of the top cryptocurrency stocks to watch, positioning itself as a noteworthy stock for investors interested in the cryptocurrency market [5]

Bitfarms stock tumbles as miner posts $46 million loss, plans AI/HPC pivot with Washington site https://t.co/7sKXDTTqlK ...

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Core Insights - Bitfarms announced plans to completely wind down its Bitcoin mining operations, leading to a 17% drop in shares before a partial recovery, with the stock down 3.8% from morning open prices as of publication [1] Financial Performance - Bitfarms reported $69 million in revenue for Q3 2025, with $55 million from Bitcoin mining and $14 million from discontinued operations [3] - Adjusted EBITDA increased to $20 million, representing 28% of revenue, compared to $2 million a year earlier [3] - Operating losses were $29 million, and net loss widened to $46 million, or $0.08 per share, compared to a net loss of $24 million in the prior-year quarter [3] Strategic Transition - The company is evaluating a GPU-as-a-Service model for its Washington site as part of a long-term shift away from Bitcoin mining, expected to wind down in 2026 and 2027 [2] - Bitfarms plans to convert its Washington State site to support Nvidia GB300 GPUs with advanced liquid cooling, marking its first fully converted AI site [4] - The Panther Creek campus in Pennsylvania is set to expand its capacity to over 500 MW after further load studies, supported by a $300 million credit facility [5] Infrastructure and Capacity - Bitfarms completed the acquisition of its Sharon, Pennsylvania property, transitioning its 30 MW mining capacity to AI infrastructure, with an additional 80 MW substation expected by the end of 2026 [6] - The company's total energy portfolio now includes 2.1 gigawatts of infrastructure in the U.S. and Canada, with 341 MW energized, 440 MW contracted, and 1,360 MW under application [6] Liquidity and Bitcoin Holdings - Bitfarms has $814 million in liquidity, including $637 million in cash and $177 million in unencumbered Bitcoin [7] - The company mined 520 Bitcoin in the quarter at a direct cost of $48,200 per Bitcoin and sold 185 Bitcoin at an average price of $116,500 for proceeds of $22 million [7] - As of November 12, Bitfarms held 1,827 Bitcoin [7] Share Buyback Program - Bitfarms launched a share buyback program in July, allowing purchases of up to 10% of its public float through July 2026, having repurchased 7.8 million shares at an average price of $1.27 for about $10 million [8] - Despite a 94% year-to-date appreciation in share price over 2025, the stock has dropped nearly 44% over the last month [8]

Bitfarms Ltd. (BITF) came out with a quarterly loss of $0.02 per share in line with the Zacks Consensus Estimate. This compares to a loss of $0.09 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this company would post a loss of $0.01 per share when it actually produced a loss of $0.02, delivering a surprise of -100%.Over the last four quarters, the company has surpassed consensus EPS estimates just once.Bitfarms, which belongs to the Zacks Techn ...

Financial Data and Key Metrics Changes - In Q3 2025, Bitfarms achieved total revenue of $84 million, with $69 million from continuing operations, representing a year-over-year increase of 156% in revenue [40][41] - Gross mining profit was $21 million, with a gross mining margin of 35% and an average direct cost of $48,200 per Bitcoin mined [41] - Adjusted EBITDA from continuing operations was $20 million, or 28% of revenue, up from $2 million, or 8% of revenue year-over-year in Q3 2024 [42] Business Line Data and Key Metrics Changes - The company introduced a new program for digital asset management, Bitcoin 2.1, aimed at offsetting Bitcoin production costs and achieving higher value per Bitcoin sold [41] - The all-in cost per Bitcoin from continuing operations was $82,400, which, after accounting for net gains from derivatives, effectively reduced to $55,200 [42] Market Data and Key Metrics Changes - The demand for data center infrastructure is accelerating, with lease rates growing at an average rate of 12% since 2022, compared to 3% over the previous 20 years [8][10] - Analysts predict a massive shortfall of nearly 45 GW of power for data centers by 2030, confirming the increasing demand for HPC and AI infrastructure [10] Company Strategy and Development Direction - Bitfarms is transitioning to become a leading North American HPC and AI infrastructure company, focusing on optimizing lease rates and margins [5][12] - The company plans to prioritize infrastructure development, take advantage of the supply-demand gap, and develop infrastructure for NVIDIA's next-generation Vera Rubin GPUs [12][13] - The strategic focus includes converting existing Bitcoin mining sites to HPC and AI workloads, with significant developments planned in Washington and Pennsylvania [20][25][30] Management's Comments on Operating Environment and Future Outlook - Management expressed high conviction in the value of their energy portfolio and the demand for power, emphasizing the strategic location of their megawatts [16][19] - The company is well-capitalized with over $1 billion available for funding development projects, indicating strong financial health and a clear vision for future growth [44][45] Other Important Information - The company has secured 170 MW of operating power in Quebec, with plans to convert Bitcoin mining infrastructure to HPC and AI, representing a unique opportunity to increase data center capacity [19][29] - A successful convertible note offering raised $588 million, enhancing financial flexibility and supporting ongoing development initiatives [38][39] Q&A Session Summary Question: Can you share more on how you guys are thinking about economics for Vera Rubin GPU infrastructure? - Management highlighted that the increasing shortage of infrastructure will drive economics, with higher energy density requirements for next-generation GPUs leading to greater economic incentives for deployment [47][49] Question: What is the expected timeline for expanding power capacity at Panther Creek and Scrubgrass? - Management indicated that positive indications for power capacity expansion have been received, with potential quick conversions subject to regulatory approval [59][60] Question: Can you clarify the counterparty to the $128 million critical IT supply agreement for Washington? - The agreement is with a large publicly traded American national company that supplies data center equipment and services, enhancing the facility's attractiveness for both colocation and cloud services [72] Question: What are the biggest challenges to meeting timelines for Washington, Sharon, and Panther Creek? - Management noted that construction bottlenecks are hard to forecast, but having strong partners and project management teams in place mitigates risks [78] Question: What is the expected CapEx for 2026? - Management stated that CapEx figures for 2026 are still being finalized, with more clarity expected in Q1 as NVIDIA completes reference designs for the Vera Rubin infrastructure [79][80]

Financial Data and Key Metrics Changes - In Q3 2025, Bitfarms achieved total revenue of $84 million from continuing and discontinued operations, with $69 million from continuing operations, representing a year-over-year increase of 156% [40][41] - Gross mining profit from continuing operations was $21 million, with a gross mining margin of 35% and an average direct cost of $48,200 per Bitcoin mined [41] - Adjusted EBITDA from continuing operations was $20 million, or 28% of revenue, up from $2 million, or 8% of revenue year-over-year in Q3 2024 [42] Business Line Data and Key Metrics Changes - The company confirmed the ability to convert its Bitcoin megawatts for HPC and AI, representing a strategic opportunity to increase total data center megawatts in Quebec by 25% [19] - The Washington site is set to convert to HPC and AI workloads, with a fully funded agreement for $128 million for critical IT infrastructure [20][21] Market Data and Key Metrics Changes - Lease rates for data center infrastructure have grown at an average rate of 12% since 2022, compared to an average of 3% over the last 20 years [8][10] - Analysts predict a massive shortfall of nearly 45 gigawatts of power for data centers by 2030, confirming the increasing demand for data center capacity [10][11] Company Strategy and Development Direction - Bitfarms aims to optimize lease rates and margins through prioritizing infrastructure development, locking in higher rates under multi-year agreements, and developing infrastructure for next-generation GPUs [12][13] - The company plans to transition from Bitcoin mining to HPC and AI infrastructure, with a focus on developing facilities for NVIDIA's Vera Rubin GPUs [14][30] Management's Comments on Operating Environment and Future Outlook - Management expressed high conviction in the demand for HPC and AI infrastructure, emphasizing the strategic value of their energy portfolio and the unique positioning of their megawatts [16][35] - The company is well-capitalized with over $1 billion available for funding development projects, indicating strong financial health and a clear vision for future growth [44][45] Other Important Information - The company has transitioned to U.S. GAAP for Q4 and is working towards a U.S. redomicile in 2026 to improve institutional composition [35] - Bitfarms has maintained steady mining operations, achieving approximately $8 million in monthly free cash flow after G&A, which will support HPC and AI development projects [39][40] Q&A Session Summary Question: Can you share more on how you guys are thinking about economics for the Vera Rubin GPU infrastructure? - Management indicated that the economics will improve due to the increasing shortage of infrastructure and the specific requirements of the Vera Rubin GPUs, which will command a premium [47][49] Question: What is the expected timeline for expanding power capacity at Panther Creek and Scrubgrass? - Management noted that the timeline for expansion is uncertain but could happen quickly due to existing infrastructure and regulatory approvals [59] Question: What are the biggest challenges to meeting timelines for Washington, Sharon, and Panther Creek? - Management highlighted that construction bottlenecks are hard to forecast but emphasized the importance of having strong partners and project management teams in place [75]

Financial Data and Key Metrics Changes - In Q3 2025, the company achieved total revenue of $84 million from continuing and discontinued operations, with $69 million from continuing operations, representing a year-over-year increase of 156% [39] - Gross mining profit from continuing operations was $21 million, with a gross mining margin of 35% and an average direct cost of $48,200 per Bitcoin mined [39] - Adjusted EBITDA from continuing operations was $20 million, or 28% of revenue, up from $2 million, or 8% of revenue year-over-year in Q3 2024 [40] Business Line Data and Key Metrics Changes - The company confirmed that 100% of its 170 megawatts in Quebec are currently utilized for Bitcoin mining, with plans to convert these megawatts for HPC and AI, potentially increasing total data center megawatts in the province by 25% [18] - The Washington site has 18 megawatts of secured power, with a fully funded agreement for $128 million to develop the full capacity for HPC and AI workloads [19][20] Market Data and Key Metrics Changes - Lease rates for data center infrastructure have increased from an average of 3% over the last 20 years to an average of 12% since 2022, with expectations for this trend to continue [6][9] - Analysts predict a massive shortfall of nearly 45 gigawatts of power for data centers by 2030, confirming the increasing demand for data center capacity [9] Company Strategy and Development Direction - The company aims to prioritize infrastructure development to minimize the time between signing leases and generating revenue, thereby optimizing lease rates and margins [11] - Plans include developing infrastructure for NVIDIA's next-generation Vera Rubin GPUs, which are expected to command significantly greater economics due to their higher energy density [12][13] Management's Comments on Operating Environment and Future Outlook - Management believes that the demand for HPC and AI infrastructure will continue to grow, driven by the increasing need for data center capacity and the limitations in power and infrastructure [5][10] - The company is well-capitalized with over $1 billion available for funding its development projects, indicating strong financial health and a clear vision for advancing its HPC and AI initiatives [41][42] Other Important Information - The company has transitioned to a multi-strategy program for digital asset management, designed to offset Bitcoin production costs and fund energy infrastructure investments [39][40] - The company is actively pursuing GPU as a service or cloud monetization strategy, which could provide significant cash flow and returns compared to Bitcoin mining [21][56] Q&A Session Summary Question: Can you share more on how you guys are thinking about economics for the Vera Rubin GPU infrastructure? - Management indicated that the economics will improve due to the increasing shortage of infrastructure and the specific requirements of the new GPU models, which will drive higher economics [44][46] Question: What is the expected timeline for expanding power capacity at Panther Creek and Scrubgrass? - Management mentioned that positive indications have been received for the conversion of existing agreements, with potential expansions happening quickly, but specific timelines remain uncertain [51][52] Question: What are the biggest challenges to meeting timelines for Washington, Sharon, and Panther Creek? - Management noted that construction bottlenecks are hard to forecast, but having strong partners and project management teams in place will help mitigate risks [59] Question: How does the company evaluate GPU as a service compared to standard colocation? - Management explained that GPU as a service offers compelling benefits in terms of free cash flow and operational knowledge, which could significantly exceed the returns from Bitcoin mining [56][57]

HPC/AI Infrastructure and Strategy - Bitfarms has a 1.9 GW power infrastructure asset portfolio in high-demand HPC/AI regions in North America, located in cool climates for improved efficiency[24] - The company is developing 18 MW of HPC/AI infrastructure at its Washington site for Nvidia Blackwell in 2026, with a secured supply chain for $128 million[26, 28] - Panther Creek in Eastern Pennsylvania is planned as a flagship HPC/AI campus with over 410 MW of power and 316 acres of land, with Phase 1 (50 MW) expected in H1 2027 and Phase 2 (300 MW) in H2 2027[33, 34] - Bitfarms has 170 MW of hydropower operating across multiple sites in Quebec, with potential to convert BTC mining infrastructure to HPC/AI[38] - Scrubgrass is a potential gigacampus site with 1.3 GW capacity and 650 acres, offering proximity to Pittsburgh and Cleveland[39, 40] Financial Performance and Capitalization - Bitfarms reported ~$8 million in monthly free cash flow from BTC mining operations in Q3 2025[49] - Q3 2025 revenue was $69 million, a 11% increase Q/Q and a 900% increase Y/Y[51] - Adjusted EBITDA for Q3 2025 was $20 million, a 122% increase Q/Q[51] - The company has over $1 billion in cash and Bitcoin on hand, with remaining funds available from the Macquarie facility[55] Strategic Initiatives - Bitfarms is undergoing a U S pivot, with the majority of planned MW development based in the U S , a new NYC office, and a transition to U S GAAP accounting, aiming for U S redomicile in 2026[42] - The company is evaluating a cloud monetization strategy for its Washington site to replace BTC mining cash flows[42]