Call Start: 10:00 January 1, 0000 11:04 AM ET | --- | --- | |--------------------------------------------------------------------------------------------|-------| | | | | Hut 8 Mining Corp. (NASDAQ:HUT) Q3 Earnings Conference Call November 11, 2021, 10:00 AM ET | | | | | | Company Participants | | | Shane Downey – Chief Financial Officer Jaime Leverton – Chief Executive Officer | | | Conference Call Participants | | | Joseph Vafi – Analyst | | | Chris Brendler – Analyst George Clinton – Analyst | | | Kevin ...

HUT 8 Company Overview November 2021 | --- ...

Hut 8 Mining Corp. (NASDAQ:HUT) Q2 2021 Earnings Conference Call August 12, 2021 10:00 AM ET Company Participants Jaime Leverton – Chief Executive Officer Shane Downey – Chief Financial Officer Conference Call Participants Kevin Dede – H.C. Wainwright Operator Welcome to the Q1 Earnings Release Conference Call. My name is John. I'll be your operator for todayÂ's call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session. [Operator Instructions] Now I ...

HTT Company Overview August 11th 2021 Disclaimer This management presentation is intended to provide an overview of the business of Hut 8 Mining Corp. ("Hut 8" or the "Company"). This presentation does not constitute or form part of and should not be construed as, an offer to sell or issue or the solicitation of an offer to buy or subscribe for securities of the Company or any of its subsidiaries in any jurisdiction or an inducement to enter into investment activity. No part of this presentation, nor the fa ...

Hut 8 Mining Corporate Update [Hashrate Capacity Expansion](index=1&type=section&id=Hashrate%20Capacity%20Expansion) Hut 8 acquired MicroBT miners for $44.373 million, projected to boost total hashrate capacity to **2.5 E/H** by late 2021 for a new **100 MW** facility MicroBT Miner Purchase Agreement Details | Metric | Value | | :--- | :--- | | **Seller** | SuperAcme Technology (Hong Kong) Limited | | **Purchase Price** | $44.373 million USD | | **Equipment** | MicroBT M30S, M30S+ and M31S miners | | **Cost per Terahash** | ~$44/Terahash | | **Expected Delivery** | Starting October 2021 | | **Full Deployment** | Anticipated by December 2021 | - The total anticipated production capacity increase from this and another recent purchase is **1.081 E/H**, which will bring Hut 8's total installed capacity to approximately **2.5 E/H**[3](index=3&type=chunk) - This new fleet of miners is expected to be the first to operate in the company's planned **100 MW facility**, which is being developed in partnership with Validus Power[3](index=3&type=chunk) [Impact on Production and Future Outlook](index=1&type=section&id=Impact%20on%20Production%20and%20Future%20Outlook) Expansion to **2.5 E/H** and **1,600 Gigahash** from NVIDIA CMPs is projected to more than double daily Bitcoin production to **14–16 Bitcoin** Projected Daily Bitcoin Production Increase (Pre-Difficulty Adjustment) | Metric | Current Production | Projected Production (Post-Expansion) | | :--- | :--- | :--- | | **Average Bitcoin per Day** | 6.5 – 7.5 | 14 – 16 | - The CEO, Jaime Leverton, stated the purchase is a unique opportunity to almost double the company's hashrate before the end of the year[4](index=4&type=chunk) - The **2.5 E/H** capacity is in addition to the **1,600 Gigahash** anticipated from NVIDIA cryptocurrency mining processors (CMPs)[5](index=5&type=chunk) [Bitcoin Network Difficulty Update](index=2&type=section&id=Bitcoin%20Network%20Difficulty%20Update) Anticipated **24-26%** Bitcoin network difficulty reduction by **July 2, 2021**, combined with hashrate expansion, is projected to increase daily self-mined Bitcoin to **20–22** - A sharp reduction in network difficulty, estimated between **24% and 26%**, is expected on **July 2, 2021**[6](index=6&type=chunk) Estimated Daily Bitcoin Production Scenarios | Scenario | Average Bitcoin per Day | | :--- | :--- | | **Current Production** | 6.5 – 7.5 | | **Post-Difficulty Reduction Only** | 8.5 – 9.5 | | **Post-Expansion & Difficulty Reduction** | 20 – 22 | [About Hut 8](index=2&type=section&id=About%20Hut%208) Hut 8 is a leading North American digital asset miner, holding significant self-mined Bitcoin and pursuing diversified strategies including mining, hosting, and yield programs - Key company attributes include: - One of **North America's largest digital asset miners**, located in Alberta, Canada - Holds **more self-mined Bitcoin** than any crypto miner or publicly traded company globally - **First publicly traded miner on the TSX** and **first Canadian miner on The Nasdaq Global Select Market**[7](index=7&type=chunk) - The company has a **multi-pronged business strategy**: profitable **digital asset mining**, white-label **high-performance compute hosting**, and **yield & income programs** using its Bitcoin reserves[7](index=7&type=chunk) [Cautionary Note Regarding Forward-Looking Information](index=2&type=section&id=Cautionary%20Note%20Regarding%20Forward-Looking%20Information) This press release contains forward-looking statements on future performance, subject to risks and uncertainties, with no obligation to update unless legally required - The press release includes **forward-looking information** concerning future business strategy, expansion, and operational plans[8](index=8&type=chunk) - These statements are subject to **risks and uncertainties** that could cause actual results to differ materially[9](index=9&type=chunk)

Financial Data and Key Metrics Changes - Hut 8 achieved record financial results for Q1 2021, with total revenue of CAD 32.5 million, up from CAD 12.7 million in Q1 2020 [4] - Revenue from digital assets mined was CAD 30.6 million, significantly increasing from CAD 12.7 million in the prior year [6] - Adjusted EBITDA for Q1 2021 was CAD 16 million, compared to a loss of CAD 560,000 in Q1 2020 [9] - The cost of mining each Bitcoin increased to approximately CAD 27,000 from CAD 11,300 in the prior year [8] Business Line Data and Key Metrics Changes - The company mined 539 Bitcoin in Q1 2021, down from 1,116 Bitcoin in the same period last year due to halving events and increased network difficulty [7] - Hosting services revenue was CAD 1.4 million, and interest income from Bitcoin lending was CAD 530,000 [5] Market Data and Key Metrics Changes - The average price of Bitcoin in Q1 2021 was approximately USD 45,000, compared to USD 8,000 in the prior year, marking a 5.5x increase [7] Company Strategy and Development Direction - The company aims to diversify revenue streams and reduce reliance on Bitcoin mining by expanding into hosting services and exploring GPU-based mining for Ethereum [18][20] - Hut 8 is focused on sustainability and has initiated partnerships to enhance its ESG initiatives, including a deal with Validus Power to utilize unproductive energy sources [25][26] - The management is committed to building a best-in-class leadership team to drive innovation and shareholder value [17] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the volatility in the digital asset market but emphasized the importance of creating a diversified revenue strategy to mitigate risks [18] - The company is optimistic about its future growth prospects, particularly with the expansion into GPU mining and strategic partnerships [19][20] Other Important Information - Hut 8 raised CAD 77.5 million in early January 2021 and used part of the capital to repay a USD 20 million loan, reducing leverage on its balance sheet [12] - As of March 31, the fair market value of digital assets held was CAD 168 million, with a combined self-mined Bitcoin balance of over 3,200 Bitcoin valued at CAD 242 million [13] Q&A Session Summary Question: What kind of utilization rates are you running? - Management noted that there was some curtailment of energy in February due to extreme weather conditions, which affected utilization rates [31] Question: Is the cost structure fully baked in Q1? - Management indicated that some costs in Q1 were one-time in nature and not expected to repeat, suggesting a more stable cost structure moving forward [35][36] Question: What are your thoughts on M&A? - Management stated that they are considering M&A but did not provide specific details at this time [38] Question: How will carbon costs impact financials? - Management mentioned that it is too soon to provide a definitive answer but expects costs associated with carbon to be more controlled with the Validus Power expansion [41] Question: Has there been a full transition to Foundry for mining? - Management confirmed that they have fully transitioned to Foundry as their largest mining pool [47] Question: What is the status of the Validus deal? - Management explained that they are working on standing up the initial 35 megawatts and will build a path for further expansion [81] Question: What are the plans for fleet upgrades? - Management is exploring options for legacy miners but has not made a decision yet [108] Question: How does Hut 8 create excess value for shareholders? - Management highlighted their large self-mined Bitcoin balance and the strategic pivot to GPU mining as key competitive advantages [120]

Hut 8 Mining Corp (HUTMF) Q4 2020 Earnings Conference Call March 25, 2021 10:00 AM ET Company Participants Jaime Leverton - CEO Jimmy Vaiopoulos - CFO Conference Call Participants Deepak Kaushal - Stifel Kevin Dede - H.C. Wainwright Operator Welcome to the Year-end Financial Results Conference Call. My name is John. I'll your operator for today's call. [Operator Instructions] Please note the conference is being recorded. And I will now turn the call over to Jaime Leverton. Jaime Leverton Good morning, every ...

HIUST THE OLDEST & MOST INNOVATIVE BITCOIN MINER IN THE WESTERN HEMISPHERE Innovative Mining, High Performance Computing, & Cash Flow Businesses Built on the Blockchain. TSE Ticker: HUT.TO OTCQX: HUTMF March 2021 Disclaimer 2 This management presentation is intended to provide an overview of the business of Hut 8 Mining Corp. ("Hut 8" or the "Company"). This presentation does not constitute or form part of and should not be construed as, an offer to sell or issue or the solicitation of an offer to buy or su ...

Hut 8 Mining Corp (HUTMF) Q2 2020 Results Conference Call August 13, 2020 10:00 AM ET Company Participants Jimmy Vaiopoulos - Interim CEO Conference Call Participants Operator Welcome to the Second Quarter 2020 Earnings Call. My name is Hilda, and I'll be your operator for today. At this time, all participants are in a listen-only mode and later we will conduct question-and-answer session. [Operator instructions] Please note that this conference is being recorded. I'll now turn the call over to Jimmy Vaiopo ...

Financial Data and Key Metrics Changes - Hut 8 mined 1,116 bitcoin in Q1 2020, generating revenue of CAD 12.7 million, a 5% increase from the same period last year [6] - Expenses for Q1 2020 were CAD 692,000, down from CAD 747,000 in Q1 2019, indicating a focus on cost optimization [6] - The company recognized a revaluation loss of CAD 1.3 million due to a decrease in bitcoin price from CAD 7,194 on December 31, 2019, to CAD 6,439 on March 31, 2020 [7] - Adjusted EBITDA for Q1 2020 was negative CAD 558,000, compared to positive CAD 1.3 million in the same period last year [8] Business Line Data and Key Metrics Changes - The company has been actively testing new equipment on-site, aiming for an upgrade to enhance performance and compatibility with existing infrastructure [4] - Hut 8's strategy remains focused on being a low-cost miner by optimizing operations and maintaining a significant amount of bitcoin on the balance sheet [17] Market Data and Key Metrics Changes - The bitcoin price experienced a significant drop of 37% on March 12, 2020, which affected revenue margins and adjusted EBITDA [5][8] - Following Q1 2020, the bitcoin price has recovered significantly, allowing Hut 8 to operate at maximum capacity to capitalize on the price increase [9] Company Strategy and Development Direction - The company plans to continue holding as much bitcoin as possible to provide exposure to investors through its mining operations [17] - Hut 8 is working towards upgrading its equipment and has options for financing that may include a mix of self-financing, debt, and equity [15] Management's Comments on Operating Environment and Future Outlook - Management noted that the operational adjustments are being made to maximize profitability in response to market conditions, particularly post-halving [12] - The company is closely monitoring network difficulty rates and natural gas pricing, which positively affects operational capacity [13] Other Important Information - The company has successfully refinanced its debt, reducing the interest rate by 2% [4] - There is an ongoing search for a new CEO, with the board nearing the end of the process [20] Q&A Session Summary Question: Plans post-halving and thresholds for shutting down mining - Management is closely monitoring bitcoin prices and network difficulty rates to adjust operations for profitability [12][14] Question: Financing plans for new equipment - The strategy involves a mix of self-financing, debt, and equity injections for equipment upgrades [15] Question: Changes in strategy regarding bitcoin holdings - The strategy to maximize bitcoin holdings remains unchanged [17] Question: Minimum burn rate if mining operations are shut down - The company can negotiate minimal costs, with site costs being quite variable [18] Question: Update on CEO search and board member changes - The board is close to finalizing the CEO search and actively looking to fill a board member position [20][30] Question: Equipment purchase options and availability - There are still options available for new equipment, including models from MicroBT [31] Question: Electricity costs and efficiency - Electricity costs are primarily derived from natural gas, and efficiency is expected to increase significantly with new equipment [52][53]