[TeraWulf Second Quarter 2025 Results](index=1&type=section&id=TeraWulf%20Second%20Quarter%202025%20Results) [Operational and Financial Highlights](index=1&type=section&id=Operational%20and%20Financial%20Highlights) The company's revenue grew 34% YoY to $47.6 million, while Adjusted EBITDA decreased due to the halving event and higher power costs - The company is on schedule to deliver **72.5 MW** of gross HPC hosting infrastructure to Core42 in 2025 and is targeting 200–250 MW operational by year-end 2026[2](index=2&type=chunk) - The decrease in self-mined bitcoin and increase in power cost per bitcoin were primarily attributed to the **April 2024 halving event**, rising network difficulty, and short-term power price volatility[7](index=7&type=chunk) Q2 2025 vs Q2 2024 Key Metrics | Metric | Q2 2025 | Q2 2024 | Change | | :--- | :--- | :--- | :--- | | **GAAP Revenue** | $47.6M | $35.6M | +33.7% | | **Adjusted EBITDA** | $14.5M | $19.5M | -25.6% | | **BTC Mining Capacity (EH/s)** | 12.8 | 8.8 | +45.5% | | **Bitcoin Self-Mined** | 485 | 699 | -30.6% | | **Power Cost per Bitcoin** | $45,555 | $22,954 | +98.5% | [Management Commentary](index=2&type=section&id=Management%20Commentary) Management emphasized its dual strategy of developing digital infrastructure for HPC hosting and proprietary Bitcoin mining - The company is executing a strategy to develop scalable digital infrastructure for both **HPC hosting and Bitcoin mining**[9](index=9&type=chunk) - Significant progress has been made on the **72.5 MW HPC capacity** for Core42, with revenues expected to begin in **Q3 2025**[9](index=9&type=chunk) - TeraWulf has secured interconnection approval to draw **500 MW** from the grid at Lake Mariner, with pending approvals to reach up to **750 MW**, positioning the company to meet strong demand[9](index=9&type=chunk) [Financial Performance Analysis](index=2&type=section&id=Financial%20Performance%20Analysis) Revenue grew 34% to $47.6 million, while higher costs led to an increased net loss of $18.4 million for the quarter - The **34% increase in revenue** was driven by a higher average bitcoin price and expanded mining capacity[10](index=10&type=chunk) - The **59% increase in cost of revenue** was attributed to greater infrastructure utilization and slightly higher power costs in Upstate New York[10](index=10&type=chunk) Q2 2025 vs Q2 2024 Income Statement Highlights | Metric ($ in millions) | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | **Revenue** | $47.6 | $35.6 | | **Cost of Revenue (excl. depr.)** | $22.1 | $13.9 | | **Operating Loss** | $(15.6) | $(6.8) | | **Net Loss** | $(18.4) | $(10.9) | [Financial Position and Liquidity](index=3&type=section&id=Financial%20Position%20and%20Liquidity) The company held $90.0 million in liquid assets against approximately $500.0 million in total outstanding debt as of June 30, 2025 - As of August 6, 2025, TeraWulf had **391,926,373 shares** of common stock outstanding[12](index=12&type=chunk) Liquidity and Capitalization as of June 30, 2025 | Item | Amount | | :--- | :--- | | Cash, Cash Equivalents & Bitcoin | $90.0 million | | Total Outstanding Debt | ~$500.0 million | [Consolidated Financial Statements](index=4&type=section&id=Consolidated%20Financial%20Statements) This section presents the unaudited consolidated balance sheets, statements of operations, and statements of cash flows [Consolidated Balance Sheets](index=4&type=section&id=Consolidated%20Balance%20Sheets) Total assets grew to $869.4 million, while total stockholders' equity declined to $174.3 million from year-end 2024 Balance Sheet Comparison ($ in thousands) | Account | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $89,993 | $274,065 | | Property, plant and equipment, net | $604,760 | $411,869 | | **Total Assets** | **$869,408** | **$787,511** | | Total current liabilities | $151,304 | $51,845 | | Convertible notes | $488,716 | $487,502 | | **Total Liabilities** | **$695,076** | **$543,066** | | **Total Stockholders' Equity** | **$174,332** | **$244,445** | [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) The company reported a net loss of $18.4 million, or ($0.05) per share, on revenues of $47.6 million for the quarter Q2 Statement of Operations Summary ($ in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | | :--- | :--- | :--- | | **Revenue** | $47,636 | $35,574 | | **Total costs and expenses** | $63,226 | $42,339 | | **Operating loss** | $(15,590) | $(6,765) | | **Net loss** | $(18,370) | $(10,876) | | **Loss per common share** | $(0.05) | $(0.03) | [Consolidated Statements of Cash Flows](index=8&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations was $1.7 million, while investing and financing activities resulted in a net cash decrease of $182.6 million Cash Flow Summary for Six Months Ended June 30, 2025 ($ in thousands) | Cash Flow Activity | Amount | | :--- | :--- | | Net cash provided by operating activities | $1,677 | | Net cash used in investing activities | $(132,096) | | Net cash used in financing activities | $(52,228) | | **Net change in cash and cash equivalents** | **$(182,647)** | [Non-GAAP Financial Measures](index=9&type=section&id=Non-GAAP%20Financial%20Measures) The company reported Adjusted EBITDA of $14.5 million, a decrease from $19.5 million in the prior-year quarter - The company defines non-GAAP **"Adjusted EBITDA"** as net loss adjusted for items including interest, taxes, depreciation, and other non-core items to allow for more meaningful comparisons of its core business[26](index=26&type=chunk)[27](index=27&type=chunk) Reconciliation of Net Loss to Non-GAAP Adjusted EBITDA ($ in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | | :--- | :--- | :--- | | **Net loss** | $(18,370) | $(10,876) | | Adjustments (Interest, Depreciation, etc.) | $32,901 | $30,402 | | **Non-GAAP Adjusted EBITDA** | **$14,531** | **$19,526** |

Core Insights - TeraWulf is on track to deliver 72.5 MW of HPC hosting infrastructure to Core42 by 2025 and aims to secure 200-250 MW operational by the end of 2026 [1][6] - The company's Bitcoin mining capacity increased by 45.5% year-over-year to 12.8 EH/s [1][7] Financial Performance - Revenue for Q2 2025 was $47.6 million, a 34% increase from $35.6 million in Q2 2024 [7][10] - Cost of revenue (excluding depreciation) rose to $22.1 million, up 59% from $13.9 million in Q2 2024, resulting in a cost of revenue as a percentage of revenue of 46.4% compared to 39.1% in the previous year [3][10] - Self-mined Bitcoin decreased to 485 from 699 in Q2 2024, with the total value of self-mined Bitcoin at $47.6 million compared to $46.1 million in the same quarter last year [8][10] - Power cost per Bitcoin self-mined increased significantly to $45,555 from $22,954 in Q2 2024 [8] Operational Highlights - TeraWulf's operational hashrate reached 12.2 EH/s, up from 8.0 EH/s in Q2 2024 [5] - The company is in advanced discussions to expand HPC hosting and has secured interconnection approval to draw 500 MW from the grid, with plans to increase this to 750 MW [9] Management Commentary - The CEO emphasized the company's commitment to developing scalable, sustainable digital infrastructure and highlighted strong demand from enterprise and hyperscale customers for low-cost, zero-carbon compute infrastructure [6][9] - The CFO noted that revenue from HPC hosting is expected to begin in Q3 2025, marking a significant inflection point for the company's financial profile [9] Liquidity and Capital Resources - As of June 30, 2025, TeraWulf held $90 million in cash and cash equivalents, with total outstanding debt of approximately $500 million [11] - The company reported a net loss of $18.4 million for Q2 2025, compared to a net loss of $10.9 million in Q2 2024 [20]

The market expects TeraWulf Inc. (WULF) to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended June 2025. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on August 8, might help the stock move higher if these key numbers are better ...

Core Viewpoint - TeraWulf Inc. is set to hold its earnings conference call for the second quarter of 2025 on August 8, 2025, at 8:00 a.m. Eastern Time, with a press release detailing the results to be issued prior to the call [1]. Company Overview - TeraWulf develops, owns, and operates environmentally sustainable data center infrastructure in the U.S., specifically for Bitcoin mining and high-performance computing [3]. - The company operates the Lake Mariner facility located on a retired coal plant site in Western New York and generates revenue primarily through Bitcoin mining, utilizing predominantly zero-carbon energy sources such as nuclear and hydroelectric power [3]. - TeraWulf is committed to environmental, social, and governance (ESG) principles, aiming to deliver industry-leading economics in mining and data center operations at an industrial scale [3]. Conference Call Information - The earnings conference call is scheduled for August 8, 2025, at 8:00 a.m. ET, with participants advised to log in or dial in approximately 5 minutes before the start [2]. - Access ID for the call is 13755187, and participants can join via a dial-in number or a webcast link provided [2]. Replay Information - A replay of the conference call will be available until August 22, 2025, at 11:59 PM ET, with specific dial-in numbers and access ID provided for listeners [3].

Group 1 - TeraWulf Inc. (WULF) shares have increased by 18% over the past four weeks, closing at $5.11, with a mean price target of $7.32 indicating a potential upside of 43.3% [1] - The mean estimate consists of 11 short-term price targets with a standard deviation of $1.72, where the lowest estimate is $4.00 (21.7% decline) and the highest is $10.00 (95.7% increase) [2] - Analysts show strong agreement on WULF's ability to report better earnings than previously predicted, which supports the potential for stock upside [4][11] Group 2 - Recent revisions of earnings estimates for WULF have been positive, with two estimates moving higher in the last 30 days and the Zacks Consensus Estimate increasing by 4.9% [12] - WULF holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimates [13] - While consensus price targets may not be reliable for predicting the extent of gains, they can provide a directional guide for price movement [14]

Core Viewpoint - TeraWulf Inc. has announced the acquisition of Beowulf Electricity & Data LLC, which aims to simplify its corporate structure and enhance operational efficiency through vertical integration and resource consolidation [1][2][3]. Transaction Overview - The total consideration for the acquisition is approximately $52.4 million, comprising $3 million in cash and 5 million shares of TeraWulf common stock [2]. - The agreement includes contingent cash payments of up to $19 million and additional common stock worth up to $13 million, contingent on achieving key milestones [2]. - Following the acquisition, 94 employees from Beowulf E&D have transitioned to TeraWulf, and an existing services agreement with Beowulf E&D has been terminated [2]. Strategic Rationale - The acquisition consolidates operations under a unified structure, enhancing transparency, governance, and strategic flexibility for long-term growth [3]. - The transaction was approved by an independent committee of the Board of Directors, ensuring fairness and compliance [3]. - The integration of Beowulf E&D's expertise in power generation supports TeraWulf's growth strategy, particularly in high-power compute operations [6]. Company Overview - TeraWulf develops and operates sustainable data center infrastructure in the U.S., primarily for bitcoin mining and high-performance computing (HPC) workloads [4]. - The company generates revenue mainly through bitcoin mining, utilizing predominantly zero-carbon energy sources [4]. - TeraWulf is committed to environmental, social, and governance (ESG) principles, aiming for industry-leading economics in its operations [4]. Strengthened Vertical Integration - The acquisition enhances TeraWulf's access to capital markets by simplifying its corporate structure, improving transparency for debt investors [6]. - The elimination of a related-party structure broadens engagement with institutional investors, who may have been previously constrained by such disclosures [6].

Core Insights - TeraWulf's shares dropped over 9% following a disappointing quarterly earnings report, contrasting with the relatively stable performance of the S&P 500 [1] Financial Performance - For the first quarter of 2025, TeraWulf reported revenue of $34.4 million, down from $42.4 million in the first quarter of 2024, with Bitcoin mined decreasing from 1,051 to 372 [2] - The net loss for the quarter increased significantly to over $61 million, equating to $0.16 per share, compared to a loss of less than $15 million in the previous year [2] Analyst Expectations - TeraWulf failed to meet analyst expectations, which anticipated revenue of slightly more than $46 million and an adjusted net loss of only $0.04 per share [3] Management Commentary - TeraWulf's CFO highlighted the company's strong cash position, stating they had $219.6 million in cash and Bitcoin holdings at the end of the quarter, indicating they are well-capitalized for near-term growth [4] - Despite recent gains in cryptocurrencies, the management's optimistic outlook did not alleviate investor concerns regarding the company's deteriorating fundamentals [4]

Financial Performance - Revenue for Q1 2025 was $34,405,000, a decrease of 18.5% from $42,433,000 in Q1 2024[16] - Total costs and expenses increased significantly to $94,033,000 in Q1 2025, compared to $44,749,000 in Q1 2024, resulting in an operating loss of $59,628,000[16] - Net loss for Q1 2025 was $61,418,000, compared to a net loss of $9,613,000 in Q1 2024, reflecting a substantial increase in losses[16] - Basic and diluted loss per common share for Q1 2025 was $0.16, compared to $0.03 in Q1 2024[16] - Consolidated net loss for the three months ended March 31, 2025, was $61.4 million, compared to a net loss of $9.6 million for the same period in 2024, representing a significant increase in losses[57] Equity and Capital Structure - Total stockholders' equity decreased to $170,375,000 as of March 31, 2025, down from $244,445,000 at the end of 2024[14] - The company reported an increase in additional paid-in capital to $705,897,000 as of March 31, 2025, from $685,261,000 at the end of 2024[14] - The company issued 20 million shares of Common Stock with a fair value of $68.8 million as part of the New Ground Lease transaction[70] - The company has authorized a share repurchase program of up to $200,000,000 through December 31, 2025[112] Cash Flow and Investments - Cash provided by operating activities was $56,487,000 in Q1 2025, a significant increase from $22,846,000 in Q1 2024[18] - Cash used in investing activities was $61,064,000 in Q1 2025, compared to $46,979,000 in Q1 2024[18] - The company repurchased treasury stock costing $33,292,000 during Q1 2025[18] - The company had cash and cash equivalents of $218.2 million as of March 31, 2025, compared to $274.1 million at the end of 2024, indicating a decrease of about 20.4%[39] Operations and Facilities - TeraWulf recorded revenue from mining of $34.4 million for the three months ended March 31, 2025, down from $41.6 million in the same period of 2024, representing a decrease of approximately 17.3%[35] - TeraWulf's Lake Mariner Facility has energized 245 MW of capacity across five buildings, supporting its bitcoin mining operations[24] - The company entered into long-term data center lease agreements for HPC operations, expected to commence throughout 2025 with an initial 10-year term[37] - TeraWulf's bitcoin miner hosting revenue was $0 for the three months ended March 31, 2025, down from $0.8 million in the same period of 2024[36] Tax and Valuation - The effective tax rate for the company was 0% for the three months ended March 31, 2025, primarily due to a valuation allowance against deferred tax assets[77] - As of March 31, 2025, the company recorded a valuation allowance for deferred tax assets, indicating it is more likely than not that these assets will not be realized[78] - The company had no unrecognized tax benefits as of March 31, 2025, and no accrued interest or penalties were recorded during the three months ended March 31, 2025[79] Debt and Financing - The company entered into a Loan, Guarantee and Security Agreement (LGSA) with total Term Loans of $146.0 million at an interest rate of 11.5%[80] - The company issued $500.0 million in 2.75% Convertible Senior Notes due 2030, with net proceeds totaling approximately $487.1 million after deducting issuance costs[87] - During the three months ended March 31, 2024, the company repaid $33.4 million of the principal balance of the Term Loans, including voluntary prepayments of $18.6 million[82] Stock and Compensation - Stock-based compensation expense for the three months ended March 31, 2025, was $38,700,000, compared to $6,900,000 for the same period in 2024[114] - As of March 31, 2025, there were 3,163,362 unvested Restricted Stock Units (RSUs) with an average grant date fair value of $4.57[116] - The company recognized $4.2 million of unrecognized compensation cost related to unvested non-employee RSUs, expected to be recognized over a weighted average period of 1.3 years[117] Market and Future Outlook - The company anticipates potential future risks including competition in the cryptocurrency mining industry and the need for additional capital[9] - A 10% increase or decrease in the price of bitcoin would have impacted net loss by approximately $3.4 million for the three months ended March 31, 2025[190] - A 10% increase or decrease in power prices would have affected net loss by approximately $2.5 million during the same period[190]

Five months ago in my prior coverage of the stock, I called TeraWulf (NASDAQ: WULF ) a 'hold' and spent time on the company's pivot to HPC/AI revenue. Though I generally viewed the HPC/AI segment as a necessaryFormer media research analyst. Main coverage areas are crypto, BTC miners, metal, and media equities. I'm not an investment advisor. I just share what I do with my own capital and why. Outside of Seeking Alpha, I also write the Heretic Speculator newsletter over at Substack.Analyst’s Disclosure: I/we ...

TeraWulf Inc. (WULF) came out with a quarterly loss of $0.16 per share versus the Zacks Consensus Estimate of a loss of $0.07. This compares to loss of $0.02 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -128.57%. A quarter ago, it was expected that this company would post a loss of $0.04 per share when it actually produced a loss of $0.08, delivering a surprise of -100%.Over the last four quarters, the company has not been ...