Financial Performance - Q2 2025 revenue was $6.2 million, a net decline of $3.5 million year-over-year, primarily due to Bitcoin halving and Hashprice volatility[20] - Adjusted EBITDA improved by 25.5% ($0.4 million) in Q2 2025 compared to Q1 2025, maintaining a steady gross margin of 19%[4] - Net loss for Q2 2025 decreased by $1.4 million compared to Q2 2024, driven by revenue and gross profit improvements[11] - Total revenue for Q2 2025 was $6,158,000, a decrease of 36.5% compared to $9,675,000 in Q2 2024[36] - Cryptocurrency mining revenue decreased to $2,861,000 in Q2 2025 from $4,484,000 in Q2 2024, representing a decline of 36.3%[36] - Data hosting revenue also fell to $3,136,000 in Q2 2025 from $4,898,000 in Q2 2024, a decrease of 36%[36] - The net loss for the six months ended June 30, 2025, was $15,134,000, compared to a net loss of $11,689,000 for the same period in 2024, reflecting a 29.5% increase in losses[38] - Operating loss for Q2 2025 was $6,624,000, compared to an operating loss of $3,675,000 in Q2 2024, indicating a worsening of 80.3%[36] - For the three months ended June 30, 2025, total consolidated revenue was $6,158 million, a decrease of 34% from $9,675 million in the same period of 2024[40] - For the six months ended June 30, 2025, total consolidated revenue was $12,094 million, down from $22,224 million in the same period of 2024, representing a 46% decrease[44] Operational Highlights - Soluna secured $20 million in funding to launch Project Kati, a 35 MW phase of a 166 MW wind-powered data center, with construction expected to begin in Q3 2025[5] - The company has over 773 MW of data center capacity in operation, construction, or development, with a power pipeline increased to 2.8 GW of long-term capacity[6][8] - Project Dorothy 2 is on track, with all three building phases progressing as scheduled, and full energization anticipated in Q4 2025[7] - Increased deployments with key customers, including Blockware and Compass Mining, as Dorothy 1 space became available and Dorothy 2 came online[7] - Soluna anticipates revenue stabilization and growth as additional MW of Bitcoin Hosting capacity is commissioned over the next two years[20] Financial Position - The company reported robust cash reserves of $9.9 million at the end of Q2 2025, a $2.0 million increase since December 31, 2024[20] - Total assets increased to $91,952,000 as of June 30, 2025, up from $88,040,000 at the end of 2024, a growth of 3.3%[33] - Total liabilities rose to $62,633,000 as of June 30, 2025, compared to $60,678,000 at the end of 2024, an increase of 3.2%[33] - Cash and restricted cash at the end of Q2 2025 totaled $15,153,000, up from $12,509,000 at the end of Q2 2024, a rise of 20.5%[38] - Non-controlling interest increased to $48,778,000 as of June 30, 2025, from $39,841,000 at the end of 2024, a growth of 22.5%[33] Cost and Expense Management - The total segment cost of revenue for Q2 2025 was $5,352 million, up from $5,727 million in Q2 2024, reflecting a decrease of 7%[40] - General and administrative expenses for Q2 2025 totaled $244 million, compared to $310 million in Q2 2024, reflecting a reduction of 21%[42] - Utility costs for the six months ended June 30, 2025, were $3,551 million, compared to $5,419 million in the same period of 2024, a decrease of 35%[44] - The total cost of revenue for the six months ended June 30, 2025, was $9,733, compared to $11,180 for the same period in 2024, showing a reduction of approximately 13%[48] - The total cost of data hosting revenue, exclusive of depreciation, for the six months ended June 30, 2025, was $2,945, compared to $4,427 in the same period of 2024, reflecting a decrease of approximately 34%[48] Loss and Earnings Analysis - The company reported a basic and diluted loss per share of $0.69 for Q2 2025, compared to a loss of $2.97 per share in Q2 2024[36] - Segment operating income for Q2 2025 was $389 million, a significant decline from $3,345 million in Q2 2024[42] - The segment operating income for the first half of 2025 was $736 million, compared to $9,106 million in the first half of 2024, indicating a decline of 92%[46] - The net loss before taxes for Q2 2025 was $8,388 million, compared to a net loss of $9,794 million in Q2 2024, showing a slight improvement[42] - The company reported a gross (loss) profit of $(8) for the six months ended June 30, 2025, compared to a gross profit of $5,004 for the same period in 2024[48]
SOLUNA HOLDINGS(SLNHP) - 2025 Q2 - Quarterly Results