HUT 8 Q3 Earnings Beat Estimates, Revenues Up Y/Y, Shares Up

Core Insights - HUT 8 Corp. reported a narrower loss per share of 7 cents for Q3 2025, compared to a loss of 26 cents in the same quarter last year, exceeding the Zacks Consensus Estimate by 56.25% [1] - Revenues surged 91% year over year to $83.5 million, surpassing the Zacks Consensus Estimate by 31.47%, primarily driven by Bitcoin mining revenue expansion through American Bitcoin [1][7] Revenue Breakdown - Power revenues, accounting for 10% of total revenues, decreased 68% year over year to $8.4 million, beating the Zacks Consensus Estimate by 42.41% due to the termination of a managed services agreement [3] - Digital Infrastructure revenues, making up 6% of total revenues, increased 32.5% year over year to $5.1 million, but missed the Zacks Consensus Estimate by 27.28% [3] - Compute revenues, which represent 84% of total revenues, soared 411.4% year over year to $70 million, exceeding the Zacks Consensus Estimate by 36.53%, driven by American Bitcoin's mining expansion [4][7] Operating Performance - General and administrative expenses rose 59.9% year over year to $25.9 million [5] - Operating income for Q3 2025 was $72.6 million, a significant improvement from an operating loss of $1.56 million in the previous year [5] - Net income reached $50.6 million, up from $0.9 million a year ago, with adjusted EBITDA at $109 million compared to $5.6 million in the prior year [5] Balance Sheet Highlights - As of September 30, 2025, HUT had cash reserves of $33.49 million, down from $216.25 million as of June 30, 2025 [6] - The Strategic Bitcoin Reserve held 13,696 Bitcoin valued at approximately $1.6 billion, with 10,278 held by HUT and 3,418 by American Bitcoin [6]