Bitcoin Miner Canaan Soars 16% After Shock 104% Revenue Spike, Defying Bitcoin’s Crash

Core Insights - Canaan's stock experienced a significant surge following its strongest quarterly performance in years, with a 104% increase in revenue and a return to positive gross profit despite a challenging crypto market [1][2] - The company reported $150.5 million in revenue for Q3, marking a 50% increase from the previous quarter, driven by strong sales of mining machines and record self-mining output [2][3] - Despite operational improvements, Canaan posted a net loss of $27.7 million due to rising operating expenses and non-cash valuation adjustments [4] Revenue and Sales Performance - Canaan's mining revenue reached an all-time high of $30.6 million, with the firm mining 267 BTC at an average revenue of $114,485 per coin [3] - Product sales totaled $118.6 million, contributing to a gross profit of $16.6 million, reversing a loss of $21.5 million from the same period last year [3] Operational Developments - The company fulfilled a significant order of 50,000 Avalon A15 Pro miners for a U.S. customer, marking its largest sale in three years [5] - Canaan expanded its self-mining capacity to 9.3 EH/s and sold over 10 exahashes per second of computing power, setting a new company record [2][5] Strategic Shifts - Earlier in the year, Canaan shut down its AI semiconductor division, which had generated only $900,000 in revenue while accounting for 15% of operating expenses [6] - The company has guided fourth-quarter revenue expectations to a range of $175 million to $205 million, citing ongoing demand from North America and Asia [5]