Bitcoin miner Marathon expected to see revenue triple in Q4

Crypto Infrastructure • February 28, 2023, 10:45AM EST
The Block

Quick Take

  •  Marathon Digital Holdings is presenting its fourth-quarter earnings Tuesday after the U.S. close.
  • The miner is expected to post $38.4 million in revenue, triple what it made in the quarter before but still down from $60.3 million for the same period last year.

Marathon is expected to post triple the revenue it brought in during the third quarter for its fourth-quarter earnings after the U.S. close today.

The miner is expected to report $38.4 million in revenue, which is still down year-over-year from $60.3 million, according to analyst estimates compiled by FactSet.

Estimates for net loss are also looking better, with analysts projecting $24 million, compared to $75.4 million in the three months before and a net income of $11.5 million in the fourth quarter of 2021.

Marathon's mining capacity ramped back up in the last quarter as it moved a large portion of its hardware into a wind-powered site in Texas after pulling them out of another site in Montana.

THE SCOOP

Keep up with the latest news, trends, charts and views on crypto and DeFi with a new biweekly newsletter from The Block's Frank Chaparro

By signing-up you agree to our Terms of Service and Privacy Policy
By signing-up you agree to our Terms of Service and Privacy Policy

Miners are still struggling due to months of operating at depressed margins, but January has been kinder with bitcoin surging back up to August levels at around $23,000.

Marathon increased bitcoin production in January by 45% month-over-month as it was able to "address the maintenance and technical issues" at its site in Texas, CEO Fred Thiel said earlier this month.
 
"We believe the improvements in our operational efficiency, along with the proactive measures we have taken to strengthen our balance sheet, have placed Marathon in a strong position to achieve our growth and operational targets in 2023."
 
The miner reached a hashrate capacity of 7.3 EH/s at the end of January, having set a target of 23 EH/s by mid-2023.

© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

About Author

Catarina is a reporter for The Block based in New York City. Before joining the team, she covered local news at Patch.com and at the New York Daily News. She started her career in Lisbon, Portugal, where she worked for publications such as Público and Sábado. She graduated from NYU with a MA in Journalism. Feel free to email any comments or tips to [email protected] or to reach out on Twitter (@catarinalsm).

Editor

To contact the editors of this story:
Michael McSweeney at
[email protected]
Nathan Crooks at
[email protected]

More by Catarina Moura