“We are extremely proud of the progress that Riot continues to make, having achieved record levels of net income, revenue, hash rate and Bitcoin mined in the first quarter,” said
First Quarter 2022 and Recent Financial Highlights
Riot continues to attain significant milestones while positioning itself for future opportunities, driven by its focus on Bitcoin mining.
- Increased total revenue by 244% to a record
$79.8 million for the three-month period endedMarch 31, 2022 , as compared to$23.2 million for the same three-month period in 2021. - Increased mining revenue by 150% to a record
$57.9 million for the three-month period endedMarch 31, 2022 , as compared to$23.2 million for the same three-month period in 2021. - Produced record net income of
$35.6 million for the three-month period endedMarch 31, 2022 , as compared to net income of$7.5 million for the same three-month period in 2021. - Mining revenue margin remained consistent at approximately 67% of mining revenues on a year-over-year basis, despite a 12% lower price of BTC in Q1 2022 of
$41,241 as compared to$46,729 for the same period in 2021, demonstrating the Company’s increasing operating efficiencies in its mining segment. Mining revenue margin is computed as Bitcoin mining revenue net of cost of revenues of Bitcoin mining (exclusive of depreciation and amortization). - Increased BTC production quantity by 186% to a record 1,405 BTC during the three-month period ended
March 31, 2022 , as compared to 491 BTC during the same three-month period in 2021. - Increased BTC production quantity by 4% on a sequential quarter-over-quarter basis, with 1,405 BTC mined in the first quarter of 2022, as compared to 1,354 BTC mined in the fourth quarter of 2021. Increase in BTC production is attributable to Riot’s self-mining hash rate increasing at a rate faster than the global network hash rate, which drives Bitcoin’s mining difficulty index.
- Reported
$11.7 million in Non-GAAP Adjusted EBITDA for the three-month period endedMarch 31, 2022 , as compared to$11.1 in Non-GAAP Adjusted EBITDA for the same three-month period in 2021. - A significant percentage of the current assets as of
March 31, 2022 , totaling$439.7 million , are highly liquid. As at quarter end, the cash balance of the Company stood at$113.6 million and as ofApril 30, 2022 , the Company’s unaudited BTC quantity was 6,320 BTC, all of which were produced by its self-mining operations.
First Quarter 2022 Financial Results
Mining revenue margin was
Selling, general, and administrative ("SG&A") expenses increased by
Taking into account the year-over-year
Net income for the quarter ended
Non-GAAP Adjusted EBITDA for the quarter ended
First Quarter 2022 and Recent Operational Highlights
- During the three-month period ended
March 31, 2022 , increased deployed hash rate capacity by 39%, from 3.1 EH/s to 4.3 EH/s. - Subsequent to
March 31, 2022 , deployed approximately 3,456 S19J Pro Antminers at Whinstone and increased hash rate capacity to 4.7 EH/s as ofApril 30, 2022 . - As of
April 30, 2022 , the Company had 46,375 miners deployed with an additional 7,240 miners staged for deployment. Shipments of 1,702 S19j Pros have been initiated out of Bitmain and are expected to be received duringMay 2022 . Upon deployment of the staged miners and those from theMay 2022 delivery, the Company expects to have a total of 55,317 miners deployed with a hash rate capacity of approximately 5.6 EH/s. - Made substantial progress on the Company’s 400 megawatt (“MW”) expansion at Whinstone, with four buildings totaling approximately 240,000 square feet nearing the end of the construction phase. The new buildings and their critical infrastructure are expected to be completed Q2 2022, with the final components of the buildout being completed in parallel with miner shipments.
- Made substantial progress on Buildings F and G, both employing the Company’s state-of-the-art immersion-cooling technology, with an increasing number of miners being deployed and operational in
Building F and electrical installation ongoing inBuilding G , which upon completion are expected to host approximately 46,000 S19 Antminers from Riot’s already-purchased miner fleet. - Announced the initiation of a 265 acre, 1 gigawatt (“GW”) expansion in
Navarro County, Texas . The first phase of the expansion consists of 400 MW of immersion-cooled Bitcoin mining infrastructure. Construction is expected to begin in Q2 2022, and Bitcoin mining operations are the new facility are expected to commenceJuly 2023 .
Hash Rate Growth
By
Approximately 97% of the Company’s self-mining fleet will consist of the latest generation S19 series miner model. Upon full deployment of all currently contracted miners, the Company’s total self-mining fleet will consume approximately 370 MW of energy. In addition to the Company’s self-mining operations, Riot hosts approximately 200 MW of institutional Bitcoin mining clients.
About
Safe Harbor
Statements in this press release that are not historical facts are forward-looking statements that reflect management’s current expectations, assumptions, and estimates of future performance and economic conditions. Such statements are made in reliance on the safe harbor provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Words such as “anticipates,” “believes,” “plans,” “expects,” “intends,” “will,” “potential,” “hope,” and similar expressions are intended to identify forward-looking statements. These forward-looking statements may include, but are not limited to, statements about the benefits of acquisitions, including financial and operating results, and the Company’s plans, objectives, expectations, and intentions. Among the risks and uncertainties that could cause actual results to differ from those expressed in forward-looking statements include, but are not limited to: unaudited estimates of Bitcoin production; our future hash rate growth (EH/s); the anticipated benefits, construction schedule and costs associated with the
For further information, please contact:
Investor Contact:
IR@RiotBlockchain.com
303-794-2000 ext. 110
Media Contact:
Trystine Payfer
303-794-2000 ext. 118
PR@RiotBlockchain.com
SOURCE:
Non-
In addition to consolidated
We believe Adjusted EBITDA can be an important financial measure because it allows management, investors, and our board of directors to evaluate and compare our operating results, including our return on capital and operating efficiencies, from period-to-period by making such adjustments.
Adjusted EBITDA is provided in addition to, and should not be considered to be a substitute for, or superior to, the comparable measure under
Reconciliations of Adjusted EBITDA to the most comparable
Reconciliation of GAAP and Non-GAAP Financial Information | ||||||||
(Unaudited; in thousands) | ||||||||
Three Months Ended | ||||||||
2022 | 2021 | |||||||
Net income (loss) | $ | 35,629 | $ | 7,530 | ||||
Interest (income) expense | 220 | (175 | ) | |||||
Income tax expense (benefit) | 312 | - | ||||||
Depreciation and amortization | 14,245 | 2,846 | ||||||
EBITDA | $ | 50,406 | $ | 10,201 | ||||
Non-cash/non-recurring operating expense: | ||||||||
Stock-based compensation expense | 3,042 | 936 | ||||||
Acquisition related costs | 78 | - | ||||||
Change in fair value of derivative asset (gain) loss | (43,683 | ) | - | |||||
Change in fair value of contingent consideration (gain) loss | 176 | - | ||||||
Unrealized loss (gain) on marketable equity securities | 1,611 | - | ||||||
Other (income) expense | 137 | - | ||||||
Other revenue, (income) expense items: | ||||||||
License fees | (24 | ) | (24 | ) | ||||
Non-GAAP Adjusted EBITDA | $ | 11,743 | $ | 11,113 | ||||
Source:
2022 GlobeNewswire, Inc., source