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Highlights

  • HUT’s Q2 2024 revenues surged 71.7% to USD 35.2 million, driven by managed services.
  • Operating losses increased to USD 86.6 million in Q2 2024 due to rising costs and expenses.
  • Total energy capacity under management reached 1,075 MW, enhancing operational capabilities.

Hut 8 Mining Corp (TSX:HUT) is a leading digital asset miner in Alberta, boasting high capacity and extensive self-mined bitcoin. It has a market cap of CAD 1.62 billion.

The company is focused on expanding its power capacity. It recently acquired a new site in the Texas Panhandle, featuring 205 megawatts of low-cost, long-term power. This expansion meets the increasing demand for energy in compute applications. The company is also exploring partnerships to enhance the site's ability to power advanced GPUs and ASICs.

Q2 2024 Financial Summary

In Q2 2024, the company reported revenues of USD 35.2 million, a 71.7% increase from USD 20.5 million in Q2 2023. This growth was driven by higher managed services and contributions from other sources. 

However, the company faced significant challenges. Operating losses reached USD 86.6 million due to increased costs and operating expenses. Additionally, losses before taxes rose to USD 72.3 million, up from USD 1.3 million in the previous year. Overall, net losses increased to USD 72.1 million for the reporting period.

On a positive note, the company saw an increase in its average revenue per Bitcoin mined. Additionally, consolidated revenues improved, with all revenue streams outside of digital asset mining showing higher recognition in Q2 2024 compared to Q2 2023.

Below are the key positives and negatives of the company:

Recent Business Update

As of August 13, 2024, the company has reported an increase in its total energy capacity under management, now reaching 1,075 MW. This includes 762 MW dedicated to mining operations, 310 MW from its four natural gas power generation facilities, and an additional 3 MW from its five cloud and colocation data centres.

Top 10 Shareholders

The top 10 shareholders of HUT collectively account for approximately 92.27% of total shareholding. The company itself holds the largest stake at about 48.63%, followed by Coatue Management, L.L.C. with around 10.03%.

Price Information

The stock price of HUT has increased by approximately 33.40% over the past month and about 63.35% in the past one year. However, it is currently trading below the average of its 52-week high of CAD 28.87 and 52-week low of CAD 8.35. The stock’s closing price is CAD 20.01 as of 20 Oct 2024.

Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is October 20, 2024. The reference data in this report has been partly sourced from EODHD/Others.