Bitfarms clocks a first-quarter net loss of $ 36 million, expanding from a $ 6 million loss at the same time a year before, as the pivots of Bitcoin Miner from mining to high-performance computing for artificial intelligence applications.
The miner posted $ 67 million in sales for the quarter ended on March 31, up to 33% from last year. However, the Gross Profit Margin for Bitfarm’s mining operations refused 43% from 63% year-year, the company Says In the first quarter revenue.
The lower margins reflect the pressure from Bitcoin’s (Btc) April 2024 “Hilving” as well as volatility in the price of bitcoin. Halvings occur every four years and cut the number of BTC mined per block in half, reducing the profitability of Bitcoin miners.
In the first quarter of 2025, the price of the Bitcoin area dropped from more than $ 100,000 in January to less than $ 80,000 in March, according to data from Google Finance. Cryptocurrency traces over $ 103,000 per coin until March 14th.
Related: Bitcoin mining stocks after Microsoft’s data center plans
Pivot to AI
Bitfarms responded to changing market conditions by investing in high-performance computing (HPC). It also expanded the US as a fence against trade wars.
“During the quarter, we carried out many major places in our strategic pivot in the US and HPC,” Bitfarms CEO Ben Gagnon said in a statement.
“The mining business is now providing a stable, low-capx and free cash flow foundation for the company that positions us well to grow and develop our US assets in HPC/AI data centers while still growing any potential Bitcoin’s potential reversed by 2025 and 2026,” he added.
Miners “vary in hosting AI-center data as a way to expand revenue and re-consider the existing infrastructure for high-performance computing,” Coin Metrics said in the March report.
The computer hardware and electrical power supply required for Bitcoin mining is also useful for applications that require high performance computing, including cases of AI use.
In March, AI computing provider Coreweave raised $ 1.5 billion in an initial public offer that appreciated the company to nearly $ 20 billion, reflecting strong demand to investors for companies delivering AI applications.
Coreweave revenues for the previous quarter are scheduled for May 14th.
In April, the bitfarms That -secure a $ 300 million line of credit From investing in the Macquarie bank to supply the expansion of an HPC facility in Pennsylvania.
In January, the company Selling a Bitcoin mining facility in Paraguay To be digital, another miner, for $ 85 million.
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