Bitfarms Shares Up 22% Following Q2 Results Report

Canadian Bitcoin mining firm Bitfarms revealed in its Q2 financial results, featuring it is still on track to achieve guidance of 21 EH/s in 2024.

Bitcoin mining firm Bitfarms saw its shares surge over 20% late Aug. 8, following the release of its Q2 financial results, which showed a narrower net loss and stronger revenue than analysts had predicted.

In the report, the Toronto-headquartered firm said that its revenue in Q2 was $42 million, marking a 17% increase year-over-year, though it fell 16% from the previous quarter. Bitfarms attributed the quarter decline to the decrease in block rewards following the Bitcoin halving event that occurred earlier in April.

The firm’s net loss turned out to be $27 million, or $0.07 per basic and diluted share, which is better by 36.3% than what analysts earlier projected. Bitfarms’ BITF shares responded positively to the news, climbing 22% to $2.30, per Google Finance data, pushing the firm’s market capitalization to $983.8 million.

During Q2, Bitfarms sold 515 (BTC) at an average price of $65,500. At the same time, the Canadian crypto miner added 111 BTC to its treasury, bringing its total reserves to 1,016 BTC held as of late July.

Bitfarms also reiterated that its Special Committee “unanimously determined that continuing to execute Bitfarms’ strategic plan as an independent public company,” though it added that the board and management team “remain open to reviewing any and all opportunities that may deliver value to shareholders.”

Earlier in April, Riot Platforms proposed acquiring Bitfarms for $950 million. However, Riot subsequently withdrew its proposal, citing an inability to engage with Bitfarms’ current board on a potential merger.

Ben Gagnon, Bitfarms’ newly appointed CEO, highlighted the company’s progress, stating that the firm has made “significant strides” to position itself for “accelerated growth and efficiency gains in the second half of the year and into 2025.” He emphasized that Bitfarms is on track to achieve its 2024 guidance of 21 EH/s, bolstered by new site agreements.