Bitcoin mining company Marathon Digital Holdings saw its revenue increase 670% year-over-year in the third quarter of 2023, amid a nearly five-fold increase in Bitcoin production.
The results saw Marathon also turn a quarterly profit, with $64.1 million in net income in the third quarter. according to the company's results presentation on November 8.
The company partly attributed the improved financial results to a 467% increase in Bitcoin. (BTC) production of 6.7 BTC mined per day in the third quarter of 2022 to 37.9 BTC per day in Q3 2023. Similarly, Marathon's energized hashrate rose 403% during the same time period.
Marathon's third quarter earnings release is here:
- Revenue of $97.8M, due to a 467% increase in #Bitcoin production and higher BTC prices.
- Adjusted EBITDA improves to $43.7 million.
- 8% increase in hash rate; expanding with hydroelectric ventures in Paraguay.
- Long-term debt was reduced by 56%,โฆ- Marathon Digital Holdings (NASDAQ: MARA) (@MarathonDH) November 8, 2023
Part of Marathon's hash rate boost came from its new 27-megawatt hydro mining venture in Paraguay, which Announced on November 8.
Marathon CEO and President Fred Thiel said "significant progress" has helped strengthen the company's balance sheet ahead of Bitcoin Halving Event scheduled for April 2024.
A $417 million note exchange completed in September managed to reduce Marathon's long-term debt to 56% and, in doing so, captured more than $100 million in cash savings for shareholders, Thiel noted, and added:
โFor the first time in two years, our combined cash and bitcoin holdings exceeded our debt at the end of the quarter.โ
Meanwhile, Marathon remains committed to increasing its hash rate in the short and medium term.
Its installed hash rate currently stands at 23.1 exahashes per second, but the company is looking to increase it to 26 EH/s and another 30% in 2024.
Related: Marathon and Riot Among Most Overvalued Bitcoin Mining Stocks: Report
Marathon's (MARA) share price fell 6.9% to $8.55 on Nov. 8, but recovered 4.3% in after-hours trading following the release of Marathon's earnings statement . according to Google Finance.
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