Cipher Mining Provides Second Quarter 2024 Business Update
13 Agosto 2024 - 6:00AM
Cipher Mining Inc.
(NASDAQ: CIFR) (“Cipher” or the
“Company”) today announced results for its second quarter ended
June 30, 2024, with an update on its operations and business
strategy.
“We currently operate ~8.7 EH/s of self-mining hashrate and are
on track to hit ~13.5 EH/s by year-end 2024, and ~35.0 EH/s by
year-end 2025,” said Tyler Page, CEO of Cipher.
“In addition to constructing the 300 MW facility at Black Pearl,
we are on track to close the acquisition of our new Reveille data
center site with up to 200 MW of capacity and are pleased to
announce we have executed a term sheet for an option to acquire
three new sites with a cumulative power capacity of 1.5 GW. These
sites are well-suited for both bitcoin mining and HPC data centers.
With our operations and construction teams, which are led by
seasoned experts who have built and run HPC data centers for some
of the top hyperscalers in the world, we are uniquely positioned to
maximize opportunities in both bitcoin mining and HPC
infrastructure.”
“We expect developing HPC infrastructure will be complementary
to our bitcoin mining business and that we can strike the right
balance between the two business lines to drive significant
shareholder value for many years,” concluded Mr. Page.
Finance and Operations Highlights
- Upgrade of Odessa site bringing total self-mining hashrate to
~13.5 EH/s on track for Q4 2024
- Construction of 300 MW data center at Black Pearl underway with
expected energization in Q2 2025
- Acquisition of Reveille data center site with up to 200 MW of
capacity well-suited for HPC data centers expected to close
soon
- Executed term sheet for option to acquire 1.5 GW of new sites
in North America suitable for both HPC or bitcoin mining data
centers
- Q2 2024 GAAP diluted net loss of $0.05 per share, and non-GAAP
diluted adjusted loss of $0.01 per share
Business Update Call and Webcast
The live webcast and a webcast replay of the conference call can
be accessed from the investor relations section of Cipher’s website
at https://investors.ciphermining.com. To access this conference
call by telephone, register here to receive dial-in numbers and a
unique PIN to join the call.
About Cipher
Cipher is an emerging technology company focused on the
development and operation of bitcoin mining data centers. Cipher is
dedicated to expanding and strengthening the Bitcoin network's
critical infrastructure. Together with its diversely talented team
and strategic partnerships, Cipher aims to be a market leader in
bitcoin mining growth and innovation. To learn more about Cipher,
please visit https://www.ciphermining.com/.
Forward Looking Statements
This press release contains certain forward-looking statements
within the meaning of the federal securities laws of the United
States. The Company intends such forward-looking statements to be
covered by the safe harbor provisions for forward-looking
statements contained in the Private Securities Litigation Reform
Act of 1995 and includes this statement for purposes of complying
with these safe harbor provisions. Any statements made in this
press release that are not statements of historical fact, including
statements about our beliefs and expectations regarding our future
results of operations and financial position, business strategy,
timing and likelihood of success, potential expansion of and
additional bitcoin mining data centers, expectations regarding the
operations of mining centers, and management plans and objectives,
are forward-looking statements and should be evaluated as such.
Forward-looking statements include information concerning possible
or assumed future results of operations, including descriptions of
our business plan and strategies. These forward-looking statements
generally are identified by the words “may,” “will,” “should,”
“expects,” “plans,” “anticipates,” “could,” “seeks,” “intends,”
“targets,” “projects,” “contemplates,” “believes,” “estimates,”
“strategy,” “future,” “forecasts,” “opportunity,” “predicts,”
“potential,” “would,” “will likely result,” “continue,” and similar
expressions (including the negative versions of such words or
expressions).
These forward-looking statements are based upon estimates and
assumptions that, while considered reasonable by Cipher and our
management, are inherently uncertain. Such forward-looking
statements are subject to risks, uncertainties, and other factors
that could cause actual results to differ materially from those
expressed or implied by such forward looking statements. New risks
and uncertainties may emerge from time to time, and it is not
possible to predict all risks and uncertainties. Many factors could
cause actual future events to differ materially from the
forward-looking statements in this press release, including but not
limited to: volatility in the price of Cipher’s securities due to a
variety of factors, including changes in the competitive and
regulated industry in which Cipher operates, variations in
performance across competitors, changes in laws and regulations
affecting Cipher’s business, and the ability to implement business
plans, forecasts, and other expectations and to identify and
realize additional opportunities. The foregoing list of factors is
not exhaustive. You should carefully consider the foregoing factors
and the other risks and uncertainties described in the “Risk
Factors” section of our Annual Report on Form 10-K filed with the
Securities and Exchange Commission (“SEC”) on March 5, 2024, and in
Cipher’s subsequent filings with the Securities and Exchange
Commission. These filings identify and address other important
risks and uncertainties that could cause actual events and results
to differ materially from those contained in the forward-looking
statements. Forward-looking statements speak only as of the date
they are made. Readers are cautioned not to put undue reliance on
forward-looking statements, and Cipher assumes no obligation and,
except as required by law, does not intend to update or revise
these forward-looking statements, whether as a result of new
information, future events, or otherwise.
Contacts:Investor Contact:Josh
KaneHead of Investor Relations at Cipher
Miningjosh.kane@ciphermining.com
Media Contact:Ryan Dicovitsky / Kendal
TillDukas Linden Public RelationsCipherMining@DLPR.com
CIPHER MINING INC.CONDENSED CONSOLIDATED
BALANCE SHEETS(in thousands, except for share and per
share amounts) |
|
|
June 30, 2024 |
|
|
December 31, 2023 |
|
|
(unaudited) |
|
|
|
|
ASSETS |
|
|
|
|
|
Current assets |
|
|
|
|
|
Cash and cash equivalents |
$ |
122,557 |
|
|
$ |
86,105 |
|
Accounts receivable |
|
286 |
|
|
|
622 |
|
Receivables, related party |
|
176 |
|
|
|
245 |
|
Prepaid expenses and other current assets |
|
3,599 |
|
|
|
3,670 |
|
Bitcoin |
|
138,079 |
|
|
|
32,978 |
|
Derivative asset |
|
44,702 |
|
|
|
31,878 |
|
Total current assets |
|
309,399 |
|
|
|
155,498 |
|
Property and equipment,
net |
|
239,075 |
|
|
|
243,815 |
|
Deposits on equipment |
|
58,063 |
|
|
|
30,812 |
|
Intangible assets, net |
|
8,503 |
|
|
|
8,109 |
|
Investment in equity
investees |
|
49,949 |
|
|
|
35,258 |
|
Derivative asset |
|
78,228 |
|
|
|
61,713 |
|
Operating lease right-of-use
asset |
|
9,926 |
|
|
|
7,077 |
|
Security deposits |
|
22,246 |
|
|
|
23,855 |
|
Other noncurrent assets |
|
203 |
|
|
|
- |
|
Total assets |
$ |
775,592 |
|
|
$ |
566,137 |
|
LIABILITIES AND
STOCKHOLDERS’ EQUITY |
|
|
|
|
|
Current liabilities |
|
|
|
|
|
Accounts payable |
$ |
13,733 |
|
|
$ |
4,980 |
|
Accounts payable, related party |
|
- |
|
|
|
1,554 |
|
Accrued expenses and other current liabilities |
|
17,855 |
|
|
|
22,439 |
|
Finance lease liability, current portion |
|
3,595 |
|
|
|
3,404 |
|
Operating lease liability, current portion |
|
1,262 |
|
|
|
1,166 |
|
Warrant liability |
|
- |
|
|
|
250 |
|
Total current liabilities |
|
36,445 |
|
|
|
33,793 |
|
Asset retirement
obligation |
|
19,337 |
|
|
|
18,394 |
|
Finance lease liability |
|
9,281 |
|
|
|
11,128 |
|
Operating lease liability |
|
9,181 |
|
|
|
6,280 |
|
Deferred tax liability |
|
10,577 |
|
|
|
5,206 |
|
Total liabilities |
|
84,821 |
|
|
|
74,801 |
|
Commitments and contingencies
(Note 13) |
|
|
|
|
|
Stockholders’ equity |
|
|
|
|
|
Preferred stock, $0.001 par value; 10,000,000 shares authorized,
none issued and outstanding as of June 30, 2024 and
December 31, 2023 |
|
- |
|
|
|
- |
|
Common stock, $0.001 par value, 500,000,000 shares authorized,
335,557,872 and 296,276,536 shares issued as of June 30, 2024
and December 31, 2023, respectively, and 328,616,426 and
290,957,862 shares outstanding as of June 30, 2024, and
December 31, 2023, respectively |
|
336 |
|
|
|
296 |
|
Additional paid-in capital |
|
802,610 |
|
|
|
627,822 |
|
Accumulated deficit |
|
(112,168 |
) |
|
|
(136,777 |
) |
Treasury stock, at par, 6,941,446 and 5,318,674 shares at
June 30, 2024 and December 31, 2023, respectively |
|
(7 |
) |
|
|
(5 |
) |
Total stockholders’ equity |
|
690,771 |
|
|
|
491,336 |
|
Total liabilities and stockholders’ equity |
$ |
775,592 |
|
|
$ |
566,137 |
|
|
|
|
|
|
|
CIPHER MINING INC.CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS(in thousands, except for share
and per share amounts)(unaudited) |
|
|
Three months ended June 30, |
|
|
Six months ended June 30, |
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
Revenue - bitcoin mining |
$ |
36,808 |
|
|
$ |
31,224 |
|
|
$ |
84,945 |
|
|
$ |
53,119 |
|
Costs and operating expenses
(income) |
|
|
|
|
|
|
|
|
|
|
|
Cost of revenue |
|
14,281 |
|
|
|
15,868 |
|
|
|
29,101 |
|
|
|
24,009 |
|
Compensation and benefits |
|
16,285 |
|
|
|
12,668 |
|
|
|
29,321 |
|
|
|
24,605 |
|
General and administrative |
|
8,365 |
|
|
|
8,667 |
|
|
|
14,442 |
|
|
|
14,150 |
|
Depreciation and amortization |
|
20,251 |
|
|
|
14,412 |
|
|
|
37,495 |
|
|
|
26,067 |
|
Change in fair value of derivative asset |
|
(21,980 |
) |
|
|
(3,222 |
) |
|
|
(29,339 |
) |
|
|
(8,550 |
) |
Power sales |
|
(1,109 |
) |
|
|
(5,651 |
) |
|
|
(2,282 |
) |
|
|
(5,749 |
) |
Equity in losses (gains) of equity investees |
|
577 |
|
|
|
1,431 |
|
|
|
(161 |
) |
|
|
2,181 |
|
Losses (gains) on fair value of bitcoin |
|
16,309 |
|
|
|
(860 |
) |
|
|
(24,247 |
) |
|
|
(5,124 |
) |
Other gains |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(2,260 |
) |
Total costs and operating expenses (income) |
|
52,979 |
|
|
|
43,313 |
|
|
|
54,330 |
|
|
|
69,329 |
|
Operating (loss) income |
|
(16,171 |
) |
|
|
(12,089 |
) |
|
|
30,615 |
|
|
|
(16,210 |
) |
Other income (expense) |
|
|
|
|
|
|
|
|
|
|
|
Interest income |
|
1,053 |
|
|
|
25 |
|
|
|
1,839 |
|
|
|
101 |
|
Interest expense |
|
(372 |
) |
|
|
(485 |
) |
|
|
(772 |
) |
|
|
(886 |
) |
Change in fair value of warrant liability |
|
- |
|
|
|
(22 |
) |
|
|
250 |
|
|
|
(59 |
) |
Other income (expense) |
|
727 |
|
|
|
(12 |
) |
|
|
(1,231 |
) |
|
|
(12 |
) |
Total other income (expense) |
|
1,408 |
|
|
|
(494 |
) |
|
|
86 |
|
|
|
(856 |
) |
(Loss) income before
taxes |
|
(14,763 |
) |
|
|
(12,583 |
) |
|
|
30,701 |
|
|
|
(17,066 |
) |
Current income tax
expense |
|
(335 |
) |
|
|
(31 |
) |
|
|
(721 |
) |
|
|
(48 |
) |
Deferred income tax
expense |
|
(193 |
) |
|
|
(584 |
) |
|
|
(5,371 |
) |
|
|
(637 |
) |
Total income tax expense |
|
(528 |
) |
|
|
(615 |
) |
|
|
(6,092 |
) |
|
|
(685 |
) |
Net (loss) income |
$ |
(15,291 |
) |
|
$ |
(13,198 |
) |
|
$ |
24,609 |
|
|
$ |
(17,751 |
) |
Net (loss) income per share -
basic and diluted |
$ |
(0.05 |
) |
|
$ |
(0.05 |
) |
|
$ |
0.08 |
|
|
$ |
(0.07 |
) |
Weighted average shares
outstanding - basic |
|
314,353,742 |
|
|
|
249,127,664 |
|
|
|
305,497,621 |
|
|
|
248,892,181 |
|
Weighted average shares
outstanding - diluted |
|
314,353,742 |
|
|
|
249,127,664 |
|
|
|
316,652,300 |
|
|
|
248,892,181 |
|
CIPHER MINING INC.CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS(in thousands)(unaudited) |
|
|
Six months ended June 30, |
|
|
2024 |
|
|
2023 |
|
Cash flows from
operating activities |
|
|
|
|
|
Net income (loss) |
$ |
24,609 |
|
|
$ |
(17,751 |
) |
Adjustments to reconcile net
income (loss) to net cash used in operating activities: |
|
|
|
|
|
Depreciation |
|
37,192 |
|
|
|
26,067 |
|
Amortization of intangible assets |
|
303 |
|
|
|
- |
|
Amortization of operating right-of-use asset |
|
565 |
|
|
|
452 |
|
Share-based compensation |
|
21,654 |
|
|
|
17,988 |
|
Equity in (gains) losses of equity investees |
|
(161 |
) |
|
|
2,181 |
|
Non-cash lease expense |
|
762 |
|
|
|
878 |
|
Other operating activities |
|
(1,839 |
) |
|
|
- |
|
Income taxes |
|
5,371 |
|
|
|
637 |
|
Bitcoin received as payment for services |
|
(85,281 |
) |
|
|
(52,836 |
) |
Change in fair value of derivative asset |
|
(29,339 |
) |
|
|
(8,550 |
) |
Change in fair value of warrant liability |
|
(250 |
) |
|
|
59 |
|
Gains on fair value of bitcoin |
|
(24,247 |
) |
|
|
(5,124 |
) |
Changes in assets and liabilities: |
|
|
|
|
|
Accounts receivable |
|
336 |
|
|
|
(282 |
) |
Receivables, related party |
|
69 |
|
|
|
(512 |
) |
Prepaid expenses and other current assets |
|
71 |
|
|
|
4,994 |
|
Security deposits |
|
1,609 |
|
|
|
(12 |
) |
Other non-current assets |
|
(203 |
) |
|
|
- |
|
Accounts payable |
|
(47 |
) |
|
|
(185 |
) |
Accounts payable, related party |
|
- |
|
|
|
(1,529 |
) |
Accrued expenses and other current liabilities |
|
(2,745 |
) |
|
|
6,323 |
|
Lease liabilities |
|
(417 |
) |
|
|
(594 |
) |
Net cash used in operating activities |
|
(51,988 |
) |
|
|
(27,796 |
) |
Cash flows from
investing activities |
|
|
|
|
|
Proceeds from sale of
bitcoin |
|
10,334 |
|
|
|
52,475 |
|
Deposits on equipment |
|
(35,748 |
) |
|
|
(2,932 |
) |
Purchases of property and
equipment |
|
(15,766 |
) |
|
|
(28,541 |
) |
Purchases and development of
software |
|
(698 |
) |
|
|
- |
|
Prepayments on financing
leases |
|
- |
|
|
|
(3,676 |
) |
Capital distributions from
equity investees |
|
- |
|
|
|
3,807 |
|
Investment in equity
investees |
|
(20,435 |
) |
|
|
(3,095 |
) |
Net cash (used in) provided by investing activities |
|
(62,313 |
) |
|
|
18,038 |
|
Cash flows from
financing activities |
|
|
|
|
|
Proceeds from the issuance of
common stock |
|
163,276 |
|
|
|
2,821 |
|
Offering costs paid for the
issuance of common stock |
|
(2,868 |
) |
|
|
(76 |
) |
Repurchase of common shares to
pay employee withholding taxes |
|
(7,237 |
) |
|
|
(1,114 |
) |
Principal payments on
financing lease |
|
(2,418 |
) |
|
|
(2,059 |
) |
Net cash provided by (used in) financing activities |
|
150,753 |
|
|
|
(428 |
) |
Net increase (decrease) in
cash and cash equivalents |
|
36,452 |
|
|
|
(10,186 |
) |
Cash and cash equivalents,
beginning of the period |
|
86,105 |
|
|
|
11,927 |
|
Cash and cash equivalents, end
of the period |
$ |
122,557 |
|
|
$ |
1,741 |
|
|
Six months ended June 30, |
|
|
2024 |
|
|
2023 |
|
Supplemental
disclosure of noncash investing and financing
activities |
|
|
|
|
|
Reclassification of deposits on equipment to property and
equipment |
$ |
13,799 |
|
|
$ |
72,130 |
|
Bitcoin received from equity investees |
$ |
5,907 |
|
|
$ |
317 |
|
Settlement of related party payable related to master services and
supply agreement |
$ |
1,554 |
|
|
$ |
- |
|
Right-of-use asset obtained in exchange for finance lease
liability |
$ |
3,414 |
|
|
$ |
14,212 |
|
Equity method investment acquired for non-cash consideration |
$ |
- |
|
|
$ |
1,926 |
|
Sales tax accrual on machine purchases |
$ |
- |
|
|
$ |
1,837 |
|
Finance lease cost in accrued expenses |
$ |
- |
|
|
$ |
2,034 |
|
|
Non-GAAP Financial Measures
The following are reconciliations of our Adjusted Earnings, in
each case excluding the impact of (i) the non-cash change in fair
value of derivative asset, (ii) share-based compensation expense,
(iii) depreciation and amortization, (iv) deferred income tax
expense, (v) nonrecurring gains and losses and (vi) the non-cash
change in fair value of warrant liability, to the most directly
comparable GAAP measures for the periods indicated (in
thousands):
|
|
Three months ended June 30, |
|
|
Six months ended June 30, |
|
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
Reconciliation of
Adjusted Earnings: |
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income |
|
$ |
(15,291 |
) |
|
$ |
(13,198 |
) |
|
$ |
24,609 |
|
|
$ |
(17,751 |
) |
Change in fair value of derivative asset |
|
|
(21,980 |
) |
|
|
(3,222 |
) |
|
|
(29,339 |
) |
|
|
(8,550 |
) |
Share-based compensation expense |
|
|
13,336 |
|
|
|
9,178 |
|
|
|
21,654 |
|
|
|
17,988 |
|
Depreciation and amortization |
|
|
20,251 |
|
|
|
14,412 |
|
|
|
37,495 |
|
|
|
26,067 |
|
Deferred income tax expense |
|
|
193 |
|
|
|
584 |
|
|
|
5,371 |
|
|
|
637 |
|
Other gains - nonrecurring |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(2,260 |
) |
Change in fair value of warrant liability |
|
|
- |
|
|
|
22 |
|
|
|
(250 |
) |
|
|
59 |
|
Adjusted (loss) earnings |
|
|
(3,491 |
) |
|
|
7,776 |
|
|
|
59,540 |
|
|
|
16,190 |
|
Reconciliation of
Adjusted (loss) earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted (loss) earnings |
|
$ |
(3,491 |
) |
|
$ |
7,776 |
|
|
$ |
59,540 |
|
|
$ |
16,190 |
|
Weighted average shares outstanding - diluted |
|
|
314,353,742 |
|
|
|
249,127,664 |
|
|
|
316,652,300 |
|
|
|
248,892,181 |
|
Adjusted (loss) earnings per
share |
|
$ |
(0.01 |
) |
|
$ |
0.03 |
|
|
$ |
0.19 |
|
|
$ |
0.07 |
|
Cipher Mining (NASDAQ:CIFR)
Gráfica de Acción Histórica
De Sep 2024 a Oct 2024
Cipher Mining (NASDAQ:CIFR)
Gráfica de Acción Histórica
De Oct 2023 a Oct 2024