Bitcoin miner Hut 8 Mining (HUT) first-quarter revenue dropped a greater-than-estimated 64 to C$19 million ($14.16 million) from the year earlier as the company was forced to turn off some machines due to a dispute with its energy provider.
Revenue fell 13 from the previous quarter, missing analyst expectations of C$21.2 million. The Toronto-based company reported earnings per share (EPS) of C$0.47 compared with forecasts for a loss of C$0.15 on FactSet.
While the crypto mining industry is staring to emerge from a brutal crypto winter that saw major names like Compute North and Core Scientific (CORZ) file for chapter 11 bankruptcy protection, Hut 8 had to turn off about 8,000 machines in its Ontario facility due to a dispute with its energy provider in mid-November. Since then, it has managed to bring only about 1,000 back online.
On top of that, its facility at Drumheller, Alberta is operating at just 15 capacity due to electrical problems that have damaged the equipment. The site likely accounts for about 0.9 EH/s of Hut 8’s total 2.6 EH/s of computing power.
Hut 8 stock was little changed in pre-market trading on the Nasdaq, down 0.55 at $1.82 at the time of writing. The shares have more than doubled in price in 2023, but remain lower by 34 on a year-over-year basis.
Hut 8 is in the process of a merging with U.S. Bitcoin Corp. (USBTC), a private miner with operations in New York and Texas.
CORRECTION (May 11, 12:16 UTC): Corrects per-share figures to Canadian dollars in second paragraph. An earlier version of this story had them in U.S. dollars.
Edited by Sheldon Reback.
