Bitcoin

April

Rise

<p style="text-align: justify">You can also read this news on BH NEWS: <a href="https://en.bitcoinhaber.net/bitfarms-sees-shares-rise-22" data-wpel-link="internal" rel="noopener noreferrer nofollow">Bitfarms Sees Shares Rise 22%</a><br></p>
<p style="text-align: justify">Canada-based <a href="https://en.bitcoinhaber.net/bitcoin-gains-market-edge-as-altcoin-values-tumble" data-wpel-link="internal" rel="noopener noreferrer nofollow">Bitcoin</a> mining firm Bitfarms experienced a significant <a href="https://finance.coin-turk.com/" rel="noopener noreferrer nofollow" target="_blank" data-wpel-link="exclude">share price</a> increase of approximately 22% following the disclosure of its second-quarter earnings report. The company reported a loss of 7 cents per share, which was better than the 11 cents per share loss anticipated by Zacks Investment Research.</p>
<h2 id="bitfarms-shares-surge">Bitfarms Shares Surge</h2>
<p style="text-align: justify">On August 8, newly appointed CEO Ben Gagnon communicated via social media platform X that the company is growing and seeking new avenues beyond Bitcoin mining. He emphasized that Bitfarms is continuously changing its operational profile through fleet upgrades and geographic expansion. The company is also evaluating opportunities in high-performance computing and <a href="https://futurearticles.co/openai-gpt-4o-vs-anthropic-claude-3-5-who-will-win-the-duel/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="exclude">artificial intelligence</a>.</p>
<p style="text-align: justify">Despite these advancements, Bitfarms reported a total revenue of $42 million for the second quarter, a decline of 16% compared to the first quarter and below analyst expectations. The decrease was attributed to lower block rewards following the Bitcoin halving event on April 19. The company also faced an operating loss of $23.6 million, including $46 million in accelerated depreciation on older mining equipment.</p>
<h2 id="details-on-the-subject">Details on the Subject</h2>
<p style="text-align: justify">Bitfarms mined 614 Bitcoin in the second quarter, valued at roughly $37 million based on current market prices. However, the total cash cost of production per Bitcoin rose sharply from $27,900 in the first quarter to $47,300. In April, the company announced a $240 million investment to upgrade its mining equipment and add 88,000 new miners. This led to a 34% increase in Bitcoin earnings in July, with 243 Bitcoin worth $14 million produced, up from 189 Bitcoin worth $11 million in June.</p>
<p style="text-align: justify">The company also saw a substantial increase in its hashrate, the measure of computational power, from 6.5 EH/s to 11.1 EH/s. Gagnon mentioned that Bitfarms’ new facility in Sharon, along with new megawatts in South America, will help boost this rate to over 35 EH/s by 2025. This represents a 67% growth from their year-end target of 21 EH/s. Gagnon reiterated the company’s commitment to expanding in the U.S. and diversifying beyond Bitcoin mining in the coming years.</p>
<h2 id="key-insights">Key Insights</h2>
<p style="text-align: justify">– Bitfarms’ share price surged by 22% following a positive earnings report.<br> – The company posted a lower-than-expected loss of 7 cents per share.<br> – Revenue declined by 16% due to reduced block rewards post-Bitcoin halving.<br> – Bitfarms is exploring opportunities in high-performance computing and AI.<br> – A significant increase in hashrate is expected to exceed 35 EH/s by 2025.</p>
<p style="text-align: justify">In conclusion, Bitfarms’ recent earnings report reveals both challenges and opportunities. While revenue has declined, the company is making strategic investments and expansions to position itself for future growth. With plans to diversify and increase computational power, Bitfarms aims for a strong performance in the coming years.</p>
<h5><span style="font-weight:bold;font-size:16px">The post first appeared on BH NEWS: </span> <a href="https://en.bitcoinhaber.net/bitfarms-sees-shares-rise-22" data-wpel-link="internal" rel="noopener noreferrer nofollow">Bitfarms Sees Shares Rise 22%</a></h5>

Bitfarms Sees Shares Rise 22%

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