Shares of Singapore-headquartered cryptocurrency miner Bitdeer Technologies have slid more than 35% since their Nasdaq debut on April 14, and were trading at US$6.41 at closing on Wednesday. The company on Thursday reported a net loss for 2022.
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- Bitdeer went public through a merger with Blue Safari Group Acquisition Corp., a special purpose acquisition company (SPAC), with a valuation of US$1.18 billion.
- In its latest earnings report on Thursday, Bitdeer reported a net loss of US$60.4 million in 2022, compared to a net profit of US$82.6 million in the prior year.
- The company booked US$333.3 million in revenue, down 15.6% on year due to a drop in income from its main mining operations and sales of mining machines.
- Bitdeer, which announced the SPAC deal in November 2021, was spun off from Chinese mining machine maker Bitmain. As of the end of 2022, it operated six mining centers in the U.S. and Norway with an aggregate power capacity of 775 megawatts.
- The firm recorded US$30.3 million in adjusted profit in 2022, compared to US$171 million in 2021, and booked US$93.2 million in adjusted EBITDA (earnings before interest, taxes, depreciation and amortization), shrinking from US$281.8 million in 2021.
- “Despite the volatility in cryptocurrency prices and temporary dislocation in the crypto industry, we bucked the trend and achieved a positive adjusted net profit and a positive adjusted EBITDA in the full year of 2022, thus demonstrating the viability and resilience of our business model,” Linghui Kong, chief executive officer of Bitdeer, said in the report.
- Kong added that Bitdeer plans to increase the 775 megawatts in electricity capacity achieved in 2022 to as much as 1,524 megawatts. He did not give a timeline for the expansion.
- Last week, the New York Times reported that Bitdeer would make over US$18 million for turning off its machines as part of a Texan state grid’s incentive program during the Winter Storm Uri in 2021.
- In response, Bitdeer tweeted last week that it curtailed its operation during the five-day storm but it “did not receive windfall payments as reported,” adding: “We willingly assumed net losses to ensure that electricity was delivered to residential and essential commercial customers.”
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