Digihost Announces $31.4M in YTD Revenue, Representing a 104% YOY Increase
Digihost Technology reported significant financial growth in Q3 2024, with revenue reaching $9.2M, up 71% from Q3 2023. Year-to-date revenue hit $31.4M, marking a 104% increase year-over-year. The company's EBITDA grew 350% to $5.5M for the first nine months of 2024. Revenue diversification through colocation services became the largest segment, while energy sales increased 128%. Operating at 100MW across three sites with a 3 EH/s hash rate, Digihost plans to expand to 6-7 EH by 2026. The company is transitioning focus from direct mining to colocation services and power development.
Digihost Technology ha riportato una crescita finanziaria significativa nel terzo trimestre del 2024, con entrate che hanno raggiunto i 9,2 milioni di dollari, in aumento del 71% rispetto al terzo trimestre del 2023. Le entrate da inizio anno hanno toccato i 31,4 milioni di dollari, segnando un incremento del 104% anno su anno. L'EBITDA dell'azienda è cresciuto del 350%, arrivando a 5,5 milioni di dollari per i primi nove mesi del 2024. La diversificazione delle entrate attraverso i servizi di colocation è diventata il segmento principale, mentre le vendite di energia sono aumentate del 128%. Operando con 100 MW su tre siti e un hash rate di 3 EH/s, Digihost prevede di espandere a 6-7 EH entro il 2026. L'azienda sta spostando il focus dal mining diretto verso i servizi di colocation e lo sviluppo energetico.
Digihost Technology informó sobre un crecimiento financiero significativo en el tercer trimestre de 2024, con ingresos que alcanzaron los 9.2 millones de dólares, un aumento del 71% en comparación con el tercer trimestre de 2023. Los ingresos acumulados hasta la fecha alcanzaron los 31.4 millones de dólares, marcando un incremento del 104% interanual. El EBITDA de la compañía creció un 350% hasta los 5.5 millones de dólares durante los primeros nueve meses de 2024. La diversificación de ingresos a través de servicios de colocation se convirtió en el segmento más grande, mientras que las ventas de energía aumentaron un 128%. Operando a 100 MW en tres sitios con una tasa de hash de 3 EH/s, Digihost planea expandirse a 6-7 EH para 2026. La empresa está trasladando su enfoque del minería directa a los servicios de colocation y el desarrollo energético.
Digihost Technology는 2024년 3분기에 920만 달러의 수익을 기록하며, 2023년 3분기 대비 71% 증가한 의미 있는 재무 성장을 보고했습니다. 연초부터의 수익은 3140만 달러에 이르며, 전년 대비 104% 증가하였습니다. 회사의 EBITDA는 2024년 처음 아홉 달 동안 350% 증가하여 550만 달러에 도달했습니다. 공동 위치 서비스의 수익 다각화가 가장 큰 세그먼트가 되었으며, 에너지 판매는 128% 증가했습니다. 3개의 사이트에서 100MW로 운영하며 해시율은 3 EH/s로, Digihost는 2026년까지 6-7 EH로 확장할 계획입니다. 이 회사는 직접 채굴에서 공동 위치 서비스 및 전력 개발로 초점을 전환하고 있습니다.
Digihost Technology a rapporté une croissance financière significative au troisième trimestre de 2024, avec des revenus atteignant 9,2 millions de dollars, soit une augmentation de 71 % par rapport au troisième trimestre de 2023. Les revenus accumulés depuis le début de l'année ont atteint 31,4 millions de dollars, marquant une augmentation de 104 % par rapport à l'année précédente. L'EBITDA de l'entreprise a crû de 350 %, atteignant 5,5 millions de dollars pour les neuf premiers mois de 2024. La diversification des revenus à travers les services de colocation est devenue le plus grand segment, tandis que les ventes d'énergie ont augmenté de 128 %. Avec une puissance de 100 MW répartie sur trois sites et un taux de hash de 3 EH/s, Digihost prévoit d'étendre cette capacité à 6-7 EH d'ici 2026. L'entreprise se concentre désormais sur les services de colocation et le développement énergétique plutôt que sur le minage direct.
Digihost Technology berichtete von einem signifikanten finanziellen Wachstum im 3. Quartal 2024, mit einem Umsatz von 9,2 Millionen USD, was einem Anstieg von 71 % im Vergleich zum 3. Quartal 2023 entspricht. Der bisherige Jahresumsatz erreichte 31,4 Millionen USD, was einem Jahreswachstum von 104 % entspricht. Das EBITDA des Unternehmens wuchs um 350 % auf 5,5 Millionen USD in den ersten neun Monaten des Jahres 2024. Die Einnahmendiversifizierung durch Colocation-Dienste wurde zum größten Segment, während die Energieverkäufe um 128 % zunahmen. Mit einer Leistung von 100 MW an drei Standorten und einer Hashrate von 3 EH/s plant Digihost, bis 2026 auf 6-7 EH zu expandieren. Das Unternehmen verlagert seinen Fokus von direktem Mining auf Colocation-Dienste und Energieentwicklung.
- Revenue increased 104% YOY to $31.4M for first nine months of 2024
- EBITDA grew 350% to $5.5M in first nine months
- Energy sales revenue increased 128% YOY
- Positive Net Working Cash flow of $1M in Q3
- Successful revenue diversification through colocation services
- Net loss of $6.3M for nine months ended September 30, 2024
- Digital currency mining revenue decreased from $13.5M to $10.3M YOY
- Gross loss of $5.9M for the nine-month period
Insights
Digihost's Q3 results demonstrate significant business transformation and revenue diversification. Total revenue reached
Key financial metrics show operational improvements: EBITDA of
The strategic pivot to focus on power infrastructure while leveraging colocation partnerships reduces capital expenditure risks and positions the company for more stable revenue streams. The planned expansion to 6-7 EH/s by 2026 and conversion to tier-3 data centers could create additional value streams.
HOUSTON, Nov. 15, 2024 (GLOBE NEWSWIRE) -- Digihost Technology Inc. (“Digihost” or the “Company”) (Nasdaq / TSXV: DGHI), an innovative energy infrastructure company that develops cutting-edge data centers, is pleased to provide a summary of the Company’s unaudited financial results for the third quarter ended September 30, 2024 (all amounts in U.S. dollars, unless otherwise indicated) and a 2024 year-to-date update on its operations. The Company’s unaudited consolidated financial statements and management’s discussion and analysis (“MD&A”) for the nine-month period ended September 30, 2024 have been filed and made accessible under the Company’s continuous disclosure profile on SEDAR+ at www.sedarplus.ca and also on EDGAR at www.sec.gov/edgar.
Comparative Financial Highlights for the Three-Month Period Ended and as at September 30, 2024:
- Revenue of
$9.2 million for the three-month period ended September 30, 2024, compared to$5.4 million for the three-month period ended September 30, 2023, representing an increase of71% , as the Company has significantly diversified its revenue verticals through various colocation agreements and the sale of energy; - Digital currencies of
$4.9 million , and total current assets of$6.7 million ; - The Company ended the quarter with a positive Net Working Cash flow of approximately
$1 million .
Comparative Financial Highlights for the Nine-Month Period Ended September 30, 2024:
- Revenue of
$31.4 million for the nine-month period ended September 30, 2024, compared to$15.3 million for the nine-month period ended September 30, 2023, representing an increase of104% , as the Company has significantly diversified its revenue verticals through various colocation agreements and the sale of energy; - Revenue from the sale of energy increased by approximately
128% compared to the nine-month period ended September 30, 2023; - EBITDA* of
$5.5 million for the nine months ended September 30, 2024. This represents a nearly350% increase compared to the nine-month period ended September 30, 2023.
| (U.S.$ in thousands except share and per share data) | Nine Months Ended | |||
| September 30, 2024 | September 30, 2023 | |||
| Revenue from Digital Currency Mining | 10,318 | 13,522 | ||
| Revenue from Colocation Services | 10,714 | - | ||
| Revenue from Sale of Electricity | 6,283 | - | ||
| Revenue from Sale of Energy | 4,050 | 1,779 | ||
| Total Revenue | 15,332 | |||
| Cost of Revenue | (25,511) | (10,515) | ||
| Depreciation and Amortization | (11,790) | (9,732) | ||
| Miner Lease & Hosting Agreement | - | (791) | ||
| Gross loss | (5,936) | (5,707) | ||
| General and administrative and other expenses | (3,091) | (3,727) | ||
| Foreign exchange | 1,127 | (101) | ||
| Gain on disposition of cryptocurrencies | 229 | 802 | ||
| Change in FV of loan payable | (20) | (144) | ||
| Other Income (expense) | 14 | 90 | ||
| Change in fair value - Miner Lease Agreement | - | (268) | ||
| Share based compensation | (1,267) | (1,217) | ||
| Gain on Revaluation of Digital Currencies | 251 | 23 | ||
| Operating loss | (8,692) | (10,250) | ||
| Revaluation of warrant liabilities | 2,380 | (1,756) | ||
| Net financial expenses | (22) | (195) | ||
| Net income (loss) before income taxes | (6,334) | (12,200) | ||
| Income tax expense | - | - | ||
| Net income (loss) for the year | (6,334) | (12,200) | ||
| Foreign currency translation adjustment | (1,091) | 104 | ||
| Revaluation of digital currency, net of tax | - | - | ||
| Total comprehensive loss for the year | (7,424) | (12,096) | ||
| Basic and diluted income (loss) per share Weighted average number of subordinate voting shares outstanding – diluted | (0.21) 29,929,917 | (0.43) 28,525,059 | ||
* EBITDA – NON-IFRS MEASURE
EBITDA is a non-IFRS financial measure and should be read in conjunction with and should not be viewed as an alternative to or replacement of measures of operating results and liquidity presented in accordance with IFRS. Readers are referred to the reconciliations of non-IFRS measures included in the Company’s MD&A and in the table below.
The following table provides a reconciliation of net income to EBITDA for the fiscal periods ended September 30, 2024 and 2023:
| Nine months ended | ||||
| 2024 | 2023 | |||
| $ | $ | |||
| Income (loss) before other items | (6,333,643) | (12,200,349) | ||
| Taxes and Interest | 22,041 | 194,971 | ||
| Depreciation | 11,789,865 | 9,732,088 | ||
| EBITDA | 5,478,263 | (2,273,290) | ||
Operations Update
Presently, Digihost’s consolidated operating capacity across its three sites represents approximately 100MW of available power, and Digihost is mining at a hash rate of 3 EH/s. The Company experienced significant growth within its colocation services segment, which now serves as the Company's largest revenue segment. During the quarter, the Company completed maintenance at its flagship North Tonawanda power plant to increase long-term efficiency. The Company expects to bring the plant back to full operational power in the fourth quarter of 2024.
Outlook
Digihost remains focused on expanding its power portfolio and maximizing the optimal use of its energy resources. The Company has now produced more revenue year-over-year through its colocation services than digital mining, and it expects to continue to expand the portion of its revenue from colocation services in the future. Through colocation with some of the world’s largest mining companies, the Company will have access to the latest generation of miners, retaining its cutting-edge efficiency and low cost of mining production without the downside associated with mining outright (e.g., significant capital expenditure outlay and accelerated depreciation). This strategy lets the Company focus its investment and assets upstream on power development and production. This strategy is designed to aid the Company in expanding its MW footprint significantly in 2025, with the goal of achieving an expected hash rate of 6-7 EH in 2026.
Simultaneously, with the growth of the Company’s power portfolio, the Company looks forward to converting portions of its existing asset base into tier-3 data center infrastructure in the coming months. Leveraging its established electrical infrastructure, regulatory expertise, and customer relationships, Digihost anticipates that this conversion will reduce both costs and timelines relative to industry standards, providing a distinct competitive edge.
About Digihost
Digihost is an innovative energy infrastructure company that develops cutting-edge data centers to drive the expansion of sustainable energy assets.
For further information, please contact:
Digihost Investor Relations
www.digihostpower.com
T: 888-474-9222
Email: ir@digihostpower.com
Cautionary Statement
Trading in the securities of the Company should be considered highly speculative. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
Except for the statements of historical fact, this news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking information”) that are based on expectations, estimates and projections as at the date of this news release and are covered by safe harbors under Canadian and United States securities laws. Forward-looking information in this news release includes information about potential further improvements to profitability and efficiency across mining operations, including as a result of the Company’s expansion efforts, potential for the Company’s long-term growth, and the business goals and objectives of the Company. Factors that could cause actual results to differ materially from those described in such forward-looking information include, but are not limited to: future capital needs and uncertainty of additional financing; share dilution resulting from equity issuances; risks relating to the strategy of maintaining and increasing Bitcoin holdings and the impact of depreciating Bitcoin prices on working capital; development of additional facilities and installation of infrastructure to expand operations may not be completed on the timelines anticipated by the Company, or at all; ability to access additional power from the local power grid; a decrease in cryptocurrency pricing, volume of transaction activity or generally, the profitability of cryptocurrency mining; further improvements to profitability and efficiency may not be realized; development of additional facilities to expand operations may not be completed on the timelines anticipated by the Company; ability to access additional power from the local power grid; an increase in natural gas prices may negatively affect the profitability of the Company’s power plant; the digital currency market; the Company’s ability to successfully mine digital currency on the cloud; the Company may not be able to profitably liquidate its current digital currency inventory, or at all; a decline in digital currency prices may have a significant negative impact on the Company’s operations; the volatility of digital currency prices; and other related risks as more fully set out in the Annual Information Form of the Company and other documents disclosed in the Company’s filings at www.sedarplus.ca and www.SEC.gov/EDGAR. The forward-looking information in this news release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available to the Company. In connection with the forward-looking information contained in this news release, the Company has made assumptions about: the current profitability in mining cryptocurrency (including pricing and volume of current transaction activity); profitable use of the Company’s assets going forward; the Company’s ability to profitably liquidate its digital currency inventory as required; historical prices of digital currencies and the ability of the Company to mine digital currencies on the cloud will be consistent with historical prices; the ability to maintain reliable and economical sources of power to run its cryptocurrency mining assets; the negative impact of regulatory changes in the energy regimes in the jurisdictions in which the Company operates; and there will be no regulation or law that will prevent the Company from operating its business. The Company has also assumed that no significant events occur outside of the Company's normal course of business. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainties therein. The Company undertakes no obligation to revise or update any forward-looking information other than as required by law.
FAQ
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