Hyperscale Data Announces 19.2 Bitcoin Mined in January 2025

Rhea-AI Summary

Hyperscale Data (NYSE: GPUS) reported mining 19.2 Bitcoin in January 2025 at its Michigan data center, generating approximately $1.9 million in monthly mining revenue based on Bitcoin's current price of $97,000. The company announced its transition from Bitcoin mining to high-performance computing (HPC) services for AI solutions, expected to complete by September 2025.

The company projects approximately $20 million in Bitcoin mining revenue for 2025, assuming Bitcoin maintains its current price. Additionally, Hyperscale Data plans to resume Bitcoin mining operations at its Montana location by March's end. The company's Michigan data center has a power capacity of 30MW, which will be transitioned from Bitcoin mining to HPC services.

Positive

• Current monthly Bitcoin mining revenue of $1.9 million
• Projected $20 million in Bitcoin mining revenue for 2025
• Planned expansion with Montana location resuming operations by March 2025
• Strategic transition to HPC services for AI solutions

Negative

• Complete transition away from Bitcoin mining by September 2025 may affect revenue streams
• Revenue projections heavily dependent on volatile Bitcoin prices
• Mining operations subject to fluctuating difficulty levels and power availability

Insights

Financial Analyst

Hyperscale Data's January performance and strategic transition announcement reveals a calculated pivot in their business model. The current $1.9M monthly mining revenue run rate, while substantial, represents just a fraction of the company's future potential as it transitions to high-performance computing services for AI applications.

The planned migration from Bitcoin mining to HPC services by September 2025 is particularly strategic given the current market dynamics. While the projected $20M in Bitcoin mining revenue for 2025 provides a solid baseline, the HPC market presents significantly higher growth potential, with the global HPC as a service market expected to grow at a CAGR of 13.3% through 2028.

Notable operational considerations include:

• The company's existing 30MW power capacity infrastructure provides a valuable foundation for HPC services, potentially offering higher margins than Bitcoin mining
• The planned reactivation of Montana mining operations by March indicates a balanced approach to maintaining revenue streams during the transition
• The timing of the transition aligns with industry trends showing increased demand for AI computing infrastructure

However, investors should note several risk factors:

• The transition timeline is aggressive and could face delays, affecting revenue projections
• Success in the HPC market will require different technical expertise and customer relationships compared to mining operations
• Capital requirements for HPC infrastructure upgrades could impact near-term profitability

The company's strategic pivot represents a forward-thinking approach to capitalize on the growing AI infrastructure market while maintaining Bitcoin exposure during the transition period. This hybrid strategy could potentially deliver superior returns compared to pure-play mining operations, particularly given the increasing demand for AI computing resources.

LAS VEGAS, Feb. 07, 2025 (GLOBE NEWSWIRE) -- Hyperscale Data, Inc. (NYSE American: GPUS), a diversified holding company (“Hyperscale Data” or the “Company”), today announced that its wholly owned subsidiary Sentinum, Inc. (“Sentinum”) mined approximately 19.2 Bitcoin in the month of January 2025, which were mined at the Company’s data center in Michigan (the “Data Center”). The January monthly mining run rate of approximately $1.9 million in Bitcoin mining revenue is based upon a current Bitcoin price of approximately $97,000.

Milton “Todd” Ault III, Executive Chairman of Hyperscale Data, stated, “We are transitioning to becoming a provider of high-performance computing (“HPC”) services powering AI solutions, which we believe holds greater promise in the foreseeable future, and we expect the transition will be completed at the end of September 2025. In the meantime, we remain confident in our mining operations and maintain our medium-term view on Bitcoin as an appreciating asset that supports the Company’s overall capital allocation strategy. We also expect to bring Bitcoin mining machines back online at our Montana location by the end of March, which will bolster our mining activities. Assuming Bitcoin maintains its current price of approximately $97,000, and that the Company has fully transitioned the Data Center’s existing power capacity of 30MW from self-mining of Bitcoin to HPC services in September of this year, we anticipate generating approximately $20 million in Bitcoin mining revenue in 2025. If our transition to HPC services is delayed, then we would realize additional revenue from our Bitcoin operations.”

Hyperscale Data notes that all estimates and other projections are subject to the volatility in Bitcoin market price, the fluctuation in the mining difficulty level, the ability to build out and provide the necessary power for miners, and other factors that may impact the results of Bitcoin mining production or operations.

For more information on Hyperscale Data and its subsidiaries, Hyperscale Data recommends that stockholders, investors and any other interested parties read Hyperscale Data’s public filings and press releases available under the Investor Relations section at hyperscaledata.com or available at www.sec.gov.

About Hyperscale Data, Inc.

Hyperscale Data is transitioning from a diversified holding company pursuing growth by acquiring undervalued businesses and disruptive technologies with a global impact to becoming solely an owner and operator of data centers to support high performance computing services. Through its wholly and majority-owned subsidiaries and strategic investments, Hyperscale Data owns and operates a data center at which it mines digital assets and offers colocation and hosting services for the emerging artificial intelligence ecosystems and other industries. It also provides, through its wholly owned subsidiary, Ault Capital Group, Inc., mission-critical products that support a diverse range of industries, including an artificial intelligence software platform, social gaming platform, equipment rental services, defense/aerospace, industrial, automotive, medical/biopharma and hotel operations. In addition, Hyperscale Data is actively engaged in private credit and structured finance through a licensed lending subsidiary. Hyperscale Data’s headquarters are located at 11411 Southern Highlands Parkway, Suite 240, Las Vegas, NV 89141.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as “believes,” “plans,” “anticipates,” “projects,” “estimates,” “expects,” “intends,” “strategy,” “future,” “opportunity,” “may,” “will,” “should,” “could,” “potential,” or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties.

Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update any of them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors. More information, including potential risk factors, that could affect the Company’s business and financial results are included in the Company’s filings with the U.S. Securities and Exchange Commission, including, but not limited to, the Company’s Forms 10-K, 10-Q and 8-K. All filings are available at www.sec.gov and on the Company’s website at www.hyperscaledata.com.

Hyperscale Data Investor Contact:
IR@hyperscaledata.com or 1-888-753-2235

FAQ

How many Bitcoins did GPUS mine in January 2025?

Hyperscale Data (GPUS) mined 19.2 Bitcoin in January 2025 at its Michigan data center.

What is GPUS's projected Bitcoin mining revenue for 2025?

GPUS projects approximately $20 million in Bitcoin mining revenue for 2025, assuming Bitcoin maintains its price of $97,000.

When will GPUS complete its transition to HPC services?

Hyperscale Data expects to complete its transition from Bitcoin mining to HPC services by the end of September 2025.

When will GPUS resume Bitcoin mining operations in Montana?

Hyperscale Data plans to bring Bitcoin mining machines back online at its Montana location by the end of March 2025.

What is the power capacity of GPUS's Michigan data center?

The Michigan data center has an existing power capacity of 30MW, which will be transitioned from Bitcoin mining to HPC services.