Moxian (BVI) Inc Reports Unaudited Financial Results for the First Half of 2022

Rhea-AI Summary

Moxian (BVI) Inc (NASDAQ: MOXC) reported unaudited financial results for the six months ended June 30, 2022, highlighting challenges in its bitcoin mining operations. The company initiated mining in Georgia and Buffalo, New York, but faced profitability issues due to declining bitcoin values and high electricity costs, resulting in a largely offline fleet. Despite this, Moxian maintains a sound financial base with controlled overheads and expresses optimism for future mining activities if market prices improve.

Positive

• Company maintains controlled overhead costs.
• Possibility of increased mining operations when bitcoin prices rise.

Negative

• Bitcoin mining fleet remained largely offline due to unprofitability.
• High electricity costs reduced mining profitability.
• Decline in bitcoin value impacted operational capacity.

Hong Kong, Dec. 30, 2022 (GLOBE NEWSWIRE) -- Moxian (BVI) Inc (“Moxian” or the “Company”) (NASDAQ: MOXC), a company engaged in bitcoin mining and related services in the United States, today reported its unaudited financial results for the six months ended June 30, 2022.

In March 2022, we began progressively our bitcoin mining operations in the State of Georgia and Buffalo, New York. Our digital asset mining operations, hosted by third party providers, use specialized computers, known as miners, to generate bitcoin, a digital asset. The Company works with third party hosting partners who operate specialized mining data centres and provide IT consulting, maintenance, and repair work on-site for us.

The primary intent behind operating our mining business is the accumulation of bitcoins, which we may sell for fiat currency from time to time depending on market conditions and management’s determination of our cash flow needs. Given bitcoins finite supply, our target is to mine as many bitcoins as quickly as possible. Unfortunately, because of the fall of the value of bitcoins during this period, our fleet remained largely offline as it was unprofitable to mine given the high electricity costs.

The Company is in a relatively sound financial base as the recurrent overheads are well within control. Once bitcoin mining resumes because of higher market prices, the Company is hopeful that its outlook will be steady.

About Moxian (BVI) Inc

Moxian (BVI) Inc, a company organized in the British Virgin Islands in May 2021, is the surviving company following its merger with Moxian, Inc. in August 2021. Moxian (BVI) Inc operates in the States of New York and Georgia in the U.S.

Forward-Looking Statements

This announcement contains forward-looking statements as defined in Section 21E of the Securities Exchange Act of 1934 as amended. These forward-looking statements are based on the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995 and may be governed by terms such as “will,” “expect,” “anticipate,” “future,” “intend,” “plan,” Believe, “estimate”, “potential”, “continue”, “in progress”, “goal”, “guidance expectations” and similar statements are identified. The company may also include in its periodic reports to the US Securities and Exchange Commission (“SEC”), annual reports to shareholders, press releases and other written materials, as well as oral statements from third parties to the company’s management, directors or employees. Any statements that are not historical facts, including statements about the company’s philosophy and expectations, are forward-looking statements that involve factors, risks, and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. These factors and risks include, but are not limited to, the following: company’s goals and strategies; future business development; financial status and operating results; expected growth of bitcoin mining industry and Internet media marketing industry; demand and acceptance of the company’s products and services; the relationship between the company and strategic partners; industry competition; and policies and regulations related to the company’s structure, business and industry. More detailed information about these and other risks and uncertainties is included in the company’s filings with the Securities and Exchange Commission. All information provided in the company’s introduction is the latest information as of the date of publication of the company. Except as provided by applicable law, the company is not obligated to update such information.

For further information, please contact:

Wanhong Tan
Chief Financial Officer
+852 9855 6575
yf@abitgrp.com

MOXIAN (BVI) INC.
CONSOLIDATED BALANCE SHEETS

				As of
		Note		June 30, 2022 (Unaudited)				December 31, 2021
ASSETS
Current Assets
Cash and cash equivalents				$	5,800,361			$	2,507,404
Accounts receivable					649,329				229,708
Prepayments and other receivables		3			531,200				-
Total current assets					6,980,890				2,737,112
Digital assets		4			8,440,422				5,000,000
Vehicles					133,308				-
Miners		5			29,800,000				-
TOTAL ASSETS					45,354,620				7,737,112
LIABILITIES AND SHAREHOLDERS’ EQUITY
Other payables and accruals				$	120,523			$	1,170,096
Stockholders’ Equity
Preferred stock, $0.001010 par value, authorized; 50,000,000 shares, 5,000.000 shares issued and outstanding as of June 30, 2022 and December 31, 2021				$	5,050			$	5,050
Common stock, $0.001 par value, authorized: 50,000,000 shares. Issued and outstanding: 35,554,667 shares as of June 30, 2022; 19,554,567 shares as of December 31, 2021.					35,554				19,554
Additional paid-in capital					89,290,193				49,306,193
Accumulated deficit					(44,710,434	)			(43,788,360	)
Accumulated other comprehensive income					613,734				1,024,579
Total Shareholders’ Equity					45,234,097				6,567,016
Total Liabilities and Shareholders’ Equity				$	45,354,620			$	7,737,112

MOXIAN (BVI) INC.
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS

		Six Months Ended				Six Months Ended
		June 30, 2022				June 30, 2021
Revenue		$	40,422			$	216,979
Direct costs of revenue			(15,377	)			-
Other operating costs			(161,540	)			-
(Loss)/profit from operations			(136,495	)			216,979
General and administrative expenses			(785,579	)			(2,074,528	)
Other income			-				291,923
(Loss)/income before tax			(922,074	)			(1,626,898	)
Income tax			-				-
Loss after tax			(922,074	)			(1,626,898	)
Foreign exchange adjustment							(19,245	)
Comprehensive loss for the period		$	(922,074	)		$	(1,646,143	)
Basic and diluted loss per ordinary share		$	(0.026	)		$	(0.085	)
Basic and diluted average number of ordinary shares outstanding		$	35,554,667				19,341,529

MOXIAN (BVI) INC.
UNAUDITED CONSOLIDATED STATEMENTS OF CHANGES TO STOCKHOLDERS’ EQUITY (DEFICIT)

		Preferred Shares								Ordinary Shares								Additional paid-in				Accumulated				Accumulated other comprehensive
		Number				Amount				Number				Amount				capital				deficit				income				Total
Balance, June 30, 2021			-				-				16,191,529			$	16,191			$	40,114,606			$	(40,739,748	)		$	756,950				147,999
Foreign currency translation adjustment			-				-				-				-				-				-				267,629				267,629
Issuance of new ordinary shares for proceeds			-				-				3,150,000				3,150				3,934,350				-				-				3,937,500
Issuance of new ordinary shares for services			-				-				213,148				213				262,287				-				-				262,500
Issuance of new preferred shares			5,000,000				5,050				-				-				4,994,950				-				-				5,000,000
Net loss for the period			-				-				-				-				-				(3,048,612	)			-				(3,048,612	)
Balance, December 31, 2021			5,000,000				5,050				19,554,677				19,554				49,306,193				(43,788,360	)			1,024,579				6,567,016
Foreign currency translation adjustment																											(410,845	)			(410,845	)
Issuance of new ordinary shares for proceeds			-				-				16,000,000				16,000				39,984,000				-				-				40,000,000
Net loss for the period			-				-				-				-				-				(922,074	)			-				(922,074	)
Balance, June 30, 2022			5,000,000				5,050				35,554,677				35,554				89,290,193				(44,710,434	)			613,734				45,234,097

MOXIAN (BVI) INC.
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS

		For the Six Months				For the Six Months
		Ended				Ended
		June 30, 2022				June 30, 2021
Net loss for the period			922,074				1,626,898
Adjustment to reconcile cash used in operating activities:
Provision for bad debt			-				(1,459,892	)
			922,074				167,006
Changes in operating assets and liabilities:
Accounts receivable			419,621				2,172,790
Prepayments and other deposits			531,200				-
Other payables and accruals			1,049,573				997,001
USDC			3,440,422				-
Fixed assets			29,933,308				-
Cash used in operating activities			36,296,198				3,336,797
Cash raised in financing activities:
Proceeds from issue of new ordinary shares			40,000,000				-
			3,703,802				3,336,797
Effect of exchange rates on cash and cash equivalents			410,845				131,349
Net increase in cash and cash equivalents			3,292,957				3,468,146
Cash and cash equivalents, beginning of period			2,507,404				19,402
Cash and cash equivalents, end of period			5,800,361				3,487,548

FAQ

What are the financial results of Moxian (MOXC) for the first half of 2022?

Moxian reported its unaudited financial results for the six months ended June 30, 2022, showing challenges in profitability due to declining bitcoin values.

How is Moxian handling its bitcoin mining operations?

Moxian began bitcoin mining in March 2022 but faced operational challenges as its fleet remained largely offline due to high electricity costs.

What is the future outlook for Moxian's bitcoin mining business?

The Company is hopeful for resuming mining operations as market prices rise and maintains a sound financial base.

Where are Moxian's bitcoin mining operations located?

Moxian's bitcoin mining operations are located in Georgia and Buffalo, New York.