Riot Platforms Reports First Quarter 2025 Financial Results, Current Operational and Financial Highlights

Rhea-AI Summary

Riot Platforms (NASDAQ: RIOT) reported strong Q1 2025 financial results with total revenue reaching $161.4 million, up from $79.3 million in Q1 2024. The company produced 1,530 bitcoin with Bitcoin Mining revenue of $142.9 million. Key highlights include:

The average mining cost per bitcoin increased to $43,808 from $23,034 in Q1 2024, primarily due to the April 2024 halving event and a 41% increase in global network hash rate. The company maintained a strong financial position with $310.3 million in working capital and holds 19,223 unencumbered bitcoin valued at approximately $1.6 billion.

Notable developments include the acquisition of Rhodium's mining operations, eliminating $15 million in annual operating losses, and progress on their AI/HPC data center business at the Corsicana site. The company's deployed hash rate reached 33.7 EH/s, and construction continues on a substation to bring 1.0 GW of power capacity online by early 2026.

Positive

• Record quarterly revenue of $161.4 million, driven by increased Bitcoin Mining revenue
• Strong bitcoin holdings of 19,223 unencumbered BTC valued at $1.6 billion
• Robust financial position with $310.3 million in working capital
• Acquisition of Rhodium's operations eliminates $15 million in annual operating losses
• Engineering revenue increased to $13.9 million from $4.7 million YoY

Negative

• Average cost to mine bitcoin increased significantly to $43,808 from $23,034 YoY
• Impact of Bitcoin halving event and 41% increase in global network hash rate affecting mining economics

Insights

Financial Analyst

Riot achieves record revenue (+103%), increases Bitcoin production despite halving, maintains strong $1.6B BTC holdings, and eliminates $15M annual losses through strategic acquisition.

Riot delivered record quarterly revenue of $161.4 million in Q1 2025, a remarkable 103.5% increase from the $79.3 million reported in Q1 2024. Bitcoin mining revenue surged to $142.9 million, up $71.5 million year-over-year, driving this impressive growth.

What's particularly noteworthy is that Riot increased Bitcoin production to 1,530 coins (up 12.2% from 1,364 in Q1 2024) despite the April 2024 halving event that reduced block rewards by half. This production growth occurred in a challenging environment where the average cost to mine each Bitcoin nearly doubled to $43,808 from $23,034 – a direct consequence of both the halving and a 41% increase in global network hash rate.

The balance sheet shows exceptional strength with $310.3 million in working capital, including $163.7 million in unrestricted cash. Most significantly, Riot holds 19,223 unencumbered Bitcoin valued at approximately $1.6 billion (at March 31 price of $82,534), representing substantial treasury value that provides financial flexibility.

The strategic acquisition of Rhodium's mining operations delivers immediate financial benefits by eliminating nearly $15 million in annual operating losses from 2024 while freeing up 125 MW of power capacity at the Rockdale Facility for self-mining. This simultaneously improves operational efficiency and reduces litigation expenses – a double win for the bottom line.

Technology Analyst

Riot expands beyond Bitcoin mining into AI data centers, validates site attractiveness through feasibility study, and strengthens operations through strategic acquisitions.

Riot's diversification beyond Bitcoin mining into AI/HPC data center operations represents a forward-thinking strategic pivot that leverages their existing infrastructure expertise. The completed Altman Solon feasibility study validates this direction, highlighting the Corsicana site's inherent attractiveness to potential data center tenants – a critical milestone in establishing credibility in this competitive space.

Management is systematically enhancing the site's value proposition through three key initiatives: additional land acquisition, improved fiber connectivity, and expanded water access. These infrastructure elements are essential differentiators in the data center market, addressing the critical needs of high-performance computing operations.

The substation under construction, scheduled for completion in early 2026, will bring 1.0 GW of power capacity online – a significant asset in both the cryptocurrency and AI infrastructure sectors where access to reliable, scalable power is a primary competitive advantage.

With a deployed hash rate of 33.7 EH/s, Riot maintains its position among the top-tier Bitcoin mining operations globally. The acquisition of Rhodium's mining assets demonstrates strategic opportunism, resolving contractual issues while simultaneously consolidating operations. Meanwhile, the integration of E4A Solutions has already diversified revenue streams, with engineering revenue growing from $4.7 million to $13.9 million year-over-year – a 195% increase.

This evolution from pure-play miner to diversified digital infrastructure company, while maintaining significant Bitcoin exposure, positions Riot to capitalize on multiple high-growth technology sectors simultaneously.

Riot Reports $161.4 million in Total Revenue and Deployed Hash Rate of 33.7 EH/s

CASTLE ROCK, Colo., May 1, 2025 /PRNewswire/ -- Riot Platforms, Inc. (NASDAQ: RIOT) ("Riot" or "the Company"), an industry leader in vertically integrated Bitcoin mining, reported financial results for the three-month period ended March 31, 2025. The accompanying presentation materials are available on Riot's website.

"Riot made strong progress on a number of key financial and strategic initiatives during the first quarter of 2025, which I am excited to announce today," said Jason Les, CEO of Riot. "We achieved a new record for quarterly revenue this quarter, at $161.4 million, driven by the significant work our teams have put in during the preceding years, including the multi-year development of the first phase of our Corsicana Facility, significantly expanding our hash rate, and further enhancing our operating efficiency.

"In April 2025, Riot acquired Rhodium's mining operations and tangible property that were hosted at our Rockdale Facility, as part of a settlement agreement which also included mutual dismissal of all existing litigation. Rhodium's 125 MW of previously contracted power capacity at our Rockdale Facility has now been repurposed for our self-mining operations, while operating losses associated with this legacy contract, which equated to nearly $15 million in 2024 alone, and associated litigation expenses, will now be eliminated going forward.

"During the first quarter of 2025, Riot continued to make significant progress on the development of our AI/HPC data center business. In March, Altman Solon completed their feasibility study, which highlighted several factors making the Corsicana site a particularly attractive asset to data center tenants. We are also further increasing the attractiveness of the site by  acquiring additional development land near the Corsicana Facility, enhancing connectivity to the site through the addition of new fiber lines and expanding water access on site. Construction work on the substation, to be completed in early 2026, also continues and will bring a total of 1.0 GW of power capacity online once completed. I am extremely pleased with the progress we have already made on this front and look forward to announcing continued progress in the coming months."

First Quarter 2025 Financial and Operational Highlights

Key financial and operational highlights for the first quarter include:

• Total revenue of $161.4 million, as compared to $79.3 million for the same three-month period in 2024. The increase was primarily driven by a $71.5 million increase in Bitcoin Mining revenue.
• Produced 1,530 bitcoin, as compared to 1,364 during the same three-month period in 2024.
• The average cost to mine bitcoin, excluding depreciation, was $43,808 in the quarter, as compared to $23,034 per bitcoin in the same three-month period in 2024. The increase was primarily driven by the block subsidy 'halving' event, which occurred in April 2024, and a 41% increase in the average global network hash rate as compared to the same period in 2024.
• Bitcoin Mining revenue of $142.9 million for the quarter, as compared to $71.4 million for the same three-month period in 2024, primarily driven by higher average bitcoin prices and an increase in operational hash rate, partially offset by the block subsidy 'halving' event and an increase in average global network hash rate.
• Engineering revenue of $13.9 million for the quarter, as compared to $4.7 million for the same three-month period in 2024. Engineering revenue for the quarter now includes the financial results of E4A Solutions, LLC, which was acquired in December 2024.
• Maintained industry-leading financial position, with $310.3 million in working capital, including $163.7 million in unrestricted cash on hand, $74.2 million in restricted cash, and $71.0 million in marketable equity securities.
• Held 19,223 unencumbered bitcoin, equating to approximately $1.6 billion based on a market price for one bitcoin on March 31, 2025, of $82,534.

About Riot Platforms, Inc.

Riot's (NASDAQ: RIOT) vision is to be the world's leading Bitcoin-driven infrastructure platform.

Our mission is to positively impact the sectors, networks and communities that we touch. We believe that the combination of an innovative spirit and strong community partnership allows the Company to achieve best-in-class execution and create successful outcomes.

Riot is a Bitcoin mining and digital infrastructure company focused on a vertically integrated strategy. The Company has Bitcoin mining operations in central Texas and Kentucky, and electrical engineering and fabrication operations in Denver, Colorado, and Houston, Texas.

For more information, visit www.riotplatforms.com.

Safe Harbor

Statements in this press release that are not historical facts are forward-looking statements that reflect management's current expectations, assumptions, and estimates of future performance and economic conditions. Such statements rely on the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Words such as "anticipates," "believes," "plans," "expects," "intends," "will," "potential," "hope," similar expressions and their negatives are intended to identify forward-looking statements. These forward-looking statements may include, but are not limited to, statements relating to the Company's development at its facilities and the Company's plans, projections, objectives, expectations, and intentions about future events and trends that it believes may affect the Company's financial condition, results of operations, business strategy, short-term and long- term business operations and objectives and financial needs. These forward-looking statements are subject to a number of risks and uncertainties, including, without limitation: risks related to the Company's growth, the anticipated demand for AI/HPC uses, the feasibility of developing the Company's power capacity for AI/HPC uses, competition in the markets in which the Company operates, market growth, the Company's ability to innovate and expand into new markets, the Company's ability to realize benefits from its implementation of new strategies into its business, estimates of Bitcoin production; our future hash rate growth (EH/s); the anticipated benefits, construction schedule, and costs associated with the development of our mining facilities in Texas, Kentucky and elsewhere; our expected schedule of new miner deliveries; our access to electrical power; the impact of weather events on our operations and results; our ability to successfully deploy new miners; the variance in our mining pool rewards may negatively impact our results of Bitcoin production; our megawatt capacity under development; risks related to the Company's inability to realize the anticipated benefits from immersion cooling; the inability to integrate acquired businesses successfully, or such integration may take longer or be more difficult, time-consuming or costly to accomplish than anticipated; or the failure of the Company to otherwise realize anticipated efficiencies and strategic and financial benefits from our business strategies. Detailed information regarding the factors identified by the Company's management which they believe may cause actual results to differ materially from those expressed or implied by such forward-looking statements in this press release may be found in the Company's filings with the U.S. Securities and Exchange Commission (the "SEC"), including the risks, uncertainties and other factors discussed under the sections entitled "Risk Factors" and "Cautionary Note Regarding Forward-Looking Statements" of the Company's Annual Report on Form 10-K for the fiscal quarter ended December 31, 2024, as amended, and the other filings the Company makes with the SEC, copies of which may be obtained from the SEC's website, www.sec.gov. All forward- looking statements included in this press release are made only as of the date of this press release, and the Company disclaims any intention or obligation to update or revise any such forward-looking statements to reflect events or circumstances that subsequently occur, or of which the Company hereafter becomes aware, except as required by law. Persons reading this press release are cautioned not to place undue reliance on such forward-looking statements.

For further information, please contact:

Investor Contact:
Phil McPherson
IR@Riot.Inc
303-794-2000 ext. 110

Media Contact:
Alexis Brock
303-794-2000 ext. 118
PR@Riot.Inc 

Non-U.S. GAAP Measures of Financial Performance

In addition to financial measures presented under generally accepted accounting principles in the United States of America ("GAAP"), we consistently evaluate our use of and calculation of non-GAAP financial measures such as "Adjusted EBITDA." EBITDA is computed as net income before interest, taxes, depreciation, and amortization. Adjusted EBITDA is a performance measure defined as EBITDA, adjusted to eliminate the effects of certain non-cash and/or non-recurring items that do not reflect our ongoing strategic business operations, which management believes results in a performance measurement that represents a key indicator of the Company's core business operations of Bitcoin mining. The adjustments include fair value adjustments such as derivative power contract adjustments, equity securities value changes, and non-cash stock-based compensation expense, in addition to financing and legacy business income and expense items. We exclude impairments and gains or losses on sales or exchanges of Bitcoin from our calculation of Adjusted EBITDA for all periods presented.

We believe Adjusted EBITDA can be an important financial measure because it allows management, investors, and our board of directors to evaluate and compare our operating results, including our return on capital and operating efficiency from period-to-period by making such adjustments. Additionally, Adjusted EBITDA is used as a performance metric for share-based compensation. 

Adjusted EBITDA is provided in addition to, and should not be considered to be a substitute for, or superior to, net income, the most comparable measure under GAAP for Adjusted EBITDA. Further, Adjusted EBITDA should not be considered as an alternative to revenue growth, net income, diluted earnings per share or any other performance measure derived in accordance with GAAP, or as an alternative to cash flow from operating activities as a measure of our liquidity. Adjusted EBITDA has limitations as an analytical tool, and you should not consider such measures either in isolation or as substitutes for analyzing our results as reported under GAAP.

The following table reconciles Adjusted EBITDA to Net income (loss), the most comparable GAAP financial measure:

		Three Months Ended
		March 31,
		2025			2024
Net income (loss)		$	(296,367)		$	211,777
Interest income			(3,397)			(8,189)
Interest expense			2,308			384
Income tax expense (benefit)			437			(22)
Depreciation and amortization			77,926			32,343
EBITDA			(219,093)			236,293
Adjustments:
Stock-based compensation expense			29,576			32,000
Acquisition-related costs			76			—
Change in fair value of derivative asset			(41,894)			(20,232)
Change in fair value of contingent consideration			(8,252)			—
Unrealized loss (gain) on equity method investment - marketable securities			63,238			—
Loss (gain) on sale/exchange of equipment			129			—
Casualty-related charges (recoveries), net			—			(2,300)
Other (income) expense			(93)			(8)
License fees			(48)			(24)
Adjusted EBITDA		$	(176,361)		$	245,729

The Company defines Cost to Mine as the cost to mine one Bitcoin, excluding Bitcoin miner depreciation, as calculated in the table below.

		Three Months Ended
		March 31,
		2025				2024
Cost of power for self-mining operations		$	61,830			$	28,555
Other direct cost of revenue for self-mining operations(1)(2), excluding Bitcoin miner depreciation			12,988				7,994
Cost of revenue for self-mining operations, excluding Bitcoin miner depreciation			74,818				36,549
Less: power curtailment credits(3)			(7,801)				(5,131)
Cost of revenue for self-mining operations, net of power curtailment credits, excluding Bitcoin miner depreciation			67,017				31,418
Bitcoin miner depreciation(4)(5)			57,062				22,439
Cost of revenue for self-mining operations, net of power curtailment credits, including Bitcoin miner depreciation		$	124,079			$	53,857
Quantity of Bitcoin mined			1,530				1,364
Production value of one Bitcoin mined(6)		$	93,385			$	52,343
Cost to mine one Bitcoin, excluding Bitcoin miner depreciation		$	43,808			$	23,034
Cost to mine one Bitcoin, excluding Bitcoin miner depreciation, as a % of production value of one Bitcoin mined			46.9	%			44.0	%
Cost to mine one Bitcoin, including Bitcoin miner depreciation		$	81,109			$	39,485
Cost to mine one Bitcoin, including Bitcoin miner depreciation, as a % of production value of one Bitcoin mined			86.9	%			75.4	%

1.Other direct cost of revenue includes compensation, insurance, repairs, and ground lease rent and related property tax.

2.Costs to finance the purchase of miners were zero in all periods presented as the miners were paid for with cash from the Company's cash balance. The seller did not provide any financing, nor did the Company borrow from a third-party to purchase the miners.

3.Power curtailment credits are credited against our power invoices as a result of temporarily pausing our operations to participate in ERCOT's Demand Response Service Programs. Our fixed-price power purchase contracts enable us to strategically curtail our mining operations and participate in these programs, which significantly lower our cost to mine bitcoin. These credits are recognized in Power Curtailment Credits on our Consolidated Statement of Operations, outside of cost of revenue.

4.Computed as revenue recognized from bitcoin mined divided by the quantity of bitcoin mined during the same period.

 

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SOURCE Riot Platforms, Inc.

FAQ

What was Riot Platforms (RIOT) revenue in Q1 2025?

Riot Platforms reported total revenue of $161.4 million in Q1 2025, with Bitcoin Mining revenue of $142.9 million and Engineering revenue of $13.9 million.

How many bitcoin did RIOT mine in Q1 2025?

Riot Platforms mined 1,530 bitcoin during Q1 2025, compared to 1,364 bitcoin in the same period of 2024.

What is Riot Platforms' (RIOT) current bitcoin holdings?

As of March 31, 2025, Riot held 19,223 unencumbered bitcoin, valued at approximately $1.6 billion based on a bitcoin price of $82,534.

How did the Bitcoin halving affect RIOT's mining costs in Q1 2025?

The Bitcoin halving event in April 2024 contributed to increasing Riot's average mining cost per bitcoin to $43,808 in Q1 2025, up from $23,034 in Q1 2024.

What is RIOT's hash rate capacity as of Q1 2025?

Riot Platforms reported a deployed hash rate of 33.7 EH/s in Q1 2025.