Riot Platforms, Inc. (NASDAQ: RIOT), an industry enabler of vertically integrated Bitcoin (“BTC”) mining, reports financial results for the full year ended December 31, 2023.
The audited financial statements are available on Riot’s website and here.
Jason Les, CEO of Riot, said:
“I am pleased to announce results for Riot for 2023, which proved to be another milestone year in Riot’s ongoing development as a leading vertically integrated Bitcoin miner. We achieved record results in 2023, generating all-time highs of $281 million in total revenues, 6,626 Bitcoin produced, and $71 million in power credits earned from our unique power strategy.
As noted in the update:
“In addition to our record financial performance in 2023, Riot achieved significant progress across our key strategic development targets, including: (i) completion of our 700 megawatt Rockdale Facility expansion; (ii) successful scaling of our power strategy, which drove our industry-leading low cost to mine in FY 2023 to $7,539 per Bitcoin; (iii) a landmark partnership with MicroBT to lock-in a long-term, fixed-price supply of latest-generation miners, ensuring that Riot operates among the most efficient mining fleets in our industry; and (iv) ongoing development of our 1 gigawatt Corsicana Facility, which will begin energization at the end of Q1 2024 and which, when fully developed, will be the largest dedicated Bitcoin mining facility in the world.”
The announcement also mentioned:
“At the same time, Riot has also further enhanced our already industry-leading balance sheet strength, ending 2023 with approximately $597 million in cash, 7,362 Bitcoin, worth approximately $311 million based on year-end Bitcoin prices, and nominal long-term debt. As a leading vertically integrated Bitcoin miner, coupling development of our Corsicana Facility with a secured supply of leading-edge miners from MicroBT, and our strong balance sheet gives Riot the most secure, visible path in our industry to achieving our growth plans. Our targets are to reach 28 EH/s in total hash rate capacity by the end of 2024, 38 EH/s by the end of 2025, and ultimately 100 EH/s and beyond.”
Fiscal Year 2023 Financial and Operational Highlights
Key financial and operational highlights for the fiscal year ended December 31, 2023 include:
- Total revenue of $280.7 million, as compared to $259.2 million for the same period in 2022, primarily driven by higher Bitcoin production and higher price for Bitcoin.
- Earned $71.2 million in power credits through support of the ERCOT grid in Texas during several weather-related supply/demand issues in 2023. The amount of power credits earned equated to approximately 2,497 Bitcoin, as computed by using average daily closing Bitcoin prices on a monthly basis.
- Produced 6,626 Bitcoin, as compared to 5,554 during the same twelve-month period in 2022, a 19% increase, notwithstanding the impact of the Company’s effective employment of its power strategy, under which Bitcoin production was suspended while the Company received significant benefits from power credits earned.
- Bitcoin Mining revenue of $189.0 million, as compared to $156.9 million during the same twelve-month period in 2022. The increase in Bitcoin Mining revenue was driven by slightly higher values of Bitcoin mined in 2023, which averaged $28,859 per Bitcoin as compared to an average price of $28,245 per Bitcoin in 2022, as well as more Bitcoin mined in 2023 from an increase in miners deployed.
- Data Center Hosting revenue of $27.3 million, as compared to $36.9 million for the same twelve-month period in 2022. The decrease is primarily attributable to the termination of certain hosting agreements during the period.
- Engineering revenue of $64.3 million, as compared to $65.3 million for the same twelve-month period in 2022.
- Reported a net loss of $49.5 million, as compared to a net loss of $509.6 million in the same period in 2022, which was significantly impacted by non-cash impairment charges totaling $538.6 million in 2022.