Bit Digital reports 2025 EBITDA loss amid crypto volatility

Overview

• U.S. strategic asset firm's fiscal 2025 revenue rose 5%, a slight beat of analyst expectations

• Adjusted EBITDA for fiscal 2025 swung to a loss, missing analyst estimates

• Company reported a net loss for fiscal 2025, reflecting lower digital asset gains and crypto volatility

Outlook

• Company plans to continue growing its ETH position through disciplined capital allocation and staking

• Company expects bitcoin mining exposure to continue declining as segment winds down

• Company intends to maintain long-term ownership of WhiteFiber, with no plans to monetize stake opportunistically

Result Drivers

• ETH STAKING GROWTH - Increased staking rewards, growth in staked balances, and higher average ETH prices drove ETH staking revenue up 287% year-on-year

• CLOUD & COLOCATION SERVICES - Revenue from cloud services rose 50% and colocation services rose 555%, supporting overall revenue growth

• MINING WIND-DOWN - Digital asset mining revenue fell 53% as company reduced active hash rate and wound down bitcoin mining operations

Company press release: ID:nPn1G2jqBa

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the blockchain & cryptocurrency peer group is "buy"

• Wall Street's median 12-month price target for Bit Digital Inc is $5.50, about 334.8% above its March 30 closing price of $1.27

• The stock recently traded at 68 times the next 12-month earnings vs. a P/E of 104 three months ago

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