Riot Platforms, Inc. (NASDAQ: RIOT) Q2 2025 Earnings | 08/01/2025

18 days ago

1:07:41

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Summary of Riot Platforms Q2 2025 Earnings Call

Key Highlights:

Strategic Focus: Riot is transitioning from Bitcoin mining to high-performance computing (HPC) data centers, leveraging its existing power infrastructure.
Leadership & Talent: Hired Jonathan Gibbs (Chief Data Center Officer) to lead data center development, bringing expertise in hyperscale data center projects.
Land Expansion: Acquired additional land in Corsicana (now 858 acres total), ensuring flexibility for future data center development.
Bitcoin Mining Performance:
- Produced 1,426 Bitcoin (down slightly from Q1 due to rising global hash rate).
- Maintained strong balance sheet with 19,000 Bitcoin ($2.4B liquidity) and $330M cash.
- Run-rate Bitcoin mining EBITDA at $45.6M (32% margin).
Data Center Development:
- Corsicana site (600MW → 1GW expansion) remains a priority, with substation construction on track for 2026.
- Basis of design completion expected by Q3 2025, enabling lease negotiations.
- Power availability is a key constraint in the market, positioning Riot favorably due to existing infrastructure.

Financials:

Revenue: $153M (down 5% QoQ due to lower Bitcoin production).
Net Income: $219.5M (boosted by Bitcoin price appreciation).
Adjusted EBITDA: $495.3M (includes unrealized Bitcoin gains).

Market Opportunity:

Strong demand for AI/HPC data centers, with limited power availability in key markets (e.g., Dallas, Austin).
Riot’s advantages:
- Ready-to-use power infrastructure.
- Scalable Bitcoin mining operations to monetize power in the interim.
- Experienced team in both Bitcoin mining and data center development.

Outlook:

Hash rate growth forecast:
- 40 EH/s by Q4 2025 (up from prior 38.4 EH/s).
- 45 EH/s by Q1 2026.
Continued focus on data center leasing, with potential for large-scale deals in Corsicana.

About this video

Riot Platforms, Inc. delivered record-breaking second quarter 2025 results, with net income reaching $219.5 million and adjusted EBITDA coming in at $495.3 million, driven by favorable Bitcoin market tailwinds and continued operational advancements. Total revenue surged to $153.0 million, up 118% year-over-year, primarily powered by a $85.1 million increase in Bitcoin Mining revenue. Riot produced 1,426 bitcoins during the quarter, a significant rise from 844 in the prior-year period, and benefited from higher average Bitcoin prices and increased hash rate capacity. The average cost to mine each bitcoin, excluding depreciation, was $48,992, impacted by the April 2024 halving event and global network hash rate expansion. Beyond mining, Riot reported $10.6 million in engineering revenue and highlighted the advantages of vertical integration following its ESS Metron acquisition. The company maintained an industry-leading financial position with $141.1 million in working capital, $255.4 million in unrestricted cash, and $2.1 billion in bitcoin holdings as of June 30, 2025. Gross margin for the mining segment stood at 50%, thanks to efficiency gains and higher capacity utilization. Riot continued its multi-year diversification strategy by increasing investments in high-performance computing and data center infrastructure. The company expanded its leadership team—hiring a Chief Data Center Officer and acquiring 858 acres in Corsicana, Texas, to support up to 1 GW of capacity—preparing for robust growth in hyperscale and cloud computing demand. Riot's forward-looking strategy remains anchored on maximizing power portfolio value, operational flexibility, and scale-driven profitability as it captures opportunities at the intersection of Bitcoin and advanced computing. About Inside Ticker: For more expert analysis and real-time updates on Riot Platforms, Inc. (NASDAQ: RIOT) and other market movers, follow Inside Ticker and visit http://www.insideticker.com/ for in-depth reports, financial insights, and the latest news on leading companies. #Riot #RIOT #Q22025 #Earnings #FinancialResults #NetIncome #EBITDA #RevenueGrowth #BitcoinMining #HashRate #DataCenters #HPC #Engineering #CashFlow #PowerPortfolio #MiningEfficiency #Halving #CryptoStocks #Diversification #Infrastructure #InsideTicker #2025Outlook

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