Mining company Marathon Digital Holdings mined 4144 BTC in 2022. Compared to the previous period, the indicator increased by 30% and reached an average production of 11.4 BTC per day.
Marathon Digital Holdings has published its financial and operational results for the fourth quarter and fiscal year 2022. Read the full report here: https://t.co/ZwNCPdnxhL
— Marathon Digital Holdings (NASDAQ: MARA) (@MarathonDH) March 16, 2023
In the fourth quarter, the firm generated a record 1,562 BTC, and the hashrate reached 7 EH/s.
However, at the end of the year, Marathon received a net loss of $686.7 million compared to $37.1 million in 2021. The company noted that the negative financial results against the backdrop of growth in operating indicators were due to a number of factors, such as:
- decrease in the book value of mining installations and advances to suppliers ($332.9 million);
- revaluation of reserves in digital currencies due to lower prices ($317.6 million);
- the overall reduction in income due to the fall of the market – up to $ 150.4 million;
- additional costs for accelerated relocation from the Hardin site ($54.3 million);
- asset impairment of $55.7 million related to the bankruptcy of Compute North;
- previously disclosed legal expenses of $26.1 million;
- an increase in the cost of depreciation of the increased fleet of miners up to $27.8 million and a number of other reasons.
The company was able to partially compensate for adverse conditions due to:
- reductions in general and administrative expenses by $117.6 million;
- profit from the resale of equipment in the amount of $83.9 million;
- income tax compensation in the amount of $44.4 million.
“2022 has been a tough year for bitcoin mining, but our team has accomplished every challenge with flying colors and we’ve become smarter and more resilient,” said Marathon Chairman and CEO Fred Thiel.
He recalled that the company has taken a number of measures to strengthen the balance sheet due to macroeconomic uncertainty in the coming year.
“In December, we fully repaid our balances on the revolving line of credit. In February 2023, we closed a loan relationship with Silvergate Bank, which led to the release of 3,132 BTC from collateral. We are also looking into alternative banking in light of recent developments with Signature Bank,” Thiel said.
According to him, the company has two main goals for 2023: to achieve a hashrate of 23 EH / s and to use it as efficiently as possible.
Recall that in January, Marathon sold 1,500 BTC to cover part of the costs. In February, the company sold another 650 BTC for this purpose.
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