MARA Holdings reported a third-quarter net profit of $634.4 million, driven largely by bitcoin appreciation, while revenue fell. After the quarter ended, the company sold 13,597 bitcoin and used $750 million of the proceeds to repay its bitcoin-collateralized loans.
MARA Holdings reported a third-quarter net profit of $634.4 million, compared with $123.1 million a year earlier. Revenue, however, fell 35% year over year to $164.2 million, versus $174.9 million in the prior quarter.
Bitcoin gains outweigh weaker mining revenue
Profit came largely from bitcoin appreciation. MARA recorded nearly $885 million in fair-value gains on its digital assets and bitcoin receivables. Mining revenue, meanwhile, declined as block reward income fell 37%.
Bitcoin sale clears the loans
Separately, MARA said it sold 13,597 bitcoin for approximately $1.1 billion after the quarter ended. The company used $750 million of that to fully repay its bitcoin-collateralized loans.
Since the beginning of the year, MARA has reduced its total debt by 37% to $1.4 billion. It is also the fifth-largest corporate bitcoin treasury, having been surpassed by Strive in recent months.
Focus shifts to leases and AI infrastructure
Once one of the leading public bitcoin mining companies, MARA has been transitioning into an AI infrastructure provider by expanding its high-performance computing business. It is now shifting its focus from expanding its infrastructure platform to securing customer leases and generating free cash flow.
CEO Fred Thiel wrote in the quarterly shareholder letter that "the opportunity is bigger than monetizing the megawatt". MARA's stock was little changed in after-hours trading, after rising more than 4.5% in the regular session.
Source: The Block
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