Bitcoin Miner Marathon Digital Reports 314% Increase In Bitcoin Production, But Misses Estimates

Marathon Digital Holdings Inc MARA reported second-quarter results after the close. Here's a rundown of the report.

What Happened: Marathon Digital reported second-quarter revenue of $81.8 million, which missed the consensus estimate of $92.65 million. The company reported a quarterly loss of 13 cents per share, which missed analyst estimates for a loss of 4 cents per share.

Marathon Digital said a 314% increase in Bitcoin BTC/USD production more than offset 14% lower average Bitcoin prices during the quarter. 

Bitcoin gains for the quarter totaled $23.4 million as the company sold 63% of the bitcoin it produced in the quarter to fund operating costs.

"After a strong start to the year, we accelerated our progress in the second quarter by significantly growing our hash rate and improving our efficiency," said Fred Thiel, chairman and CEO of Marathon Digital.

"In Q2, we grew our energized hash rate 54% from 11.5 to 17.7 exahashes. By growing our hash rate faster than the rest of the network and improving our uptime, we also increased our bitcoin production."

Marathon produced 2,926 Bitcoin during the quarter, capturing 3.3% of the total Bitcoin network rewards available during the period. The company ended the quarter with $113.7 million in unrestricted cash and equivalents. 

A conference call to discuss these results kicked off at 4:30 p.m. ET.

See Also: Galaxy CEO Mike Novogratz Says Bitcoin ETF Approval Is A Matter Of 'When, Not If'

MARA Price Action: Marathon Digital shares were trading lower by 3.63% to $15.15 at the time of publication, according to Benzinga Pro.

Photo: Pete Linforth from Pixabay.