Bitdeer Technologies Group (BTDR) Q3 2024 earnings summary

Executive summary

• Q3 2024 revenue was $62 million, gross profit $2.8 million, and adjusted EBITDA negative $8.5 million, reflecting a decline from last year due to the Bitcoin halving, higher network hash rate, and increased R&D costs for SEAL02 chip development.

• Net loss was $50.1 million versus $1.8 million last year, with significant progress in SEALMINER mining rigs commercialization and mass production underway.

• Strategic focus on developing proprietary ASIC technology, expanding energy infrastructure, and leveraging a 2.5 GW global power portfolio for future self-mining and AI/HPC data center growth.

• AI cloud business in Singapore achieved 98% utilization in September, with GPU cloud capacity expanded into Canada.

• Infrastructure projects in Norway, Texas, Bhutan, and Ohio are progressing, with over 1.1 GW of new power capacity expected online in the next year.

Financial highlights

• Q3 consolidated revenue was $62 million, down from $87.3 million year-over-year, with cost of revenue at $59.2 million.

• Self-mining revenue increased 4.7% to $31.5 million, driven by higher hash rate and Bitcoin prices.

• Cloud hash rate revenue fell to $7.1 million from $15.6 million; hosting revenue also declined.

• Gross profit was $2.8 million (4.5% margin), down from $21.1 million (24.2% margin) last year.

• Ended the quarter with $291.3 million in cash and cash equivalents, $39.7 million in cryptocurrencies, and $92.7 million in borrowing.

Outlook and guidance

• CapEx for infrastructure build-out expected to accelerate, with $250-$275 million planned for Q4 2024 and 2025, excluding SEALMINER CapEx.

• Focus remains on self-mining expansion, commercialization of ASICs, and leveraging power assets for both Bitcoin mining and AI/HPC data centers.

• Anticipates strong demand for SEALMINER A2, with commercial deliveries starting Q1 2025 and phased installations through Q1 2025.

• Third-generation chip samples expected in Q2 2025; fourth-generation chip targeting 5 J/TH efficiency in late 2025.

• Over 1.1 GW of new power capacity to come online in Norway, Ohio, Texas, and Bhutan in the next year.