CleanSpark (CLSK) Jones Healthcare and Technology Innovation Conference summary

Company evolution and differentiation

• Originated as an energy company with expertise in distributed energy resource management and control systems, later pivoting to Bitcoin mining leveraging energy market knowledge.

• Developed microgrids for military and commercial clients, focusing on resiliency and cost efficiency.

• Differentiates by maintaining operational control, high uptime, and efficient fleet management, prioritizing energy-first strategies.

• Achieved milestones such as NASDAQ listing and S&P SmallCap 600 Index inclusion.

• Emphasizes disciplined capital stewardship and non-dilutive growth strategies.

Industry trends and market outlook

• Aggregate mining revenue has grown since 2023 but remains below 2021 peak; long-term growth seen as tied to adoption, regulatory environment, and energy relationships.

• Increasing network difficulty is expected to force less efficient miners offline, organically increasing market share for efficient operators.

• Bitcoin is showing signs of becoming a risk-on asset, outperforming other digital assets and equities during recent financial market stress.

• Industry consolidation is expected, with the number of public miners likely to decrease rapidly by 2028.

• U.S. government focus on domestic hash rate is seen as a matter of national security, supporting further concentration among top players.

Operational strategy and efficiency

• Maintains a mix of fixed and variable power agreements, focusing on relationships with local municipalities to secure favorable terms and community benefits.

• Operates 31 data centers with nearly a gigawatt of power and a lean workforce, emphasizing efficiency and scalability.

• 80% of future growth is planned to be immersion-cooled, with supply chain secured for this technology.

• Achieved second lowest hash costs and above-average fleet efficiency, targeting further improvements with new equipment.

• Maintains low SG&A as a percentage of revenue, with a disciplined approach to cost management and headcount.