MARA Q3 Revenue Falls Short But Bitcoin Holdings Hit New High

MARA Holdings (formerly Marathon Digital) reported mixed third-quarter results , falling short of revenue and earnings expectations.

While the company’s Bitcoin holdings reached a new high and its hash rate expanded, investors reacted negatively to the earnings miss.

Revenue Miss Forecasts

MARA Holdings posted a third-quarter revenue of $131.6 million, falling short of the consensus estimate of $151.67 million. However, revenue increased by 35% compared to the same period last year.

The Bitcoin mining company recorded an adjusted loss of $0.34 per share, which was higher than analysts’ anticipated loss of $0.26 per share.

MARA revenue increased year-over-year but missed estimates. | Credit: MARA

Over the last four quarters, MARA has not surpassed consensus EPS estimates.

For the fourth quarter, the consensus shows a loss per share estimate of $0.33 on $172.57 million in revenues and a loss per share of $0.21 on $556.03 million in revenues for the entire fiscal year.

Following the results statement, MARA stock in New York closed the trading session up by 0.9% to $25.23. However, it dropped by 8.8% in the after-hours trading, reaching $23.01 per share.

Bitcoin Holdings Set New Record

MARA said it mined 2,070 Bitcoin during the quarter and purchased an additional 6,210 Bitcoin, primarily funded through a $300 million convertible note offering .

At the end of the quarter, the company held 26,747 Bitcoins. As of Sept. 30, it had $1.9 billion in unrestricted cash, cash equivalents, and Bitcoin.

MARA’s Bitcoin holdings hit a new record high as of Sept. 30. | Credit: MARA

“Our HODL strategy and the opportunistic BTC purchases that we made during the quarter have benefited our shareholders as they continue to see sustained yield when it comes to our BTC holdings from a per-share perspective,” the company said in a letter to shareholders .

A shareholder holding $1,000 of MARA stock hypothetically holds approximately 0.08 BTC as of the end of the third quarter. MARA shareholders have experienced a 31% increase in BTC per share yield.

Hash Rate Increases

At the end of September, MARA increased its energized hash rate to an all-time high of 36.9 exahash, deploying 18,000 new miners with an energy efficiency of 17 joules per terahash

“Our 50 exahash goal for this year is firmly in sight and we expect to get there by mid-to-late December,” the company said.

Third quarter production highlights. | Credit: MARA

MARA believes its strategy to utilize zero-cost energy will reduce dependency on hash cost and price volatility, enabling scalable and sustainable growth.

“We believe we are on a strong growth trajectory, with no plans to slow down. We anticipate continued expansion across U.S. and international markets and have set ambitious goals to expand our portfolio of owned and operated sites.”