Bitfarms posted robust top-line progress within the first quarter of this yr, however rising manufacturing prices following the April 2024 Bitcoin halving drove a pointy decline in mining margins.
Bitfarms reported its monetary outcomes for the primary quarter of 2025, posting income of $67 million, a 33% improve year-over-year. Regardless of the income progress, the corporate’s gross mining margin declined to 43%, down from 63% in the identical interval in 2024, reflecting a 20-point drop as a consequence of rising manufacturing prices.
The entire money price to provide one bitcoin rose sharply to $72,300, in comparison with $27,900 a yr earlier. Direct manufacturing price elevated to $47,800 from $18,400, highlighting the strain on margins as mining turns into costlier after the April 2024 Bitcoin halving.
Operationally, the corporate reported a hashrate of 19.5 EH/s as of March 31, 2025, up from 6.5 EH/s a yr earlier. Mining effectivity improved to 19 watts per terahash, a 44% enchancment from 34 watts per terahash in Q1 2024. Bitfarms’ working capability rose to 461 megawatts, in comparison with 240 megawatts in the identical interval final yr. Nevertheless, effectivity positive factors weren’t sufficient to offset the broader rise in complete manufacturing prices.
Declining margins have gotten the norm for Bitcoin miners following the April 2024 Bitcoin halving. Hut 8 Corp. additionally reported a steep income drop of over 50% within the first quarter of this yr and swung to a major loss, which CEO Asher Genoot attributed to the complete affect of the halving now taking impact.
To offset diminished mining profitability, mining companies are transferring into high-performance computing, and Bitfarms is following go well with. In the course of the quarter, the corporate secured a $300 million non-public debt facility from a division of Macquarie Group to fund the buildout of its HPC undertaking on the Panther Creek website in Pennsylvania.
Different strategic developments within the quarter included the sale of the Yguazu facility in Paraguay and the acquisition of Stronghold Digital Mining, including two energy campuses in Pennsylvania.
