In Brief:
- Argo Blockchain reports Record Third Quarter 2021 Operating Results.
- Argo generated record-setting revenue, net income and EBITDA of $26.0 million, $17.3 million and $28.2 million, respectively, for the Q3 of 2021.
- During the third quarter, Argo mined 597 Bitcoin and Bitcoin Equivalent.
Argo Blockchain, a global bigwig in sustainable cryptocurrency mining and blockchain, today announced its “record-breaking” financial results for the quarter ended September 30, 2021.
For the third quarter of 2021, Argo generated record-setting revenue, net income and EBITDA of $26.0 million, $17.3 million and $28.2 million respectively.
The Company’s revenue, net income and EBITDA for the nine months ended September 30, 2021 were $67.9 million, $27.1 million and $49.8 million, respectively.
Describing the quarter ‘pivotal’, an elated Peter Wall, Chief Executive Officer of Argo Blockchain stated, “I am proud of the growth we experienced during the quarter and believe Argo is strategically positioned to continue this momentum as we build out our Helios facility in Texas.”
Argo has been riding high on success and that’s evident from the fact that Argo broke ground on its renewable energy-focused 200-megawatt (MW) cryptocurrency mining facility in Dickens County, Texas.
The new Helios facility will boost Argo’s mining capacity and is also expected to add at least 20 new, full-time jobs in Dickens County. The facility gives Argo the access to electrical power (up to 800 MW) and has kindled both excitement and support from local community members and government officials alike.
During the third quarter, Argo mined 597 Bitcoin and Bitcoin Equivalent (together, BTC), bringing Argo’s BTC holding to 1,836 as of September 30, 2021, as perceived by reports. Interestingly, these results have been achieved by Argo while maintaining a gross margin of 120% and an industry-ruling mining margin of 85% with an average direct cost per BTC mined of $6,293.
Intriguingly, in September, Argo executed a purchase agreement for 20,000 Bitmain Antminer S19J Pro machines for the mining facility it is building in Texas. The machines that are expected to be delivered starting Q2 2022, will increase their total hashrate capacity to approximately 3.7 Exahash, up from 1.075 at the end of Q3 2021.
It is worth reckoning that, due to favorable changes in fair value of Bitcoin and Bitcoin Equivalents in Q3 2021, gross profit and EBITDA exceeded revenue in the period.
Speaking of many breakthroughs experienced throughout the quarter, Argo has also completed its ADR listing on Nasdaq on September 23, 2021. The Company has been officially listed on the London Stock Exchange since August 2018 and is now registered with both jurisdictions.
Argo will host a conference call to discuss its results at 08:00 ET/12:00 GMT tomorrow, Tuesday, November 2, 2021. The live webcast of the call can be accessed via the Investor Meet Company platform.
Note that you should not consider these measures in isolation from, or as a substitute analysis for, our gross margin or net income/(loss), as applicable, as determined in accordance with IFRS.