The leading cryptocurrency mining company – Riot Platforms – produced 1,775 BTC during the second quarter of 2023, a 27% increase compared to that three-month period in 2022.
Despite not fully coping with the issues caused by the severe winter storm in Texas in 2022, the company reached an all-time high hash rate capacity of 10.7 EH/s. Seeing those facilities fully operational and signing the long-term purchase agreement with MicroBT Electronics Technology could boost its hash rate capacity to 20.1 EH/s by the end of 2024.
Solid Quarter for Riot
The firm disclosed a total revenue of $76.7 million in Q2 (compared to $72.9 million in the same period last year). It revealed that the better results are primarily driven by a 27% increase in Bitcoin production.
Besides mining 1,775 BTC, Riot Platforms decreased the average cost to mine a single bitcoin to $8,389. That expense equaled $11,316 in Q2, 2022.
“Riot’s core business is Bitcoin mining, and the scale of our vertically integrated operations and financial strength allowed us to execute on our power strategy at unmatched scale this quarter, driving our average cost to mine to $8,389 per Bitcoin in the second quarter, compared to an average Bitcoin price of $28,024,” CEO Jason Les explained.
Mining revenue ($49.7 million) and engineering revenue ($19.3 million) were also higher than the registered figures year-over-year.
Riot Platforms finished the quarter with $408.4 million in working capital, including $289.2 million in cash on hand and $221.4 million in unencumbered Bitcoin. It means that the entity held 7,264 BTC at the end of June, assuming that the price of the leading digital asset stood at $30,477 at that time.
While the stash might seem substantial, it is a no match to what its rival – Marathon Digital – has amassed over the years. It owns almost 13,000 BTC, making it one of the largest corporate holders of the primary cryptocurrency.
RIOT Goes Down
Despite the positive Bitcoin mining results and the good overall numbers during Q2, Riot Platforms saw its shares plunging shortly after revealing the figures.
RIOT dropped by over 8% (on a daily basis earlier this week) and around 15% (for the past month), currently trading at approximately $15.
However, things do not appear that grim when observed from a six-month perspective since one stock was worth a mere $5.50 back then.