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Bitfarms (TSXV:BITF) reports Q4 and full year financial results for 2020
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  • Bitfarms (BITF) has reported Q4 and full year financial results for 2020
  • Revenue was US$11.3 million for Q4 2020 and US$34.7 million for the entire year
  • Net loss for Q4 2020 totaled US$5.4 million while net loss for 2020 came in at US$16.3 million
  • The company mined 3,014 Bitcoins in 2020 with an average break-even price of approximately US$5,600
  • It also installed 5,865 miners in 2020 adding approximately 433 PH/s
  • Bitfarms is one of the largest, oldest and most cost-effective public Bitcoin mining operations in the world
  • Bitfarms (BITF) is down 8.02 per cent and is currently trading at C$6.31 per share

Bitfarms (BITF) has reported Q4 and full year financial results for 2020.

Fourth Quarter 2020 Highlights

  • Revenues of US$11.3 million
  • Gross profit of US$2.7 million (24 per cent gross margin)
  • Operating income of US$0.5 million (5 per cent operating margin)
  • Net loss of US$5.4 million
  • Gross mining profit of US$5.5 million (53 per cent gross mining margin)
  • Negative EBITDA of US$0.5 million (-4 per cent EBITDA margin)
  • Adjusted EBITDA of US$3.6 million (31 per cent adjusted EBITDA margin)
  • Total of 577 Bitcoins mined with an average break-even price of approximately US$7,500
  • 3,000 miners received and installed adding approximately 218 PH/s

Full Year 2020 Highlights

  • Revenues of US$34.7 million
  • Gross profit of US$2.9 million (8 per cent gross margin)
  • Operating loss of US$5.3 million (-15 per cent operating margin)
  • Net loss of US$16.3 million
  • Gross mining profit of US$13.8 million (43 per cent gross mining margin)
  • EBITDA of US$1.5 million (4 per cent EBITDA margin)
  • Adjusted EBITDA of US$8.0 million (23 per cent adjusted EBITDA margin)
  • Total of 3,014 Bitcoins mined with an average break-even price of approximately US$5,600
  • 5,865 miners received and installed adding approximately 433 PH/s

Mauro Ferrara, Bitfarms' interim CFO, commented,

"As anticipated, the May 2020 Bitcoin halving event negatively impacted some of our key financial metrics for both the quarter and full year results. However, significant improvements in Bitcoin mining economics provided a healthy boost to our fourth quarter results. Operationally, we added three thousand miners in the quarter, increasing mining computing power to approximately 965 PH/s as of the end of 2020."

Emiliano Grodzki, Bitfarms' CEO, added,

"With the addition of 218 PH/s to our mining pool and the increase in Bitcoin price in the fourth quarter of 2020, we ended the year on a very positive note, providing us great momentum going forward.

Thus far in 2021, we have raised C$80 million in equity, repaid our term debt in full, added miners to our pool to reach 1.2 PH/s in computing power and placed orders for 48,000 miners for delivery in 2022 with our supplier of choice, MicroBT.

With Bitcoin prices recently surpassing US$60,000 and with over 500 Bitcoins in inventory by the end of the quarter, our financial position has never been stronger, and we are very excited about our prospects for the future."

Bitfarms is one of the largest, oldest and most cost-effective public Bitcoin mining operations in the world. It has a diversified production platform with five industrial-scale facilities in Quebec.

Bitfarms (BITF) is down 8.02 per cent and is currently trading at C$6.31 per share as of 3:01 pm ET.

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