Wednesday, May 29, 2024

CleanSpark, a BTC miner, is on the hunt for more crypto miner fire sales


Bitcoin (BTC) mining company CleanSpark plans to continue its strategy of pooling the assets of the troubled miner this year.

The bitcoin miner released its financial earnings presentation for the first quarter of the year on the 3rd of February. 9 where the company said it remains optimistic about the coming year and continued growth.

CFO, Gary Vecchiarelli, said CleanSpark has seen “tremendous growth” in the past 12 months and feels very comfortable with its plans. He added that the growth in terms of mergers and acquisitions will continue until 2023.

“In terms of our M&A strategy, we have been one of the most active miners to date in acquiring infrastructure and machinery, and we will continue to be active.”

“We are still buyers in this market, and our strategy has not changed,” he added, before saying. But obviously, if we see a good deal, we’ll take advantage of that.”

He said smaller mining operations could be in potential trouble. Hence the company wants to be in a position to “pick infrastructure and assets at good deals” similar to what it did previously.

In November last year, the company snapped up more than 3,840 Antminer S19J Pro miners at below-market prices.

Months prior to September, the company acquired Mawson’s Bitcoin mining facility in Sandersville, Georgia for $33 million as well as a 36 megawatt facility in the same country for $16.2 million.

The company also bought thousands of bitcoin miners at a “significantly reduced price” during June and July 2022.

Related: BTC Mining CleanSpark Brings Thousands of Miners Amid ‘Stuttering Markets’

In early 2023, the company continued these expansion plans.

In January, CleanSpark announced that it was expanding its operations in the state of Georgia. A new 50 MW bitcoin mining facility in Washington City is expected to be completed in late spring.

According to its Q1 financial earnings report, CleanSpark stated that it mined 1,531 BTC for the period, up 132% from the same period a year earlier.

However, revenue was down 25% from the same period last year, falling to $27.8 million. Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) decreased to $1.4 million.

Despite the positive outlook, stock (CLSK) fell 5.2% on the day to $3.13 in after-hours trading.