Hut 8 Sees 79% Hashrate Surge While Reporting $134M Quarterly Loss

3 hours ago 2

TLDR

Hut 8 increased its hashrate by 79 percent during the year’s first quarter. The company reported a net loss of $134.3 million despite generating $21.8 million in revenue. Hut 8 expanded its energy capacity to 1,020 megawatts by the end of March 2025. The company launched a new subsidiary named American Bitcoin to scale mining operations. American Bitcoin plans to raise additional funds through an initial public offering.

Hut 8 reported a 79% rise in its hashrate in the first quarter, though it posted a net loss of $134.3 million. The firm generated $21.8 million in revenue while expanding its energy capacity to 1,020 megawatts. Hut 8 aims to sustain growth by leveraging recent infrastructure upgrades and strategic capital deployment.

Hut 8 Grows Hashrate Despite Q1 Loss

Hut 8 upgraded its ASIC fleet in the first quarter, significantly boosting its hashrate by 79%. Despite this growth, the company faced a net loss of $134.3 million due to major investment activity. Revenue for the quarter stood at $21.8 million, reflecting ongoing operational expansion.

The company stated the loss resulted from deliberate capital expenditures meant to enhance long-term efficiency and output. It continued to focus on scaling operations through energy infrastructure and equipment upgrades. Hut 8 expects returns from these moves to emerge in the coming quarters.

The company expanded its total energy capacity to 1,020 megawatts to support large-scale mining operations. This capacity positions the firm for continued hashrate growth and technological improvements. The company also has the right to expand its energy footprint by another 2,600 megawatts.

Hut 8 Plans IPO Through Subsidiary

Hut 8 launched American Bitcoin, a majority-owned subsidiary, to optimize its capital strategy and increase mining capacity. The new entity plans to become a leading Bitcoin miner with a strategic reserve and expanded reach. President Donald Trump’s family members are listed as partners in the venture.

American Bitcoin launched at the end of March and began capital-raising initiatives, including a planned IPO. This subsidiary aims to operate as a cost-efficient mining firm supported by its ownership and strategic assets. Hut 8 emphasized that the structure will help focus capital toward high-return digital infrastructure.

Hut 8’s leadership highlighted the importance of American Bitcoin in streamlining financial operations and increasing scalability. The firm believes this alignment will improve capital allocation and reduce cost burdens. Through this new approach, it anticipates enhanced performance across its portfolio.

Hut 8 Advances 2025 Infrastructure Plans

The company outlined its roadmap for 2025, which includes energizing the Vega data center and preparing the River Bend facility. It will continue developing its utility-scale power assets to support expanding mining activity. These projects align with the company’s goal of long-term infrastructure leadership.

The firm believes these initiatives will help generate near-term cash flows while securing long-term operational strength. Continued investment in high-performance computing also remains a key focus. Hut 8 plans to integrate new technologies to boost output and efficiency across its mining ecosystem.

Hut 8’s stock closed at $12.66 on the Nasdaq, reflecting a 2.2% daily rise but a 38% drop year-to-date. Meanwhile, Core Scientific, another listed miner, posted a net profit of $580 million for the same period.