Bit Digital, Inc. Earnings Recaps
Q2 2026
Aug 16, 2026
Shares rallied 7.5% as investors rewarded BitDigital’s strategic capital allocation and solid sequential revenue growth in cloud services, despite ongoing losses driven by digital asset price volatility and noncash impairments.
Key takeaways
- Q2 revenue rose 15% sequentially to $32.1 million, led by a 42% increase in cloud services to $23.8 million, with cloud services gross margin steady at 58%.
- Colocation services revenue held flat sequentially at $4.7 million, with strong 63% gross margin; new North Carolina facility contributions expected next quarter.
- Ethereum staking revenue dropped quarter-over-quarter to $900,000, reflecting ETH price declines and staking of ETH as collateral in a $50 million related-party bridge loan supporting WhiteFiber expansion.
- Net loss was $107 million, heavily impacted by unrealized digital asset markdowns ($29 million), a $46 million noncash impairment related to financing, and $14 million in derivative liability losses.
- Operating cash flow improved to $46.8 million for the first half, up 33% year-over-year, demonstrating underlying business cash generation despite reported net losses.
Q1 2026
May 16, 2026
Shares dropped 15.3% after the company reported significant revenue declines and margin pressures, driven by sharp drops in Ethereum staking and mining revenue alongside cautious remarks on the slower transition away from legacy mining.
Key takeaways
- Total revenue declined 13.7% quarter-over-quarter to $27.9 million, reflecting broad deceleration across key segments.
- Ethereum staking revenue fell roughly 29.4% quarter-over-quarter due to lower average ETH prices and reduced staked balances.
- Digital asset mining revenue dropped nearly 33%, impacted by decreased bitcoin production and lower bitcoin prices.
- Cloud services revenue decreased 13.1%, partially offset by a 23.9% increase in colocation services revenue.
- Net loss improved slightly but remained large at $146.7 million, weighed down by non-cash mark-to-market adjustments on digital assets.