Fort Stockton, Texas – February 18th, 2024 – Cormint Data Systems, Inc. ("Cormint"), an emerging Bitcoin miner focused on becoming America's lowest cost producer of Bitcoin, announced today its unaudited financial results for Q4 FY23.
Financial Performance Summary
| Financials in USD | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | 2023 |
|---|---|---|---|---|---|
| Nameplate Hashrate 1 | 500 PH/s | 500 PH/s | 960 PH/s | 960 PH/s | 960 PH/s |
| BTC Mined 2 | 135 | 116 | 113 | 154 | 519 |
| Revenue | $3.0mm | $3.3mm | $3.2mm | $5.7mm | $15.1mm |
| Power Price Achieved | 2.3¢ kWh | 2.5¢ kWh | 3.9¢ kWh | 2.4¢ kWh | 2.8¢ kWh |
| Power Expenses per BTC | $5,989 | $7,725 | $14,110 | $9,463 | $9,177 |
| Gross Margin | 73% | 72% | 50% | 74% | 68% |
| Admin Expenses per BTC | $8,818 | $11,273 | $10,777 | $9,774 | $10,078 |
| Operating Expenses per BTC 3 | $14,806 | $18,998 | $24,887 | $19,237 | $19,255 |
| Operating Margin | 34% | 32% | 11% | 48% | 34% |
1 Deployed as at period end
2 Sum of quarters may not equal Full Year due to rounding
3 Operating Expenses includes electricity and administrative costs including cash and stock compensation expenses. It excludes items such as depreciation, interest, and digital asset impairment.
Q4 Performance Highlights
Q4 was a strong result from Cormint as favorable trends in hashprice combined with attractive power prices to deliver a 74% gross margin. The Company mined with an average power price of 2.4¢/kWh while mining during 86% of available time intervals, including periods with negatively priced power.
Operational Excellence
Our proprietary software enables a strategy of economically perfect voluntary curtailment in which our fleet rapidly powers down in price intervals where the power price exceeds the Bitcoin Opportunity Value. On a year-to-date basis, Cormint's power strategy has delivered an average power price of 2.8¢/kWh while mining in 87% of available time intervals. While we expect continued seasonality to this performance, the 2023 full year result validates our thesis and we believe this result places Cormint amongst the leaders of the industry.
Expansion Progress
With our hashing power at ~1EH, all in our proprietary immersion solution, the engineering team is now focused on deploying our proprietary Air-Cooled expansion for Phase 3 which will energize later in Q1. Preliminary performance data is encouraging and will position Cormint to monetize a wide range of ASIC models through lower priced power intervals in particular where our capacity to acquire, repair and deploy used miners delivers superior risk adjusted returns and short payback periods.
Capital Position
With the halving approaching, Cormint continues to focus on extracting additional efficiencies in our capex, power strategy, and administrative expenses in our pursuit of being the lowest cost producer of Bitcoin in North America while mining bitcoin at a substantial discount to the cost it can be acquired in the open market. Furthermore, Cormint continues to manage its financial resources so that it can thrive in all conceivable market conditions. To that end, it exited 2023 with 539 Bitcoin held on the balance sheet, significant cash reserves, and a sophisticated derivative hedging program.
Growth Strategy
After our successful Series A which closed in January 2023, and the success of our innovative Bitcoin denominated venture debt offering, Cormint is fully funded to scale to at least 2.4 EH/s at Fort Stockton by late 2024. Cormint's strategic aspiration remains to be the lowest cost producer of Bitcoin in North America and is targeting a statutory profit in 2024 enabled by market leading power costs and administrative costs per Bitcoin.
For more information, please visit www.cormint.com or contact us.
Contact: [email protected]