Bitdeer Technologies Group Q1 FY2025 earnings call

Key Points

• Q1 2025 financials: Total revenue $70.1M, gross profit negative $3.2M, adjusted EBITDA negative $56.1M.
• Strategic focus: Prioritizing ASIC technology development; SEALMINERs coming off production line, self-mining hashrate expected to accelerate to 40 exahash per second by October 2025.
• ASIC roadmap: SEALMINER A1 mass production complete; A2 mass production on track; A3 testing done, A4 project targets 5 Joules per Terahash, tape-out in Q4 2025.
• Energy infrastructure: Energized 202 MW of data center capacity; signed SPA for 50 MW Ethiopia project; paused Bitcoin mining construction in Clarington, Ohio for HPC/AI.

Total revenue for Q1 2025 was $70.1 million. Self-mining revenue was $37.2 million, cloud hashrate revenue was $0.1 million, general hosting revenue was $9.6 million, membership hosting revenue was $16.3 million, and SEALMINER sales revenue was $4.1 million. The lower performance compared to Q1 2024 was driven by the impact of the 2024 halving, higher global network hashrate, lower hosting and cloud mining revenue, and higher R&D costs, partially offset by higher average self-mining hashrate and higher bitcoin prices.

Forward-Looking

• Self-mining hashrate target: Aim to reach ~40 exahash per second by Q4 2025, with potential upside based on wafer allocations.
• 2025 Bitcoin mining CapEx: Expected to be $260M to $290M, including savings from pausing Clarington project.
• Loan agreement: $200M facility with Matrix Finance drawn ~$90M, secured by SEALMINERs.

Risks

• Uncertainties in global network hashrate, tariff policies, and market conditions affecting revenue.
• ASIC production timelines and wafer allocations from TSMC may impact plans.
• Volatility in Bitcoin prices impacting mining revenue and balance sheet items.

Q: Interest in Bitdeer's chips and self-mining hashrate target A: Increased interest post-bitcoin price increase; self-mining hashrate target with confidence in TSMC capacity Q: Pausing Clarington Bitcoin mining development A: Inbound requests for site, focus on finding development partner Q: Loan agreement and capital structure A: Utilizing debt for chip purchases, responsible capital raising Q: SEAL A4 strategy and external sales A: Transition to external sales as internal capacity fills; A4 tape-out in Q4, coexistence of A3 and A4 Q: Power costs and fleet efficiency A: Q1 power costs due to Bhutan dry season; lower costs in Q2/Q3; efficiency seen in A2 and A4, A3 available for testing in October Q: Average fleet efficiency and HPC A: Lower efficiency with new rigs; focus on Clarington for HPC Q: ASIC sales and tariffs A: Dynamic sales decisions, competitive pricing; tariffs manageable with overseas operations Q: ASIC option structures A: Working with partners for financing, not planning own credit structures