Bit Digital (NASDAQ:BTBT) Announces Quarterly Earnings Results

Key Points

• Revenue exceeded expectations: Bit Digital reported quarterly revenue of $32.1 million, up 15% sequentially and above the $23.6 million analyst consensus, driven by a 42% increase in cloud-services revenue.
• Profitability remained under significant pressure: The company posted a $0.31 per-share loss versus expectations of a $0.05 loss, including a $107.2 million net loss, digital-asset mark-to-market losses, and a $46 million impairment on liquid-staked Ethereum.
• Management emphasized future cloud growth and financial flexibility: Bit Digital cited approximately $1 billion in remaining performance obligations and provided WhiteFiber with up to $150 million in Ethereum-backed liquidity while evaluating a potential share buyback.

Bit Digital (NASDAQ:BTBT - Get Free Report) released its quarterly earnings results on Thursday. The company reported ($0.31) earnings per share for the quarter, missing analysts' consensus estimates of ($0.05) by ($0.26), FiscalAI reports. Bit Digital had a negative return on equity of 8.44% and a negative net margin of 145.39%.The company had revenue of $32.11 million during the quarter, compared to analyst estimates of $23.58 million.

Here are the key takeaways from Bit Digital's conference call:

• Second-quarter revenue rose 15% sequentially to $32.1 million, led by a 42% increase in cloud-services revenue. Operating cash flow for the first six months increased 33% year over year to $46.8 million.
• Management highlighted approximately $1 billion of remaining performance obligations, including $57.7 million expected to be recognized during the rest of 2026 and $136.7 million in 2027. WhiteFiber also expects its North Carolina facility to reach the full contracted run rate under its 10-year, approximately $865 million agreement with Enscale.
• Bit Digital used Ethereum-backed liquidity to provide WhiteFiber with a delayed-draw facility of up to $150 million, preserving its ETH and WhiteFiber ownership while earning a return above staking yields. Management said the bridge is expected to be repaid following permanent financing for the North Carolina facility.
• Bit Digital reported a $107.2 million net loss attributable to shareholders, including a $28.8 million mark-to-market loss on digital assets, a $46 million non-cash impairment on liquid-staked ETH, and $14 million in derivative-liability losses. Ethereum staking revenue also fell sequentially after some ETH was unstaked as collateral.
• Management is evaluating a share buyback because it believes the stock trades at a 40% or greater discount to net asset value, but no timing, size, or funding source has been approved. The company said it will not sell WhiteFiber shares during 2026 and is also considering limited covered calls on a portion of that stake.

Bit Digital Trading Up 5.4%

NASDAQ:BTBT traded up $0.08 during mid-day trading on Friday, reaching $1.57. The company's stock had a trading volume of 22,263,219 shares, compared to its average volume of 25,081,441. The company's fifty day simple moving average is $1.65 and its two-hundred day simple moving average is $1.69. The company has a debt-to-equity ratio of 0.56, a current ratio of 6.36 and a quick ratio of 6.36. Bit Digital has a twelve month low of $1.18 and a twelve month high of $4.55. The stock has a market cap of $548.23 million, a P/E ratio of -2.31 and a beta of 4.02.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of BTBT. Invesco Ltd. grew its holdings in Bit Digital by 18.0% in the fourth quarter. Invesco Ltd. now owns 10,492,680 shares of the company's stock valued at $19,831,000 after purchasing an additional 1,604,011 shares during the period. Vident Advisory LLC grew its holdings in shares of Bit Digital by 9.7% during the 4th quarter. Vident Advisory LLC now owns 1,229,756 shares of the company's stock worth $2,324,000 after purchasing an additional 108,387 shares during the period. Mackenzie Financial Corp increased its position in Bit Digital by 75.4% during the 4th quarter. Mackenzie Financial Corp now owns 20,073 shares of the company's stock worth $39,000 after purchasing an additional 8,630 shares in the last quarter. XTX Topco Ltd raised its holdings in Bit Digital by 162.9% in the fourth quarter. XTX Topco Ltd now owns 388,886 shares of the company's stock valued at $735,000 after buying an additional 240,950 shares during the period. Finally, nVerses Capital LLC purchased a new stake in Bit Digital during the fourth quarter worth approximately $26,000. 47.70% of the stock is currently owned by hedge funds and other institutional investors.

Bit Digital News Roundup

Here are the key news stories impacting Bit Digital this week:

• Positive Sentiment: Second-quarter revenue reached $32.1 million, well above the $23.6 million analyst consensus and up 15% sequentially. Cloud-services revenue rose 42% from the prior quarter, supported by new and expanded contracts. Bit Digital revenue rises as cloud services drive growth
• Positive Sentiment: Management highlighted its ongoing pivot toward AI and high-performance computing infrastructure, alongside Ethereum-focused strategies. The cloud-driven expansion offers investors a potential growth path beyond the company’s more volatile cryptocurrency-mining operations. Bit Digital Earnings Call Highlights Cloud-Driven Pivot
• Neutral Sentiment: Analyst commentary cited a $5.12 average price target, but the stock remains highly volatile, with a beta of 4.02 and trading below its 50-day and 200-day moving averages. Bit Digital receives average analyst price target
• Negative Sentiment: Bit Digital reported a quarterly loss of $0.31 per share, substantially worse than the expected $0.05 loss and the $0.03 loss recorded a year earlier. Heavy impairments, digital-asset losses and interest costs pressured results, leaving the company with a negative net margin of 145.39%. Bit Digital Q2 Earnings Miss Despite Revenue Beat on Cloud Growth

Analyst Ratings Changes

BTBT has been the subject of a number of recent research reports. B. Riley Financial reiterated a "buy" rating on shares of Bit Digital in a research report on Monday, May 18th. Weiss Ratings cut shares of Bit Digital from a "sell (d)" rating to a "sell (d-)" rating in a research note on Monday, May 18th. Craig Hallum reiterated a "buy" rating and set a $3.50 price target on shares of Bit Digital in a report on Tuesday, July 14th. Finally, Zacks Research raised shares of Bit Digital from a "strong sell" rating to a "hold" rating in a research note on Friday, July 17th. Three investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $5.12.

Bit Digital Company Profile

Bit Digital, Inc NASDAQ: BTBT is a publicly traded digital asset mining company that specializes in the proof-of-work mining of Bitcoin. Incorporated in Nevada and headquartered in New York City, Bit Digital develops, owns and manages a fleet of high-efficiency ASIC miners, with the primary aim of generating newly minted Bitcoin through computational work. The company's revenue is derived solely from its mining operations and any resulting cryptocurrency holdings.

To support its mining activities, Bit Digital maintains multiple data center facilities across North America.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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