Bit Digital (NASDAQ:BTBT) Releases Earnings Results, Beats Estimates By $0.13 EPS

Key Points

• EPS beat estimates: Bit Digital reported earnings of $0.08 per share, $0.13 above analysts’ expectations, while revenue of $27.1 million fell short of the $32.2 million consensus.
• Revenue declined sequentially: Revenue fell from $32.1 million, largely as cloud services revenue dropped to $18.1 million from $23.8 million; that figure included a $3.4 million termination fee from a former customer.
• Colocation capacity is growing, but results include significant one-time effects: WhiteFiber’s NC1 facility had all 40 MW operational and billing under a 10-year, $865 million contract. Reported net income included substantial digital-asset gains and an induced-conversion expense, while operating cash flow was materially supported by customer advances.

Bit Digital (NASDAQ:BTBT - Get Free Report) issued its earnings results on Thursday. The company reported $0.08 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.05) by $0.13, FiscalAI reports. The business had revenue of $27.07 million during the quarter, compared to analysts' expectations of $32.21 million. Bit Digital had a negative return on equity of 10.66% and a negative net margin of 237.19%.

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

• Colocation is expanding: WhiteFiber’s NC1 facility had all 40 MW of contracted capacity operational and billing by the call, supporting a 10-year, $865 million contract. Colocation revenue rose to $5.4 million from $4.7 million in the prior quarter, and cloud, colocation and staking together accounted for about 91% of revenue.
• Revenue declined sequentially: Third-quarter revenue fell to $27.1 million from $32.1 million, as cloud services revenue dropped to $18.1 million from $23.8 million. Cloud revenue included a $3.4 million termination fee, while the former customer generated no recurring revenue.
• Reported earnings included substantial valuation effects: Net income attributable to Bit Digital shareholders was $28.5 million, but the quarter also included $84 million in digital-asset gains and an $80.8 million induced-conversion expense at WhiteFiber. Management said nine-month operating cash flow of $163 million was materially supported by customer advances for services not yet delivered.
• ETH-backed financing carries collateral and liquidity risks: Bit Digital had $100 million outstanding under its bridge facility to WhiteFiber, funded by borrowing against liquid-staking ETH; management said repayment is targeted for the second quarter of 2027. Executives acknowledged ETH volatility, variable staking rewards and obligations tied to collateralized assets.
• Share repurchases remain uncertain: Management cited a roughly 39% discount to NAV but said a buyback requires shareholder approval and that funding and liquidity trade-offs are still being evaluated. Potential value-unlocking steps—including selling some WhiteFiber shares or developing a new business—remain conditional or early-stage.

Bit Digital Price Performance

BTBT traded down $0.03 during trading on Thursday, hitting $0.77. The company's stock had a trading volume of 11,931,524 shares, compared to its average volume of 25,782,398. The company has a quick ratio of 1.51, a current ratio of 1.51 and a debt-to-equity ratio of 0.69. The stock has a market capitalization of $277.33 million, a price-to-earnings ratio of -0.73 and a beta of 3.54. The firm's 50 day moving average price is $1.28 and its two-hundred day moving average price is $1.57. Bit Digital has a 12 month low of $0.69 and a 12 month high of $2.79.

Wall Street Analyst Weigh In

BTBT has been the subject of a number of analyst reports. JonesTrading raised Bit Digital to a "strong-buy" rating in a report on Saturday, September 26th. HC Wainwright lowered their target price on shares of Bit Digital from $4.00 to $3.50 and set a "buy" rating on the stock in a report on Thursday. UBS Group upgraded shares of Bit Digital to a "buy" rating in a research report on Monday, September 28th. Zacks Research upgraded shares of Bit Digital from a "strong sell" rating to a "hold" rating in a research report on Friday, July 17th. Finally, Weiss Ratings reissued a "sell (d-)" rating on shares of Bit Digital in a report on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $4.25.

Bit Digital Company Profile

Bit Digital, Inc. is a digital-asset and infrastructure company whose activities include Bitcoin mining, Ethereum staking and computing services for artificial intelligence workloads. Its operations have expanded beyond cryptocurrency mining as it develops data-center capacity and related infrastructure for high-performance computing. The company has conducted Bitcoin mining operations in North America and participates in Ethereum staking, which involves supporting the network and earning rewards for validating transactions.

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