Marathon Digital’s revenue rose 452 percent in Q4, a ‘banner year’

United States Bitcoin Miner Marathon Digital Earnings increased as it transitioned to a profit in 2023.

Marathon Digital released its fourth quarter and annual earnings report on February 28. It is forecasting a record revenue of $387.5 million in 2023, a 229 percent increase from last year.

“2023 was a record-breaking year for Marathon, during which we achieved our primary objective of enhancing our fleet of previously acquired mining rigs and increasing our performance,” said Fred Thiel, CEO of Marathon.

Fourth-quarter revenue rose 452% to $156.8 million, beating analysts' estimates and up significantly from $28.4 million in Q4 2022. Analysts had estimated revenue of $148.8 million for the quarter.

The increase in revenue is due to a 172% year-over-year increase in Bitcoin production, combined with the average BTC price at the time, he said. The firm sold 56 percent of the bitcoin it produced during the quarter to cover operating costs.

Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) improved to $260 million in Q4, 2023 from a loss of $374 million in the fourth quarter of 2022.

Marathon Bitcoin production increased by 210% to 12,852 BTC by 2023. Additionally, the powered hash rate has grown 253% to 24.7 EH/s (exahashes per second) in 2023 from just 7.0 EH/s.

“While 2023 is a banner year for the marathon. We couldn't be more optimistic about Marathon's future,” Thiel commented on the company's earnings call.

Salman Khan, Marathon's Chief Financial Officer, added, We enter 2024 with a strong balance sheet that will position us well for the next half and beyond.

Related: Crypto Mining Marathon Digital Unveils Bitcoin Layer 2 Network

Despite the positive earnings report, the company's shares were down 6.7 percent in afternoon trading on February 29.

However, shares in the miner have risen more than 300% in the past 12 months.

Meanwhile, Marathon recently announced on February 28th that it is creating a Bitcoin Layer-2 sidechain platform called Enduro and exiting crypto mining.

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