HIVE Digital output jumps 49 percent as mining revenue falls
The miner produced 1,070 Bitcoin in the September quarter but saw revenue drop to $76 million because of lower asset prices and higher electricity costs.
Key takeaways
- 1HIVE produced 1,070 Bitcoin in the quarter ended 30 September, a 49 percent increase.
- 2Mining revenue fell 7.4 percent to $76 million due to lower average Bitcoin prices.
- 3High-performance computing revenue rose 71 percent to $8.8 million.
- 4The company plans to spend $493 million over 36 months on AI and data centre expansion.
- 5HIVE reported a GAAP net loss of $78.7 million for the fiscal second quarter.
HIVE Digital Technologies produced 1,070 Bitcoin in the three months ended 30 September 2026, a 49 percent increase from the 718 Bitcoin it mined in the same period last year. Despite the higher output, mining revenue fell 7.4 percent to $76 million as lower market prices offset the production gains.
HIVE said in a regulatory filing that the average price of Bitcoin during the quarter was $71,003, down from $114,382 a year earlier. Expenses also rose, with electricity costs reaching $45.6 million from $37.9 million as the firm expanded its global mining capacity.
The company recorded a $31.2 million non-cash write-down on its mining equipment, citing depressed economics for the sector. These results follow similar reports from rivals including American Bitcoin, which noted weaker margins despite a quarterly profit, and Core Scientific, which plans to exit the mining business by the end of the year.
To counter the pressure on mining, HIVE is shifting resources toward high-performance computing and artificial intelligence hosting. Revenue from this business rose 71 percent to $8.8 million in the quarter, now accounting for more than 10 percent of the company's total revenue.
HIVE plans to spend $493 million over the next 36 months to expand its computing operations. This budget includes acquiring land, building out data centre infrastructure and buying graphics processing units. The company reported it had already spent $145.3 million toward that expansion as of the date of the regulatory filing.
In Paraguay, HIVE is working on a 100-megawatt substation expansion at its Yguazú site scheduled for completion during 2026. The company also expects to spend $35 million to convert its Toronto facility into a Tier-III data centre to support its move into the artificial intelligence market.
Total revenue for the quarter was $84.9 million, down from $87.2 million a year ago but ahead of the $79.4 million consensus estimate. The company reported a GAAP net loss of $78.7 million, or 29 cents a share, while its Nasdaq-listed shares fell 1.7 percent to $1.78 in after-hours trading on Monday.
Reported and edited by the YourKhabri desk under our editorial policy. Nothing here is investment advice.