Bitcoin Miner TeraWulf Faces Decline in Mining Output and Financial Losses

• TeraWulf's Q2 revenue beat expectations, but earnings fell short due to decreased Bitcoin mining.
• 21% decline in mined Bitcoin year-over-year, with 243% increase in mining costs.
• Company plans to expand into high-performance computing and artificial intelligence in the second half of 2024.
• Construction underway for new building at Lake Mariner facility to increase infrastructure capacity.
• Consideration of merger to widen profit margins following failed takeover attempt by Riot Platforms.
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Summary :
Bitcoin miner TeraWulf reported a 21% decline in the amount of Bitcoin it mined in the second quarter of 2024, falling short of earnings expectations. The firm mined 699 Bitcoin during the quarter, generating revenue of $35.6 million, slightly beating estimates. However, TeraWulf posted a quarterly loss of $0.03 per share, missing the estimated loss of $0.02 per share. The company also noted a significant increase in the cost to mine Bitcoin, attributing it to a doubling in network difficulty and the Bitcoin Halving event. Despite these challenges, TeraWulf remains committed to expanding into high-performance computing and artificial intelligence, with plans to add 50 MW of infrastructure capacity in 2025.

Sources :

- CoinTelegraph