Riot Blockchain Mined 1,405 BTC in Quarter and Reported Record Profit

Riot Blockchain reports record Q1 earnings as mining capacity expands and stock volatility continues.

In the first quarter of 2022, the Nasdaq-listed mining company Riot Blockchain mined 1,405 BTC and posted net income of $35.6 million. The results were record-breaking for the company.

“We are extremely proud of the progress that Riot continues to make, having achieved record levels of net income, revenue, hash rate and Bitcoin mined in the first quarter,” Jason Les, Riot CEO.https://t.co/cmruAHFus1#riot #riotblockchain #bitcoinmining

— Riot Blockchain Inc. (@RiotBlockchain) May 10, 2022

In Q4 2021, Riot generated 1,354 BTC, with production up 4%.

The company attributed this to ahead-of-curve expansion of mining capacity relative to the growth in Bitcoin’s total hash rate. Over the three months the firm increased its own metric from 3.1 EH/s to 4.3 EH/s (up 39%).

The company’s revenue for the period reached $79.8 million, with mining operations contributing about 67% or $57.9 million.

As of April 30, Riot had accumulated 6,320 BTC in reserves mined in-house. By the end of the quarter, highly liquid capital on the company’s balance sheet stood at $439.7 million, including $113.6 million in cash.

In April, Riot shares, like other crypto-related companies, fell more steeply than Bitcoin. Over the month, Bitcoin’s price fell 17.3%, and the company’s shares dropped by more than 50%.

The Riot share price barely reacted to the quarterly report with record results. Since May 5, the stock had fallen 35% to $7.53 at the close of trading on May 10. As of writing, the pre-market values the stock about 5% higher.

According to a new industry metric from Arcane Research, Riot’s shares, along with Marathon Digital, were among the most overvalued among publicly traded mining companies.