Feb 11, 2023
CleanSpark to Acquire Distressed Mining Assets in 2023
CleanSpark, a Bitcoin (BTC) mining firm, revealed its fiscal Q1 earnings report on Feb. 9, expressing optimism for the coming year and continued growth. Chief financial officer Gary Vecchiarelli announced that CleanSpark has seen “explosive growth” in the last 12 months and feels confident in its plans to remain active in M&A (mergers and acquisitions) this year.
The company stated that it has been one of the most active miners to date in acquiring infrastructure and machines, and it will continue to be active. Vecchiarelli also noted that CleanSpark is still in the market to buy, but it doesn’t feel compelled to do so.
CleanSpark has already made several acquisitions in the past year. In November, it purchased more than 3,840 Antminer S19J Pro mining machines at below-market prices. September saw the firm acquire Mawson’s Bitcoin mining facility in Sandersville, Georgia for $33 million, as well as a 36-megawatt facility in the same state for $16.2 million. It also purchased thousands of Bitcoin miners for a “substantially discounted price” over June and July.
In early 2023, CleanSpark continued its expansion plans. In January, it announced that it was further expanding operations in the state of Georgia, with a new 50-megawatt Bitcoin mining facility in the city of Washington expected to be completed in late spring.
The company reported that it had mined 1,531 BTC for the period, a 132% increase over the same prior year period. However, revenue had decreased 25% from the same period last year, falling to $27.8 million. Its adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) decreased to $1.4 million.
CleanSpark is also looking to expand its operations into the NFT (non-fungible token) space. The company recently announced that it had formed a new NFT marketing agency called Web3 Agency, which will focus on helping companies promote and sell their NFTs. The agency will offer services such as Twitter NFT marketing, NFT promotion, and NFT marketing strategies.
CleanSpark is hoping to capitalize on the growing interest in the web3 space, and it is confident that its strategy of scooping up distressed mining company assets and expanding into the NFT space will be successful. Despite the positive outlook, company stock (CLSK) fell 5.2% on the day to $3.13 in after-hours trading.Disclaimer: All investment or financial opinions expressed by MoonLanding Media are not recommendations and are intended for entertainment purposes only. Do your own research prior to making any kind of investment. This article has been generated based on trending topics, has not been fact checked and may contain incorrect information. Please verify all information before relying on it.