Overview
- Riot Platforms shares rose Friday after Q1 results confirmed its move into data-center hosting and reported stronger-than-expected revenue.
- Revenue came in at $167.2 million versus estimates near $131 million, while the loss of $1.44 per share missed forecasts.
- Data-center revenue reached $33.2 million in its first meaningful quarter, as AMD doubled contracted capacity to 50 megawatts with an option up to 150 megawatts that Riot says could total about $636 million over 10 years.
- Management said it funded data-center buildout by selling part of its bitcoin reserve, disclosing 3,778 BTC sold in Q1 and a later 500 BTC transfer, and it ended the quarter with 15,679 BTC and $282.5 million in cash; Riot also cut the rate on its $200 million Coinbase credit line to a fixed 6.15% and released some pledged BTC.
- Mining pressure persisted with $111.9 million in bitcoin revenue, 1,473 BTC produced, and an average cost of $44,629 per coin as the global network’s rising hash rate lifted difficulty and squeezed margins.