Bitcoin mining company Core Scientific reported total revenue of $502.4 million for fiscal 2023, down $137.9 million, or 22%, from the previous year’s record $640.3 million.
Core Scientific announced that despite the bankruptcy crisis, it succeeded in mining 19,274 BTC (equivalent to approximately $1.4 billion) during 2023.
Declining revenue for core scientific reports
According to the official press release, the decline in total revenue is primarily due to several factors.
This includes a decrease of $82.8 million due to the Company exiting its equipment sales business in fiscal 2022, a decrease of $47.6 million in hosting revenue due to termination of contracts for certain clients with less profitable hosting rates, and a decrease of $7.5 million. . Profit from mining digital assets.
Another factor is the increased mining difficulty, which has been linked to a surge in the global Bitcoin network hash rate during fiscal 2023 compared to previous years.
However, this decline was partially offset by increased revenue from deploying additional mining units on its own mining fleet.
Moreover, in terms of annual net loss, it was only $246.5 million in 2023, a marked improvement compared to the net loss of $2.14 billion in 2022. The net loss in the fourth quarter of 2023 was $195.7 million. Down from $434.9 million in the fourth quarter of 2022.
In a statement, Core Scientific CEO Adam Sullivan said:
“We believe our growth plans and diversified platform give us the ability to refresh our fleet with more efficient miners, expand our business with favorable economics, and position us well for the upcoming halving and beyond. “After delivering strong operating performance in the fourth quarter, we have seen the price of Bitcoin rise and our own mining operations continue to perform well as we are able to leverage excellent industry fundamentals.”
Bankruptcy and Beyond
Core Scientific has been one of the most prominent victims of the cryptocurrency winter among mining companies. After a 13-month restructuring process, it emerged from Chapter 11 bankruptcy in January of this year. The miner has since relisted its shares on Nasdaq.
Core Scientific boasts 372 megawatts of infrastructure across two Texas data centers in various stages of development. The company also plans to increase production capacity by more than 50% over the next four years.
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