0001683168-25-004889
SEC filingBitmine's revenue surged 81.5% to $4.77M, driven by self-mining and equipment sales, but net loss widened to $5.72M due to a $2.96M deemed dividend.
For the nine months ended May 31, 2025, Bitmine generated total revenue of $4,770,110, an 81.5% increase from $2,627,913 in the prior-year period. The growth was driven by a 301.8% surge in equipment sales to $846,347, the addition of $1,074,561 in lease revenue from machine agreements (none in prior year), and a 18.3% rise in bitcoin self-mining revenue to $2,814,133. Hosting revenue declined to zero from $38,743 as all hosting clients were terminated. Consulting revenue commenced at $35,069 from a single agreement.
Cost of sales increased 94.8% to $3,854,316, with mining cost per bitcoin rising significantly (owned: $75,336 vs $49,965; hosted: $88,040 vs $48,732) due to higher network difficulty and energy costs. Operating expenses rose 30.6% to $3,181,387, driven by increased stock-based compensation and professional fees. Net loss attributable to common stockholders was $5,715,039 ($2.62 per share) versus $2,478,632 ($0.99 per share) in 2024, with the increase largely due to a $2,960,648 one-time deemed dividend from resetting the conversion price of Series A convertible preferred stock.
Bitcoin Self-Mining remained the largest revenue contributor at 59% of total revenue. Growth was partially offset by machine lease agreements that transferred mining output to lessees for fixed payments. The company mined 5.5 bitcoins in owned facilities and 24.4 in hosted facilities, with average revenue per bitcoin of $85,822 and $90,756 respectively. Lease Revenue emerged as a new segment, providing predictable cash flows: a March 2025 agreement generated $850,000 for 2,500 miners over two months, and a May 2025 agreement will provide $3,200,000 for 3,000 miners through December 2025. Equipment Sales saw a major uplift from a brokered transformer deal ($703,500) and the sale of 850 ASIC miners ($129,200). Hosting Revenue disappeared as the company pivoted away from hosting third-party miners, believing self-mining and leasing are more profitable. Bitcoin Consulting contributed modestly but is expected to grow under the KULR agreement.
Management expects operating expenses to trend higher due to regular compensation for officers and directors, new hires, and depreciation from expanded equipment. The company believes current cash ($1.47M) plus bitcoin holdings, lease payments, and consulting revenue will fund operations for at least 12 months. A post-period public offering of 2.25M shares raised $16.15M net, with proceeds invested in additional bitcoin. A subsequent private placement (up to $250M) is planned to acquire Ethereum for treasury reserves, pending NYSE American approval. The company has restructured debt with IDI (converted portion to equity and term loan) and resolved the ROC Digital note. Forward guidance is qualitative; no specific revenue or margin targets are provided.
As of May 31, 2025, the company held $1.47M in cash and equivalents, along with $0.17M in cryptocurrency (bitcoin). Total assets stood at $8.27M, with net fixed assets of $2.11M (plus $3.09M not in service). Total debt, consisting solely of related-party loans, was $1.875M (plus $0.52M accrued interest). Shareholders' equity was $2.88M, impacted by a $2.96M deemed dividend on Series A Preferred. Customer advances of $1.8M include $1.38M advance lease payments from KULR.
The company has significant contractual commitments from the May 2025 agreements with KULR Technology Group: a machine lease totaling $3.2M (payments through December 2025) and a consulting agreement for $0.8M (through May 2026). Under these, Bitmine must ensure 99% uptime and bear all operating costs except pool fees. Additionally, the Luxor Hashrate Sale Agreement was closed out in May 2025, resulting in a $288.7K loss on extinguishment.
No share buybacks or cash dividends were declared or paid during the period. The company's primary capital allocation activity was debt management: it increased related-party borrowings by $250K, issued $1.035M in equipment debt (subsequently repaid), and spent $18K on fixed asset purchases. The Notes also detail a subsequent event where substantially all related-party debt was converted to equity and repaid via a public offering in June 2025.
Bitmine operates in a single segment: cryptocurrency mining. No geographic or further segment breakdown is provided in the Notes. Revenue is disaggregated into self-mining ($2.81M), equipment sales ($0.85M), leasing ($1.07M), and consulting ($35K) for the nine months ended May 31, 2025.
The provided document excerpt from Bitmine Immersion Technologies, Inc.'s 10-Q for the period ended May 31, 2025 includes Balance Sheets, Statements of Operations, and Statements of Changes in Stockholders' Equity, but crucially omits the Unaudited Statements of Cash Flows. Without the cash flow statement, it is impossible to derive key metrics such as operating cash flow, capital expenditures, free cash flow, or financing activities. The analysis cannot be performed; users must refer to the full filing for cash flow data.