Crypto miner Hut 8 posts record revenue as BTC holdings surge 100%

Canadian cryptocurrency miner Hut 8 posted mixed financial results on Thursday, as revenue and mining profitability soared while overall net income declined — underscoring a volatile end to the year for Bitcoin (BTC) and the broader digital asset market. 

The Toronto-based company, which trades publicly on the Nasdaq and TSX, saw its revenues surge to $45.69 million (C$57.901 million) in the fourth quarter of 2021, up from $10.25 million (C$12.986 million) the year before. Full-year revenues were $137.1 million, up 326% compared with 2020.

Despite generating a large profit from mining activities, the company posted an overall loss of $0.53 ($C0.67) per share in the fourth quarter. Losses amounted to $0.43 (C$0.54) per share in all of 2021.

Shares of Hut 8, which trade under the ticker symbol HUT, fluctuated within a narrow range on Thursday. The stock was last seen trading at $5.23, according to TradingView data.

Over the past 12 months, HUT has behaved very much like a crypto proxy stock as its movements have been strongly correlated with Bitcoin and the broader digital asset market. HUT peaked near $16 in early November just as Bitcoin printed a new all-time high north of $69,000.

Related: Bitcoin faces new ‘milestone’ in 2022 as new forecast predicts BTC price ‘in the millions’

In its quarterly earnings report, Hut 8 disclosed that it had mined 2,786 BTC in 2021, bringing its total holdings to more than 6,200 BTC. Its Bitcoin reserves are now worth over $254 million at current prices.

Only five other publicly traded companies hold more BTC than the Canadian miner: MicroStrategy, Tesla, Marathon Digital Holdings and Block (formerly Square).

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