Canaan Expects $250M Revenue in Q2 — Yields and Mining Rig Deliveries to ‘Increase Substantially’ – Mining Bitcoin News
The mining rig producer Canaan noticed regular earnings through the Q1 after reporting its unaudited first quarter 2021 monetary outcomes on Tuesday. Canaan famous that it expects to not less than maintain present earnings or rise above to roughly $150 to $250 million in income for Q2.
Canaan Expects $250M in Income for Q2 – Firm Acknowledges It’s Onerous to Predict With Present Bitcoin Volatility
On Tuesday, the China-based ASIC mining rig maker Canaan (Nasdaq: CAN) printed the agency’s unaudited first quarter 2021 financial results and the corporate did effectively this yr. The quantity of hashrate offered jumped by 122% in comparison with the identical interval of 2020. Moreover, Canaan noticed a “bigger quantity of gross sales orders of bitcoin mining machines” through the first quarter. Whole web income was round 402 million yuan or $61.5 million in response to Canaan’s unaudited monetary data.
“Our monetary efficiency improved considerably within the quarter, pushed by the Bitcoin worth rally, greater buyer demand for high quality mining machines, and our capacity to ramp up mining machine manufacturing and deliveries,” Nangeng Zhang, chairman, and CEO of Canaan revealed within the audit report.
“Throughout the interval, we improved our mining machine manufacturing yields and secured adequate capability for future manufacturing by forging tighter partnerships with key foundry companions and different suppliers. We additionally maintained our strategic give attention to enhancing our R&D capabilities to reinforce the standard and efficiency of our mining machines,” Zhang added.
Canaan Expects ‘Yields and Deliveries to Improve Considerably’
Canaan is anticipating respectable leads to Q2 because of numerous mining rig orders positioned. The monetary report famous that the corporate believes Q2 will as a minimum be on par with Q1 however might pull in a projected $150 to $250 million in income. Canaan’s Q1 monetary outcomes’ enterprise outlook notes:
As the corporate mass produces its new technology of bitcoin mining machines, it additionally expects its yields and deliveries to extend considerably as in contrast with the primary quarter of 2021. The corporate acknowledges that the traits in bitcoin costs are presently onerous to foretell and can’t present monetary steerage attributable to bitcoin’s worth volatility in late Might of this yr.
The Q1 information follows two studies in April the place Canaan offered $93.63 million price of ASIC rigs to Genesis Digital Property, and 11,760 next-generation A1246 ASIC Avalonminers to an organization referred to as Mawson Infrastructure Group. Throughout the first month of January, Canadian bitcoin miner Hive Blockchain has purchased 6,400 next-generation mining machines from Canaan.
The corporate’s first-quarter 2021 monetary outcomes didn’t give Canaan shares a lift on Tuesday as CAN shares closed at $10.26 per share to $9.80 per share. Canaan’s A1246 ASIC Avalonminer is the seventh strongest mining rig at the moment in response to asicminervalue.com stats, which exhibits an A1246 will get round $21 per day in revenue at $0.12 per kilowatt-hour.
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