financemagnates.com
New York-listed Riot Blockchain (Nasdaq: RIOT) has published its financials for the second quarter of 2021, reporting a 1,540 percent jump in its revenue between April and June. In absolute terms, the total revenue came in at $31.5 million compared to $1.9 million in the same quarter in the prior year.
The company also turned a net income of $19.3 million in the period pivoting from the loss of $10.6 million a year ago. The mining revenue margin of the mining firm also jumped to 70 percent.
BTC Price Rise Is Beneficial to Miners
Though many factors decided on the business performance, Riot specified that rise in Bitcoin prices and the deployment of the new generation of highly efficient miners, and the increase in the difficulty in the BTC mining index has contributed to the astronomical jump in revenue and profits.
In the three months period, the number of Bitcoins mined by the public company increased by 38 percent on a quarter-over-quarter basis. It mined 675 Bitcoins in Q2 2021. At the end of the quarter, Riot held $195.4 million in cash and Bitcoin combined.
Another move that influenced the revenue growth is the consolidation of revenue from Whinstone US, which produces 400MW of power and was acquired by Riot earlier this year.
The company continues to strengthen its infrastructure with the deployment of more efficient mining devices and is anticipating taking the total hash rate capacity to 7.7 EH/s by the end of Q4 2022.
“The Company’s improved financial results are a direct result of Riot’s absolute focus on Bitcoin mining and growing its mining operations,” said Riot Blockchain CEO, Jason Les. “Riot is aggressively expanding its capacity at Whinstone, which is expected to provide the critical infrastructure necessary to successfully execute on driving continued growth for the Company.”