Business
Marathon Digital Holdings Reports Fourth Quarter and Fiscal Year 2022 Results
FORT LAUDERDALE, Fla., March 16, 2023 (GLOBE NEWSWIRE) -- Marathon Digital Holdings, Inc. (NASDAQ:MARA) (“Marathon” or “Company”), a leader in supporting and
About this update from Mara Holdings, Inc.
[{"type":"text","content":"FORT LAUDERDALE, Fla., March 16, 2023 (GLOBE NEWSWIRE) -- Marathon Digital Holdings, Inc. (NASDAQ:MARA) (“Marathon” or “Company”), a leader in supporting and securing the Bitcoin ecosystem, reported its financial and operational results for the fourth quarter and fiscal year 2022 ended December 31, 2022. Fiscal Year 2022 Financial ResultsThe Company recorded a net loss of $(686.7) million, or $(6.05) per share, during the fiscal year ended December 31, 2022, compared to a net loss of $(37.1) million, or $(0.37) per share, in the prior-year period ended December 31, 2021. Unfavorable variances during the year compared to the prior year included: A fourth quarter impairment charge related to the carrying value of mining rigs and advances to vendors of $332.9 million.Declines in the carrying value of our digital assets (both impairments and realized and unrealized losses) of $317.6 million.Lower total margin of $150.4 million resulting primarily from the impact of lower bitcoin prices on revenues ($77.3 million), accelerated costs related to the previously reported exit from the Hardin facility ($54.3 million), and increased depreciation costs related to an increase in mining rigs in operation ($27.8 million). Impairments of $55.7 million related to the previously disclosed Compute North bankruptcy.The previously disclosed legal reserves of $26.1 million.Increased interest expense of $13.4 million. Partially offsetting these unfavorable variances was: A significant reduction in general and administrative expenses of $117.6 million primarily associated with lower stock-based compensation.Gains on sales of mining rigs of $83.9 million.A $44.4 million favorable income tax variance. Figure 1: Fourth Quarter 2022 Production Highlights Quarter-On-Quarter ComparisonMetricQ4-22Q4-21% ΔBTC Produced1,5621,09842%Avg. BTC Produced per Day17.011.942% Figure 2: Fiscal Year 2022 Operational Highlights Year-Over-Year ComparisonMetricFY-22FY-21% ΔBTC Produced4,1443,19730%Avg. BTC Produced per Day11.48.830%Operational/Energized Hash Rate (EH/s)17.03.694%Installed Hash Rate (EH/s)29.13.6153%1. Defined as the amount of hash rate that could theoretically be generated if all mining servers that have been operational/energized are currently in operation (includes mining servers that are temporarily offline for maintenance or similar reasons). Hash rates ...