Core Scientific, Inc. · NASDAQ:CORZ
Core Scientific — Core Scientific, Inc./tx — Q2 2022 Earnings Presentation
20 slides from Core Scientific's earnings presentation, Aug 22, 2022
Slide 1: Second Quarter Fiscal Year 2022 Earnings Presentation
1AUG 22, 2022 Second Quarter Fiscal Year 2022 Earnings Presentation August 22, 2022
Slide 2: Legal Disclaimer
2AUG 22, 2022 Legal Disclaimer Forward-Looking Statements This presentation includes “forward-looking statements'' within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of word
Slide 3: Core Scientific Snapshot
3AUG 22, 2022 Core Scientific Snapshot Digital Asset Self-Mining | Colocation Services | Blockchain Technology $164.0M Second Quarter 2022 Revenue +/- Year End 31 EH/s Expected 2022 Hashrate1 $(810.5)M Second Quarter 2022 Net Loss Driven Primarily by Goodwill and other intangibles Impairment +/- Yea
Slide 4: Second Quarter 2022 Performance Summary
4AUG 22, 2022 Second Quarter 2022 Performance Summary 1 Adjusted EBITDA is a non-GAAP financial measure. See slide 19 for a reconciliation of adjusted EBITDA to its most comparable GAAP figure. 2 Adjusted earnings per diluted share is a non-GAAP financial measure. See slide 20 for a reconciliation o
Slide 5: Core Scientific Mined More Bitcoins in the First Half of 2022 than Any Other Listed Miner
5AUG 22, 2022 Core Scientific Mined More Bitcoins in the First Half of 2022 than Any Other Listed Digital Asset Miner Sources - BTC mined from monthly update press releases 6,567 2,800 2,218 1,966 1,888 1,863 1,608 939 Core Scientific Riot Blockchain Bitfarms Marathon Digital Hut8 Cleanspark Hive Ar
Slide 6: Digital Asset Mining Revenue Represented 67% of Second Quarter Revenue
6AUG 22, 2022 Digital Asset Mining Revenue Represented 67% of Second Quarter Revenue and Grew 10x Year-Over-Year (Unaudited) 24% 9% 67% Hosting Equipment Sales Digital Asset Mining Second Quarter 2022 Revenue Mix (In Millions, Unaudited) $18.6 $38.9 $46.0 $15.2 $10.8 $109.8 $0 $20 $40 $60 $80 $100 $
Slide 7: Second Quarter Net Loss Driven Primarily by Goodwill and Other Intangibles Impairment
7AUG 22, 2022 Second Quarter Net Loss Driven Primarily by $790.8 Million Goodwill and Other Intangibles Impairment (In Millions, Unaudited) SECOND QUARTER 2022 LOSS DRIVERS Revenue Cost of Revenue Gain from Sale of Digital Assets Impairment of Digital Assets Operating Expenses Interest Expense Fair
Slide 8: Developed and Manage Data Centers Totaling Approximately 800,000 Square Feet Across Five States
8AUG 22, 2022 Developed and Manage Data Centers Totaling Approximately 800,000 Square Feet Across Five States 100 MW 150 MW 104 MW 195 MW up to 500 MW up to 200 MW up to 200 MW
Slide 9: Continued Progress on Three Texas Data Center Projects
9AUG 22, 2022 Continued Progress on Three Texas Data Center Projects Barstow, TX Pecos, TXDenton, TX Denton, TX
Slide 10: 2022 Expectations: Hashrate and Power
10AUG 22, 202211 Metric 2021 Results 2022 Expectations Hashrate 13.5 EH/s 30 to 32 EH/s Power 450+ MW Approximately 1 GW 1 Expectations for Fiscal Year 2022
Slide 11: Visibility toward 2022 Hashrate Goal
11AUG 22, 2022 Visibility toward 2022 Hashrate Goal 31 EH/s Middle of Guidance Range Year-End 2021 Hashrate Hashrate from Miners Ordered and Hosting Contracted to Install in 2022 New Hashrate Activated in the First Quarter of 2022 New Hashrate Activated in the Second Quarter of 2022 New Hashrate Act
Slide 12: Total Debt of ~$1 Billion Being Restructured to Improve Cash Flow
12AUG 22, 2022 $ 536.3 $ 348.9 $ 75.0 $ 1.1 $ 961.2 Convertible Notes Equipment Financing Bridge Loan Facility Mortgages Total Total Debt of ~$1 Billion1 Being Restructured to Improve Cash Flow in the Second Half of 2022 (in millions) Repayment of principal in April 2025; 4% cash interest, no amorti
Slide 13: Self-Mining Economics: Year-to-Date Cash Cost to Mine a Bitcoin
13AUG 22, 2022 Year-to-Date Q2 2022 Cash to Mine a BTC1 Total Cost (thousands) Per BTC Power Costs $ 55,500 $ 8,500 Operational Costs 2 11,400 1,700 Cash to Mine a BTC $ 66,850 $ 10,200 Total Costs / 6,567 BTC Self-Mining Economics: Year-to-Date Second Quarter Cash (Cost) to Mine a Bitcoin 1 Produce
Slide 14: Why Core Scientific?
14AUG 22, 2022 Why Core Scientific? A Blockchain Data Center Developer and Operator at Leading Scale Integrated Data Centers for Self- Mining and Hosting Consistent Growth in Capacity and Capability Deep, Experienced Team Proprietary Technology A MARKET LEADER FULL SPECTRUM TRACK RECORD TEAM IP
Slide 15: Blockchain Computing Data Centers for Self-Mining and Colocation Services
15 Blockchain Computing Data Centers for Self-Mining and Colocation Services
Slide 16: 2022 Selected Quarterly Results
16AUG 22, 2022 First Quarter Second Quarter Third Quarter Fourth Quarter Revenue $192,519 $163,972 - - Cost of Revenue 122,516 151,255 - - Gross Profit 70,003 12,717 Research and Development 3,340 14,773 - - Sales, Marketing, G&A 41,558 101,112 - - Operating (Loss) Income (26,717) (1,045,383) Net (L
Slide 17: Key Financial and Operating Metrics
17AUG 22, 2022 Key Financial and Operating Metrics Quarter Ended Change 2Q22 1Q22 4Q21 3Q21 2Q21 1Q21 Y/Y Hosting Hash Rate (EOP) 7.6 7.9 7.0 4.6 5.0 3.2 52% Self-Mining Hash Rate (EOP) 10.3 8.3 6.7 2.7 0.5 0.4 NM Total Hash Rate (EOP) 17.9 16.2 13.7 7.3 5.5 3.6 227% Network Hash Rate (EOP) 214.6 20
Slide 18: Condensed Consolidated Income Statement
18AUG 22, 2022 Condensed Consolidated Income Statement Quarter Ended Change ($ Millions) 2Q22 1Q22 4Q21 3Q21 2Q21 1Q21 Y/Y Hosting Revenue $38.9 $33.2 $27.6 $20.5 $18.6 $12.7 110% Equipment Sales $15.2 $26.3 $134.8 $35.5 $46.0 $31.9 -67% Digital Asset Mining $109.8 $133.0 $139.4 $57.1 $10.8 $9.6 920
Slide 19: Appendix A: Adjusted EBITDA Reconciliation
19AUG 22, 2022 Appendix A Three Months Ended June 30, 2022 2021 Net (loss) income $ (810,475) $ (3,414) Adjustments: Interest expense, net 27,116 10,846 Income tax (benefit) expense (48,650) 118 Depreciation and amortization 49,835 3,075 Loss on debt from extinguishment — 7,974 Stock-based compensat
Slide 20: Appendix B: Adjusted Earnings per Diluted Share Reconciliation
20AUG 22, 2022 Appendix B Three Months Ended June 30, 2022 2021 Net (loss) income per diluted share $ (2.49) $ (0.02) Adjustments: Interest expense, net 0.08 0.07 Income tax (benefit) expense (0.15) — Depreciation and amortization 0.15 0.02 Loss on debt from extinguishment — 0.05 Stock-based compens
Core Scientific, Inc./tx — Q2 2022 Earnings Presentation on 6ix