Riot Platforms, Inc. · NASDAQ:RIOT
Riot Platforms — Q1 2024 Earnings Presentation
20 slides from Riot Platforms's earnings presentation, May 1, 2024
Slide 1: Riot Platforms Q1 2024 Update
Riot Platforms (NASDAQ: RIOT) Q1 2024 Update May 1, 2024 NASDAQ: RIOT
Slide 2: Forward-looking statements
Statements in this presentation that are not statements of historical fact are forward-looking statements that reflect management’s current expectations, assumptions, and estimates of future performance and economic conditions, and are not guarantees of future performance or actual results. Such sta
Slide 3: Riot Platforms is the Leading Vertically Integrated Bitcoin Mining Company
Riot Platforms is the Leading Vertically Integrated Bitcoin Mining Company Significant scale of operations Total revenue1 : $79 million Low-cost producer 1 2 Q1 2024 Direct cost to produce 1 BTC2 : $23,034/BTC Q1 2024 Bitcoin Mining gross margin3 : 52% Cash balance4 : $290 million Strong financial a
Slide 4: Q1 2024 Financial Update
FY 2023 Financial Update 4 Q1 2024 Financial Update 400 MW Substation at Corsicana Facility - Corsicana, Texas
Slide 5: Q1 2024 Highlights
5 Ending hash rate deployed 12.4 EH/s ▪ 18% increase year-over-year Bitcoin produced 1,364 BTC ▪ 36% decrease in production year-over-year driven by 89% increase year-over-year in average global network hash rate Bitcoin sold 212 BTC ▪ $9.5 million in proceeds received (avg. price of $44,896 per BTC
Slide 6: Riot Platforms – Growing Bitcoin Holdings
2,115 1,364 135 98 Q1 2023 Q1 2024 Riot Platforms – Growing Bitcoin Holdings 6 Global Network Hash Rate (EH/s) 1 Ending hash rate deployed (EH/s) Bitcoin produced (# of BTC) 4 Bitcoin held (# of BTC) 10.5 12.4 Q1 2023 Q1 2024 +18% 7,094 8,490 Q1 2023 Q1 2024 300 568 Q1 2023 Q1 2024 +89% +20% 2 3 2 3
Slide 7: Company Wide Revenue Growth
$48.0 $49.7 $31.2 $60.0 $74.6 $9.0 $7.7 $5.1 $5.5 $16.1 $19.3 $15.5 $13.3 $4.7 $73.2 $76.7 $51.9 $78.8 $79.3 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Bitcoin Mining ($ million) Data Center Hosting ($ million) Engineering ($ million) $81.7 $24.3 $(3.1) $111.1 $245.7 112% 32% (6%) 141% 310% (50%) 0% 50
Slide 8: Bitcoin Mining Segment – Expanding Gross Margins Despite Network Difficulty
$48.0 $49.7 $31.2 $60.0 $74.6 $9.0 $7.7 $5.1 $5.5 22% 44% 97% 32% 52% 0% 20% 40% 60% 80% 100% 120% Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Bitcoin Mining Revenue ($ million) Hosting Revenue ($ million) Non-GAAP gross margin (%) 10.5 EH/s 10.7 EH/s 10.9 EH/s 12.4 EH/s 12.4 EH/s Q1 2023 Q2 2023 Q3 202
Slide 9: Q1 2024 Cost to Mine Increase Driven by Network Hash Rate Growth
9 Q1 2024 Cost to Mine Increase Driven by Network Hash Rate Growth and Additional Fixed Costs from Consolidation of Data Center Hosting Business $12,413 $16,764 $1,261 $6,270 $13,674 $4,351 $5,009 $23,034 Q4 2023 Cost to Mine per BTC Network Difficulty Power Cost Increase Other Costs Increase Q1 202
Slide 10: Engineering – Global Supply Chain Issues Impacted Results
$16.1 $19.3 $15.5 $13.3 $4.7 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Engineering – Global Supply Chain Issues Impacted Results 10 ▪ $13.2MM in contract balances outstanding related to uncompleted Engineering contracts ▪ Q1 2024 decline in revenues driven by supply chain issues that delayed fulfillme
Slide 11: Growth Plans – The Path to EH/s GW
11 Growth Plans – The Path to 100 EH/s 1 GW Corsicana Facility Development – Corsicana, Texas
Slide 12: Infrastructure Pipeline and Miner Purchase Contract Provides Clear Path to 100 EH/s
12 Infrastructure Pipeline and Miner Purchase Contract Provides Clear Path to 100 EH/s in Self-Mining 1. Assumes additional long term purchase option of 265,000 miners is partially exercised for 53,571 M66S miners. 2. Assumes remainder of the additional long term purchase option of 265,000 miners is
Slide 13: MicroBT Order Significantly Upgrades Riot's Mining Fleet
13 MicroBT Order Significantly Upgrades Riot’s Mining Fleet ▪ Riot’s purchases of 131,340 MicroBT miners have an average fleet efficiency of 19.7 J/TH ▪ Riot’s total fleet efficiency will be 21.8 J/TH in 2025 after deployment of combined orders, 19.7 J/TH if entire option exercised Model Quantity Ha
Slide 14: Estimated Bitcoin Production and Cost to Mine
Q1 2024 Estimated Bitcoin Production Cost to Mine Rockdale expansion miner purchases Rockdale construction Corsicana Facility 400 MW build-out (remaining) Corsicana Facility additional 200 MW build-out Corsicana miner purchases 14 1. As of March 31, 2024. 2. As of March 31, 2024. Based on market pri
Slide 15: Riot's vision: world's leading Bitcoin-driven infrastructure platform
+154% 12.4 EH/s 31.5 EH/s Riot’s vision is to be the world’s leading Bitcoin-driven infrastructure platform 15 2024 Hash Rate Growth +30% 31.5 EH/s 40.8 EH/s 2025 Hash Rate Growth $23,034 Per Bitcoin Q1 2024 Cost to Mine1 Fully Funded 2024 & 2025 Cap Ex New Large-Scale Facility Energized in Q1 2024
Slide 16: Appendix
Appendix 16
Slide 17: Management Team and Board of Directors
17 Management Team and Board of Directors ✓ Unique, Bitcoin-focused strategic vision ✓ Veteran public company expertise Jason Les Chief Executive Officer; Director Benjamin Yi Executive Chairman of the Board William Jackman Executive Vice President, General Counsel Colin Yee Executive Vice President
Slide 18: Q1 2024 Statement of Operations (Unaudited)
18 Q1 2024 Statement of Operations (Unaudited) 2024 2023 (in $ thousands, except for per share amounts) Revenue: - Bitcoin Mining $ 74,597 $ 48,023 - Data Center Hosting - 9,042 - Engineering 4,675 16,147 - Other Revenue 24 24 Total Revenue $ 79,296 $ 73,236 Costs and Expenses: Cost of Revenue: - Bi
Slide 19: Q1 2024 Balance Sheet (Unaudited)
19 Q1 2024 Balance Sheet (Unaudited) As of March 31, As of December 31, 2024 2023 (in $ thousands, except for per share amounts) Assets: Current Assets: Cash and Cash Equivalents $ 688,497 $ 597,169 Accounts Receivable, net 14,185 24,706 Contract Assets, including Retainage of $2,517 and $3,166, res
Slide 20: Non-GAAP Adjusted EBITDA (Unaudited)
20 * Indicates Non-GAAP measure. We use Adjusted EBITDA to eliminate the effects of certain non-cash and/or non-recurring items, that do not reflect our ongoing strategic business operations. Adjusted EBITDA includes impairment of Bitcoin charges. Adjusted EBITDA is provided in addition to, and not