Cleanspark, Inc. · NASDAQ:CLSK
Cleanspark — Investor Presentation (August 2022)
30 slides from Cleanspark's investor presentation, Aug 31, 2022
Slide 1: Investor Presentation August 2022
Investor Presentation August 2022 ®
Slide 2: Forward-looking statements cautionary note
CleanSpark cautions you that statements in this presentation that are not a description of historical facts are forward-looking statements. These statements are based on CleanSpark’s current beliefs and expectations. The inclusion of forward-looking statements should not be regarded as a representat
Slide 3: What is Bitcoin Mining?
v What is Bitcoin Mining? A bitcoin mining company uses specialized computers to verify transactions on the bitcoin blockchain. Bitcoin is the reward miners earn for performing this service. Without mining, there would be no bitcoin. Mining is very energy intensive, so maintaining this increasingly
Slide 4: What Do Miners Do?
Bitcoin wallet transaction CleanSpark & other decentralized miners support and verify the network Bitcoin wallet transaction What Do Miners Do?
Slide 5: What are Block Rewards?
What are Block Rewards? 21,000,000 BTC mined by 2140 Block rewards are reduced by half every 210,000 blocks (roughly every four years) until all 21M bitcoin are mined. When will that be? Sometime around 2140. 1 block every 10 min. 2140 2024 6.25 BTC per block 900 BTC per day Today
Slide 6: Vision: Top North American Bitcoin Miner
Vision: Top 5 North American Bitcoin Miner Hashrate Our total computational power; when understood in the context of global hashrate, it determines how much bitcoin we are able to mine. Efficiency We determine efficiency by starting with our power costs and dividing it by our hashrate. Efficient min
Slide 7: Key Indicators
BTC Mined per EH/s 128 Key Indicators Under Development or Contracted Current Operational Power 140 MW 562 MW Daily Production High 13.25 BTC Projected Hash Rate Current Hash Rate 2.9 EH/s 22.4 EH/s BTC FYTD 2,908 BTC Machines to be Delivered Machines Operating 31,350 5,132 *As of July 31, 2022
Slide 8: What Makes CleanSpark Different?
What Makes CleanSpark Different? Leave the world better than we found it. Build the infrastructure of the future. Value growth for the greater good.
Slide 9: Environmental, Social, Governance
Competitive wages substantially above industry average with clear career paths Full suite of employee benefits, including PTO, health insurance, and 401K plan Reinvesting in the communities we operate in through scholarships and other philanthropic commitments Targeting 100% renewable and clean ener
Slide 10: How We Allocate Opportunity
How We Allocate Opportunity Current mix: 2/3rds owned-and-operated Hybrid approach of using co-location partnerships for scalability and wholly-owned locations to secure our future Infrastructure first; we balance how & when we acquire machines ASIC ecosystem is ripe for disruption—faster, better, n
Slide 11: Value Growth for the Greater Good
We use capital transparently because securing the bitcoin blockchain is a privilege and a responsibility we take to heart. Bitcoin is a store of value and medium of exchange. We combine it with the wise stewardship of our equity and the responsible deployment of debt to grow our business in the best
Slide 12: Current and Future Performance
Current and Future Performance
Slide 13: Bitcoin Mined and Hashrate Growth (Projected)
~31,350 Operational Miners1 1As of July 31, 2022 (see monthly bitcoin production releases for additional information.) 2.9 EH/s1 ~105 MW Operational1 402 MW 702 MW 3,768 BTC Cumulative/LTD Contracted Power Lancium Option Total Bitcoin Mined Hashrate (EH/s) Bitcoin Mined and Hashrate Growth (Projecte
Slide 14: Capital Expenditures
Capital Expenditures *As of July 31, 2022 Deployed 31,350 Ready for Deployment Miners on Hand 8,124 39,474 Miners to be Delivered 5,132 Hash Rate to be Delivered 570.7 PH/s Miner CapEx $2M Construction CapEx Total CapEx Commitments $3M $5M MINERS COMMITMENTS DELIVERIES
Slide 15: Our Facilities
Our Facilities *Percentage indicates energy mix comprised of non-carbon producing energy sources, including solar, wind, hydro, and nuclear, based on publicly reported energy mix data and/or data provided directly by utilities. Wholly-owned locations includes renewable credits; co-location data as r
Slide 16: Introducing Our Newest Facility in Washington, GA
Introducing Our Newest Facility in Washington, GA Facility Washington Type Owned Capacity 86 MW Operational 36 MW** Clean Energy* 70% *Percentage indicates energy mix comprised of non-carbon producing energy sources, including solar, wind, hydro, and nuclear, based on publicly reported energy mix da
Slide 17: Recent Financial Performance
Gross Profit Revenue $20.69m 67% $28.61m 77% $20.69m 67% $7.90m 87% Recent Financial Performance (as reported in US GAAP) $31.03m $9.05m m m m m $37.19m $31.03m m m m m
Slide 18: Recent Financial Performance (Continued)
NASDAQ: CLSK $15.17m 49% $21.56m 58% ($29.34m) ($0.17m) ($29.34m) ($16.68m) ($1.7m) Adjusted EBITDA Net Income/Loss $15.17m 49% Recent Financial Performance (Continued)
Slide 19: Performance Landscape: Top of Pack for Hashrate, BTC Mined, Efficiency
Performance Landscape: Top of Pack for Hashrate, BTC Mined, & Efficiency; 9th by Market Cap BTC Mined 2Q In EH/s BTC Mined Hashrate Efficiency Market Cap In Millions Hashrate as of 7/31/2022, Source: Company filings. As of 6/30/2022; Source: Company filings. Note: Companies’ June hashrate equals the
Slide 20: CleanSpark is a sustainable bitcoin miner
CleanSpark is a sustainable bitcoin miner that is transforming how bitcoin is mined. Our vision is to build the infrastructure of the future by being a Top 5 North American miner in terms of hashrate, sustainability, efficiency, & profitability. We have 140MW operational, with 562MW under developmen
Slide 21: Appendix
Appendix
Slide 22: Management Team
Management Team Rachel Silverstein SVP, Compliance & General Counsel Gary A. Vecchiarelli Chief Financial Officer Zach Bradford CEO, President & Director S. Matthew Schultz Executive Chairman & Director Isaac Holyoak Chief Communications Officer
Slide 23: Income Statement Q1-22 to Q3-22
Q1-22 December 31, 2021 Q2-22 March 31, 2022 Q3-22 June 30, 2022 9-Months Ended June 30, 2022 Revenue, Net Digital Currency Mining Revenue, Net 36,974,578 36,965,739 30,941,726 104,882,043 Other Services Revenue 297,181 86,282 86,055 469,518 Total Revenue, Net 37,271,759 37,052,021 31,027,781 105,35
Slide 24: Income Statement (continued)
Q1-22 December 31, 2021 Q2-22 March 31, 2022 Q3-22 June 30, 2022 9-Months Ended June 30, 2022 Income (loss) before income tax (expense) or benefit 16,283,120 1,017,746 (16,236,076) 1,064,790 Income tax (expense) or benefit - - - - Income (loss) from continuing operations 16,283,120 1,017,746 (16,236
Slide 25: Income Statement FY21
Income Statement FY21 Q1-21 December 31, 2020 Q2-21 March 31, 2021 Q3-21 June 30, 2021 Q4-21 September 30, 2021 FY-21 September 30, 2021 Revenue, Net Digital Currency Mining Revenue, Net 733,410 6,715,793 8,649,440 22,747,990 38,846,633 Other Services Revenue 381,326 425,662 402,628 379,230 1,588,84
Slide 26: Income Statement FY21 (continued)
Q1-21 December 31, 2020 Q2-21 March 31, 2021 Q3-21 June 30, 2021 Q4-21 September 30, 2021 FY-21 September 30, 2021 Income (loss) before income tax (expense) or benefit (4,990,825) 9,588,462 (14,074,995) 3,600,347 (5,877,011) Income tax (expense) or benefit - - - - - Income (loss) from continuing ope
Slide 27: Balance Sheet
Balance Sheet June 30, 2022 (Unaudited) September 30, 2021 Assets Current assets Cash and cash equivalents, including restricted cash $2,661,682 $18,040,327 Accounts receivable, net $102,781 $307,067 Inventory $- $79,811 Prepaid expense and other current assets $3,734,586 $2,137,803 Digital currency
Slide 28: Balance Sheet (cont'd)
Balance Sheet (cont’d) June 30, 2022 (Unaudited) September 30, 2021 Liabilities and stockholders' equity Current liabilities Accounts payable and accrued liabilities $12,995,578 $6,982,517 Operating lease liability $323,951 $256,195 Finance lease liability $274,222 $403,410 Acquisition liability - $
Slide 29: Non-GAAP Measures
Non-GAAP Measures Adjusted EBITDA is not a measurement of financial performance under generally accepted accounting principles in the United States (“GAAP”). Because of varying available valuation methodologies, subjective assumptions and the variety of equity instruments that can impact a company's
Slide 30: CleanSpark - America's Bitcoin Miner
CleanSpark + America’s Bitcoin Miner™