Slide 1: Third Quarter Fiscal 2024 Earnings Presentation
Third Quarter Fiscal 2024 Earnings Presentation Adam Sullivan, CEO Denise Sterling, CFO November 6, 2024
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding projections, estimates and forecasts of revenue and other
Slide 3: Well positioned for continued growth and market leadership, delivering digital infrastructure at scale
Core Scientific is well positioned for continued growth and market leadership, delivering digital infrastructure at scale Total >1,200 contracted MW of powered infrastructure HPC Hosting | ~800 MW Bitcoin Mining | ~400 MW 570 MW Critical IT Load/ 230 MW supporting load @ PUE of ~1.4 PUE of ~1.0 Appr
Slide 4: Accomplishments this year
Accomplishments this year Q1 Q2 Q3 Q4 4
Slide 5: Reallocated 100 MW of infrastructure from bitcoin mining to HPC hosting
Reallocated 100 MW of infrastructure from bitcoin mining to HPC hosting 16 MW Alabama 27 MW 22 MW Austin1 16 MW Critical IT load 22 MW Austin1 Critical IT load ✚ New land expansion and ~500 MW power opportunities Critical IT load ~570 MW 700 MW Critical IT load enabled reallocation HPC hosting 800 M
Slide 6: 2024 snapshot
2024 snapshot Strategic Operational Financial (YTD) (Q3) (Q3) • Signed aggregate ~500 MW HPC • Earned 1,115 bitcoin • $95 million revenue hosting contracts with • Operated 20.4 EH/s self-mining • $455.3 million net loss, mainly anticipated potential revenue of hash rate driven by non-cash adjustment
Slide 7: Expanding our portfolio of powered digital infrastructure
Expanding our portfolio of powered digital infrastructure Existing gross capacity by site Grand Forks, ND 100 MW Calvert City, KY 150 MW Marble, NC Muskogee, OK 104 MW 100 MW In Development ecos, TX 250MW (Cottonwood 1 & 2) Commentary Cottonwood Dalton, GA Greenfield Buildout in 2022 Campus has (2)
Slide 8: Diversified business poised for growth
Diversified business poised for growth Q3 2024 Revenue Mix Revenue by Segment Gross Margin by Segment (Unaudited) (In Millions, Unaudited) (Unaudited) 18% $27 $10 $17 29% 11% 13% 13% 8% 0% $83 $68 -9% 71% Self-M ining Hosting HPC Self-Mining Hosting HPC Q3 2023 Q3 2024 Self-Mining Hosting HPC Q3 202
Slide 9: Refinanced debt, reduced interest rate and removed covenants
Refinanced debt, reduced interest rate and removed covenants ~$(40M) $460 $(150) $552 $(49) $512 $(61) $(1) $(4) $(1) $(234) Mandatory Conversion of Secured Notes Exit Facility Infrastructure and Total Debt - Secured Convertible Notes Construction Sept 30, 2024 Total Debt - August 2024 Convertible M
Slide 10: Pro forma share count – September 30, 2024
Pro forma share count – September 30, 2024 Shares in millions ~195M Shares 42 474 23 5 27 98 279 Sharecount Tranche 1 Warrants Tranche 2 Warrants Restricted Stock and Other New Convertible Note Total Pro Forma @ October 31, 2024 Performance Based Units Reserve Shares 1 Diluted Share Count 10 1Repres
Slide 11: Cash cost to self-mine a bitcoin in third quarter 2024
Cash Cost to self-mine a bitcoin in third quarter 2024 Third Quarter 2024 Third Quarter 2024 Cash Cost Per Bitcoin1 Cash-Based Hash Cost2 Direct Power Cost $33,946 2.5¢ Operational Cost3 $8,405 0.6¢ Total Direct Cash Cost $42,351 3.1¢ 1 Represents our direct, cash costs of power and facilities opera
Slide 12: CoreWeave transaction summary
CoreWeave transaction summary ~500 MW HPC $8.7 billion $725 million infrastructure potential revenue over avg. annual run rate (700 MW gross) contracts’ term revenue1 75% to 80% 12-year Client pays anticipated profit contracts with two 5- for capex3, power and margin2 year options utilities 200MW 27
Slide 13: Building one of the largest public data center companies in the United States
Core Scientific is building one of the largest public data center companies in the United States Levering our experience, talent and asset portfolio to launch and grow this business Pathway to 1.2 GW+ of Critical IT Load by 2027 16 MW 500 MW 11 MW ~300 MW 400 MW Austin HPC Contracted with Alabama HP
Slide 14: 2024 goals and targets
2024 goals and targets MW HPC critical IT load 16 Bitcoin mining fleet average power price (cents/kWh) 4.2 - 4.4 14
Slide 15: 2024 catalysts
Contract remaining 118 MW of 1 infrastructure available for HPC hosting Execute on pipeline of opportunities to 2024 catalysts 2 increase our infrastructure capacity 3 Diversify HPC hosting clients 15 CORE SCIENTIFIC
Slide 16: Summary
Summary Executing on our diversification strategy to create long term shareholder value | Capturing AI compute market growth | Fortifying our strong bitcoin mining franchise Leading a new Building on our Strengthening Expanding our Balancing our category in assets and our our earnings platform for b
Slide 17: Appendix
Appendix
Slide 18: Summary of new senior unsecured convertible notes
Summary of new senior unsecured convertible notes Terms Description Principal • $460 million Interest Rate • 3% cash interest Interest Payments • Semi-annually in arrears: March 1st and September 1st Maturity • September 1, 2029 • 30% Conversion Premium • Stock Price = $8.46 Conversion Rate • Conver
Slide 19: Debt summary - September 30, 2024
Debt summary - September 30, 2024 New Secured Mechanics Liens Financing Instrument Convertible Convertible Exit Facility Secured Note Miner Equipment (Infrastructure and Other Total Leases Note Notes Construction 3.0% cash / 10.0% 6.0% cash / 6.0% Secured Facility Interest Rate 3% Cash 9.0% cash 12.
Slide 20: Cash cost to mine bitcoin: three and nine months ended September 30, 2024
Cash cost to mine bitcoin: three and nine months ended September 30, 2024 Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Cash Costs per Bitcoin Direct power cost per bitcoin self-mined $ 33,946 $ 14,550 $ 22,099 $ 12,019 Operational costs per bitcoin self-mined1
Slide 21: Consolidated statement of operations: three and nine months ended September 30, 2024
Consolidated statement of operations: three and nine months ended September 30, 2024 Three Months Ended September 30, Period over Period Change Nine Months Ended September 30, Period over Period Change ($ Thousands) 2024 2023 Dollar Percentage 2024 2023 Dollar Percentage Revenue: (in thousands, exce
Slide 22: Adjusted EBITDA reconciliation - three and nine months ended September 30, 2024
Adjusted EBITDA reconciliation - three and nine months ended September 30, 2024 Three Months Ended Nine Months Ended ($ Millions) September 30, 2024 September 30, 2024 Net loss $ (455.3) $ (1,049.5) Interest expense, net 7.1 35.9 Income tax expense 0.1 0.5 Earnings Before Interest and Taxes (EBIT) $
Slide 23: Segment reporting - three and nine months ended September 30, 2024
Segment reporting - three and nine months ended September 30, 2024 Three Months Ended Sept. 30, Period over Period Change Nine Months Ended Sept. 30, Period over Period Change 2024 2023 Dollar Percentage 2024 2023 Dollar Percentage Digital Asset Self-Mining Segment (in thousands, except percentages)
Slide 24: Balance sheet: as of September 30, 2024 (Total Assets)
Balance sheet: as of September 30, 2024 Total Assets ($ Thousands) September 30, 2024 December 31, 2023 Assets Unaudited Current Assets: Cash and cash equivalents $ 253,019 $ 50,409 Restricted cash 783 19,300 Accounts receivable 6,244 1,001 Digital assets — 2,284 Prepaid expenses and other current a
Slide 25: Balance sheet: as of September 30, 2024 (Liabilities and Stockholders' Deficit)
Balance sheet: as of September 30, 2024 Total Liabilities and Stockholders’ Deficit ($ Thousands) September 30, 2024 Dec 31, 2023 Liabilities and Stockholders’ Deficit Unaudited Current Liabilities: Accounts payable $ 6,504 $ 154,751 Accrued expenses and other current liabilities 31,726 179,636 Defe