TeraWulf Inc. (WULF) Q4 2024 Earnings Call

Investor webinar replay

Replay transcript excerpt

for Wolf Compute with the announcement of our first data center lease agreements with Core42. Let's start with our Wolf mining business. Our profitable mining operations leverage predominantly zero carbon energy at our state-of-the-art Lake Mariner facility in upstate New York. In 2024, we doubled revenue and adjusted EBITDA year over year, driven by higher Bitcoin production and favorable Bitcoin pricing. As of year end, Wolf Mining achieved a hash rate of 9.7 exahash per second, powered by approximately 60,000 miners. We have now received over 90% of our new S21 Pro miners, which, once fully deployed in Miner Building 5, will bring our total mining power utilization to 245 megawatts, increase our hash rate to 13.1 exahash per second and improve our fleet efficiency to 18.2 joules per terahash. Despite challenges such as record network difficulty and the anticipated Bitcoin halving in April 2024, we successfully mined 423 Bitcoin in the fourth quarter and a total of 2,177 Bitcoin throughout the year. A pivotal moment in 2024 was the sale of a Nautilus CryptoMine joint venture in October. This transaction delivered a 3.4 times return on our investment, and more importantly, freed up important capital to accelerate the build-out of our HPC hosting business at Lake Mariner. The proceeds were strategically allocated to developing the 20-megawatt co-location building 1, which we refer to as CV1, and upgrading our minor fleet. Additionally, we restructured a Lake Mariner ground lease, expanding the site area from 107 to 157 acres with a 35-year initial lease and a 45-year extension option. Crucially, This new agreement grants us exclusive rights to infrastructure capacity of up to 750 megawatts, ensuring we have the scalability needed to support both Bitcoin mining and HP...