Crypto Miner Canaan Shares Sink 7% Regardless of Robust This fall

Crypto miner and producer Canaan fell 6.9% on the Nasdaq on Tuesday regardless of reporting a 121.1% year-on-year enhance in income to $196.3 million within the fourth quarter, pushed by a rise in {hardware} gross sales and stronger mining efficiency.

Canaan reported that its Bitcoin (BTC) mining income rose 98.5% year-on-year to $30.4 million, serving to increase its Bitcoin treasury to a report 1,750 BTC, valued at practically $120 million, whereas the corporate additionally elevated its Ether (ETH) holdings to three,950 ETH, price $7.9 million.

The income determine is Canaan’s highest quarterly posting in three years, and was additionally pushed by Bitcoin mining machine gross sales, with the corporate delivery a report 14.6 exahashes per second (EH/s) of computing energy in the course of the quarter.

Canaan stated computing energy gross sales have been supported by a “milestone order” from a US-based institutional miner, serving to it set a brand new quarterly report for computing energy gross sales and obtain a 60% year-on-year enhance.

On the mining entrance, the Singapore-based firm stated it expanded its put in hashrate to 9.91 EH/s, with 7.65 EH/s operational in the course of the quarter.

Bitcoin community hash fee has fallen from a report 1,150 EH/s in mid-October to 980 EH/s as miners proceed to unplug unprofitable machines and pivot to AI and high-performance computing.

Regardless of the sturdy This fall efficiency, Canaan (CAN) shares tanked one other 6.87% to $0.56, Google Finance data exhibits, making it one of many lowest performers among the many 15 largest Bitcoin miners by market cap.

Canaan’s threat of Nasdaq delisting worsens

At its present worth of $0.56, the corporate is now down 18.1% year-to-date and 70.2% over the past 12 months.