Riot plummets after missing on Q2 revenue

Riot Platforms reported second-quarter earnings yesterday after the bell, missing on revenue as the company faced increased mining costs.

The stock was down more than 17% in early trading.

The bitcoin mining company reported revenue of $153 million, up from $70 million for the corresponding quarter last year, largely driven by a jump in bitcoin mining revenue. Still, this fell short of analysts' expectations of $156.3 million, according to FactSet. The figure is also down from Q1 revenue of $162.4 million.

It did beat expectations for earnings per share, coming in at $0.65, while analysts had predicted a loss of $0.18.

Riot, the fifth-largest corporate bitcoin holder, produced 1,426 bitcoin in Q2, compared to 844 bitcoin in the second quarter of 2024. The average cost to mine bitcoin jumped to $48,992 in the quarter from $25,329 per bitcoin a year ago.

“The increase was primarily driven by the block subsidy ‘halving’ event, which occurred in April 2024, and a 45% increase in the average global network hash rate as compared to the same period in 2024,” the company said in a press release.