CleanSpark Reports Strong Q4 Results for 2024

Bitcoin miner CleanSpark reported revenues of $162.3 million for the fourth quarter of 2024, up 120% year-over-year, at a marginal cost to mine of approximately $34,000 per bitcoin.

The company’s net income reached $246.8 million in Q4, or $0.85 per basic share, compared to $25.9 million, or $0.14 per basic share, for the same period in 2023. Its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA), a popular measure of a company’s financial performance, increased to $321.6 million from $69.1 million in the same period a year ago.

As of Dec. 31, 2024, CleanSpark’s total assets were $2.8 billion, including $929.1 million in bitcoin, with total liabilities of $757.7 million, stockholders’ equity of $2 billion, and $1.2 billion in working capital, including a $50 million bitcoin-collateralized line of credit.

> “We continue to invest in ourselves because why buy bitcoin at current spot prices when we can mine it for $34,000?” – CleanSpark CFO Gary Vecchiarelli

This quarter marks a strong performance, coinciding with Bitcoin’s fourth halving event that reduced miners’ block subsidy rewards from 6.25 BTC to 3.125 BTC, which had strained industry revenues and led to weaker mining operations exiting the market.

> “We overcame virtually all of the halving impact on the Bitcoin block subsidy while growing our current bitcoin treasury to over 10,500 — 100% of which was entirely self-mined by CleanSpark and exclusively in the USA,” – Vecchiarelli

CleanSpark aims to reach 50 EH/s in the first half of 2025 by expanding its operations in Wyoming, Tennessee, and Georgia.

In October, CleanSpark completed the acquisition of fellow Bitcoin mining firm GRIID in a deal valued at $155 million. In December, the company announced the closure of its $650 million zero-coupon convertible notes offering, used for repaying debt, capital expenditures, and acquisitions.

> “Our capital strategy continues to evolve, as demonstrated by the closing of our $650 million convertible bond with industry-leading terms, and the conclusion of our at-the-market offering program,” – Vecchiarelli

CleanSpark shares are currently up 7.1% in pre-market trading on Friday following the report, according to TradingView.

Bitcoin, Not AI

In a previous interview, CEO Zach Bradford forecasted a meaningful increase in bitcoin prices post-election through January, predicting a peak of nearly $200,000 this cycle. He highlighted that bitcoin-focused operators are currently underrated, as mining infrastructure pays back more quickly than diversifying into AI data center hosting opportunities explored by many rivals.

Bradford argues that pure-play Bitcoin miners, despite some volatility, can achieve lower capital expenditures and faster energization compared to AI data centers, leading to quicker cash flows.

> “Time to energization and cashflows are measured in weeks, not years,” – Bradford

While the current climate may be unpredictable, CleanSpark aims to strategically leverage their bitcoin mining operations.