HIVE Blockchain Releases Fiscal 2018 Third Quarter Financial Results and Provides Operational Update

HIVE Blockchain Technologies (TSXV:HIVE) has announced its results for the third quarter ended December 31, 2017.

As quoted in the press release:

• Expanded operations in Iceland with acquisition of second phase of GPU-based mining rigs from Genesis Mining Ltd. (“Genesis”), bringing the Company’s digital currency mining footprint in Iceland to 3.8 megawatts (“MW”);
• Solidified strategic partnership with Genesis with agreements to jointly construct two state-of-the-art data centres in Sweden to add a further 40.4 MW of capacity by September 2018, including 20.4 MW dedicated to mining GPU-based digital currencies such as Ethereum, Ethereum Classic and ZCash (the “Sweden GPU Data Centre) and 20.0 MW dedicated to mining SHA-256-based digital currencies such as Bitcoin and Bitcoin Cash (the “Sweden Bitcoin Data Centre”);
• Raised $147 million (CDN $187 million) of growth capital in the quarter to finance rapid expansion and future growth opportunities and investments;
• Generated revenues of $3,274,186, with a gross mining margin (Note 1) of $2,382,687, from mining of digital currencies at Iceland facilities;
• Net income of $149,724 for the period
• Accumulated and held $5,827,805 worth of newly minted Ethereum, Ethereum Classic and ZCash as at December 31, 2017;
• Return on investment of 36% by December 2017 through investment of $16,284,690 in data centre equipment since September 2017 which has generated digital currencies with a value of $5,827,805.

Subsequent to the quarter, on January 15, 2018, HIVE commenced mining operations from the initial 6.8 MW phase of the Sweden GPU Data Centre, nearly tripling its global footprint of energy consumption dedicated to digital currency mining to 10.6 MW. This has contributed to a strong increase in the Company’s digital currency portfolio to a total value of $13,624,783 as at February 26, 2018. The construction and configuration of the second and third phases of the Sweden GPU Data Centre is proceeding on-schedule and will increase HIVE’s capacity by an additional 13.6 MW within two months, with the 20.0 MW Sweden Bitcoin Date Centre to follow by September 2018.

“In the third quarter of Fiscal 2018, we made significant progress in our expansion plans,” commented Harry Pokrandt, President, CEO and a Director at HIVE. “The Company’s second acquisition in Iceland commenced operations, contributing to rising mining revenues and margins, and a transformational 2018 build-out schedule was finalized and fully financed, which will see a more than ten-fold increase in energy consumption dedicated to mining activities compared to that which was operational at quarter-end. We continue to evaluate future mining sites in stable jurisdictions with access to reliable, clean and inexpensive power.”

Click here to read the full press release.