Bitdeer plunged 20%: quarterly report disappointed investors, despite growth in mining output
Shares of Bitcoin mining company Bitdeer (BTDR) plunged 20% on Monday, hitting their lowest level since late March. The cause: its quarterly report, which revealed a deeper loss and revenue below Wall Street expectations.
Judging by the numbers, the second quarter proved highly contradictory for Bitdeer. The Nasdaq-listed company posted a loss of $0.37 per share, while analysts had forecast $0.32. Revenue came in at $228.8 million, also falling short of the consensus estimate of $231.16 million. This is a classic case where operational successes are offset by financial strain.
Loss Overshadows Revenue Growth
Bitdeer's net loss widened to $92.3 million, compared with $62.9 million a year earlier. Moreover, the company swung from a gross profit of $12 million to a gross loss of $8.5 million. This is a worrying signal: operational efficiency is clearly suffering.
The difficult period continues after a loss of $159.5 million in the first quarter. Meanwhile, revenue surged 47% — from $155.6 million to $228.8 million. However, cost of revenue grew even faster, reaching $237.3 million, driven by electricity expenses and depreciation.
Mining Output Grows, but Share Price Falls
Revenue from proprietary mining nearly tripled — from $59.3 million to $168.4 million. The company mined 2,694 BTC, compared with 565 in the same period last year. Adjusted EBITDA also impressed, rising from $4.6 million to $31.1 million.
Bitdeer is actively developing infrastructure for artificial intelligence. Revenue from cloud AI services jumped to $14 million, versus $1.3 million a year earlier. CFO Michael J. Potter called the reporting quarter "a step forward for the business," emphasizing the synergy between mining and the AI segment.
Nevertheless, investors are clearly disappointed. Since the start of July, BTDR shares have fallen 43.7%, fully erasing the 83% gain from the second quarter, which had outpaced Bitcoin's own performance. The close at $8.70 marks a four-month low.
My take: Bitdeer is demonstrating impressive operational growth, especially in the AI segment, but the market is punishing it for unprofitability and rising costs. In the coming months, cost control and the successful launch of the SEALMINER fleet will be key for the company. The next report is due in November — and it will be the decisive test of its ability to turn scaling into real profit.