Cipher Mining (CIFR) fell 17.4% on Feb. 25 after 2024 losses more than doubled to $43.7M, despite 19% revenue growth to $151M.
After the company’s full-year 2024 results revealed that its operating losses had more than doubled from the previous year, the cryptocurrency mining company Cipher Mining Inc., based in the United States, closed trading on February 25 with a loss of roughly 17.5%.
Cipher reported its fourth quarter and full-year results for 2024 on February 25. The company stated that although its full-year revenues increased by about 19% year-on-year to $151 million, the company’s operating losses had increased to $43.7 million, which was more than double the amount of $20.1 million that it had seen in its operating losses in 2023.
After upgrading its site in Odessa, Texas, acquiring another data center site in Texas with a capacity of 100 megawatts, and purchasing an additional 337 acres adjacent to its site near Barber Lake in Texas, the company incurred significant expenditures.
As a result, the total self-mining hashrate of the company increased to approximately 13.5 exahashes per second (EH/s). The Chief Executive Officer of Cipher, Tyler Page, issued a statement in which he said, “We continued the on-time execution of our growth and expansion plans over the course of the fourth quarter, which was extremely productive for us.”
Additionally, he mentioned that the company is getting close to finishing the first phase of a site known as “Black Pearl,” which was “on track to energize in the second quarter of this year.”
The expansion ambitions weren’t enough to impress shareholders, with Cipher (CIFR) closing trading on Feb. 25 down 17.4% to $4.10, according to Google Finance. In after-hours trading, CIFR experienced a small increase of 2.2%, reaching $4.19.
The stock is at its lowest level so far this year but is up roughly 20% over the past 12 months. Cipher reported that it had a revenue of $42 million for the fourth quarter, which is a 75% increase from the previous quarter.
Additionally, the company earned a profit of $17 million, which is an increase from the $91.4 million operating loss it had in the third quarter of 2024. Both Core Scientific (CORZ) and Marathon Digital (MARA), which are both mining and data center companies, are scheduled to report their earnings on February 26.
