1 year ago
Canaan Inc, the crypto miner and mining rig producer, said the company’s wide gross successful Q3 stood astatine $33.3 cardinal oregon immoderate $40 cardinal little than the Q2 revenue. According to the company’s CEO, stagnant bitcoin prices and complaint hikes by the U.S. Federal Reserve were immoderate of the cardinal factors that contributed to the diminution successful revenues.
Canaan’s Latest Mining Revenue Nearly 80% Lower Than successful Q2
In the 3rd 4th (Q3) of 2023, the wide gross of Canaan Inc, the crypto miner and mining rig producer, stood astatine $33.3 cardinal oregon conscionable implicit $40 cardinal little than the $73.9 cardinal realized successful Q2, the firm’s latest fiscal results person shown. The firm’s Q3 revenues are besides importantly little than the $145.5 cardinal generated during the aforesaid play successful 2022.
As shown successful the company’s unaudited Q3 fiscal results, Canaan Inc revenues earned from mining activities were astir 80% ($3.3 million) little than Q2 revenues of $15.9 million. Similarly, Canaan’s 2023 Q3 mining revenues are astir 65% little than the $9.2 cardinal that was generated successful Q3 of 2022.
Increased Price Competition
Commenting connected the company’s show successful the 4th nether review, Nangeng Zhang, the president and CEO of Canaan, said:
During the 3rd 4th of 2023, the stagnant bitcoin terms and further involvement complaint hikes by the Federal Reserve presented america with important challenges. Despite these headwinds, we person stayed committed to our strategical plan. In mid-September, we launched and opened pre-sales for our caller A14 merchandise series, featuring computing powerfulness of 150Thash/s with superior vigor ratio of 21J/Thash/s.
Zhang besides identified accrued terms contention and “a noticeable softening successful purchasing powerfulness connected the request front” arsenic factors that contributed to the driblet successful revenues. As a consequence, Canaan went connected to grounds a nonaccomplishment from operations of $112.8 million. The nonaccomplishment is $6.3 cardinal little than that realized successful Q2 of 2023.
Meanwhile, successful its Nov. 28 press release, Canaan revealed it had been granted a “Type II licence for mining hardware owners to behaviour bitcoin mining successful Kazakhstan.” Concerning a quality with its U.S. mining partner, Canaan said its subsidiary had filed an arbitration request connected October 19, 2023. In addition, the subsidiary had taken “possession of astir each 26,000 units of mining machines deployed successful this project.”
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