Riot Platforms Cuan Rp1.3 Trillion In Q3 2024

Riot Platforms earned IDR 1.3 trillion in revenue in Q3 2024 (Photo; Doc. Crypto News)

JAKARTA - Riot Platforms, Bitcoin mining company, recorded revenue of 84.8 million US Dollars (Rp1.3 trillion) in the third quarter of 2024. This revenue jumped 65% compared to the same period last year. Riot's soaring income was triggered by a significant increase in hash rate capacity in line with the reduction in mining rewards after the Bitcoin halving event in April 2024.

In a recent report, Riot revealed that they managed to produce 1,104 Bitcoins throughout Q3 2024. This production remains comparable to the amount generated in the same period last year, although the halving event has led to a halving reduction of the block's reward. This is possible thanks to an increase in hash rate that reaches 28 EH/s, growing 159% year-on-year. The average production cost per Bitcoin reached 35,376 US Dollars (Rp557 million), up compared to last year due to increased network difficulties and declining power credit received by the company.

However, despite noting impressive revenue growth, Riot still had to face a net loss of 154.4 million US Dollars (Rp 2.4 trillion) this quarter, up 92% from a net loss of 80 million US Dollars (Rp 1.2 trillion) in Q3 2023. This surge in losses was caused by reduced power credit, increased operating costs, as well as amortization and depreciation costs.

Quoted from Crypto Potato, Riot CEO, Jason Les, stated that the company has a solid financial position with total liquid assets, including its cash and Bitcoins, worth 1.3 billion US Dollars (IDR 20.4 trillion). They also hold 10,427 Bitcoins which are estimated to be worth 750 million US Dollars (IDR 11.8 trillion) at the end of September 2024.

Les added that despite the challenges, his party remains optimistic. We continue to achieve significant growth even though this is the first full quarter after the Halving Bitcoin," he said. Riot is expanding its capacity in Texas and Kentucky to support the target of reaching 100 EH/s in self-mining capacity.

However, Riot had to adjust the projected hash rate capacity. Previously, they estimated that it could reach 36.3 EH/s by the end of 2024, but now the target has been revised to 34.9 EH/s. This decline is due to delays in the development of new facilities in Kentucky which are expected to only be fully operational by 2025.

Riot also lowered capacity expectations at the end of 2025 from 56.6 EH/s to 46.7 EH/s, citing delays in substation development at the Corsisaran facility. However, the company still hopes to reach a total hash rate capacity of 65.7 EH/s when facilities in Texas and Kentucky are fully operational by 2026.