Key Takeaways:
MARA Holdings posted a $611.3 million second-quarter net loss, swinging from a year-earlier profit, as bitcoin price declines erased prior gains.
"Bitcoin mining provided the foundation. We believe digital infrastructure, along with our Exaion and technology initiatives, will expand the value we create from that foundation," Chairman and CEO Fred Thiel said.
Revenue fell 27% to $174.9 million from $238.5 million, missing the $208.37 million analysts expected. Adjusted EBITDA swung to a $360.9 million loss from a $1.2 billion profit, driven by a $343 million unrealized loss on bitcoin versus a $1.2 billion gain a year earlier.
The loss marks the third straight quarterly deficit after a $1.7 billion deficit in Q4 2025 and $1.3 billion in Q1 2026, as the company funds a shift from pure bitcoin mining toward AI and high-performance computing infrastructure.
Mining output improved even as economics weakened. Energized hashrate rose 22% year over year to 70.3 exahash per second, and MARA mined 2,422 bitcoin while winning 700 blocks. Cost per petahash per day fell 4% to $27.70, with owned-site power costs holding at $0.04 per kilowatt-hour. But the average price of bitcoin mined dropped to about $71,325 from $98,975 a year earlier, and MARA sold 2,213 bitcoin at an average of $73,078.
The company ended June with 35,577 bitcoin, down 29% from 49,951 a year earlier, worth about $2.1 billion, plus $421.3 million of cash. Of that treasury, 4,742 bitcoin were loaned and 4,528 pledged as collateral.
MARA is using its bitcoin balance sheet to finance an AI pivot. After quarter-end it arranged two credit facilities with Coinbase and Two Prime providing $600 million of incremental borrowing at a weighted average cost of 7.56%, pledging 18,750 bitcoin as initial collateral. "We are funding a $1.5 billion enterprise value acquisition through a Bitcoin-backed debt and assumption of Long Ridge's balance sheet, all non-dilutive financings," CFO Salman Khan said. Proceeds will help fund the pending Long Ridge acquisition, which adds a 505-megawatt Ohio gas plant and more than 1 gigawatt of potential computing capacity, pending Federal Energy Regulatory Commission approval.
The company also secured rights to a 2-gigawatt powered site in Matagorda County, Texas, for $600 million, potentially expanding its power portfolio to 4.8 gigawatts. Management projects Q3 2026 earnings per share of $0.43 and break-even in Q4, with full-year revenue of $810.18 million.
Shares fell 5.25% to $10.65 on Aug. 6. The results show the transition remains costly, and investors will watch whether MARA closes Long Ridge and signs leases across its digital infrastructure portfolio before year-end.
This article is for informational purposes only and does not constitute investment advice.
