Hut 8 reports Q3 EPS 1c, consensus (39c)

Reports Q3 revenue $43.7M, consensus $52.94M. Q3 net income was $900,000 versus a net loss of $4.4M in the prior year period. The Company recognized a $6.0M gain on debt extinguishment related to the conversion of our Anchorage Loan into common stock of the Company in Q3. “This quarter, we executed several strategic initiatives designed to drive topline growth and strengthen our competitive position in both AI and Bitcoin mining,” said Asher Genoot, CEO of Hut 8 (HUT). “Key initiatives-including a ~15 EH/s colocation partnership with BITMAIN, the go-live of our GPU-as-a-Service vertical, and the elimination of significant interest expenses through the equitization of our Anchorage Digital loan-are projected to generate nine figures in new annualized revenue and reduce interest expenses by more than $17M over three years.”