Argo Blockchain PLC on Wednesday said its revenue fell in a ‘difficult’ third quarter, while its loss widened in the year to date.
London-based Argo is a blockchain technology company focused on cryptocurrency mining with operations in the US and Canada.
Pretax loss in the three months to September 30 narrowed to $6.3 million from $9.9 million year-on-year. In the financial year to date, pretax loss widened to $38.8 million from $24.5 million.
Revenue decreased by 28% in the third quarter to $7.5 million from $10.4 million. Revenue has grown in the year to date by 6.7% year-on-year to $36.7 million from $34.4 million.
The mining margin percentage for the period was 8%, down from 58% last year. Argo said the prior year period ‘benefited from significant power credits due to economic curtailments’.
Adjusted earnings before interest, tax, depreciation and amortisation swung to a loss of $2.1 million in the third quarter from a positive $2.4 million last year. Adjusted Ebitda for the financial year so far fell 25% to $3.9 million from $5.2 million.
Argo Chief Executive Officer Thomas Chippas said: ‘The third quarter was a difficult quarter for bitcoin miners, including Argo. It is positive that we have seen improvement in bitcoin mining economics in October... and that this has continued into November which has also been strong... At this juncture for the industry, we are keenly focused on growth opportunities that play to our deep expertise.’
The price of bitcoin has risen by 39% to $94,238 from $67,814 on November 5, the day Donald Trump was elected as the next president of the United States. President-elect Trump advocated for the promotion and deregulation of cryptocurrency during the election campaign.
The chief executive officer of financial advisor deVere Group Nigel Green on Wednesday predicted bitcoin could reach $120,000 in the first quarter of 2025 in the wake of Trump’s victory.
Argo shares were down 1.9% to 8.50 pence in London on Wednesday afternoon.
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