Executive Summary

Q2 2025 revenue was $25.7M, down 11.7% YoY (vs. $29.0M in Q2’24) and up slightly QoQ (vs. $25.1M in Q1’25), as cloud services growth offset a steep decline in bitcoin mining revenue .
EPS swung to $0.07 vs. $(0.09) in Q2’24, aided by digital asset gains; Adjusted EBITDA was $27.8M (included a $27.2M gain on digital assets), vs. $(3.8)M in Q2’24 .
Relative to S&P Global consensus, revenue was modestly below ($25.7M vs. $26.2M*), but EPS materially beat (actual $0.07 vs. $(0.022)), driven by non-operating gains; Adjusted EBITDA also exceeded consensus ($27.8M vs. $5.7M) .
Strategic pivot executed: Company initiated transition to a pure-play Ethereum treasury/staking model, began winding down bitcoin mining, and completed IPO of WhiteFiber while retaining ~74.3% ownership; post-quarter ETH holdings scaled to 121,076 as of Aug 11 .
Potential stock catalysts: clear capital allocation to ETH with staking yield strategy, EPS surprise vs. expectations*, and optionality from the retained WhiteFiber stake valued at ~$468.4M as of Aug 13 .
(*Values retrieved from S&P Global)

What Went Well and What Went Wrong

What Went Well
- Cloud services continued to scale: Q2 cloud revenue rose to $16.6M (+32.8% YoY) .
- EPS and EBITDA upside vs. consensus: $0.07 EPS vs. $(0.022)* and $27.8M Adjusted EBITDA vs. $5.7M*, albeit largely from a $27.2M digital asset gain .
- Strategic clarity and balance sheet strength: ETH-focused treasury/staking plan launched; cash rose to $181.2M by June 30; BTC subsequently converted into ETH to accelerate strategy .
- Management quote: “Our objective is to build one of the largest on-chain ETH balance sheets in the public markets and to generate attractive staking yields for shareholders.”
What Went Wrong
- Mining headwinds persisted: Digital asset (bitcoin) mining revenue fell to $6.6M (–58.8% YoY), reflecting halving and higher network difficulty .
- Elevated operating costs: G&A jumped to $19.7M vs. $5.5M in Q2’24, driven by $5.5M stock-based awards and consulting/legal tied to acquisitions/IPO—management characterizes as largely non-recurring .
- Revenue slightly missed consensus ($25.7M vs. $26.2M*), and ETH staking revenue of $0.4M decreased slightly YoY despite higher staking rewards due to lower realized ETH price .
  (*Values retrieved from S&P Global)

Financial Results

Metric	Q2 2024	Q1 2025	Q2 2025
Revenue ($M)	$29.0	$25.1	$25.7
Diluted EPS (GAAP)	$(0.09)	$(0.32)	$0.07
Adjusted EBITDA ($M)	$(3.8)	$(44.5)	$27.8
Gross Margin (%)	—	—	49%

Segment revenue breakdown

Segment Revenue ($M)	Q2 2024	Q1 2025	Q2 2025
Digital Asset Mining	$16.1	$7.8	$6.6
Cloud Services	$12.5	$14.8	$16.6
Colocation Services	$0.0	$1.6	$1.7
ETH Staking	$0.4	$0.6	$0.4
Total Revenue	$29.0	$25.1	$25.7

Consensus vs. Actual (S&P Global baseline)

Metric	Q2 2025 Consensus	Q2 2025 Actual
Revenue ($M)	$26.19*	$25.70
EPS (GAAP)	$(0.022)*	$0.07
Adjusted EBITDA ($M)	$5.73*	$27.8
(Values with * retrieved from S&P Global)

KPIs and balance sheet

KPI	Q1 2025	Q2 2025	Post-Q2 Snapshot
BTC Mined (units)	83.3	68.2	—
ETH Staking Rewards (units)	211.0	166.8	—
ETH Held (units)	24,434 (3/31)	30,663 (6/30)	121,076 (8/11)
ETH Actively Staked (units)	21,568 (3/31)	21,568 (6/30)	105,015 (8/11)
Active Hash Rate (EH/s)	1.5 (3/31)	1.2 (6/30)	—
Fleet Efficiency (J/TH)	—	~25 (6/30)	improving with S21s
Cash & Equivalents ($M)	$61.3 (3/31)	$181.2 (6/30)	—

Notes: Q2 gross margin was ~49%; Q2 Adjusted EBITDA included a $27.2M gain on digital assets . Management indicated subsequent sale of BTC and redeployment into ETH post quarter-end .

Guidance Changes

Metric	Period	Previous Guidance/Indication	Current Guidance/Actual	Change
Revenue (Consolidated)	Q2 2025	Preliminary $24.3–$26.9M (7/14 8-K)	Actual $25.7M	In-line
WhiteFiber Revenue	Q2 2025	Preliminary $17.7–$19.6M; CoR $6.7–$7.4M (7/29 8-K)	Consolidated at BTBT; not separately reported in release	N/A
Bitcoin Mining Strategy	2025+	N/A	No new miner investment; exploring sale or wind-down	Lowered growth
Capital Structure	Proxy	N/A	Proposal to increase authorized share count to support ETH strategy (no immediate financing plan)	N/A

Management did not issue formal quantitative guidance for revenue, margins, OpEx, tax, or dividends for future periods; commentary focused on strategy, cost normalization, and capital allocation .

Earnings Call Themes & Trends

Topic	Q4 2024 (Prev-2)	Q1 2025 (Prev-1)	Q2 2025 (Current)	Trend
ETH/Treasury Strategy	ETH staking active; BTC still majority; focus on HPC	ETH/treasury not primary narrative in PR; HPC scaling	Announced pivot to pure-play ETH treasury & staking; rapid ETH accumulation	Increasing focus
Bitcoin Mining	Efficiency focus; consider targeted upgrades; headwinds from halving	BTC mining ~31% of Q1 revenue	Strategic alternatives; wind-down or sell; no new units	De-emphasized
Cloud/HPC & Colocation	Strong Q4 cloud revenue ($13M); colocation ramp and large pipeline	Q1 cloud $14.8M; new contracts and pipeline	Cloud $16.6M; colocation $1.7M; WhiteFiber IPO completed post-Q2	Scaling
Cost Structure/OpEx	Higher G&A in 2024 tied to M&A; non-recurring focus	—	Q2 G&A elevated ($19.7M) due to stock comp and IPO/legal; guide to leaner standalone cost structure	Normalizing lower
Regulatory/Legal	Monitoring tariffs and supply chain for data centers	—	Management constructive on crypto policy (stablecoin framework; ETH commodity clarity advancing)	Improving backdrop

Management Commentary

Strategic focus: “This quarter marked the beginning of Bit Digital's transformation into a dedicated Ethereum treasury and staking platform… Our objective is to build one of the largest on-chain ETH balance sheets in the public markets and to generate attractive staking yields for shareholders.”
Capital allocation: “We intend to opportunistically and cost-effectively scale our ETH position… deploying proceeds from operations and leveraging various capital markets tools… focused on growing long-term value per share.”
Cost normalization: “Second quarter G&A included approximately $5.5M in stock-based awards… as well as certain consulting and legal related expenses, which we expect to be nonrecurring… The standalone Bit Digital cost structure is expected to be significantly less than our consolidated G&A with WhiteFiber.”
Mining wind-down: “We are exploring strategic alternatives for our Bitcoin mining business… we will not invest in additional mining units.”

Q&A Highlights

ETH staking adoption and business model: Management emphasized compounding yield and using the WhiteFiber stake for non-dilutive capital to grow ETH, noting institutional acceptance of ETH staking and its yield advantage over BTC .
G&A normalization: CFO cited $5.5M stock comp tied to an acquisition milestone and IPO-related consulting/legal fees as primary drivers; reiterated expectation that standalone BTBT G&A will be “significantly leaner” going forward .
Bitcoin mining trajectory: No new investments; fleet to be run until unprofitable/contract expiry; recent S21/S21+ deployments improve efficiency while operations wind down .
Marketing and regulatory outlook: Post-IPO, BTBT plans more active investor outreach on ETH strategy; management assessed US regulatory tone as improving for crypto, with stablecoin and ETH commodity clarity supportive of adoption .
Financing: Preference for non-dilutive financing for HPC/data centers; openness to monetizing WhiteFiber stake over time; no immediate plan to use ATM at unfavorable valuations (from prior Q4 call context) -.

Estimates Context

Revenue modest miss: $25.7M actual vs. $26.19M consensus* .
EPS significant beat: $0.07 actual vs. $(0.022) consensus*, aided by a $27.2M gain on digital assets reflected in Adjusted EBITDA and contributing to net income .
Adjusted EBITDA beat: $27.8M actual vs. $5.73M consensus*, driven by digital asset gains and cloud/colocation contribution .
Takeaway: Street models may raise non-operating contributions in near term but will need to reassess core run-rate profitability given G&A normalization and shifting revenue mix toward ETH staking and cloud.
(*Values retrieved from S&P Global)

Key Takeaways for Investors

The pivot to an ETH treasury/staking model is now operational, with ETH holdings ramping from 30,663 at Q2-end to 121,076 by Aug 11, positioning BTBT as a levered play on ETH with staking yield .
Core revenue mix is shifting from mining to recurring/cloud-driven services: cloud $16.6M (+33% YoY) and colocation $1.7M in Q2 underpin a more durable revenue base as mining winds down .
Headline beats (EPS/EBITDA) benefited from digital asset gains; monitor forward quarters for underlying margin trajectory as G&A normalizes and the standalone cost structure takes hold .
Balance sheet optionality: $181.2M cash at Q2-end and a valuable retained stake in WhiteFiber (~74.3% as of Aug 13) provide non-dilutive levers to expand ETH holdings and support strategy execution .
Strategic clarity and capital discipline are improving: no new BTC miner purchases; authorized share increase proposal for flexibility; openness to monetizing WhiteFiber over time .
Near-term trading implication: Narrative is transitioning from “miner” to “ETH treasury + staking yield” plus cloud/colo—expect multiple re-rating if the market credits a premium to ETH NAV and recurring revenues, balanced against revenue miss optics and non-recurring G&A noise .
Medium-term thesis: If ETH appreciation persists and staking yields scale with higher staked balances while cloud/colo expand, BTBT’s per-share NAV and cash yield potential could improve, with WhiteFiber creating further strategic flexibility .

Bit Digital, Inc (BTBT)·Q2 2025 Earnings Summary