Digi Power X Reports Solid Mid-Year Financial Position, Removal of 'Going Concern' Risk and Positive Adjusted EBITDA in Q2 2025

Executive Summary

• Digi Power X Inc. reported unaudited financial results for the three and six months ended June 30, 2025, highlighting a significant turnaround with the removal of "going concern" risks and the achievement of positive Adjusted EBITDA in Q2 2025.
• The company reported a substantial increase in revenue, driven by a 163% year-over-year increase in colocation services to $9.57 million and a 127% year-over-year increase in energy sales to $5.7 million in Q2.
• The company strengthened its balance sheet with over $30 million in cash and equivalents (including ~80 Bitcoin and 715 Ethereum), eliminated all long-term debt, and raised $12.9 million in capital during Q2 2025 through private placements and warrant exercises.

Key Details

• Financial Performance (Six Months Ended June 30, 2025):
  • Revenue: Total revenue comprised $9.57 million from colocation services (up 163% YoY), $5.657 million from energy sales (up 127% YoY in Q2), and $2.161 million from digital currency mining.
  • Adjusted EBITDA: Achieved positive Adjusted EBITDA of $248,223 in Q2 2025, compared to a loss of $(1,340,478) in Q1 2025.
  • Net Loss: Reported a net loss of $(12,074,000) for the six-month period, compared to a net income of $79,000 in the same period of 2024.
  • EPS: Basic and diluted loss per share was $(0.34).
  • Cost Reductions: Reduced cost of revenue and depreciation expenses by over $6.3 million compared to the first half of 2024.
• Capital & Liquidity:
  • Cash Position: Holds over $30 million in cash, Bitcoin, Ethereum, and cash equivalents as of the release date.
  • Q2 Capital Raises: Raised $12.9 million total in Q2 2025, consisting of $6.6 million from a private placement and $4.5 million from warrant exercises.
  • Post-Quarter Financing: Raised an additional $1.83 million through warrant exercises subsequent to the quarter-end.
  • Debt Status: Eliminated all long-term debts and reduced accounts payable by more than $3.6 million since year-end 2024.
  • ATM Program: From May 30, 2025, through June 30, 2025, issued 806,291 subordinate voting shares for gross proceeds of $1,759,800 (average price $2.13) under the At-the-Market program.
• Operational & Strategic Updates:
  • GPU Deployment: First NVIDIA B200 GPU cluster deployment with Super Micro Computers (SMCI) is on track to be fully operational by Q1 2026.
  • Customer Pipeline: In advanced discussions with multiple AI customers to secure long-term infrastructure contracts.
  • Capacity: Currently operates with ~100MW of available power across three sites, with plans to expand to 200MW and beyond.
  • Future Outlook: Expects multiple AI customer contracts to be signed in Q4 2025 and continued growth in colocation and AI infrastructure.

Notable Quotes

• “The removal of the going concern risk and our achievement of over $30 million in cash and equivalents, including holdings of approximately 80 Bitcoin and 715 Ethereum, is a transformational moment for Digi Power X,” said Michel Amar, Chief Executive Officer. “We now have the financial strength and operational momentum to capitalize on the rapidly expanding AI infrastructure market, with our first NVIDIA B200 GPU cluster set to go live in Q1 2026 and a pipeline of AI infrastructure contracts in advanced negotiations.”