HIVE Announces Fiscal Q1 2026 Record Revenue of $45.6 Million and Adjusted EBITDA of $44.6 Million with an Average of 8.9 EH/s Representing 45% Quarter over Quarter Growth in Hashrate

Executive Summary

• HIVE Digital Technologies Ltd. reported record financial results for the first quarter ended June 30, 2025 (Fiscal Q1 FY2026), achieving all-time highs in revenue, net income, and Adjusted EBITDA.
• The company demonstrated strong operational growth, with a 45% sequential increase in average hashrate and a 34% increase in Bitcoin production, driven by expanded operations in Canada, Sweden, and Paraguay.
• Management highlighted a robust financial position with $71.9 million in cash and digital currencies, while outlining aggressive expansion targets to reach 25 EH/s by Thanksgiving and $100 million in high-margin run-rate revenue from AI/cloud services by calendar year 2026.

Key Details

• Total Revenue: $45.6 million, representing a significant sequential increase.
• Digital Currency Mining Revenue: $40.8 million (up 44.9% sequentially), driven by a 47% increase in average hashrate from 5.9 EH/s to 8.7 EH/s and slightly higher Bitcoin prices.
• HPC (High-Performance Computing) Revenue: $4.8 million (up 59.8% sequentially), a record quarter for BUZZ HPC.
• Bitcoin Production: Mined 406 Bitcoin, up 34% sequentially from Q4 FY2025.
• Gross Operating Margin: $15.8 million (34.7%), up from $8.8 million (28.2%) in Q4 FY2025.
• Net Income: $35.0 million GAAP net income, primarily driven by $23.2 million in net realized/unrealized gains on digital currencies, $8.2 million non-cash unrealized gain on equity investments, and $16.4 million gain on change in fair value of derivative assets.
• Adjusted EBITDA: $44.6 million.
• Operating Expenses: G&A expenses were $5.8 million, up slightly from $5.3 million in Q4 FY2025 due to staff increases for global expansion.
• Direct Costs: Total direct costs were $29.8 million; mining direct costs were $26.8 million (90% electric power cost).
• Balance Sheet: Ended the quarter with $71.9 million in cash and digital currencies.
• Operational Metrics:
  • Average hashrate reached 8.9 EH/s during the quarter.
  • Current hashrate stands at over 15 EH/s (as of August 2025), producing approximately 7.5 Bitcoin per day.
  • Bitcoin network difficulty increased 10.2% quarter over quarter.
• Strategic Updates:
  • Targeting 25 EH/s capacity by Thanksgiving.
  • Acquired a 7.2 MW Tier 3 data center in Toronto (expected to close in Q2) capable of supporting 5,000 next-gen GPUs.
  • Launched another NVIDIA Hopper GPU cluster in Quebec.
  • Goal to achieve $100 million in high-margin run-rate revenue from cloud computing and AI model training services by calendar year 2026.

Notable Quotes

• Frank Holmes, Executive Chairman: "HIVE's performance this quarter demonstrates its commitment to supporting Bitcoin network security... We delivered record revenue in both our digital currency mining and BUZZ HPC businesses, which grew approximately 45% and 60% sequentially, respectively. We achieved this while keeping shareholder dilution among the lowest in the industry..."
• Aydin Kilic, President & CEO: "This was a phenomenal quarter, we grew our production by 45% in Q1 2026... We remain firmly on track to reach 25.0 EH/s by Thanksgiving, cementing HIVE among the world's largest Bitcoin miners."
• Darcy Daubaras, CFO: "We are very pleased with our performance to start fiscal year 2026... In addition, we ended the quarter in a robust financial position with $71.9 million in cash and digital currencies, which management believes positions the Company well to execute our growth strategy while maintaining financial resilience."