HIVE Digital Technologies and MARA Holdings both reported increased Bitcoin production in the September quarter compared to a year earlier, but weaker crypto prices led to lower mining revenue for both companies. HIVE’s Bitcoin production rose 49% to 1,070 BTC, while mining revenue fell 7.4% to $76 million. MARA saw a 5% increase in production to 2,247 BTC, but mining revenue dropped 34% to $159 million.
Both companies faced higher operational costs, with HIVE’s electricity costs rising 20% to $45.6 million and MARA’s energy costs increasing 12% to $48.1 million. HIVE also recorded a $31.2 million noncash write-down on mining equipment, citing “depressed mining economics,” while MARA wrote off $12 million in mining rigs and equipment.
Despite these challenges, both HIVE and MARA are expanding their artificial intelligence (AI) and high-performance computing (HPC) businesses alongside mining. HIVE’s HPC hosting revenue surged 71% to $8.8 million, accounting for 10.4% of total revenue. The company plans to spend up to $493 million over 36 months to expand its HPC operations and $35 million to convert its Toronto facility into a Tier-III data center.
MARA is also developing AI infrastructure through its Exaion subsidiary and a partnership with Starwood Digital Ventures. The company reported fiscal second-quarter revenue of $164.2 million, down 35% year-on-year, but net income attributable to common stockholders rose to $634.4 million, driven by substantial fair-value gains on digital assets.