Canaan Revenue Craters to $31.9M as Q2 Net Loss Widens

Canaan Inc., a leading Bitcoin-mining equipment maker, reported disappointing second-quarter results. The company's revenue fell to $31.9 million, down from $62.7 million in the previous quarter and $100.2 million a year earlier.

The sharp decline was attributed to weaker machine demand, lower bitcoin prices, and non-cash charges. Canaan's product revenue declined due to reduced computing power sold and a lower average selling price.

The company recorded a gross loss of $29.3 million, with costs including a $25.3 million inventory and prepayment write-down, as well as provisions tied to inventory purchase commitments. The loss from operations reached $69.5 million.

Canaan's mining operations produced 243 BTC in the quarter, but its total holdings of 1,915.5 BTC included 698.5 BTC classified as cryptocurrency assets and 1,217 BTC recorded as receivables due to secured loans or transferred to a fixed-term product.