Mr. Andrew Kiguel reports
HUT 8 MINING CORP. PROVIDES BUSINESS UPDATE AND DATE FOR THIRD QUARTER 2019 FINANCIAL RESULTS
Hut 8 Mining Corp. mined 1,965 bitcoin and retained bitcoin of 3,496 in the third quarter of 2019. Hut 8 also announces that it will release its third quarter 2019 financial results prior to market open on Thursday, Nov. 7, 2019.
Third quarter key highlights:
- Reduction of debt by $3.6-million and accounts payable by more than $6-million;
- Paid deposit of $3.5-million (U.S.) for expansion of nine upgraded BlockBox ACTM data centres;
- Increased petahash capacity by 19.6 per cent during the quarter;
- Increased retained bitcoin of 7.6 per cent to 3,496 bitcoin;
- Approval for trading on the Toronto Stock Exchange.
During the third quarter, Hut 8 announced it had increased its hash rate production by 19.6 per cent, including the purchase of nine additional BlockBox ACTM data centres in Drumheller. In aggregate, Hut 8 operates 94 BlockBox ACTM data centres, with operating capacity of 109.4 million watts and 963 petahashes per second (PH/s).
During Q3 2019, Hut 8 reduced its debt by $3.6-million ($2.75-million (U.S.)) and accounts payable by more than $6-million. Hut 8 also paid $3.5-million (U.S.) toward the expansion of nine upgraded BlockBox ACTM data centres expected to be completed by mid-November, 2019. Hut 8 management took advantage of higher bitcoin prices during the quarter to improve the balance sheet by reducing debt and accounts payable and expand operations. Despite investments in PH/s growth and decreasing balance sheet leverage, Hut 8's retained bitcoin still grew by 7.6 per cent to 3,496 bitcoin.
"Hut 8 strategically sold some of its bitcoin inventory in Q3 2019 at peak prices to finance growth without issuing equity and to significantly improve the balance sheet. We did this while still increasing our overall bitcoin inventory by 7.6 per cent over Q3 2019. In addition, Hut 8 achieved the significant milestone of receiving approval to trade on the Toronto Stock Exchange," said Andrew Kiguel, chief executive officer of Hut 8. "The overall impact of Q3 2019 is a larger, stronger company that still retains substantial exposure to bitcoin through our mining operation and bitcoin held."
A conference call has been scheduled to discuss the company's third quarter 2019 financial results, hosted by Andrew Kiguel, chief executive officer, and Jimmy Vaiopoulos, chief financial officer with further details below:
Date: Thursday, Nov. 07, 2019
Time: 10 a.m. ET
Dial-in: 1-888-465-5079 (Canada) and 1-888-424-8151 (United States)
Passcode: 5861 331, followed by the number sign
About Hut 8 Mining Corp.
Hut 8 is a bitcoin mining company with industrial-scale operations in Canada. Hut 8 has an exclusive North American partnership with Bitfury Group Ltd.
We seek Safe Harbor.
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