Financial Data and Key Metrics Changes - Gryphon mined approximately 61 Bitcoin and generated mining revenues of 5.2 million in the same period in the prior year [10] - Breakeven costs per Bitcoin in Q3 2024 were 21,501 in Q3 2023, reflecting the halving event and increased global hashrate [10] - Adjusted EBITDA was approximately negative 4.7 million in Q3 2023 [11] - The company recognized a net loss of 8.1 million in Q3 2023 [12] Business Line Data and Key Metrics Changes - The company has enhanced its leadership team to accelerate growth, including the appointment of a new Chairman and Board members with significant industry experience [5][6] - A transformative debt restructuring was completed, converting 5 million on favorable terms, significantly strengthening the financial position [6][7] Market Data and Key Metrics Changes - The market capitalization of Gryphon has moved north of 59,224, with the current price exceeding 90,000 [26] Company Strategy and Development Direction - The company is focused on both core Bitcoin mining operations and strategic expansion into AI infrastructure hosting, leveraging low-cost power [4][17] - Gryphon aims to diversify revenue and accelerate growth by becoming a leading provider of high-performance computing for AI applications [18][19] - The company plans to make meaningful progress towards AI hosting through organic development and potential strategic M&A [19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's positioning to capitalize on the growing demand for AI compute, viewing it as a unique opportunity [17][18] - The company is committed to methodically building its core Bitcoin mining business while pursuing AI opportunities [19][20] Other Important Information - The company has secured ultra-low-cost power mining operations at around 0.01 per kilowatt hour, which is seen as a competitive advantage [9] - The debt restructuring has transformed a significant liability into a strength, with Anchorage becoming the largest shareholder and a key partner [38][39] Q&A Session Summary Question: Can you elaborate on your efforts in HPC? - The company is looking for new spaces to launch AI operations, not converting existing Bitcoin facilities [22] Question: Has anything happened with your cost of power recently? - The cost of power has been consistent, averaging around 0.063 per kilowatt hour, with efforts to find alternatives [23][24] Question: What was the average Bitcoin price during the quarter? - The average Bitcoin price was 65,000 [34] Question: What expertise will be needed for the HPC endeavor? - The company plans to add power experts and HPC specialists as it identifies significant power opportunities [40]
Gryphon Digital Mining(GRYP) - 2024 Q3 - Earnings Call Transcript