Bitcoin mining company Cipher reported a net profit of 31.6 million USD in the third quarter, with revenue decreasing by 63% year-on-year

According to CoinDesk, Bitcoin mining company turned data center developer Cipher Digital reported a net profit of 31.6 million USD for the third quarter, despite a 63% year-over-year decline in revenue. Revenue fell from 71.7 million USD in the same period last year to 26.7 million USD, with Bitcoin mining contributing 20.8 million USD, a 71% decrease, as Cipher shifted its computing power from mining to leasing data centers to AI companies.

This quarter, Cipher generated revenue from this business for the first time, with its Texas Black Pearl data center bringing in 5.9 million USD after commencing operations in August. Cipher reported an operating loss of 71.9 million USD, up from 37.6 million USD in the same period last year; adjusted EBITDA dropped from a positive 40.8 million USD to a negative 10 million USD. The net profit mainly came from a 127.2 million USD non-cash accounting gain related to warrants from Google, which does not represent cash actually received by Cipher. Recently, Cipher extended the lease term for the Barber Lake data center to 20 years, bringing the site's contract revenue to approximately 9.1 billion USD.