Bitfarms : FINAL BITF Q1 Earnings Presentation 5.14.25

Published: 2025-05-14 07:07:08 ET BITF.TO

Published on 05/14/2025 at 07:07

The North American Energy and Compute Infrastructure Company

Q1 2025 Earnings Presentation

May 14, 2025

Concept Data Center Campus at Panther Creek

Ben Gagnon

Chief Executive Officer & Director

Bitfarms Well-Positioned to Capitalize on Surging Demand for Compute Power

Bitfarms is fully equipped to meet insatiable compute power demand with robust North American energy portfolio and operational expertise

S5.2 Trillion

I n v e s t m e n t i n t o d a t a c e n t e r s r e q u i r e d t o m e e t A I d e m a n d

b e t w e e n n o w a n d 2 0 3 0

156 GW

AI - R e l a t e d d a t a

c e n t e r c a p a c i t y

d e m a n d

b y 2 0 3 0

125 GW

I n c r e m e n t a l p o w e r

a d d e d

b e t w e e n n o w a n d 2 0 3 0

Source: McKinsey, April 2025

Q1 2025: Strong Foundation

Continued Momentum in Q2

Secured U.S. based scalable power portfolio

Stronghold acq. & Yguazu sale position BITF as

U.S.-focused digital infrastructure company

Secured world-class HPC/AI team

2 key HPC/AI & Infrastructure hires and strong

external partners WWT & ASG

Strong Foundation for HPC/AI Growth

Secured up to $300M in financing from Macquarie in April to fund HPC development

at Panther Creek

Strategic partners completed feasibility analyses of U.S. sites, confirming all are well-

suited for HPC development

Grew EHuM 52%

Strong & profitable underlying BTC mining ops provide free cash flow to fund operations

The Building Blocks of HPC for

Deal finalization

Site marketing & customer acquisition ramp

Construction

Site Specific

Master Plan for Data Center

& Campus

Strategic Financing Partner

Or Facility Secured

Repeatable Process

Feasibility Analyses for

North American Sites

Partner with Strategic Advisors

Key Internal Hires & Reorg

Company

Complete Mining Expansion

HPC Power Campus Acquisition

Strategic Bitcoin

Campus Disposition

One-time Process; Completed

Panther Creek Data Center Campus Concept

U.S. Sites Well-Suited for HPC/AI Conversion

Feasibility analyses from WWT & ASG confirm Bitfarms all U.S. sites have necessary power, land, and fiber for conversion

Site

Immediate Capacity

Land

Robust Fiber Network

Proximity to Major Metros

High-Demand Area for Compute

Proceeding with HPC/AI Development

Panther Creek, PA

Scrubgrass, PA

Sharon, PA

Washington State

Expanding BTC leverage with Bitcoin One program following proven results & BTC

outperformance in 2024

Continued focus on U.S. expansion & diversification beyond BTC mining with strategic pipeline of 500+ MW in 2025 and 1.4

GW of multi-year expansion capacity

Well-Positioned for Continued Growth in 2025 & Beyond

Leverage low-cost power, operational excellence, & strong financial positioning to drive greater Return on Invested Capital

Solid liquidity, financing with Macquarie Group, and profitable mining operation to fund future growth

Maximize value of power portfolio by driving greatest yield per MW through expansion into HPC/AI

Jeff Lucas

Chief Financial Officer

Well-Positioned for Continued Growth in 2025 & Beyond

Up to $300M debt facility expected to fund initial Panther Creek data center development & buildout in a non-dilutive manner

KEY BENEFITS

Investment from one of the world's largest infrastructure investors validates HPC data center development thesis at Panther Creek

Initial tranche of $50M secured by BITF assets with follow-on additional tranche of up to $250M , which may be drawable upon development milestones at Panther Creek data center

Panther Creek data center is strategically located close to large metropolitan area and other data center clusters. With a potential power capacity of ~500 MW supported by multiple power sources and ample fiber access, it enjoys enhanced capacity, reliability & redundancy features, all attractive to potential HPC customers

Panther Creek, PA Data Center ( ~500 MW of capacity)

Q1 2025

Financial Performance

Note: All figures in US$ millions, unless otherwise stated.

Revenue

Q/Q

+20%

$67M

$56M

Q4 2024

Q1 2025

Y/Y

+33%

$67M

$50M

Q1 2024

Q1 2025

Gross Mining Margin

Q/Q

47%

43%

Q4 2024

Q1 2025

Y/Y

63%

43%

Q1 2024

Q1 2025

Q1 EBITDA

Note: All figures in US$ millions, unless otherwise stated.

Adjusted EBITDA

Q/Q

+7%

$15M

$14M

Q4 2024

Q1 2025

Y/Y

$23M

-35%

$15M

Q1 2024

Q1 2025

Liquidity to Fund Growth

S150M

Total Liquidity

Liquidity

at 5.13.25*

S26M

Payments from HIVE over next 5 months

S8M

Est. Monthly Cash Flow from Activities

CAPEX Needs

2025

Projected investment (Exluding potential HPC/AI projects)

Note: All figures in US$ millions, unless otherwise stated. 14

Appendix

Q1 2025 Balance Sheet

Q1 2025 Income Statement

Cost of revenues

(67,390)

(60,999)

(6,391)

10 %

Energy

(25,408)

(19,347)

(6,061)

31 %

Infrastructure expenses

(3,677)

(1,967)

(1,710)

87 %

Depreciation and amortization

(29,693)

(38,977)

9,284

(24) %

Hosting expenses

(7,735)

(100) %

Electrical components and salaries

(877)

(708)

(169)

24 %

Gross loss

(542)

(10,682)

10,140

(95) %

Gross margin

(1) %

(21) %

Gross Mining profit

28,043

31,340

(3,297)

(11) %

Gross Mining margin

43 %

63 %

Total Assets

777,003

667,616

109,387

16 %

Liabilities

112,294

59,621

52,673

88 %

Current liabilities

85,031

36,270

48,761

134 %

Assets

Current Assets 224,264 213,709 10,555 5 %

Cash

38,546

59,542

(20,996)

(35) %

Trade receivables

2,680

1,259

1,421

113 %

Receivable from disposal of business

30,178

100 %

Other assets

6,855

7,285

(430)

(6) %

Short-term prepaid deposits

9,954

14,554

(4,600)

(32) %

Income taxes receivable

424

(424)

(100) %

Digital assets

94,112

87,298

6,814

8 %

Digital assets - restricted

29,120

32,826

(3,706)

(11) %

Inventories

4,886

1,180

3,706

314 %

Derivative assets

2,325

3,418

(1,093)

(32) %

Assets held for sale

5,608

5,923

(315)

(5) %

Non-current Assets

552,739

453,907

98,832

22 %

Property, plant and equipment

507,190

348,525

158,665

46 %

Right-of-use assets

23,700

23,020

680

3 %

Long-term deposits and equipment

prepayments

12,912

56,367

(43,455)

(77) %

Refundable deposits

5,355

21,956

(16,601)

(76) %

Intangible assets

3,582

4,039

(457)

(11) %

Salaries and wages

(6,170)

(6,047)

(123)

2 %

Share-based payments

(4,437)

(3,094)

(1,343)

43 %

Professional services

(5,687)

(1,658)

(4,029)

243 %

Insurance, Duties and other

(3,104)

(1,957)

(1,147)

59 %

Other G&A

(775)

(440)

(335)

76 %

Reversal of revaluation loss on digital assets

- %

Gain on disposition of property, plant and equipment and deposits

5,586

170

5,416

Impairment on property, plant and equipment

(17,230)

(100) %

Operating loss

(32,359)

(23,708)

(8,651)

36 %

Operating margin (48) % (47) % - -

Trade payables and accrued liabilities

57,880

25,894

31,986

124 %

Derivative liabilities

773

128

645

504 %

Current portion of long-term debt

520

146

374

256 %

Current portion of lease liabilities

3,316

2,089

1,227

59 %

Redemption obligation

20,073

100 %

Taxes payable

100 %

Warrant liabilities

2,396

8,013

(5,617)

(70) %

Non-Current Liabilities

27,263

23,351

3,912

17 %

Total comprehensive gain (loss)

(49,296)

11,453

(60,749)

(530) %

Adjusted EBITDA

15,086

23,324

(8,238)

(35) %

Adjusted EBITDA margin

23 %

46 %

Net financial income

2,110

11,443

(9,333)

(82) %

Net loss before income taxes

(30,249)

(12,265)

(17,984)

147 %

Income tax recovery (expense)

(5,626)

6,285

(11,911)

(190) %

Net loss

(35,875)

(5,980)

(29,895)

500 %

Change in revaluation surplus - digital assets, net of tax

(13,421)

17,433

(30,854)

(177) %

Long-term debt

1,915

1,430

485

34 %

Lease liabilities

19,937

19,750

187

1 %

Asset retirement provision

3,323

2,106

1,217

58 %

Deferred tax liability

- %

Equity

664,709

607,995

56,714

9 %

Share capital

942,150

852,286

89,864

11 %

Equity warrants

11,477

100 %

Contributed surplus

72,190

67,521

4,669

7 %

Accumulated deficit

(366,892)

(334,507)

(32,385)

10 %

Revaluation surplus

5,784

22,695

(16,911)

(75) %

Total Liabilities and Equity

777,003

667,616

109,387

16 %

Note: All figures in US$ millions, unless otherwise stated.

Panther Creek Data Center Campus Concept

Bitfarms Enters into

U.S. Growth Chapter

1 Gigawatt

Potential PA Pipeline

Expanding in PJM market

Multiple power sources including generation provide reliability and flexibility

Diversifying portfolio beyond BTC self-mining include HPC/AI, heat recapture, energy generation & trading

Legend:

Clear Path to 1.4+ GW of Power Capacity

Canada United States

Paraguay Argentina

Strategic rebalancing of portfolio towards North America

14%

394

23%

43%

20%

13%

37%

17%

461

33%

11%

16%

500 34%

39%

14%

13%

592

29%

1,400+ MW

48%

78%

YE 2024

Energized

Current Energized

YE 2025E Megawatts under Development

YE 2026E Megawatts under Development

2028E Megawatt Pipeline

Glossary Non-IFRS Performance Measures

BTC BTC/day = Bitcoin or Bitcoin per day

EH or EH/s = Exahash or exahash per second MW or MWh = Megawatts or megawatt hour GW = Gigawatt

PH or PH/s = Petahash or petahash per second TH or TH/s = Terahash or terahash per second w/TH = Watts per Terahash

KWh = Kilowatt per hour

MWuM = Megawatts Under Management, the electrical capacity currently being utilized or available to utilize in Bitfarms data centers which includes immediately available grid import capacity and active generation capacity

EHuM = Exahash Under Management, which includes Bitfarms' proprietary

hashrate and hashrate being hosted by Bitfarms for third-party hosting clients

HPC/AI = High Performance Computing / Artificial Intelligence

PJM= Pennsylvania-New Jersey-Maryland Interconnection

This presentation makes reference to certain measures that are not recognized under IFRS and do not have a standardized meaning prescribed by IFRS. They are therefore unlikely to be comparable to similar measures presented by other companies. The Company uses non-IFRS measures including "Gross margin," "Operating margin," "EBITDA," "EBITDA margin," "Adjusted EBITDA," "Adjusted EBITDA margin," "Gross mining profit," and "Gross mining margin" as additional information to complement IFRS measures by providing further understanding of the Company's results of operations from management's perspective.

EBITDA and EBITDA margin are common measures used to assess profitability before the impact of different financing methods, income taxes, depreciation of capital assets and amortization of intangible assets. Adjusted EBITDA and Adjusted EBITDA margin are measures used to assess profitability before the impact of all of the items in calculating EBITDA in addition to certain other non-cash expenses. Gross mining profit and Gross mining margin are measures used to assess profitability after power costs in cryptocurrency production, the largest variable expense in

mining. Management uses non-IFRS measures in order to facilitate operating performance comparisons from period to period and to prepare annual operating budgets.

"EBITDA" is defined as net income (loss) before:

Interest expense

Income tax expense

Depreciation and amortization

"EBITDA margin" is defined as the percentage obtained when dividing EBITDA by Revenue. "Adjusted EBITDA" is defined

as EBITDA adjusted to exclude:

Share-based compensation

Non-cash finance expenses

Asset impairment charges

Realized gains or losses on disposition of digital assets and (reversal of) revaluation loss on digital assets

Gain on disposition of marketable securities, gains or losses on derivative assets and liabilities & discount expense on VAT receivable

Loss on currency exchange

Loss (gain) on revaluation of warrants and warrant issuance costs

Sales tax recovery

Other non-recuring items that do not reflect the core performance of the business.

"Adjusted EBITDA margin" is defined as the percentage obtained when dividing Adjusted EBITDA by Revenue. "Gross mining profit" is defined as Gross profit excluding depreciation and amortization, non-Mining revenues, purchase of electrical components and other expenses, electrician salaries and payroll taxes, hosting expenses and sales tax recovery. "Gross mining margin" is defined as the percentage obtained when dividing Gross mining profit by Revenues from mining related activities.

These measures are provided as additional information to complement IFRS measures by providing further understanding of the Company's results of operations from management's perspective. Accordingly, they should not be considered in isolation nor as a substitute for analysis of the Company's financial information reported under IFRS.

Corporate Office

18 King Street East, Suite 902 Toronto, Ontario, MSC 1C4, Canada

Operations and Accounting Office of North-America

9160 Boulevard Leduc, Suite 312 Brossard, Quebec, J4Y 0E3, Canada

Disclaimer

Bitfarms Ltd. published this content on May 14, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 14, 2025 at 11:06 UTC.