Consensus Mining & Seigniorage (CMSG) investor relations material

Executive summary

• The quarter was marked by challenging cryptocurrency market conditions, including lower Bitcoin and Dogecoin prices, leading to reduced mining rewards and profitability.

• Reported a net loss of $6.6 million ($2.95 per share) for Q1 2026, compared to a net loss of $2.7 million ($1.19 per share) in Q1 2025.

• A significant leadership change occurred with the passing of the Chief Strategy Officer, prompting the formation of a new strategy committee.

• The board approved a $5 million stock repurchase program to address the persistent discount to book value and authorized exploring strategic options with potential advisory engagement.

• Book value per share decreased to $38.33 from $41.28 year-over-year.

Financial highlights

• Mining revenue declined to $0.5 million from $1.4 million year-over-year due to lower bitcoin and scrypt mining output and prices.

• Revenues split: 54% Bitcoin, 46% Scrypt mining; both segments saw declines due to lower volumes and prices.

• Unrealized losses of $7 million from digital asset price declines, primarily Bitcoin.

• Operating expenses rose to $1.9 million from $0.8 million, including a $1.1 million impairment loss.

• Cash position remains strong at $60.8 million as of March 31.

Outlook and guidance

• Transitional hosting changes expected to lower costs and improve profitability in future quarters.

• Anticipates revenue improvement as equipment realignment completes and crypto prices recover.

• Exploring Zcash mining as a complementary strategy due to its attractive payback period.

• Announced a shareholder call scheduled for May 7, 2026, to discuss results and outlook.