TeraWulf (WULF) Q3 2024 earnings summary

Executive summary

• Achieved 10.0 EH/s deployed and mined 555 BTC in Q3 2024, a 100% increase in self-mining hash rate year-over-year, despite a 43.4% decrease in bitcoin mined due to the April 2024 halving and network difficulty.

• Completed sale of a 25% stake in Nautilus Cryptomine for $85–$92 million, increasing liquidity, streamlining operations, and reinvesting proceeds into data center expansion.

• Raised $500 million via an oversubscribed convertible bond offering, with $60 million for capped call and $115 million for share repurchases, and launched a $200 million buyback program.

• Fully repaid legacy debt in July 2024, strengthening the balance sheet and funding growth plans through 1H 2025.

• Advanced construction of high-performance compute (HPC) facilities, with 2.5 MW proof-of-concept completed and 20 MW/50 MW data centers on track for Q1/Q2 2025.

Financial highlights

• Q3 2024 revenue was $27.1 million, up 42.8% year-over-year, but down 24% quarter-over-quarter; value per bitcoin self-mined averaged $61,075.

• Net loss attributable to common stockholders was $23.0 million in Q3 2024, compared to $19.4 million in Q3 2023; adjusted EBITDA was $6.0 million.

• Cost to mine one bitcoin in Q3 2024 was $30,448–$30,499, up from $9,322–$9,352 in Q3 2023, reflecting increased network difficulty and the halving event.

• Cash and cash equivalents at quarter-end were $23.9–$24 million, with total assets $405 million and total liabilities $33 million.

• Weighted average shares outstanding for Q3 2024 was 382.1 million.

Outlook and guidance

• Fully funded to execute growth plans through H1 2025 following $500 million convertible notes financing.

• Targeting 13.2 EH/s realized average hash rate and 18.2 J/TH fleet efficiency in Q1 2025, with 769 BTC projected to be mined.

• HPC hosting capacity to reach 72.5 MW by Q2 2025, with additional 178 MW targeted in 2H 2025.

• Plan to announce a definitive HPC hosting customer agreement before year-end, covering initial 72.5 MW capacity.

• Guidance for 2025 to be provided with the 10-K filing in February.