Riot sees lower 2022 revenue despite more BTC mined; delays annual filing on Bitcoin impairment calculation issue
Cryptocurrency mining company Riot Platforms announces 2022 financial results March 2 Reported to delay submission of 10-K to regulatory agencies.
The Riot has grown significantly in 2022
In its annual report, Riot reported “record results” for 2022. The company said he brought in $259.2 million in total revenue for the year. It also ended the year with $230 million in cash, 6,974 BTC ($116 million) and no long-term debt.
The company also improved its mining performance, generating 5,554 BTC in 2022 and reaching a record hash rate of 9.7 exahash per second (EH/s).
The company also says it has generated more than $27 million in electricity credits through various contracts that limit energy usage.
Much of that data represents an increase from the previous year. In 2021, Riot generated his $213.2 million total revenue, generated 3,812 BTC and achieved a hashrate of 3.1 EH/s.
Despite an increase in overall revenue, Riot’s bitcoin mining revenue has fallen in dollar terms. In 2021, he generated mining revenue of $184.4 million, after which in 2022 he generated mining revenue of only $156.9 million. By mining more bitcoin and increasing engineering and data hosting revenue, our overall revenue increased in 2022.
The company also reported a net loss of $509.6 million in 2022. This is a loss that far exceeds the $15.4 million loss reported in 2021.
Riot Delays 10-K Filing
Riot also announced today that it will defer financial reporting for 10-K. March 2.
Riot and its accounting firm have found that existing methods for calculating bitcoin impairment charges do not meet the requirements of accounting rules. The firm said it should use Bitcoin’s intraday low for these calculations. Previously, the company calculated impairment based on daily spot prices.
Given these issues, Riot said it would not submit its 10-K annual report by the expected deadline. The report is expected to be filed within the standard he extended period of 15 days.
Two other companies also postponed 10-K this week. A competing mining company, Marathon, delayed filing his 10-K for similar reasons. Silvergate Bank also postponed its 10-K this week for regulatory investigation and audit reasons.
Riot’s stock price was largely unaffected, gaining 0.65% in the 24 hours of March 2nd.
