Hut 8 Fiscal 2020 Earnings Release: 246% increase in Working Capital, $40.7M in Total Revenue, 87% Y.O.Y Increase in Net Income

TORONTO, ON, March, 25, 2021 — Hut 8 Mining Corp. (TSX: HUT), one of North America’s oldest, largest and most innovative bitcoin miners, today announced financial results for year ended December 31, 2020.

Hut 8 also announces that as at 5pm ET on March 24, 2021, their bitcoin balance was 3,233, a 17% increase from the December 31, 2020 balance.

Fiscal 2020 Results (compared to Fiscal 2019):

  • Total revenue was $40.7m in 2020 compared to $82.0m in 2019.
    • $39.0m of 2020 revenue was driven by bitcoin mining and $1.7m of 2020 revenue was driven by Hut 8’s institutional grade hosting client.
    • Hut 8 mined 2,798 bitcoin in Fiscal 2020 compared to 8,618 bitcoin mined in Fiscal 2019. The decrease was a result of a bitcoin price collapse in mid-March due to economic impacts of COVID-19 affecting all bitcoin miners, as well as the bitcoin halving event which occurred on May 11, 2020, effectively cutting bitcoin production for every miner in half.
    • Hut 8 returned to full operation by the end of Fiscal 2020 and was profitable on all generations of bitcoin mining equipment.
  • Working capital as at December 31, 2020 was $75.7 million, a 246% increase from the prior year working capital amount of $21.9 million.
  • Site operating costs for Fiscal 2020 were $39.7m from the prior year of $45.4m.
    • The average cost of mining each bitcoin for 2020 was $14,195 compared to 2019 of $5,273.
  • Expenses of $3.4m in Fiscal 2020 were reduced by 45% from $6.1m.
  • Realized and unrealized gain of $77.2m.
    • Realized and unrealized revaluation gain of $16.5m through Hut 8’s income statement.
    • Unrealized gain of $60.7m through the equity section of Hut 8’s balance sheet.
  • Adjusted EBITDA of $1.4m in Q4-2020; however, negative Adjusted EBITDA of $2.1m for 2020
  • Net income before tax increased by 87% to $4.0 million from the prior year net income of $2.1 million.
  • Hut 8 recognized a $15 million deferred income tax recovery which had a net zero effect as there was an offsetting amount recognized against the unrealized gain of $60.7 million through the equity section of Hut 8’s balance sheet. This resulted in net income of $19.0 million

Fiscal 2020 Business Highlights:

  • Management of site operations transferred to Hut 8 from Bitfury.
  • Purchase of 300 PH/s of bitcoin mining equipment, all of which has been successfully installed and running.
  • Hut 8 became the first company to successfully enter and exit the TSX Sandbox, solidifying its place as a TSX issuer.

Fiscal 2021 Business Highlights:

  • Hut 8 fully repaid its US$20m Genesis Global Capital loan with all bitcoin collateral returned to Hut 8.
  • Hut 8 secured an additional 5,400 M30S miners consisting of 475 PH/s, 400 of which have been successfully installed with the remaining to be delivered every month through to by July 2021.
  • Hut 8 achieved its goal of 1.0 EH/s in early January and is on track to reaching 1.3 EH/s by the Second Quarter of Fiscal 2021.
  • Hut 8 established a yield account with Genesis capital where it is earning 4% in interest per annum on 1,000 bitcoin.

“The global strength of our Company and mining operations has enabled us to hold the highest amount of self-mined bitcoin on balance sheet of any publicly traded company in the world despite a difficult year for bitcoin miners across the industry,” said Jaime Leverton, Hut 8 CEO. “Now, with a new leadership team, increased revenue diversification and one of the largest amounts of installed capacity actively mining during this current period of highly profitable mining economics, I am incredibly optimistic about Hut 8’s prospects for the future.”


Hut 8 has had minimal impact on its ongoing operation; however, all staff have taken precautionary measures to minimize the spread of the COVID-19 virus.

Media Contact

Hut 8


Forward-Looking Information

Certain information in this press release constitutes forward-looking information. In some cases, but not necessarily in all cases, forward-looking information can be identified by the use of forward looking terminology, such as “plans”, “targets”, “expects” or “does not expect”, “is expected”, “estimates”, “intends”, “assumes”, “anticipates” or “does not anticipate” or “believes”, or variations of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might”, “will” or “will be taken”, “occur” or “be achieved”. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts, but instead represent management’s expectations, estimates and projections regarding future events. Forward-looking information is necessarily based on a number of opinions, assumptions and estimates that, while considered reasonable by Hut 8 as of the date of this press release, are subject to known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information, including but not limited to the factors described in greater detail in the “Risk Factors” section of Hut 8’s Annual Information Form dated March 25, 2021, which is available at These factors are not intended to represent a complete list of the factors that could affect Hut 8; however, these factors should be considered carefully. There can be no assurance that such estimates and assumptions will prove to be correct. The forward-looking statements contained in this press release are made as of the date of this press release, and Hut 8 expressly disclaims any obligation to update or alter statements containing any forward-looking information, or the factors or assumptions underlying them, whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release.

Non-IFRS Measures

This press release presents certain non-IFRS (“IFRS” refers to International Financial Reporting Standards) financial measures to assist readers in understanding Hut 8’s performance. These non-IFRS measures do not have any standardized meaning and therefore are unlikely to be comparable to similar measures presented by other issuers and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Management uses these non-IFRS measures to supplement the analysis and evaluation of operating performance. In this press release, the following terms are used, which are not found in the Chartered Professional Accountants of Canada Handbook and do not have a standardized meaning under IFRS: EBITDA (Earnings before Interest, Taxes, Depreciation, and Amortization): (a) “EBITDA” represents net income or loss excluding net finance income or expense, income tax or recovery, depreciation, and amortization; and (b) “Adjusted EBITDA” represents EBITDA adjusted to exclude share-based compensation, fair value loss or gain on revaluation of digital assets, write-offs, and costs associated with one-time transactions (such as listing fees).

About Hut 8:

Hut 8 is one of North America’s oldest, largest and most innovative bitcoin miners. Hut 8 has one of the highest installed capacity rates in the industry and is #1 globally in held, self-mined Bitcoin of any crypto miner or publicly traded company. Recently ranked 11th (of 10,000) on the 2021 OTCQX® Best 50, the Hut 8 leadership team is continually looking for ways to accelerate innovation in high performance computing, and the blockchain ecosystem. We are stewards of powerful, industry-leading solutions, and drivers of innovation in digital asset mining and high performance computing. – Hut 8 applies a growth mindset to our revenue diversification, ESG and carbon footprint reduction strategy. We are a company committed to growing shareholder value regardless of #BTC market direction. #HodltheHut