SAIHEAT Reports FY2024: Mining Revenue Surges 125% Amid Strategic Pivot

04/28/2025 – 04:30 PM

SINGAPORE, April 28, 2025 (GLOBE NEWSWIRE) — SAIHEAT Restricted (“SAIHEAT” or the “Firm”) (NASDAQ: SAIH), as we speak reported audited monetary outcomes for the fiscal 12 months ended December 31, 2024.

Monetary Highlights for the Yr Ended December 31, 2024

• Complete revenues had been US$5.54 million, representing a lower of 18% in comparison with US$6.78 million in 2023 primarily resulting from income decreases throughout enterprise segments of gross sales of merchandise, internet hosting service and mining pool, which was partially offset by 125% income improve from mining income for the 12 months ended December 31, 2024.

• Gross loss was US$1.01 million, in comparison with gross revenue of US$0.46 million in 2023.

• Web loss was US$5.89 million, barely improved from a internet lack of US$6.12 million in 2023.

• Different revenue elevated 62% to from US$1.25 million in 2023 to US$2.02 million in 2024, primarily resulting from a rise within the truthful worth of crypto belongings for the 12 months ended December 31, 2024.

Administration Commentary

Mr. Arthur Lee, Chairman and Chief Govt Officer of SAIHEAT, commented, “Whereas 2024 introduced notable challenges following the April Bitcoin halving occasion, we tailored shortly to shifting market dynamics. Our mining income confirmed robust resilience, doubling income year-over-year on the again of upper common Bitcoin costs. Trying forward, we stay targeted on enhancing operational effectivity, progressing our sustainable bitcoin currency-mining technique, and deepening our innovation in affiliate petroleum fuel and nuclear integration.

In 2025, we are going to place a higher emphasis on our technologically main space – Bitcoin cloud computing energy mining. By specializing in this course, we plan to supply the next three classes of companies for purchasers to determine a connection between humanity and clear vitality.

The primary is Bitcoincurrency mining. We plan to supply an array of companies from Bitcoincurrency joint mining to relative asset custody companies by offering improved computing energy to small and medium-sized eligible buyers.

The second is Affiliate Petroleum Fuel (APG). We purpose to supply related fuel reutilization to vitality asset house owners, to assist the massive enterprises within the oil and fuel fields meet the demand of making worth from idle vitality by way of vitality digitization and monetarization options. These applied sciences contribute to lowering the carbon footprint and supplies progressive options for vitality enterprises.

The third is Small Modular Reactor (SMR). We are going to present sovereign international locations with built-in options primarily based on modular nuclear energy to help them in constructing new era of digital vitality infrastructures. Via computing energy bitcoin forex mining, we clear up issues comparable to the shortage of secure clients on the preliminary stage of infrastructure building or the comparatively lengthy price restoration in funding cycle, thus, accelerating the funding restoration cycle and attaining greater financial advantages.

Current Developments

On-Website Challenge & Program Growth Replace

• The sale of 40MW of cutting-edge liquid-cooling container merchandise to one of many subsidiaries of Bitdeer Applied sciences Group (“Bitdeer”) (NASDAQ: BTDR). The liquid-cooling containers are designed to host Bitdeer’s high-performance SEALMINER mining rigs and can be deployed at Bitdeer’s new information middle.

• Participation within the 1CP (AEP’s Crucial Peak) program, a strategic initiative designed to cut back electrical energy prices for energy-intensive industries. This initiative aligns with SAIHEAT’s mission to boost operational effectivity and sustainability within the digital asset sector.

• Began accepting funds in Bitcoin for its vary of services, together with (1) the Firm’s HEATWIT liquid cooling Superior Computing Middle Ecosystem (ACCE) for Bitcoin mining operations and AI computing, and (2) the Firm’s HEATNUC small modular reactor services.

Internet hosting & Presence at Business Occasions

• Participation on the Supercomputing 2024 (SC24) Convention, happening from November 18-21 in Atlanta, Georgia. SAIHEAT showcased its Superior Computing Middle Ecosystem (ACCE), a confirmed suite of liquid-cooling system that allow carbon-negative information middle operations by repurposing waste computing warmth.

• Hosted its 2024 BIT HEAT DAY on November 14, 2024, on the Firm’s U.S. R&D Middle in Marietta, Ohio. The occasion was co-hosted with the Group of Clear Vitality and Local weather (OCEC), a non-profit group, with full help from native governmental workplace and group and targeted on selling next-generation edge information middle infrastructure and the environmental, social, and governance (ESG) advantages of computing warmth recycling by way of liquid-cooling applied sciences. SAIHEAT additionally showcased its new A-series product line, designed to handle the rising calls for of the AI trade.

HEATNUC Enterprise Line Replace

• Strategic Progress in HEATNUC Initiatives
  Introduced the mixing of HEATNUC, a sophisticated Small Modular Reactor (SMR) system devoted to energy AI computing facilities. Designed as a secure, high-capacity vitality supply, HEATNUC addresses the distinctive energy wants of AI-driven infrastructure, offering an answer that conventional renewable and fossil-fuel-based vitality sources can’t match.

Audited Monetary Outcomes for the Yr Ended December 31, 2024

Revenues

Gross sales of Merchandise: Decreased by 48% from $4.80 million for 2023 to US$2.50 million for 2024, resulting from fewer buyer orders of high-performance crypto asset mining machines and out of doors computing infrastructure container secured throughout fiscal 12 months 2024.

Internet hosting Service: Declined 86% from $0.37 million year-over-year to US$0.05 million, which was resulting from machines shutdowns requested by internet hosting shoppers since their excessive power-consumption miners don’t ship revenue when block reward halving occurred in April 2024.

Mining Pool: Decreased by 78%, from $0.30 million for 2023 to US$0.07 million for 2024, as some internet hosting clients utilizing our pool selected to close down miners resulting from block reward halving occasions in 12 months 2024.

Mining Income: Elevated by 125% to US$2.92 million, pushed by elevated common worth of bitcoin mined, which was 130% greater than the common worth within the prior 12 months. The typical day by day bitcoin manufacturing was 0.13 bitcoin in 2024, in contrast with 0.12 within the prior 12 months.

Value of Revenues

Value of revenues elevated by 4% year-over-year to US$6.55 million, primarily resulting from expanded self-mining exercise and vitality consumption. This offset reductions in hardware-related prices for gross sales and internet hosting.

Gross (Loss)/Revenue

Gross revenue was a gross lack of US$1.01 million for the 12 months ended December 31, 2024, in comparison with a gross revenue of US$0.46 million in 2023.

Gross Margin

The gross margin was damaging 18% in 2024, in comparison with a optimistic gross margin of seven% within the prior 12 months.
The decline was primarily pushed by greater prices related to self-mining operations and a shift in income combine.

Working Bills

Promoting and Advertising and marketing Bills: Decreased 75% to US$0.28 million, reflecting diminished share-based compensation bills, depreciation and amortization bills, and journey prices.

Common and Administrative Bills: Barely elevated by 5% to US$5.97 million, which was primarily pushed by an increase in share-based fee bills to US$3.15 million.

Analysis and Growth Bills: Decreased by 25% to US$0.64 million, resulting from decrease employee-related and incentive bills.

Impairment of Lengthy-Lived Property: No impairment recorded in 2024, in comparison with US$0.14 million in 2023, reflecting improved BTC market valuations.

Different Earnings

Different revenue was US$2.02 million in 2024, in comparison with US$1.25 million in 2023, pushed primarily by unrealized beneficial properties from adjustments within the truthful worth of crypto belongings.

Web loss

Because of the above, SAIHEAT reported a internet lack of US$5.89 million, barely improved from a US$6.12 million internet loss within the prior 12 months.

Non-GAAP Monetary Measures

We’re offering supplemental monetary measures for non-GAAP internet revenue from operations that excludes the influence of share-based compensation expense, loss from disposal of property and tools, impairment losses on crypto belongings, depreciation of fastened belongings and amortization of intangible belongings. This supplemental monetary measure will not be measurement of monetary efficiency underneath typically accepted accounting rules within the United States (“GAAP”) and, consequently, this supplemental monetary measure is probably not corresponding to equally titled measures of different corporations. Administration makes use of this non-GAAP monetary measure internally to assist perceive, handle, and consider our enterprise efficiency and to assist make working selections.

We imagine that this non-GAAP monetary measure can also be helpful to buyers and analysts in evaluating our efficiency throughout reporting intervals on a constant foundation. Non-GAAP monetary measures are topic to materials limitations as they aren’t in accordance with, or an alternative to, measurements ready in accordance with GAAP. For instance, we anticipate that share-based compensation expense, which is excluded from non-GAAP monetary measures, will proceed to be a major recurring expense over the approaching years and is a crucial a part of the compensation offered to sure workers, officers, and consultants. Equally, we anticipate that depreciation of fastened belongings and amortization of intangible belongings will proceed to be a recurring expense over the time period of the helpful lifetime of the belongings. We additionally will exclude impairment losses on crypto belongings from the non-GAAP monetary measure, which can happen in future intervals on account of our continued holdings of great quantities of bitcoin. Our non-GAAP monetary measure will not be meant to be thought of in isolation and must be learn solely along side our Consolidated Monetary Statements, which have been ready in accordance with GAAP. We rely totally on such Consolidated Monetary Statements to grasp, handle, and consider our enterprise efficiency and use the non-GAAP monetary measure solely supplementally.

The next is a reconciliation of our non-GAAP internet (loss) revenue for the years ended December 31, 2024, 2023 and 2022 respectively, which excludes the influence of (i) share-based compensation expense, (ii) loss from disposal of property and tools, (iii) depreciation of fastened belongings and amortization of intangible belongings ({dollars} in hundreds):

About SAIHEAT

SAIHEAT (NASQAQ: SAIH) is a worldwide distributed computing energy operator. By leveraging a modular computing energy system, we assist vitality house owners tackle the problems of native vitality consumption and environment friendly useful resource utilization. The corporate supplies BTC cloud mining companies by joint computing energy, in addition to vitality digitization and monetarization options for vitality asset house owners. These applied sciences contribute to lowering the carbon footprint and supplies progressive options for vitality enterprises.

Secure Harbor Assertion

This press launch could comprise forward-looking statements throughout the which means of the Non-public Securities Litigation Reform Act of 1995. The phrases “imagine”, “anticipate”, “anticipate”, “venture”, “targets”, “optimistic”, “assured that”, “proceed to”, “predict”, “intend”, “purpose”, “will” or comparable expressions are supposed to determine forward-looking statements. All statements apart from statements of historic truth are statements which may be deemed forward-looking statements. These forward-looking statements embrace, however not restricted to, statements regarding SAIHEAT and the Firm’s operations, monetary efficiency, and situation are primarily based on present expectations, beliefs and assumptions that are topic to vary at any time. SAIHEAT cautions that these statements by their nature contain dangers and uncertainties, and precise outcomes could differ materially relying on quite a lot of vital components comparable to authorities and inventory alternate laws, competitors, political, financial, and social circumstances all over the world together with these mentioned in SAIHEAT’s Kind 20-F underneath the headings “Danger Components”, “Outcomes of Operations” and “Enterprise Overview” and different studies filed with the Securities and Alternate Fee every so often. All forward-looking statements are relevant solely as of the date it’s made and SAIHEAT particularly disclaims any obligation to keep up or replace the forward-looking data, whether or not of the character contained on this launch or in any other case, sooner or later.