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Bitcoin Mining Equipment Maker Canaan Records Its Biggest Quarterly Profits Since 2019 IPO

Despite the fall in the price of Bitcoin (BTC) in the second quarter of 2021, mining hardware manufacturer Canaan has posted significant trading gains over the period.

Based on Canaan’s second quarter unaudited financials released Tuesday, the company posted more than $ 1 billion Chinese renminbi (about $ 167.5 million) in total net income for the second quarter. This figure marks the highest quarterly sales for the Bitcoin miner manufacturer.

In fact, Canaan’s second quarter revenue represents a 168% increase over the figures reported in its first quarter financial statements and a 507.3% increase compared to the second quarter of 2020.

Total revenue was not the only quarterly improvement in the second quarter, as the report showed a net profit of $ 37.9 million for the period. According to the document, the figure marks the company’s highest quarterly net profit since its initial public offering in 2019.

As Cointelegraph previously reported, Canaan posted a net loss of $ 33 million in the first quarter despite the positive Bitcoin price action that dominated the first months of 2021.

Major inventory purchases from major mining establishments helped improve Canaan’s revenue and earnings performance in the second quarter. Tuesday’s report showed that the company delivered hardware totaling 5.9 million terahashes per second (TH / s) in the second quarter of 2021, a 200% increase over its first quarter delivery figures.

In August, Genesis Digital Assets announced the purchase of 20,000 Bitcoin miners from Canaan, with plans to purchase an additional 180,000 rigs.

Canaan CEO Nangeng Zhang described the company’s performance in the second quarter as “remarkable”, adding: “Despite unexpected regulatory policy dynamics and Bitcoin price volatility, we achieved record results by delivering a robust 5.9 million TH / s of computing power to our clients.”

At the time of writing this report, Canaan’s share price has risen more than 5% but has yet to hit the 2021 high above the $ 36 recorded in mid-March. The company’s shares remain distinctly positive for the year in terms of price performance, having risen more than 37% since January 1.

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Tammy Sewell is our Writer and Social at OICanadian.com. Tammy loves sports, she writes our celebrities news. She spends time browsing through several celebs news sources as well the Instagram. Email: [email protected] Phone: +1 513-209-1700

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