Bit Digital Reports $28.5M Q3 Profit and $439M ETH Treasury

Nasdaq-listed crypto firm Bit Digital reported a net income of $28.5 million for the third quarter, reversing its $107.2 million net loss from the second quarter. According to its November 12 earnings release, the company recorded $27.1 million in revenue, down 11% from $30.5 million a year earlier, with gross profit standing at $15.2 million and a margin of 56.1%.

The firm held 163,725.9 Ethereum and ETH-equivalent assets valued at approximately $439.4 million on September 30, using a closing price of $2,684. During the quarter, Bit Digital sold 1,625 ETH for $3.4 million at an average price of $2,114.62, while making no additional token purchases. CEO Sam Tabar noted that the company is continuing its shift toward Ethereum and artificial intelligence infrastructure.

Treasury and Staking Performance

Of the total holdings, 74,606.4 ETH were held directly with a fair value of $200.2 million. The treasury also included roughly 15,437 ETH equivalents in an externally managed fund and liquid-staking positions. Bit Digital moved 73,683 ETH into liquid staking during the quarter, receiving 66,192 LsETH tokens, and pledged 19,000 LsETH as loan collateral.

Native Ethereum staking generated 474 ETH in the third quarter, bringing total rewards through September to approximately 1,863 ETH. Staking revenue reached $1 million, marking a 14% increase from the preceding quarter but a decline from $2.9 million a year earlier due to the reallocation of coins toward liquid staking for WhiteFiber financing.

Infrastructure and WhiteFiber Growth

Bit Digital's latest financial results include the performance of WhiteFiber, an artificial infrastructure company in which Bit Digital holds a controlling stake. WhiteFiber colocation revenue reached $5.6 million, up 232% year over year, supported by its MTL-3 facility and initial operations at the NC-1 campus.

Cloud services generated $18.1 million, while Bitcoin mining contributed $2 million, down from $7.4 million a year earlier. The company stated it does not expect to commit significant new capital to its Bitcoin mining operations.

Key facts

• Third-quarter net income reached $28.5 million, reversing a $107.2 million second-quarter net loss.
• Total Ethereum and ETH-equivalent assets stood at 163,725.9, valued at $439.4 million on September 30.
• WhiteFiber colocation revenue increased 232% annually to $5.6 million.
• Bit Digital sold 1,625 ETH during the quarter for $3.4 million.
• Cash and cash equivalents totaled $143.5 million at the end of September, including $138.5 million held at WhiteFiber.