CleanSpark Inc
NASDAQ:CLSK
CleanSpark Inc
CleanSpark Inc. is a company that has carved its niche at the intersection of energy technology and cryptocurrency mining. Founded in 1987, it has evolved from initially focusing on energy management solutions to becoming a significant player in the bitcoin mining sector. The company is headquartered in Nevada, but its operations stretch across multiple U.S. states, where it harnesses advanced technologies to maximize energy efficiency and the computational power necessary for mining cryptocurrencies. By leveraging its expertise in energy solutions, CleanSpark optimizes energy consumption for its mining operations, ensuring they remain both cost-effective and sustainable in the face of fluctuating energy prices and increasing environmental scrutiny.
At the heart of CleanSpark's business model is its dual approach: integrating microgrid technology with cryptocurrency mining operations. The company employs microgrid solutions to provide power management systems designed to reduce energy costs for communities and businesses. This technology not only enhances energy efficiency but also provides resilient, clean energy sources. In parallel, CleanSpark's plunge into bitcoin mining has opened up another revenue stream, capitalizing on the lucrative nature of digital currencies. The synergy of these operations allows CleanSpark to maintain a competitive edge by minimizing energy costs for mining, thereby optimizing output and profitability. In doing so, CleanSpark effectively turns a strategic vision into reality, marrying ecological responsibility with cutting-edge technology to sustain its growth in the rapidly evolving energy and cryptocurrency markets.
CleanSpark Inc. is a company that has carved its niche at the intersection of energy technology and cryptocurrency mining. Founded in 1987, it has evolved from initially focusing on energy management solutions to becoming a significant player in the bitcoin mining sector. The company is headquartered in Nevada, but its operations stretch across multiple U.S. states, where it harnesses advanced technologies to maximize energy efficiency and the computational power necessary for mining cryptocurrencies. By leveraging its expertise in energy solutions, CleanSpark optimizes energy consumption for its mining operations, ensuring they remain both cost-effective and sustainable in the face of fluctuating energy prices and increasing environmental scrutiny.
At the heart of CleanSpark's business model is its dual approach: integrating microgrid technology with cryptocurrency mining operations. The company employs microgrid solutions to provide power management systems designed to reduce energy costs for communities and businesses. This technology not only enhances energy efficiency but also provides resilient, clean energy sources. In parallel, CleanSpark's plunge into bitcoin mining has opened up another revenue stream, capitalizing on the lucrative nature of digital currencies. The synergy of these operations allows CleanSpark to maintain a competitive edge by minimizing energy costs for mining, thereby optimizing output and profitability. In doing so, CleanSpark effectively turns a strategic vision into reality, marrying ecological responsibility with cutting-edge technology to sustain its growth in the rapidly evolving energy and cryptocurrency markets.
Revenue: Q1 revenue was $181 million, down 19% from the previous quarter but up nearly 12% year-over-year.
Margins: Gross margin declined to 47% from 57% a year ago, affected by increased network difficulty, but remained stable sequentially.
Net Loss: The quarter saw a net loss of $379 million, primarily due to noncash mark-to-market adjustments on Bitcoin holdings.
AI Expansion: CleanSpark is accelerating its transition into AI-focused infrastructure, with almost 900 megawatts of potential utility capacity in Texas and advanced discussions with hyperscale tenants.
Share Buybacks: Over $600 million in share repurchases since December 2024, reducing outstanding shares by about 20%.
Liquidity: The company has over $800 million of liquidity available, mostly due to proceeds from a $1.15 billion convertible offering.
Bitcoin Mining Strategy: Mining operations remain core; about 90% of the fleet is economic at current Bitcoin prices, and mining will be used to bridge infrastructure during AI buildouts.
Digital Asset Management: Generated $13 million in premiums from Bitcoin-based strategies, achieving annualized returns above targets.
