Cipher Mining Inc. experienced a significant decline in its stock price, closing down nearly 17.5% on February 25. This drop followed the announcement of its full-year 2024 financial results, which revealed a troubling increase in operating losses.

The company’s operating losses more than doubled to $43.7 million from $20.1 million in 2023, despite a nearly 19% increase in revenues, which reached $151 million. The rise in expenses was attributed to the expansion of its self-mining hashrate to around 13.5 exahashes per second and the acquisition of additional data center capacity in Texas.

In the fourth quarter, Cipher generated $42 million in revenue, marking a 75% increase from the previous quarter, and reported a $17 million profit, a substantial recovery from a $91.4 million operating loss in Q3 2024. The CEO highlighted the company’s successful fourth quarter and ongoing growth initiatives, including the anticipated energization of the “Black Pearl” site in the second quarter. However, despite these positive developments, investor sentiment remained negative, with shares closing at $4.10, the lowest point this year, although they have increased by approximately 20% over the past 12 months.

📎 Related coverage from: cointelegraph.com