CASTLE ROCK, Colo., March 25, 2020 /PRNewswire/ — Riot Blockchain, Inc. (NASDAQ: RIOT) (“Riot” or the “Company”), one of the few Nasdaq listed public cryptocurrency mining companies in the United States, reported financial results for the year ended December 31, 2019. The financial statements are available on Riot’s website and here.
2019 Recent Operational Highlights
- Invested in 4,000 Bitmain S17 Pro Antminers at the Company’s Oklahoma City mining facility, which when deployed in early 2020 resulted in an increase in Riot’s fully owned hashing power capacity to approximately 248 Petahash;
- Received notice of the termination of the SEC’s investigation of Riot on January 29, 2020;
- Produced 944 newly minted bitcoins (BTC) during 2019 and increased bitcoin inventory 206% year-over-year to 514 BTC at December 31, 2019;
- Established an industry-leading advisory board comprised of recognized leaders with proven operational and strategic experience throughout the cryptocurrency space;
- Improved December 31, 2019 working capital to $9.3 million from a deficit of $(4.3) million as of December 31, 2018 and decreased total liabilities to $4.1 million from $9.4 million during the same period; and
- Increased total stockholders’ equity to $26.2 million at December 31, 2019 compared to $4.5 million balance at December 31, 2018, approximately a $22 million increase over the prior period.
Fiscal Year 2019 Financial Results
Total mining revenue in 2019 was $6.7 million compared to $7.7 million in 2018.
Gross profit, which is computed as mining revenues in excess of cost of revenues (excluding depreciation and amortization), was $644,000 (9.6% of total mining revenues), as compared to $1.9 million (24.9% of total mining revenues) in 2018. The decreases in revenue and gross profit were primarily due to changes in cryptocurrency prices as well as increases in the difficulty index associated with solving mining algorithms.