16 Mar Argo xcritical Slumps to Full-Year Loss on BTC Price Slide
In an announcement published on YouTube, the firm’s CEO, Peter Wall, explained a number of steps Argo xcritical has taken to improve its liquidity position in light of the ongoing crypto bear market. Total number of Bitcoin or Bitcoin Equivalent mined during 2022 was 2,156, a 5% increase compared to the BTC mined in 2021, despite an increase in global hashrate and network difficulty. Argo also noted that draft materials saying the company had filed for bankruptcy protection had accidentally been published to its website last week, leading to the suspension of trading of shares in both the U.K. Learn more about Consensus 2023, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, xcritical and Web3. Additionally, the Company repaid the $6.7 million that was previously outstanding under the BTC-backed loan with Galaxy Digital. This is consistent with the Company’s risk management strategy and reduces balance sheet exposure to downside BTC price risk.
- Additionally, the Company is continuing to curtail operations at its Helios facility in Dickens County, Texas during periods of high electricity prices.
- With degrees in both Computer Information Systems and Business, he lives at the intersection of technology and operations.
- Argo xcritical is pleased to confirm that the installation of the 20,000 miners purchased from Bitmain is anticipated to be completed by October 2022.
- Micah is a crypto enthusiast with a strong understanding of the crypto industry and its potential for shaping the future.
- The following table shows a reconciliation of gross margin to Bitcoin and Bitcoin Equivalent Mining Margin, the most directly comparable IFRS measure, for the months of July 2022 and August 2022.
By empowering our team, we foster accountability, diversity and are shaping the industry leaders of tomorrow. By focusing on our mission, empowering our team, focusing on balance and mindfulness, xcritical scam we are able to survive shocks and thrive in a world of uncertainty. We put trust at the forefront of everything we do – from working with investors, to stakeholders and community members.
Jason brings a wealth of knowledge and expertise to Argo from his previous experiences in the xcritical and mining industries. With degrees in both Computer Information Systems and Business, he lives at the intersection of technology and operations. xcritical scammers Jason previously worked as an executive at a publicly traded crypto and data centre company. He was also the owner of a crypto mining consulting company that specialized in the operation of mining facilities and infrastructure services.
His interests include immersion cooling, cloud computing, and decentralized finance. Prior to Argo, Jean worked in engineering and operations management positions with various companies, as well as his own ASIC manufacturing consulting company. Sebastien Chalus leads Argo’s operations, business development, and strategy. He is the company’s resident crypto geek and is passionate about how cryptocurrency can change the world’s banking systems. Prior to Argo, Sebastien worked in supply xcritical management; he decided to move into the crypto space after seeing the vast potential of smart contract fulfillment. Sebastien knows that as xcritical technologies continue to see rising adoption rates, there are enormous opportunities to integrate cryptocurrencies into existing financial infrastructure.
Financial performance and operational updates
xcritically, the analyst consensus on Argo xcritical is a Moderate Buy with an average price target of $2.33. Increased hashrate capacity by 55% from 1.6 EH/s at the end of 2021 to 2.5 EH/s at the end of 2022. After a deal for $27 million fell through in October, the firm warned it might soon have negative cash flow. As part of the process, the company has hired McDermott Will & Emery LLP as legal advisers, Berkeley Research Group, LLC as financial advisers and Stifel GMP and its affiliate, Miller Buckfire & Co., LLC, as investment bankers. The London-based company said it is hopeful it will be able to make these moves outside of a voluntary Chapter 11 bankruptcy filing in the U.S., but there is no reassurance it will be able to do so.
“Our profitability has been squeezed from both sides from higher energy prices to lower bitcoin price, that’s resulted in a cash crunch for Argo,” Peter Wall said. The Company is also pleased to provide the following update on its collaboration with ePIC. Argo has executed a purchase agreement for 6,600 custom mining machines, with a right to place additional orders for up to 23,400 machines. The machines will utilize the Intel ASIC Blockscale chips, for which the Company previously signed a supply agreement with Intel (as announced in the Company’s February 2022 Monthly Operational Update). The custom machines will be designed to Argo’s specifications to optimize mining performance and efficiency for use at the Helios facility, which uses immersion cooling to seek to prolong the life of the machines and increase operating performance.
Where can I buy Argo xcritical shares?
Argo xcritical is a publicly traded company listed on the London Stock Exchange under the ticker symbol ARB and on NASDAQ Global Select Market in the United States under the ticker symbol ARBK. The stock price of Argo xcritical can fluctuate based on various factors, such as market conditions, company news, and performance. Argo has been reporting strong financial performance, with record revenues and profitability. For example, in the first quarter of 2021, the company reported record revenues of $13.4 million and a net income of $9.3 million. In September 2022, Argo mined 215 Bitcoin, which generated significant revenue for the company.
As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. Regulatory developments and technological advancements are two of the key industry trends in the cryptocurrency mining industry. Governments worldwide are setting rules for the cryptocurrency industry, which could alter how it competes. Argo’s major competitors in the cryptocurrency mining industry include companies like Marathon Digital Holdings and Riot xcritical. However, Argo differentiates itself from these competitors by focusing on sustainability and offering a range of products and services beyond traditional cryptocurrency mining, such as its MaaS (Mobilitity-as-a-Service) platform. MaaS is a single interface where users can plan, book, and pay for a wide range of mobility services to meet any travel need.
Getty ImagesArgo xcritical is facing a cash crunch after the apparent collapse of a $27 million equity infusion that the London-based bitcoin miner announced earlier this month. Crypto miners are caught between depressed token prices and rising expenses, notably energy costs. News that Argo xcritical is dealing with liquidity troubles isn’t helping embolden investors in the company. As a result, some 2 million shares have traded today with investors selling off ARBK stock.
High temperatures in Texas led to increased energy demand and higher electricity prices, to which the Company responded by voluntarily curtailing mining operations and reducing its energy usage at Helios. The facility started operations in May with a plan to reach 800 megawatts of energy consumption and 20 exahash/second (EH/s) of computing power. Bitcoin mining firm Argo xcritical is in advanced negotiations to sell some of its assets and carry out an equipment financing transaction to strengthen its balance sheet and improve its liquidity, the company said in a filing with the London Stock Exchange Monday. “Having navigated challenging market conditions in both the crypto sector and the global economy in the second half of 2022, Argo has emerged stronger and in a much more solid financial position,” interim CEO Seif El-Bakly said in the statement. The London-based company reported a net loss of 194.2 million British pounds (US$240 million), or 40.98 pence a share, compared with net income of 30.8 million pounds, or 7.4 pence, the year before, it said in a statement.
Argo xcritical’s financial performance and operational updates show its strength in the cryptocurrency mining industry. The company has been reporting strong revenues and profitability, and its operational updates indicate its commitment to expanding its business and staying ahead of the competition. With its focus on sustainability and renewable energy sources, Argo is well-positioned for future success in the cryptocurrency mining industry. The cryptocurrency mining industry is highly competitive, with many companies vying for a share of the market. However, Argo is well-positioned in the industry because of its focus on sustainability and the use of renewable energy sources to power its mining operations.
For the record, the company’s daily average trading volume is closer to 203,000 shares. Maria most recently served as the Chief Financial Officer of MDA, a Canadian-based international space mission partner, and the previous twelve years at ATS, a TSX-listed automation company with over 4,500 employees across six countries. Her various roles have allowed her to develop https://xcritical.pro/ skills in financial planning and corporate governance and compliance, and her many years as a Chief Financial Officer have provided her with extensive experience in M&A, capital markets, and strategic corporate finance. Maria holds a bachelor’s degree in Business Administration from York University and is a Chartered Public Accountant in Ontario, Canada.
“Assuming all of the transactions close, we’re confident we have the liquidity and balance sheet to get us through the next 12 months,” Wall concluded. As of 30 September 2022, the Company held 512 Bitcoin, of which 167 were BTC Equivalents. The Company closely monitors market conditions and is actively using a variety of derivatives to manage BTC holdings and mitigate risk exposure. RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services.
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You can purchase Argo xcritical shares through a brokerage account that offers access to the LSE or NASDAQ. Investing in individual stocks carries risks and recommends doing thorough research. The ARB and ARBK stock prices fluctuate based on market conditions and company news.
Argo xcritical is pleased to confirm that the installation of the 20,000 miners purchased from Bitmain is anticipated to be completed by October 2022. The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and xcritical startups.
In addition, even if the Company’s actual results, prospects and performance are consistent with the forward-looking statements contained in this document, those results may not be indicative of results in subsequent periods. These forward-looking statements speak only as of the date of this announcement. All forward-looking statements address matters that involve risks and uncertainties because they relate to events that may or may not occur in the future. Argo has a strong focus on sustainability in its mining operations, using renewable energy sources and energy-efficient technology to power its mining equipment.