Bitcoin (BTC) miner CleanSpark plans to continue its strategy of buying up distressed miner assets this year.
The bitcoin miner released its first-quarter earnings presentation on Feb. 9, in which the company said it remains upbeat about the year ahead and continued growth.
Chief Financial Officer, Gary Vecchiarelli, said CleanSpark has experienced “explosive growth” over the past 12 months and is very comfortable with its plans. He added that M&A growth will continue through 2023.
“In terms of our M&A strategy, we have been, and will continue to be, one of the most active miners acquiring infrastructure and machinery.”
“We’re still buyers in this market and our strategy hasn’t changed,” he added, before noting “that we don’t feel compelled to do M&A.” But if we see good business, of course we will take advantage of it.”
He said smaller miners could potentially run into trouble. In this way, the company wants to be in a position to “access infrastructure and assets cheaply” as before.
In November last year, the company acquired more than 3,840 Antminer S19J Pro mining machines at below-market prices.
Months earlier, in September, the company acquired Mawson’s Bitcoin mining facility in Sandersville, Georgia for $33 million and a 36-megawatt facility in the same country for $16.2 million.
The company also bought thousands of bitcoin miners at a “significantly discounted price” in June and July 2022.
Related: BTC miner CleanSpark creates thousands of miners amid ‘distressed markets’
In early 2023, the company continued these expansion plans.
In January, CleanSpark announced that it is continuing to expand its operations in the state of Georgia. A new 50-megawatt bitcoin mining facility in the city of Washington is expected to be completed in late spring.
According to its earnings report for the fiscal first quarter, CleanSpark reported that it had mined 1,531 BTC during that period, a 132% increase over the same period last year.
However, revenue was down 25% from the year-ago period to $27.8 million. Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) had fallen to $1.4 million.
Despite the upbeat outlook, the company’s (CLSK) stock fell 5.2% to $3.13 in after-hours trading on the day.
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