Hive Digital Technologies experienced a notable uptick in its stock price on Monday, climbing approximately 7.5% after announcing impressive fiscal Q2 earnings and a strategic partnership with Dell Technologies. This surge reflects the company”s strong performance and future prospects in the realm of Bitcoin mining and high-performance computing.
For the second quarter ending September 30, Hive reported a remarkable revenue of $87.3 million, marking a staggering 285% increase year-over-year and a 91% rise compared to the previous quarter. The company also noted an adjusted EBITDA of $31.5 million, indicating robust performance across its Bitcoin mining and high-performance computing (HPC) sectors.
On the same day, Hive”s stock closed at $3.56, a bright spot amidst a broader market trend where major crypto stocks, such as Circle and Coinbase, experienced declines of over 6% and 7%, respectively. Despite this recent rise, Hive”s stock has been down more than 37% over the past month, a trend that aligns with the overall downturn in the cryptocurrency market.
Interestingly, Hive”s growth came even as the price of Bitcoin dipped below the $92,000 threshold, marking the first time since April that it has fallen to this level. In fact, Bitcoin has now reversed all gains made in 2025, having decreased by 27% since reaching a new all-time high of over $126,000 in early October.
During this quarter, Hive”s Bitcoin mining revenue reached $82.1 million, largely driven by a substantial 86% quarter-over-quarter increase in average hash rate, which now stands at 16.2 EH/s. The company mined 717 Bitcoin during this period, a 77% increase from the first quarter, despite facing heightened network difficulty.
Furthermore, Hive”s Buzz division, which focuses on high-performance computing, reported record revenue of $5.2 million, reflecting a 175% year-over-year growth. The company also improved its gross operating margins to 49%, although it reported a GAAP net loss of $15.8 million due to accelerated depreciation of its Bitcoin mining rigs.
Hive has been proactive in expanding its operations, completing a 300 MW capacity addition in Paraguay and achieving an operational hash rate of 25 EH/s. The company”s global hydro-powered data center now boasts a capacity of 540 MW, with plans to secure an additional 400 MW in Paraguay through power purchase agreements. Management is optimistic about potentially scaling to 35 EH/s by Q4 2026.
In addition to its earnings announcement, Hive”s Buzz subsidiary revealed a significant deal with Dell, aimed at deploying 504 of Dell”s latest-generation GPUs through liquid-cooled servers at the Bell AI Fabric data center. The company intends to enhance its fleet with over 6,000 new GPUs by the end of 2026, supplementing the 5,000 GPUs already in operation. This expansion is projected to generate around $140 million in annualized HPC revenue by Q4 2026 at approximately 80% gross margins.
As the demand for high-performance computing grows amidst the AI boom, many Bitcoin miners are pivoting towards this lucrative opportunity. However, Hive believes it holds a competitive edge over latecomers to the HPC market. According to Frank Holmes, Hive”s Executive Chairman, the company possesses extensive knowledge in Bitcoin mining, which sets it apart from other miners venturing into AI.
