So, TeraWulf (WULF) had a rough Thursday evening. The Bitcoin miner's shares took a dip in after-hours trading after dropping its fourth-quarter earnings report, and the numbers weren't exactly what Wall Street was hoping for. They missed on both the top and bottom lines.
Here’s the breakdown: the company reported a loss of 29 cents per share. Analysts were expecting a loss of just 13 cents. Ouch. Revenue came in at $35.84 million, which missed the consensus estimate of $45.78 million by a pretty hefty 21.73%.
Digging into that revenue, it’s a classic tale of two segments. The digital asset side—that’s the Bitcoin mining—brought in $26.1 million for the quarter. That’s down quite a bit from $43.4 million in the prior quarter. The company pointed the finger at lower Bitcoin production and, of course, the price of Bitcoin itself during those three months.
On the brighter side, the high-performance computing (HPC) lease business brought in $9.7 million, up from $7.2 million the quarter before. So, there’s some growth happening there while the core mining business cools off.
In its earnings release, TeraWulf tried to steer the narrative toward the future. The company called fiscal year 2025 a "fundamental inflection point," highlighting that it locked in long-term data center lease agreements for a whopping 522 megawatts of critical IT power. The idea is that these deals provide "multi-year revenue visibility, stable cash-flow characteristics, and scalable development capacity" all the way through the end of the decade. In other words, they’re building a steadier, less volatile business alongside the rollercoaster of Bitcoin mining.
Despite that forward-looking optimism, the market’s immediate reaction was to sell. TeraWulf's stock fell 4.14% to $17.15 in Thursday's extended trading session.
