Sphere 3D Corp. ("Sphere 3D" or the "Company") (Nasdaq: ANY),
dedicated to becoming the leading carbon-neutral Bitcoin mining
company operating at an industrial scale, today reported financial
results for the first quarter of FY 2022 ended March 31, 2022. The
Company is also providing results of its Bitcoin Mining Operation
and operational updates.
First Quarter FY 2022 Financial
Results:
- Revenue was $1.4 million, compared to $0.9 million for the
first quarter of 2021.
- Operating costs and expenses for the quarter were $16.5
million, compared to $2.2 million for the first quarter of
2021.
- Interest expense was nil, compared to $0.5 million for the
first quarter of 2021.
- Other income (expenses) net for the period totaled $0.5
million, net, compared to ($0.5 million) of other expenses, net,
for the first quarter of 2021.
- Digital mining revenue was $0.7 million.
- Bitcoin production during the first quarter of 2022 was 18.15
coins. This is the first quarter the Company has produced
Bitcoin.
- Depreciation and amortization was $6.4 million, compared to
$0.2 million for the first quarter of 2021.
- Net loss from operations was $14.6 million, or a net loss of
$0.23 per share, compared to a net loss from operations of $2.6
million, or a net loss of $0.27 per share, for the first quarter of
2021.
CEO Comments
"I am very excited about our future and remain committed to
becoming a leading carbon-neutral Bitcoin mining company and to
generating long-term value for our shareholders. Our Company's
transition is progressing as anticipated, and I am grateful for the
support of our shareholders and partners," said Patti Trompeter,
CEO of Sphere 3D.
"Being named CEO of Sphere 3D and becoming the first female
minority CEO in the Bitcoin mining industry is one of the greatest
honors of my career. I look forward to working with the board of
directors, our future advisory board, and the Sphere 3D management
team during our expansion into Bitcoin mining and the broader
blockchain technology industry.
"Our mining operation continues to grow and produce as expected.
We are excited to be on track as we look to expand our fleet of
S19j Pros by the end of 2022," added Ms. Trompeter. "We are
disappointed that we have not yet received the 12 NM440 test units
from NuMiner. It is important to keep the NuMiner arrangement in
perspective. The agreement to acquire the NM440 fleet was a
low-risk option to purchase what was presented as the best mining
technology in the industry. If the NM440 units are not received or
fail to perform according to NuMiner specifications, the Company
can cancel the contract.
"During the quarter we announced the termination of the Gryphon
merger. It is our belief that terminating the merger was in the
best our shareholders, as the transaction was expected to cause
significant dilution, and is also in the best interest of our
long-term growth opportunities.
"Looking forward, our mining fleet will expand consistent with
the amended delivery schedule below, and our production capacity
will increase accordingly. We are working with Jefferies LLC, our
financial adviser, to identify the most appropriate financing
options to fund the expansion of our fleet, and we are exploring
new growth areas in the cryptocurrency and blockchain industries,"
added Trompeter.
First Quarter FY 2022 Operational
Updates Results:
Management and Board of Director Changes
Sphere 3D announced on April 5, 2022, the appointments of
Patricia Trompeter as Sphere 3D's CEO and Duncan McEwan as Chairman
of the Board of Directors. The Company also announced its intention
to expand the board of directors to five members and its desire to
establish an advisory board comprising senior executives from the
blockchain, cryptocurrency, and related industries.
Bitcoin Production and Holdings Update
Sphere 3D had 1,000 S19j Pro mining units installed and
operational representing about 100 petahash of capacity to the
network at the end of April 2022. Through the first four months of
2022, the Company mined a total 30.50 Bitcoin.
Sphere 3D will provide unaudited Bitcoin Production and Holdings
Updates monthly beginning in early June 2022 and as part of its
quarterly results reporting.
New Auditor Appointment
The Company appointed MaloneBailey, LLP, to serve as its new
independent public accounting firm and independent auditor,
effective May 4, 2022. MaloneBailey is a well-respected global
accounting and audit firm with a broad scope of services and
expertise that will support the Company's long-term growth. The
Company's long-time auditor, Smythe LLP, has a policy that prevents
the firm from engaging cryptocurrency-related companies.
The Board would like to thank Smythe LLP for their services and
guidance during the preceding years. The Company is working closely
with both firms to ensure a seamless transition.
BTC Antminer S19j Pro miners Delivery Schedule
As previously disclosed, Sphere 3D secured an order for 60,000
Antminer S19j Pros or the approximate equivalent of 6.0 exahash of
capacity. The contracted delivery schedule provided for the order
is outlined in the below graphic.
Receipt date
Miners Delivered
Total PH/s Installed
Received and operational
~1,000
100
May 2022
2,000
300
June 2022
2,000
500
July 2022
2,000
700
August 2022
5,000
1,200
September 2022
12,000
2,400
October 2022
12,000
3,600
November 2022
12,000
4,800
December 2022
12,000
6,000
Total
60,000
6,000
Merger termination insights
On April 4, 2022, Sphere 3D and Gryphon Digital Mining
("Gryphon") terminated their previously announced merger agreement
after careful consideration by both management teams and their
respective boards of directors. The companies will continue their
relationship in the interim through the previously disclosed master
services agreement, enabling Sphere 3D to leverage Gryphon to
manage its mining fleet.
NM440 miner purchase update
In February 2022, Sphere 3D announced that it would acquire
60,000 NuMiner NM440 Bitcoin miners, conditioned on the
satisfactory evaluation of 12 pre-production units. Sphere 3D is
entitled to cancel the order without penalty or releasing payments
on June 1, 2022, upon failure to deliver the pre-production units.
As of May 16, 2022, Sphere 3D is still awaiting the delivery of the
test units.
About Sphere 3D
Sphere 3D Corp. (Nasdaq: ANY) is a net carbon-neutral
cryptocurrency miner with decades of proven enterprise
data-services expertise. The Company is rapidly growing its
industrial-scale mining operation through the capital-efficient
procurement of next-generation mining equipment and partnering with
best-in-class data center operators. Sphere 3D has ~6.0 EH/s of
capacity under contract for deliveries this year. Currently, the
Company currently operates a fleet of ~1,000 miners and expects
delivery of an additional 59,000 miners by year-end 2022 for a
total hashing capacity of 6.0 exahash. Sphere 3D is dedicated to
growing shareholder value while honoring its commitment to strict
environmental, social, and governance standards. For more
information about the Company, please visit Sphere3D.com.
Forward-Looking Statements
This communication contains forward-looking statements within
the meaning of Section 27A of the Securities Act, and Section 21E
of the Securities Exchange Act of 1934, as amended. Forward-looking
statements generally relate to future events, including the timing
of the proposed transaction and other information related to the
proposed transaction. In some cases, you can identify
forward-looking statements because they contain words such as
"may,” "will,” "should,” "expects,” "plans,” "anticipates,”
"could,” "intends,” "target,” "projects,” "contemplates,”
"believes,” "estimates,” "predicts,” "potential" or "continue" or
the negative of these words or other similar terms or expressions.
Expectations and beliefs regarding matters discussed herein may not
materialize, and actual results in future periods are subject to
risks and uncertainties that could cause actual results to differ
materially from those projected. The forward-looking statements
contained in this communication are also subject to other risks and
uncertainties, including those more fully described in filings with
the SEC, including Sphere 3D's reports filed on Form 20-F and Form
6-K and in other filings made by Sphere 3D with the SEC from time
to time and available at www.sec.gov. These forward-looking
statements are based on current expectations, which are subject to
change.
SPHERE 3D CORP. CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS (In thousands of U.S. dollars, except share and
per share amounts) Three Months Ended
March 31,
2022
2021
Revenues: (Unaudited) Digital mining revenue
$
747
$
-
Service and product revenue
625
940
Total revenues
1,372
940
Operating costs and expenses: Cost of digital mining revenue
474
-
Cost of service and product revenue
359
509
Sales and marketing
231
304
Research and development
114
237
General and administrative
15,214
1,165
Impairment of digital assets
91
-
Total operating expenses
16,483
2,215
Loss from operations
(15,111
)
(1,275
)
Other income (expense): Interest expense
-
(509
)
Interest and other income (expense), net
464
(588
)
Net loss
(14,647
)
(2,372
)
Dividends on preferred shares
-
193
Net loss available to common shareholders
$
(14,647
)
$
(2,565
)
Net loss per share: Basic and diluted
$
(0.23
)
$
(0.27
)
Shares used in computing net loss per share: Basic and diluted
63,841,403
9,421,717
SPHERE 3D CORP. CONDENSED CONSOLIDATED BALANCE
SHEETS (In thousands of U.S. dollars)
March 31, December 31,
2022
2021
(Unaudited) (Unaudited) ASSETS Cash and cash equivalents
$
25,659
$
54,355
Accounts receivable, net
205
181
Notes receivable
3,439
1,859
Other current assets
32,849
22,027
Total current assets
62,152
78,422
Notes receivable
13,617
11,988
Investments
19,949
19,949
Mining equipment, net
4,268
-
Intangible assets, net
56,771
63,017
Other assets
108,078
102,548
Total assets
$
264,835
$
275,924
LIABILITIES AND SHAREHOLDERS' EQUITY Current
liabilities
$
6,658
$
5,208
Other long-term liabilities
1,115
1,090
Total shareholders' equity
257,062
269,626
Total liabilities and shareholders' equity
$
264,835
$
275,924
View source
version on businesswire.com: https://www.businesswire.com/news/home/20220516006046/en/
Sphere 3D IR and Media
NMN Advisors Sphere3d@nmnadvisors.com
Kurt Kalbfleisch Kurt.kalfleisch@sphere3d.com
Sphere 3D (NASDAQ:ANY)
Gráfico Histórico do Ativo
De Abr 2024 até Mai 2024
Sphere 3D (NASDAQ:ANY)
Gráfico Histórico do Ativo
De Mai 2023 até Mai 2024