HONG KONG, Nov. 18, 2021 /PRNewswire/ -- BIT Mining Limited
(NYSE: BTCM) ("BIT Mining," "the Company," "we," "us," or "our
company"), a leading technology-driven cryptocurrency mining
company, today reported its unaudited financial results for the
third quarter ended September 30, 2021.
Cryptocurrency Business Progress
BIT Mining has completed the transition of its business to an
enterprise that covers cryptocurrency mining, data center operation
and mining pool. The Company has adopted a development strategy to
focus on the migration and expansion of cryptocurrency mining
operations globally.
The Company has commenced ethereum mining operations with a
theoretical maximum total hash rate capacity of 3,451 GH/s deployed
as of today. Ethereum mining machines with a total theoretical
maximum hash rate capacity of 4,800 GH/s are expected to be
deployed by the end of November 2021.
For the three months ended September 30,
2021, we produced 779 ethereum from our ethereum
cryptocurrency mining operations, and recognized revenue of
approximately US$2.5 million. As of
today, we produced 52 ethereum per day, and have produced 2,300
ethereum in aggregate. Based on the current total network hash rate
of ethereum and price1 of ethereum, we expect to produce
approximately 80 ethereum per day theoretically, starting in
December 2021. Based on the current
ethereum price1 of US$4,279, and the current bitcoin
price1 of US$60,366,
we expect to produce approximately 2,400 ethereum monthly, which
are equivalent to approximately 170 bitcoin and worth approximately
US$10.3 million in aggregate.
As of today, the theoretical maximum total hash rate capacity of
our bitcoin mining machines is approximately 800 PH/s. To increase
the cost efficiency of its mining business, the Company sold some
low-end mining machines with a total hash rate capacity of 610.7
PH/s. As of today, we have completed the migration of all of our
bitcoin mining machines to the U.S. and Kazakhstan. In the U.S., we have bitcoin
mining machines with a total hash rate capacity of 507.3 PH/s, of
which 119.7 PH/s have been deployed in data centers and the
remainder have been fine-tuned and are waiting to be deployed. In
Kazakhstan, we have bitcoin mining
machines with a total hash rate capacity of 292.7 PH/s, of
which109.4 PH/s have been deployed in data centers and the
remainder have been fine-tuned and are waiting to be deployed. For
the three months ended September 30,
2021, we produced 79 bitcoins from our cryptocurrency
mining business, and recognized revenue of approximately
US$3.4 million.
In terms of our data center business, in September 2021 we entered into a Membership
Interest Purchase Agreement and certain other auxiliary agreements
(the "Ohio Mining Site Agreements") with Viking Data Centers, LLC
("Viking Data Centers") to jointly invest in the development of a
cryptocurrency mining data center in Ohio (the "Ohio Mining Site") with power
capacity of up to 85 megawatts. In October
2021, we increased our investment in the Ohio Mining Site
and brought its total planned power capacity up to 150 megawatts.
We currently expect to complete the Ohio Mining Site in
March 2022. As of today, we have
finished the construction of plant and substantion of power
capacity of 50 megawatts, of which 11 megawatts has started to
operate. We are also constructing new data centers in Hong Kong and Kazakhstan. The new data center in
Hong Kong, with a maximum
processing capacity of approximately 1.4 megawatts, has been
operational since October 2021.
Moreover, we will construct and operate a data center in
Kazakhstan which is located in
Uralsk region of West Kazakhstan
with a maximum processing capacity of approximately 40 megawatts,
which is expected to be completed in the first quarter of 2022.
On October 14, 2021, the Company
announced that its mining pool subsidiary, BTC.com, would
completely exit the China market,
cease registering new users from China and start to retire accounts of existing
users from China. Due to BTC.com's
discontinuation of service to users in China, the Company expects to see a decrease
of 10% to 20% in revenues for the three months ending December 31, 2021. The Company is working on
solutions with its existing users in China, such as migrating such users' mining
machines to overseas markets, so that they may have access to our
services in a compliant manner. In addition, the Company expects
that its continued growth in international markets will help offset
the loss of business in China. For
the three months ended September 30,
2021, the mining pool business generated revenue of
approximately US$397.8 million.
Removal of VIE Structure and Disposal of Chinese Lottery
Business
We previously conducted a lottery business in China through a series of contractual
arrangements with the lottery business-related VIEs. In
July 2021, the Company announced its
decision to dispose of its Chinese lottery-related business and the
Company terminated all of its lottery business-related VIE
contracts for nil consideration and recognized a disposal loss of
US$6.7 million. The lottery
business-related VIE subsidiaries were deconsolidated and their
financial results were not included in the Company's financial
results in the third quarter of 2021 as a result of eliminating the
VIE structure. The condensed consolidated statements of
comprehensive loss for the three months ended September 30, 2021, June
30, 2021 and September 30,
2020 have been reclassified to reflect the disposal of the
VIE subsidiaries' business segment as a discontinued operation.
Termination of the Online Lottery Business in Europe
The Company is in the process of terminating its online lottery
business in Europe being operated
under The Multi Group ("TMG"), which the Company acquired in
July 2017. We expect to terminate all
business operations under the Malta e-Gaming license by the end of
November 2021, all business
operations under the Sweden
e-Gaming license by the end of December
2021, and all business operations under the Curacao e-Gaming license by the end of
January 2022. The termination of
TMG's online lottery business in Europe is expected to be completed in the
first quarter of 2022. TMG contributed US$0.6 million, or 0.1%, of the Company's total
revenue and net loss of US$0.2
million for the three months ended September 30, 2021. Due to the expansion of the
Company's cryptocurrency mining business, the Company does not
expect the termination of its online lottery business in
Europe to have a material impact
on its operational results or financial position.
Conversion of Reporting Currency
Starting from the third quarter of 2021, the Company has changed
its reporting currency from the Renminbi ("RMB") to the U.S. Dollar
("USD"), to reduce the impact of increased volatility of the USD to
RMB exchange rate on the Company's reported operating results. The
alignment of the reporting currency with underlying operations will
better depict the Company's results of operations for each period.
The related financial statements prior to July 1, 2021 have been recast to USD as if the
financial statements originally had been presented in USD since the
earliest periods presented.
"We are glad to announce our third quarter 2021 financial
results, as we continue to execute our strategy to create value
within the cryptocurrency ecosystem," said Mr. Xianfeng Yang, CEO of BIT Mining. "Over the past
six months we completed the migration of our mining machines
to overseas markets and have made significant progress in the
construction of our US data centers, which provide critical
operational efficiencies for our business. Additionally, we saw the
potential value ethereum has as the fundamental currency for
applications such as nonfungible tokens (NFTs), decentralized
finance (DeFi), and the metaverse. We
foresaw the growth of ethereum mining as a result and have deployed
massive ethereum computing power in advance which have generated
relatively positive returns. Looking forward, we plan
to continue to enhance our value proposition and strengthen our
technology on mining techniques."
1 The ethereum price is based on the price on
November 18, 2021, at UTC 0:00,
published on https://coinmarketcap.com;the bitcoin price is based
on the average of the prices on November 18,
2021, at UTC 0:00, published on https://www.bitfinex.com and
https://www.bitstamp.net.
Third Quarter 2021 Highlights
for Continuing Operations
- Revenues were US$404.3 million in
the third quarter of 2021, representing a decrease of US$40.6 million from US$444.9 million for the second quarter of 2021,
and a sharp increase of US$403.8
million from US$0.5 million
for the third quarter of 2020. Revenues during the third quarter of
2021 primarily consisted of US$397.8
million in revenue contribution from our mining pool
business that we consolidated from April
2021.
- Operating loss was US$35.0
million in the third quarter of 2021, representing an
increase of US$20.1 million from
US$14.9 million for the second
quarter of 2021, and an increase of US$30.1
million from US$4.9 million
for the third quarter of 2020. The increase in operating loss was
mainly due to a migration that resulted in the decrease of the
revenue and the impairment of cryptocurrencies.
- Non-GAAP operating loss2 was US$22.7 million in the third quarter of 2021, as
compared with non-GAAP operating income of US$1.8 million for the second quarter of 2021,
and non-GAAP operating loss of US$3.1
million for the third quarter of 2020.
- Net loss attributable to BIT Mining was US$29.6 million in the third quarter of 2021, as
compared with net loss attributable to BIT Mining of US$14.5 million for the second quarter of 2021,
and net loss attributable to BIT Mining of US$4.5 million for the third quarter of
2020.
- Non-GAAP net loss2 attributable to BIT Mining was
US$17.3 million in the third quarter
of 2021, as compared with non-GAAP net income attributable to BIT
Mining of US$2.2 million for the
second quarter of 2021, and non-GAAP net loss attributable to BIT
Mining of US$2.7 million for the
third quarter of 2020.
- Basic and diluted loss per American Depositary Share ("ADS")
attributable to BIT Mining Limited for the third quarter of 2021
were US$0.43.
- Non-GAAP basic and diluted loss per ADS2
attributable to BIT Mining Limited for the third quarter of 2021
were US$0.25.
2 Non-GAAP financial measures exclude the impact of
share-based compensation expenses, impairment of property and
equipment, impairment of cryptocurrencies, net gain or loss on
disposal of cryptocurrencies and changes in fair value of
derivative instrument. Reconciliations of non-GAAP financial
measures to U.S. GAAP financial measures are set forth in the table
at the end of this release.
Third Quarter 2021 Financial
Results for Continuing Operations
Revenues
Revenues were US$404.3 million for
the third quarter of 2021, representing a sharp increase of
US$403.8 million from US$0.5 million for the third quarter of 2020 and
a decrease of US$40.6 million from
US$444.9 million for the
second quarter of 2021. The year-over-year increase was mainly
attributable to our mining pool business that we consolidated from
April 2021. The sequential decrease
was mainly attributable to a decrease of US$11.4 million in data center business due to
the suspension of data centers in Sichuan, China and a decrease of US$25.4 million in revenues from the mining pool
business. Revenues were mainly comprised of revenues from the
mining pool business of US$397.8
million and the cryptocurrency mining business of
US$5.9 million.
Operating Costs and Expenses
Operating costs and expenses were US$425.5 million for the third quarter of 2021,
representing an increase of US$420.1
million from US$5.4 million for the third quarter of
2020, and a decrease of US$17.3
million or 3.9% from US$442.8 million for the second quarter
of 2021. The year-over-year increase was mainly due to a
significant increase of US$406.3
million in cost for the allocation to pool participants
associated with the mining pool business and an increase of
US$6.2 million in depreciation and
amortization expense. The sequential decrease was mainly due
to a decrease of US$8.6 million
in service expense associated with data center business and a
decrease of US$8.5 million in cost
for the allocation to pool participants associated with the
mining pool business, which was partially offset by an increase of
US$3.0 million in share-based
compensation expenses associated with share options granted to the
Company's directors and employees.
Cost of revenue was US$416.1
million for the third quarter of 2021, representing an
increase of US$415.7 million from
US$0.4 million for the
third quarter of 2020, and a decrease of US$19.5 million or 4.5% from US$435.6 million for the second quarter
of 2021. The year-over-year increase was mainly attributable
to a significant increase of US$406.3
million in cost for the allocation to pool participants
associated with the mining pool business and an increase of
US$6.2 million in depreciation and
amortization expense. The sequential decrease was mainly due
to a decrease of US$8.6 million
in service expense associated with data center business and a
decrease of US$8.5 million in cost
for the allocation to pool participants associated with the
mining pool business. Cost of revenue was comprised of
the direct cost of revenue of US$409.0
million and depreciation and amortization of US$7.1 million. The direct cost of revenue mainly
included direct costs relating to the mining pool business of
US$406.3 million and the
cryptocurrency mining business of US$1.3
million.
Sales and marketing expenses were US$0.2 million for the third quarter of
2021, representing a decrease of US$0.2
million or 50.0% from US$0.4
million for the third quarter of 2020, and a
decrease of US$0.1 million or 33.3%
from US$0.3 million for the second
quarter of 2021.
General and administrative expenses were US$8.1 million for the third quarter of 2021,
representing an increase of US$4.2
million or 107.7% from US$3.9 million for the third quarter of
2020, and an increase of US$2.0
million or 32.8% from US$6.1
million for the second quarter of 2021. The
year-over-year increase was mainly due to an increase of
US$2.3 million in consulting expenses
and an increase of US$1.2 million in
expenses for employees mainly due to consolidations of Loto
Interactive Limited and the mining
pool business. The sequential increase was mainly due to an
increase of US$2.0 million in share-based compensation
expenses associated with share options granted to the Company's
directors and employees.
Service development expenses were US$1.1
million for the third quarter of 2021, representing an
increase of US$0.5 million or 83.3%
from US$0.6 million for the
third quarter of 2020, and an increase of US$0.3 million or 37.5% from US$0.8 million for the second quarter of
2021.
Net Gain (Loss) on Disposal of
Cryptocurrencies
Net gain on disposal of cryptocurrencies was
US$11.2 million for the third quarter
of 2021, related to the increasing market prices for
cryptocurrencies by
using first-in-first-out ("FIFO") to calculate the
cost of disposition during the third quarter of 2021. Net loss on
disposal of cryptocurrencies was US$8.6
million for the second quarter of 2021 and there was no such
net loss or gain for the third quarter of 2020. The sequential
change was mainly due to the general
increasing trend of market prices for cryptocurrencies.
Impairment of
Cryptocurrencies
Impairment of cryptocurrencies was US$13.6 million for the third quarter of 2021,
representing an increase of US$4.7
million from US$8.9 million
for the second quarter of 2021, mainly due to impairment provided
for cryptocurrency assets held in mining pool business, including
cryptocurrencies payable to pool participants as a result of
the price fluctuation of cryptocurrencies. There was no such
impairment for the third quarter of 2020.
Impairment of Property and
Equipment
Impairment of property and equipment was US$9.8 million for the third quarter of 2021,
mainly due to the closure and demolition of big data centers
in Sichuan, China.
Operating Loss
Operating loss was US$35.0 million
for the third quarter of 2021, compared with operating loss of
US$4.9 million for
the third quarter of 2020, and operating loss of
US$14.9 million for the
second quarter of 2021.
Non-GAAP operating loss was US$22.7 million for the third quarter
of 2021, compared with non-GAAP operating loss of US$3.1 million for the third quarter of
2020, and non-GAAP operating income of US$1.8 million for the second quarter of
2021. The year-over-year increase in non-GAAP operating loss was
mainly due to increases in revenue and costs of revenue for the
mining pool business as mentioned above. The sequential increase in
non-GAAP operating loss was mainly due to the decrease in revenue
of the mining pool business for the third quarter of 2021 and the
suspension of data center business in China since June
2021.
Net Loss Attributable to BIT
Mining
Net loss attributable to BIT Mining was US$29.6 million for the third quarter of
2021, compared with net loss attributable to BIT Mining of
US$4.5 million for
the third quarter of 2020, and net loss attributable
to BIT Mining of US$14.5 million for the
second quarter of 2021.
Non-GAAP net loss attributable to BIT Mining was US$17.3 million for the third quarter of 2021,
compared with non-GAAP net loss attributable to BIT Mining of
US$2.7 million for the third quarter
of 2020, and non-GAAP net income attributable to BIT Mining of
US$2.2 million for
the second quarter of 2021. The year-over-year increase
in non-GAAP operating loss was mainly due to the inclusion of revenue and the costs
of revenue for the mining pool business as mentioned above. The
sequential increase in non-GAAP operating loss was mainly due to
the decrease in revenue of the mining pool business for the third
quarter of 2021 and the suspension of data center business in
China from June 2021.
Third Quarter 2021 Financial
Results for Discontinued Operations
Net Loss from Discontinued Operations, Net of
Taxes
Net loss from discontinued operations, net of taxes was
US$6.7 million for the third quarter
of 2021, compared with net loss from discontinued operations,
net of taxes of US$1.8 million for
the third quarter of 2020, and net loss from discontinued
operations, net of taxes of US$0.9
million for the second quarter of 2021. The year-over-year
increase and the sequential increase are results from an increase
of US$6.7 million in disposal loss
from discontinued operations, net of taxes. The Company disposed of
its Chinese lottery-related business and terminated all of its
lottery business-related VIE contracts in July 2021. The comparative financial
information for the three months ended June
30, 2021 and September 30,
2020 have been reclassified to reflect the disposal of VIE
subsidiaries as a discontinued operation.
Cash and Cash Equivalents and Restricted Cash
As of September 30, 2021, the
Company had cash and cash equivalents of US$34.4 million and restricted
cash3 of US$0.2 million,
compared with cash and cash equivalents of US$10.1 million and restricted cash of
US$44.1 million as of
June 30, 2021.
Cryptocurrency Assets
As of September 30, 2021, the
Company had cryptocurrency assets of US$56.8 million, the equivalent of 860
bitcoins, 2,024 ethereum, and various other cryptocurrency assets,
including those of the mining pool
business from April 2021 and those generated from
the cryptocurrency mining business initiated at the end of
February 2021.
3 Restricted cash represent deposits in merchant
banks yet to be withdrawn.
About BIT Mining Limited
BIT Mining (NYSE: BTCM) is a leading technology-driven
cryptocurrency mining company, with a long-term strategy to create
value across the cryptocurrency industry. Its business covers
cryptocurrency mining, mining pool, and data center operation. The
Company owns the world's top blockchain browser BTC.com and the
comprehensive mining pool business operated under BTC.com,
providing multi-currency mining services including BTC, ETH and
LTC. The Company has also entered into a definitive agreement to
acquire a 7-nanometer cryptocurrency mining machine manufacturer,
Bee Computing, to complete the Company's vertical integration with
its supply chain, increase its self-sufficiency and strengthen its
competitive position.
Safe Harbor Statements
This news release contains forward-looking statements within the
meaning of Section 21E of the Securities Exchange Act of 1934, as
amended, and as defined in the U.S. Private Securities Litigation
Reform Act of 1995. These forward-looking statements can be
identified by terminology such as "will", "expects", "anticipates",
"future", "intends", "plans", "believes", "estimates", "target",
"going forward", "outlook" and similar statements. Such statements
are based upon management's current expectations and current market
and operating conditions and relate to events that involve known or
unknown risks, uncertainties and other factors, all of which are
difficult to predict and many of which are beyond the Company's
control, which may cause the Company's actual results, performance
or achievements to differ materially from those in the
forward-looking statements. Further information regarding these and
other risks, uncertainties or factors is included in the Company's
filings with the U.S. Securities and Exchange Commission. The
Company does not undertake any obligation to update any
forward-looking statement as a result of new information, future
events or otherwise, except as required under law.
About Non-GAAP Financial Measures
To supplement the Company's financial results presented in
accordance with U.S. GAAP, the Company uses non-GAAP financial
measures, which are adjusted from results based on U.S. GAAP to
exclude share-based compensation expenses, impairment of property
and equipment, impairment of cryptocurrencies, net gain or loss on
disposal of cryptocurrencies and changes in fair value of
derivative instrument relating to valuation allowance in the
Company's consolidated affiliated entities. Reconciliations of
non-GAAP financial measures to U.S. GAAP financial measures are set
forth in table at the end of this release, which provide more
details on the non-GAAP financial measures.
Non-GAAP financial information is provided as additional
information to help investors compare business trends among
different reporting periods on a consistent basis and to enhance
investors' overall understanding of the historical and current
financial performance of the Company's continuing operations and
prospects for the future. Non-GAAP financial information should not
be considered a substitute for or superior to U.S. GAAP results. In
addition, calculations of this non-GAAP financial information may
be different from calculations used by other companies, and
therefore comparability may be limited.
For more information:
BIT Mining Limited
ir@btc.com
Ir.btc.com
www.btcm.group
The Piacente Group, Inc.
Brandi Piacente
Tel: +1 (212) 481-2050
Email: BITMining@thepiacentegroup.com
BIT Mining
Limited
Condensed Consolidated Balance Sheets
(Amounts in thousands of U.S. dollars ("US$"), except for number of
shares)
|
|
|
|
December 31,
2020*
(recast)
|
September 30,
2021
|
|
|
US$
|
US$
|
|
|
Audited
|
Unaudited
|
|
|
|
|
ASSETS
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
|
47,307
|
34,396
|
Restricted
cash
|
|
587
|
167
|
Accounts
receivable
|
|
-
|
523
|
Amounts due
from related parties
|
|
-
|
125
|
Prepayments and
other current assets
|
|
1,562
|
22,812
|
Cryptocurrency
assets
|
|
-
|
56,784
|
Current assets
for discontinued operations
|
|
2,016
|
-
|
Total current
assets
|
|
51,472
|
114,807
|
|
|
|
|
Non-current
assets:
|
|
|
|
Property and
equipment, net
|
|
997
|
50,739
|
Intangible
assets, net
|
|
240
|
56,937
|
Deposits
|
|
162
|
3,952
|
Long-term
investment
|
|
14,056
|
9,213
|
Right-of-use
assets
|
|
1,429
|
1,848
|
Other
non-current assets
|
|
87
|
29,384
|
Goodwill
|
|
-
|
26,915
|
Non-current
assets for discontinued operations
|
|
3,660
|
-
|
Total non-current
assets
|
|
20,631
|
178,988
|
|
|
|
|
TOTAL
ASSETS
|
|
72,103
|
293,795
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
Current
liabilities:
|
|
|
|
Accounts
payable
|
|
-
|
60,972
|
Amounts due to
related parties
|
|
-
|
373
|
Accrued payroll
and welfare payable
|
|
171
|
151
|
Accrued
expenses and other current liabilities
|
|
7,498
|
27,034
|
Income tax
payable
|
|
84
|
880
|
Operating lease
liabilities - current
|
|
569
|
1,024
|
Current
liabilities for discontinued operations
|
|
2,960
|
-
|
Total current
liabilities
|
|
11,282
|
90,434
|
|
|
|
|
Non-current
liabilities:
|
|
|
|
Operating lease
liabilities - non-current
|
|
890
|
995
|
Non-current
liabilities for discontinued operations
|
|
81
|
-
|
Total non-current
liabilities
|
|
971
|
995
|
|
|
|
|
TOTAL
LIABILITIES
|
|
12,253
|
91,429
|
|
|
|
|
|
|
|
|
Shareholders'
Equity:
|
|
|
|
Class A ordinary
shares, par value US$0.00005
per share, 700,000,000 and 1,599,935,000
shares authorized as of December 31, 2020
and September 30, 2021, respectively;
430,127,692 and 706,330,240 shares issued
and outstanding as of December 31, 2020 and
September 30, 2021, respectively
|
|
22
|
36
|
Class A preference
shares, par value
US$0.00005 per share;0 and 65,000 shares
authorized as of December 31, 2020 and
September 30, 2021; 0 and 65,000 shares
issued and outstanding as of December 31,
2020 and September 30, 2021, respectively
|
|
-
|
-
|
Class B ordinary
shares, par value
US$0.00005 per share; 300,000,000 and
400,000,000 shares authorized as of
December 31, 2020 and September 30,
2021,respectively; 99 shares issued and
outstanding as of December 31, 2020 and
September 30, 2021
|
|
-
|
-
|
Additional paid-in
capital
|
|
412,364
|
588,183
|
Treasury
shares
|
|
(21,604)
|
(21,604)
|
Accumulated deficit
and statutory reserve
|
|
(324,351)
|
(373,852)
|
Accumulated other
comprehensive loss
|
|
(4,619)
|
(2,469)
|
Total BIT Mining
Limited shareholders' equity
|
|
61,812
|
190,294
|
Noncontrolling
interests
|
|
(1,962)
|
12,072
|
Total
shareholders' equity
|
|
59,850
|
202,366
|
|
|
|
|
TOTAL LIABILITIES
AND SHAREHOLDERS' EQUITY
|
|
72,103
|
293,795
|
|
|
|
|
|
|
|
|
* The Company has changed its reporting currency from Renminbi
("RMB") to U.S dollars ("USD")
for the period commencing July 1, 2021. Prior periods' comparative
financial information has
been recast as if the Company always used USD as its reporting
currency.
|
BIT Mining
Limited
Condensed Consolidated Statements of Comprehensive Loss
(Amounts in thousands of U.S. dollars ("US$"),
except for number of shares, per share (or ADS)
data)
|
|
Three Months
Ended
|
|
September 30,
2020*
|
|
June 30,
2021*
|
|
September 30,
2021
|
|
US$
|
|
US$
|
|
US$
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
Revenues
|
484
|
|
444,942
|
|
404,319
|
|
|
|
|
|
|
Operating costs
and expenses:
|
|
|
|
|
|
Cost of revenue
|
(449)
|
|
(435,591)
|
|
(416,052)
|
Sales and marketing expenses
|
(359)
|
|
(322)
|
|
(226)
|
General and administrative expenses
|
(3,932)
|
|
(6,081)
|
|
(8,120)
|
Service development expenses
|
(613)
|
|
(828)
|
|
(1,057)
|
Total operating
costs and expenses
|
(5,353)
|
|
(442,822)
|
|
(425,455)
|
Other operating income
|
-
|
|
10
|
|
4
|
Government grant
|
11
|
|
-
|
|
-
|
Other operating expenses
|
(74)
|
|
(390)
|
|
(4,592)
|
Net gain (loss) on disposal of cryptocurrencies
|
-
|
|
(8,634)
|
|
11,239
|
Impairment of cryptocurrencies
|
-
|
|
(8,863)
|
|
(13,552)
|
Changes in fair value of derivative instrument
|
-
|
|
836
|
|
2,860
|
Impairment of property and equipment
|
-
|
|
-
|
|
(9,820)
|
Operating loss
from continuing operations
|
(4,932)
|
|
(14,921)
|
|
(34,997)
|
Other income, net
|
6
|
|
99
|
|
84
|
Interest income
|
23
|
|
22
|
|
19
|
Interest expense
|
-
|
|
(600)
|
|
(66)
|
Gain from equity method investments
|
413
|
|
130
|
|
24
|
Gain from disposal of subsidiaries
|
-
|
|
126
|
|
17
|
Loss before income
tax
|
(4,490)
|
|
(15,144)
|
|
(34,919)
|
Income tax benefit
|
1
|
|
-
|
|
-
|
Net loss from
continuing operations
|
(4,489)
|
|
(15,144)
|
|
(34,919)
|
Loss from discontinued operations , net of applicable income
taxes
|
(1,811)
|
|
(864)
|
|
(47)
|
Loss on disposal of discontinued operations, net of applicable
income taxes
|
-
|
|
-
|
|
(6,697)
|
Net loss from
discontinued operations, net of applicable income
taxes
|
(1,811)
|
|
(864)
|
|
(6,744)
|
Net
loss
|
(6,300)
|
|
(16,008)
|
|
(41,663)
|
Net loss attributable to noncontrolling interest from
continuing
operations
|
-
|
|
(694)
|
|
(5,302)
|
Net income (loss) attributable to noncontrolling interest from
discontinued operations
|
79
|
|
(134)
|
|
-
|
Less: Net income (loss) attributable to noncontrolling
interests
|
79
|
|
(828)
|
|
(5,302)
|
Net loss
attributable to BIT Mining Limited
|
(6,379)
|
|
(15,180)
|
|
(36,361)
|
Other comprehensive
income (loss)
|
|
|
|
|
|
Share of other comprehensive income of an equity method
investee
|
103
|
|
-
|
|
-
|
Foreign currency translation loss
|
(1,742)
|
|
(1,526)
|
|
(470)
|
Other
comprehensive loss, net of tax
|
(1,639)
|
|
(1,526)
|
|
(470)
|
Comprehensive
loss
|
(7,939)
|
|
(17,534)
|
|
(42,133)
|
Less: Comprehensive income (loss) attributable to
noncontrolling
interests
|
79
|
|
(828)
|
|
(5,268)
|
Comprehensive loss
attributable to BIT Mining Limited
|
(8,018)
|
|
(16,706)
|
|
(36,865)
|
|
|
|
|
|
|
Weighted average
number of Class A and Class
B ordinary shares outstanding:
|
|
|
|
|
|
Basic
|
430,014,891
|
|
596,995,942
|
|
692,417,296
|
Diluted
|
430,014,891
|
|
596,995,942
|
|
692,417,296
|
|
|
|
|
|
|
Losses per share
attributable to BIT Mining
Limited-Basic and
Diluted
|
|
|
|
|
|
Net loss from continuing operations
|
(0.011)
|
|
(0.024)
|
|
(0.04)
|
Net loss from discontinued operations
|
(0.004)
|
|
(0.001)
|
|
(0.01)
|
Net loss
|
(0.015)
|
|
(0.025)
|
|
(0.05)
|
|
|
|
|
|
|
Losses per ADS**
attributable to BIT Mining
Limited-Basic and
Diluted
|
|
|
|
|
|
Net loss from continuing operations
|
(0.11)
|
|
(0.24)
|
|
(0.43)
|
Net loss from discontinued operations
|
(0.04)
|
|
(0.01)
|
|
(0.10)
|
Net loss
|
(0.15)
|
|
(0.25)
|
|
(0.53)
|
|
|
|
|
|
|
|
|
|
|
|
|
*The Company has
changed its reporting currency from Renminbi ("RMB") to U.S dollars
("USD") for the period commencing July
1, 2021. Prior periods' comparative financial information has been
recast as if the Company always used USD as its reporting
currency.
|
|
|
|
|
|
|
** American
Depositary Shares, which are traded on the NYSE. Each ADS
represents ten Class A ordinary shares of the
Company.
|
BIT Mining
Limited
Reconciliation of non-GAAP results of operations measures to the
nearest comparable GAAP measures
(Amounts in thousands of U.S. dollars ("US$"),
except for number of shares, per share (or ADS)
data)
|
|
|
Three Months
Ended
|
|
|
September 30,
2020*
|
|
June 30,
2021*
|
|
September 30,
2021
|
|
|
US$
|
|
US$
|
|
US$
|
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
Operating loss
from continuing operations
|
|
(4,932)
|
|
(14,921)
|
|
(34,997)
|
Adjustment for share-based compensation expenses
|
|
1,824
|
|
29
|
|
3,040
|
Adjustment for impairment of property and equipment
|
|
-
|
|
-
|
|
9,820
|
Adjustment for impairment of cryptocurrencies
|
|
-
|
|
8,863
|
|
13,552
|
Adjustment for net (gain) loss on disposal of
cryptocurrencies
|
|
-
|
|
8,634
|
|
(11,239)
|
Adjustment for changes in fair value of derivative
instrument
|
|
-
|
|
(836)
|
|
(2,860)
|
Adjusted operating
(loss) income from continuing operations (non-
GAAP)
|
|
(3,108)
|
|
1,769
|
|
(22,684)
|
|
|
|
|
|
|
|
Net loss attributable
to BIT Mining Limited from continuing operations
|
|
(4,489)
|
|
(14,450)
|
|
(29,617)
|
Net loss attributable
to BIT Mining Limited from discontinued operations
|
|
(1,890)
|
|
(730)
|
|
(6,744)
|
Net loss
attributable to BIT Mining Limited
|
|
(6,379)
|
|
(15,180)
|
|
(36,361)
|
Adjustment for share-based compensation expenses
|
|
1,824
|
|
29
|
|
3,040
|
Adjustment for impairment of property and equipment
|
|
-
|
|
-
|
|
9,820
|
Adjustment for impairment of cyptocurrencies
|
|
-
|
|
8,863
|
|
13,552
|
Adjustment for net (gain) loss on disposal of
cryptocurrencies
|
|
-
|
|
8,634
|
|
(11,239)
|
Adjustment for changes in fair value of derivative
instrument
|
|
-
|
|
(836)
|
|
(2,860)
|
Adjusted net (loss)
income attributable to BIT Mining Limited from
continuing operations (non-GAAP)
|
|
(2,665)
|
|
2,240
|
|
(17,304)
|
Adjusted net loss
attributable to BIT Mining Limited from discontinued
operations (non-GAAP)
|
|
(1,890)
|
|
(730)
|
|
(6,744)
|
Adjusted net
(loss) income attributable to BIT Mining Limited (non-
GAAP)
|
|
(4,555)
|
|
1,510
|
|
(24,048)
|
|
|
|
|
|
|
|
Weighted average
number of Class A and Class B ordinary shares
outstanding:
|
|
|
|
|
|
|
Basic
|
|
430,014,891
|
|
596,995,942
|
|
692,417,296
|
Diluted
|
|
430,014,891
|
|
599,477,107
|
|
692,417,296
|
|
|
|
|
|
|
|
(Losses) earnings
per share attributable to BIT Mining Limited (non-
GAAP)-Basic and
Diluted
|
|
|
|
|
|
|
Net (loss) income from continuing operations (non-GAAP)
|
|
(0.006)
|
|
0.004
|
|
(0.02)
|
Net loss from discontinued operations (non-GAAP)
|
|
(0.004)
|
|
(0.001)
|
|
(0.01)
|
Net (loss) income (non-GAAP)
|
|
(0.01)
|
|
0.003
|
|
(0.03)
|
|
|
|
|
|
|
|
(Losses) earnings
per ADS** attributable to BIT Mining Limited (non-
GAAP)-Basic and Diluted
|
|
|
|
|
|
|
Net (loss) income from continuing operations (non-GAAP)
|
|
(0.07)
|
|
0.04
|
|
(0.25)
|
Net loss from discontinued operations (non-GAAP)
|
|
(0.04)
|
|
(0.01)
|
|
(0.10)
|
Net (loss) income (non-GAAP)
|
|
(0.11)
|
|
0.03
|
|
(0.35)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
*The Company has
changed its reporting currency from Renminbi ("RMB") to U.S dollars
("USD") for the period
commencing July 1, 2021. Prior periods' comparative financial
information has been recast as if the Company
always used USD as its reporting currency.
|
|
|
|
|
|
|
|
** American
Depositary Shares, which are traded on the NYSE. Each ADS
represents ten Class A ordinary shares of the Company.
|
View original
content:https://www.prnewswire.com/news-releases/bit-mining-limited-announces-unaudited-financial-results-for-the-third-quarter-ended-september-30-2021-301427858.html
SOURCE BIT Mining Limited