Core Scientific Q4 Earnings Miss Moves Shares Lower
Core Scientific's Q4 revenue missed expectations, causing its shares to decline despite a large net income boost from non-cash holdings.Summary
Core Scientific's shares fell after the company reported fourth-quarter revenues of $79.8 million, missing Wall Street expectations of $90.4 million, with crypto mining revenue nearly halved year-over-year. Although the company posted a net income of $216 million, this was largely due to a $330.3 million fair value gain in non-cash holdings, while its adjusted EBITDA showed a loss of $42.7 million. The earnings reflect the pressure on Bitcoin miners from lower crypto prices and increased costs associated with pivoting to AI compute services. CEO Adam Sullivan noted progress in scaling the company's colocation platform, including expanding capacity in Texas and other sites. Rival Riot Platforms also missed revenue estimates but saw its stock trade relatively flat.
(Source：Cointelegraph)