Bitdeer Stock Tumbles 20% as Bitcoin Miner Posts Third Quarter Net Loss

In brief

Bitdeer's stock fell as the company reported a Q3 net loss.
The company posted a loss per share of $-1.28.
Bitdeer in August told Decrypt that it was working on making mining rigs in the U.S.

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Bitcoin miner Bitdeer Technology Group (NASDAQ: BTDR) saw its stock close down 20% on Monday after the company reported a net loss of $266.7 million for its third quarter, marking a 422% decline from the previous year.

BitDeer's loss per share was -$1.28, down from -$0.35 in Q3 2024 and below Zacks Investment Research's consensus estimate of -$0.22. The firm, however, nearly tripled its revenue to $169.7 million from $62 million last year, beating Zacks' forecast.

BTDR closed Monday at $17.64 per share, according to Yahoo Finance data, giving up gains it had made over the past month.

The company's share price is roughly flat over this period, holding up better than its competitors', although its stock is still down 22.8% year-to-date.

Rivals MARA Holdings and CleanSpark finished down 1.8% and 3.4% on Monday, while Riot Platforms was up 1.8%. MARA has fallen about 16.4% over the past month, while CleanSpark and Riot Platforms have shaved 22% and 17.5% over the past month, respectively.

Despite the headwinds, BitDeer's Chief Business Officer, Matt Kong, struck an upbeat tone, highlighting the company's shift to high-performance computing.

"Q3 marked a quarter of strong execution and financial performance," Kong said in a statement, adding that Bitdeer would continue to focus on its AI pivot.

"On the AI front, we have intensified our focus and investment to capture the surging global demand for compute," Kong added.

Bitdeer is among a cohort within the crypto mining sector that sees opportunities in the growing demand for AI.

Bitcoin miners, mostly large industrial operations of specialized computers, have faced increasing pressure over the past 18 months, with rewards for verifying blockchain transactions cut from 6.25 BTC to 3.125 BTC after last year’s halving event and rising operational costs.

A number of miners have reoriented entirely to become crypto treasuries, in a bid to seek alternative means to generate value for shareholders.

In August, Bitdeer told Decrypt that it was focusing on building rigs and investing in U.S. resources. Most mining equipment for the industry comes from China.

The firm said Monday that mass production of its Sealminer A3 machine was underway, while development of a new energy-efficient mining chip, SEAL04, has been delayed.