Why Riot Platforms Stock Was Plummeting Today
Given weakening cryptocurrency prices, now isn't the best time to be a crypto miner releasing a quarterly-earnings report. Unfortunately for Riot Platforms (NASDAQ: RIOT), a Bitcoin (CRYPTO: BTC) miner, this is the situation it found itself in on Thursday. Following its latest release, investors traded the stock down by almost 13%.
Riot's first quarter saw the Bitcoin specialist earn just over $73 million in revenue, which was down from the nearly $80 million it booked in the same period of 2022. Not surprisingly, that decline was mainly due to the drop in Bitcoin's price; mining the high-profile cryptocurrency is Riot's core activity. During the quarter, Riot mined a total of 2,115 Bitcoin, up from the year-ago tally of 1,405.
As for profitability, Riot flipped to a generally accepted accounting principles (GAAP) loss of almost $56 million from a $36.6 million profit in the year-ago period. On a per-share, non-GAAP (adjusted) basis, however, the company was in the black at $0.04. Yet this too was worse than the Q1 2022 result -- a net profit of $0.10 per share.
Source Fool.com
