TLDR
- Hut 8 disclosed a Q4 net loss totaling $301.8M, a significant swing from Q4 2024’s $152M profit, primarily due to $401.9M in unrealized digital asset losses.
- Annual revenue for 2025 climbed 45% compared to the previous year, reaching $235.1M, while gross profit margins expanded from 47% to 54%.
- Fourth quarter revenue reached $88.5M, falling short of the $95.6M analyst estimate but showing growth versus Q3’s $83.5M.
- The firm is strategically transitioning toward AI infrastructure and power generation, featuring a 9,520 MW energy development portfolio.
- Despite underwhelming quarterly results, HUT stock appreciated approximately 2.4% following the earnings release.
Hut 8 reported a substantial quarterly loss in Q4 2025, primarily attributable to significant impairment charges on its cryptocurrency portfolio amid Bitcoin’s approximately 25% price decline during the period.
The company’s Q4 net income registered at -$301.8M, representing a dramatic turnaround from Q3’s $50.1M profit and the prior year’s Q4 gain of $152M.
The primary driver behind this negative performance was $401.9M in unrealized losses stemming from digital asset holdings. This contrasts sharply with the year-ago quarter, when the firm recorded $308.2M in unrealized gains — highlighting a substantial year-over-year shift.
Fourth quarter revenue totaled $88.5M, underperforming the Street’s $95.6M consensus estimate, though it represented sequential growth from Q3’s $83.5M and a significant increase from $31.7M in Q4 2024.
Despite the substantial reported loss, HUT shares appreciated 2.4% on Wednesday morning, indicating market participants were focused on forward-looking metrics rather than accounting adjustments.
On an annual basis, Hut 8 achieved 45% revenue growth, reaching $235.1M compared to $162.4M in 2024. Gross profit margin also showed improvement, expanding from 47% to 54%.
The full-year net loss stood at $248M, contrasting with 2024’s net income of $331.4M. This annual fluctuation was predominantly driven by a $220M unrealized Bitcoin loss in 2025 versus a $509.3M unrealized gain in the preceding year.
Adjusted EBITDA for the fourth quarter registered at -$347.8M, declining from Q3’s $109M and Q4 2024’s $310.6M.
Compute Segment Drives Top-Line Performance
The Compute division emerged as the strongest performer, delivering $202.3M in fiscal year 2025 revenue. Within this total, Q4 contributed $81.8M, representing growth from Q3’s $70M and a substantial increase from Q4 2024’s $19.2M.
Compute revenue encompasses Bitcoin mining operations, GPU-as-a-Service offerings, and Data Center Cloud services — business lines receiving increased strategic emphasis.
Power segment revenue declined to $4.97M in Q4 from $8.37M in the previous quarter. Digital Infrastructure revenue similarly decreased to $1.64M from Q3’s $5.11M.
As of December 31, 2025, Hut 8 maintained approximately $1.4B in combined cash and bitcoin holdings. This represents a decrease from the $1.6B market value reported as of September 30, when the company’s bitcoin treasury stood at 13,696 BTC.
Massive 9,520 MW Energy Development Portfolio
Chief Executive Officer Asher Genoot highlighted Hut 8’s strategic reorientation toward a “power-first” business model as the central theme throughout 2025. The organization divested its traditional ASIC mining operations and completed the sale of a 310 MW power generation asset portfolio.
The company currently maintains a 9,520 MW energy development pipeline across multiple project phases, including 330 MW actively under construction and 1,020 MW under active management.
River Bend, representing a significant facility within the development pipeline, is scheduled to commence energy delivery in Q2 2027.
Hut 8’s equity has surged 298% over the trailing twelve-month period, currently trading at a $6.4B market capitalization within a 52-week trading range spanning $14.28 to $89.34.
Earnings per share registered at -$0.1101, exceeding analyst projections by 11.42%, despite top-line revenue falling short by 5.25%.
