TL;DR
- HIVE reported a Q2 FY2027 net loss of $78.7 million, with $54.9 million in depreciation and a $31.2 million non-cash mining-equipment impairment weighing on results.
- Revenue reached $84.9 million, down 2.7% year over year, while digital currency revenue fell 7.4% and BUZZ HPC revenue jumped 70.7%.
- Adjusted EBITDA remained positive at $24.8 million, while HIVE ended September with $139 million in cash and $185 million in contracted GPU Cloud ARR.
HIVE Digital Technologies reported a GAAP net loss of $78.7 million for fiscal Q2 2027, ended September 30. According to the official results, revenue reached $84.9 million, up 7.3% quarter over quarter but down 2.7% year over year. The quarter combined improving sequential operations with non-cash charges that pushed HIVE into a net loss. The results highlight pressure on Bitcoin mining alongside HIVE’s AI business.
AI Growth Offsets Part of Mining Pressure
Digital currency revenue totaled $76.0 million, rising 5.5% from the previous quarter but falling 7.4% from a year earlier. HIVE received 1,070 Bitcoin in rewards, up from 1,004 in Q1, helped by average network difficulty declining to roughly 128 trillion from 135 trillion. Higher Bitcoin production improved mining revenue sequentially, but it did not prevent an annual decline in the segment. The result comes as HIVE continues its shift toward AI and HPC infrastructure.
The loss included $54.9 million of depreciation, a $31.2 million non-cash impairment of mining equipment, $8.6 million of share-based compensation and a $7.3 million loss from changes in derivative fair value. HIVE said the impairment followed a U.S. GAAP recoverability assessment reflecting challenging mining economics and lower ASIC market values. Non-cash accounting charges represented a major component of the quarterly loss rather than an equivalent cash outflow. Adjusted EBITDA remained positive at $24.8 million, equal to 29.2% of revenue and up 85% sequentially.
HIVE’s BUZZ HPC business generated $8.8 million in quarterly revenue, increasing 25.3% sequentially and 70.7% year over year. Growth primarily reflected deployment of an NVIDIA B200 GPU cluster in Manitoba and demand across GPU marketplaces. AI computing continued expanding faster than HIVE’s mining business, strengthening the company’s dual-engine strategy. HIVE reported approximately $40 million in live GPU Cloud ARR and about $185 million in contracted ARR, including capacity not yet in service, alongside its BUZZ cloud expansion.
HIVE ended September with $139 million in cash and cash equivalents plus $22.6 million in digital currencies. Gross operating margin reached $30.2 million, or 35.6% of revenue, compared with $24.2 million and 30.6% in the previous quarter. The balance sheet provides liquidity as HIVE funds GPU deployments while absorbing volatility in Bitcoin mining economics. Management targets approximately $200 million in GPU Cloud ARR by Q4 2026, subject to financing, deployment schedules, market conditions and customer acceptance, extending its diversification beyond mining.
