MARA Holdings reported third-quarter net profit of $634.4 million, sharply higher than $123.1 million in the same period a year earlier, even as revenue declined 35% year over year to $164.2 million.
The company said the earnings jump was driven mainly by the rising value of its bitcoin holdings and related receivables. After the quarter closed, MARA also sold 13,597 BTC for about $1.1 billion and used $750 million of the proceeds to fully repay its bitcoin-collateralized loans.
Bitcoin gains outweighed weaker operating revenue
MARA’s quarterly results reflected a split between its balance-sheet exposure to bitcoin and the underlying trend in its mining business. The company recorded nearly $885 million in fair-value gains on digital assets and bitcoin receivables, which was the main contributor to profit for the period.
At the same time, mining revenue moved lower as block reward income fell 37%. That decline helped push total revenue down to $164.2 million, showing that the company’s reported profit relied far more on bitcoin appreciation than on growth in operating sales.
Post-quarter bitcoin sale used to cut borrowing
In a separate update, MARA said it sold 13,597 bitcoin after the end of the quarter for approximately $1.1 billion. From those proceeds, the company allocated $750 million to repay its bitcoin-backed loans in full.
The repayment is part of a broader reduction in leverage. MARA said that, since the start of the year, it has lowered total debt by 37% to $1.4 billion.
Company expands beyond pure bitcoin mining
MARA said it is moving away from being solely a mining-focused business and is building out its position as an AI infrastructure provider through high-performance computing operations.
In its quarterly shareholder letter, CEO Fred Thiel said the company’s opportunity extends beyond simply monetizing power capacity. He described a strategy aimed at capturing more value from each megawatt by moving from power to infrastructure, then to compute and eventually to integrated cloud solutions.
The company said it is increasingly focused on securing customer leases and producing free cash flow, using its bitcoin mining operations, energy portfolio and partnerships to generate higher returns from its existing assets.
Treasury position and market reaction
MARA remains one of the largest corporate holders of bitcoin, although the company noted that it has recently been overtaken in that ranking.
Its shares were little changed in after-hours trading following the earnings release, after gaining more than 4.5% during the regular trading session.
The next confirmed step is the company’s continued execution of its debt reduction and infrastructure transition, with recent loan repayment and expansion into high-performance computing serving as the clearest markers of that shift.
Source: www.theblock.co