IREN stock rose by nearly 14% in the hours following this impressive performance. Caliber shares soared 162% when the company revealed plans to create a Chainlink treasury, despite being delisted from Nasdaq for not meeting equity requirements.
IREN shares jump to record results
IREN, a bitcoin mining company, reported $187.3 in revenue during the quarter ended June 30, its best ever. This stellar performance helped boost its company’s revenue for the full year to $501 millions, which is a record high. Net income also jumped sharply from $176.9million into positive territory.
Investors were excited to learn the results on Thursday. Google Finance shows that the company’s stock rose by 3.1% at market closing to $23,04 and by nearly 14% after hours.
The share price of IREN over the last 24 hours. ( Google Finance )
IREN has experienced a remarkable turnaround, largely due to the rapid growth of its Bitcoin mining operations. This positioned IREN amongst the leading players in the sector. IREN surpassed rival MARA Holdings’ monthly production in July after mining 728 BTC, compared with MARA’s 703 BTC. It also increased its Bitcoin mining capability to 50 exahashes/second, but has since stopped further expansion to focus more on artificial intelligence. IREN’s annualized revenue is estimated at $1 billion under current mining economics.
IREN has seen its business grow this year as a result of the company’s shift towards AI. The company increased its GPU fleet from 1,800 to 1,900 in the third quarter. This is an increase of 132% year-onyear. It also became a Nvidia “Preferred partner”, granting greater access to high-end hardware. The company’s revenue from AI services, which primarily includes renting GPU power to support machine learning and training large language models as well as supporting enterprise workloads, has already reached $25 million per monthly.
IREN plans to invest $200 million by the end of this year to increase its GPU count from 10,900 to 25,900. The company targets $200 to $250 million annualized AI revenues by December. IREN’s long-term goal is to install Nvidia Blackwell GPUs in 60,000 units at the British Columbia facility.
IREN’sgrowth forecast
This is an incredible turnaround from just one year ago when Culper research, a short-selling company, referred to IREN’s AI ambitions as “ill-prepared” and deemed it “wildly overvalued”.
The shares then fell to $5.59 before a 312% surge in the last four months. IREN recently settled a longstanding dispute over defaulted equipment loan of $105 million tied to 35,000 Antminer S19s with NYDIG, and came to a confidential agreement that eliminated a persistent overhang. IREN appears to have quieted its critics for now.
Caliber Jumps with LINK Pivot
Caliber, a real estate asset management company, also saw its shares soar on Thursday, after it revealed that the Nasdaq listed firm had plans to switch over to a Chainlink digital asset portfolio, despite the fact that the company faces delisting. Board of Directors approved a plan to dedicate a part of the firm’s funds towards LINK tokens.
Caliber announced the formation of a Crypto Advisory Board to help guide the company’s management in digital asset strategies and initiatives. Google Finance showed that Caliber stock had risen 162% in the last 24 hours. It was trading at $4.46 as of press time.
The share price of Caliber over the last 24 hours. ( CoinMarketCap )
Caliber made the announcement just one day before it disclosed that Nasdaq had sent a letter stating that Caliber was not in compliance with Listing Rule 5550(b)(1) which mandates that firms maintain stockholders equity of at least $2 million. Caliber’s second quarter SEC filing revealed a $17.6m deficit in its stockholders equity. This puts it at risk to be delisted. If the plan is approved, Caliber has up to 90 days to fix its shortfall. A Chainlink Treasury could help raise capital while regaining compliance.
Caliber delisting notice
Caliber’s approach is part of an overall shift within corporate treasury, which began with Strategy as the first company to use Bitcoin as its reserve currency. Early corporate treasuries tended to be dominated by Bitcoin, but a growing number are now exploring altcoins.
Trump Media and Technology Group unveiled a Cronos Treasury of $6.42 Billion this week, and Sharps Technology saw its value almost double after unveiling the $400 Million Solana Treasury. Not all firms have benefitted from this trend. Windtree Therapeutics lost 77% after Nasdaq announced it was delisted.
Caliber’s immediate reaction to the market has been positive, but the company’s survival as a Nasdaq member may depend on its ability to generate enough capital in order for it fill the equity gap.
This site is for entertainment only. Click here to read more
