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Sphere 3D Corp. (ANY+12.20%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.
The filing includes financial statements for the year, showing revenues of $16.6 million, a decrease from $21.9 million in the previous year. The decline in revenue is attributed to decreased Bitcoin mining revenue and the sale of the Service and Product segment.
Cost of Bitcoin mining revenue was $13.4 million, compared to $15.0 million in the previous year. The decrease is due to lower hosting fees resulting from machines being taken offline for relocation and the transition to newer generation machines.
General and administrative expenses were $12.4 million, down from $15.8 million in the previous year. The decrease is primarily due to lower legal fees and operating costs.
The company reported a net loss of $9.5 million for the year, compared to a net loss of $23.3 million in the previous year. The improvement is partly due to investment income from the sale of equity securities.
Sphere 3D held approximately 14.9 Bitcoin as of December 31, 2024, with a fair value of $1.4 million. The company adopted new accounting guidance for cryptocurrency, resulting in a $20,000 adjustment to the opening balance of accumulated deficit.
The company continues to focus on its Bitcoin mining operations, with plans to increase its total hashrate capacity to 1.5 exahash per second during 2025.
Sphere 3D entered into a Managed Services Agreement with Simple Mining LLC for an 8 MW Bitcoin mining site in Iowa, which was energized on March 10, 2025.
The company acknowledges its dependence on positive operating results and potential financing to meet future obligations, with management projecting that cash on hand may not be sufficient to continue operations without additional funding.
Sphere 3D is subject to various risks, including fluctuations in Bitcoin prices, competition in the Bitcoin mining industry, and potential regulatory changes affecting cryptocurrency operations.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Sphere 3D Corp. annual 10-K report dated March 28, 2025. To report an error, please email earnings@qz.com.