Hive Digital Technologies (Nasdaq: HIVE) delivered its strongest quarterly performance ever for the first quarter of fiscal year 2026, ending June 30. Digital currency mining revenue came in at $40.8 million, a 44.9% sequential increase from the prior quarter. Total revenue reached $45.6 million, with mining accounting for nearly 90% of the figure.
Hashrate and Production Growth
The revenue boost was driven by a 47% surge in average hashrate from 5.9 EH/s to 8.7 EH/s. Despite a 10.2% rise in network difficulty, Hive mined 406 Bitcoin, up 34% quarter-over-quarter. The company attributed the success to strategic investments in next-generation mining rigs and its commitment to low-cost, largely zero-carbon energy sources.
“This was a phenomenal quarter,” said Aydin Kilic, President and CEO. “We’re now producing 7.5 Bitcoin daily with over 15 EH/s, and we’re on track to reach 25 EH/s by Thanksgiving, cementing Hive among the world’s largest bitcoin miners.”
Financial Strength
Gross operating margins improved to 34.7% from 28.2% in Q4. Net income hit $35 million, boosted by gains on digital assets and equity investments. Adjusted EBITDA came in at $44.6 million. At quarter-end, Hive held $71.9 million in cash and digital currencies. Executive Chairman Frank Holmes highlighted Hive’s role in supporting Bitcoin network security and decentralization across three countries and nine time zones.
Outlook
Looking ahead, Hive aims for an annualized Bitcoin mining revenue run rate of $315 million based on current prices and network conditions. The company also plans to scale its HPC division, BUZZ, targeting $100 million in AI and cloud computing revenue by 2026.