third quarter of 2026
Filed Nov 4, 2026American Bitcoin Reports Third Quarter 2026 Results Grows Bitcoin Reserve Through Mining Operations, Increases Satoshis Per Share by Approximately 5%
The Company grew Bitcoin holdings and reported GAAP net income of $ 125,987 thousand and non-GAAP Adjusted EBITDA of $ 220,797 thousand, but mining revenue, Bitcoin mined, gross profit, gross margin and cost to mine all moved unfavorably versus the prior quarter amid higher seasonal power costs.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenue, three months ended September 30, 2026GAAP | $63.35M | – | – |
| Cost of revenue (exclusive of depreciation and amortization shown below), three months ended September 30, 2026GAAP | 37,524 | – | – |
| Gross profit, Q3 2026GAAP | ~$25.8 million | – | – |
| Gross margin, Q3 2026GAAP | ~41% | – | – |
| Depreciation and amortization, three months ended September 30, 2026GAAP | 28,579 | – | – |
| General and administrative expenses, three months ended September 30, 2026GAAP | 2,758 | – | – |
| (Gain) loss on digital assets, three months ended September 30, 2026GAAP | (197,340 ) | – | – |
| Total operating (income) expenses, three months ended September 30, 2026GAAP | (166,003 ) | – | – |
| Operating income (loss), three months ended September 30, 2026GAAP | 191,834 | – | – |
| (Loss) gain on derivatives, three months ended September 30, 2026GAAP | (64,276 ) | – | – |
| Gain on warrant liability, three months ended September 30, 2026GAAP | 6 | – | – |
| Other (expense) income, three months ended September 30, 2026GAAP | (64,270 ) | – | – |
| Income (loss) before income taxes, three months ended September 30, 2026GAAP | 127,564 | – | – |
| Income tax provision, three months ended September 30, 2026GAAP | 1,577 | – | – |
| Net income (loss), three months ended September 30, 2026GAAP | $126.0M | – | – |
| Adjusted EBITDA, three months ended September 30, 2026non-GAAP | $220.8M | – | – |
| Stock-based compensation expense, three months ended September 30, 2026non-GAAP | 384 | – | – |
| Non-recurring transactions, three months ended September 30, 2026non-GAAP | — | – | – |
| Bitcoin holdings, as of September 30, 2026other | ~8,427 Bitcoin | ~5% | – |
| Satoshis Per Share, as of September 30, 2026other | ~11,572 | ~5% | – |
| Bitcoin mined, Q3 2026other | ~891 Bitcoin | – | – |
| Revenue per Bitcoin mined, Q3 2026other | ~$71,100 | – | – |
| Cost to mine, Q3 2026other | ~$42,100 per Bitcoin | – | – |
| Total owned fleet, as of quarter-endother | ~89,242 Bitcoin miners | – | – |
| Total owned fleet capacity, as of quarter-endother | ~28.1 EH/s | – | – |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
What drove it
- Higher seasonal power costs across the Company's sites primarily drove the increase in cost to mine and contributed to quarter-over-quarter gross-margin pressure.
- The Company reported a gain on digital assets of (197,340 ) for the three months ended September 30, 2026, compared with a loss on digital assets of 71,178 in the prior quarter.
- Q3 2026 production represented ~21% of the Company's total Bitcoin mined since its March 31, 2025 launch.
Concerns
- Revenue was $ 63,355 thousand for the three months ended September 30, 2026, versus $ 67,015 thousand in the prior quarter.
- Gross margin was ~41%, compared with ~49% in Q2 2026.
- Cost to mine was ~$42,100 per Bitcoin, compared with ~$36,500 per Bitcoin in Q2 2026.
- Bitcoin mined was ~891 Bitcoin, compared with ~932 Bitcoin mined in Q2 2026.
- The Company recorded a (Loss) gain on derivatives of (64,276 ) in Q3 2026, compared with 18,315 in Q2 2026.
What to watch
- Seasonal power-cost effects on gross margin and cost to mine.
- Bitcoin holdings and Satoshis Per Share following the ~8,427 Bitcoin reserve and ~11,572 SPS reported as of September 30, 2026.
- Production from the ~89,242 Bitcoin-miner owned fleet with ~28.1 EH/s of capacity.
- Whether the Company continues selling a portion of Bitcoin production to cover operating costs while building its strategic reserve.
Balance sheet and cash flow
- Bitcoin holdings were ~8,427 Bitcoin as of September 30, 2026, including ~3,090 Bitcoin pledged for miner purchases under agreements with BITMAIN.
- The Company sold a portion of Bitcoin production to cover operating costs while continuing to build its strategic Bitcoin reserve.
- The Company did not issue shares through its ATM program or purchase Bitcoin during the quarter.
Analysis
American Bitcoin reported third-quarter revenue of $ 63,355 thousand, down from $ 67,015 thousand in the prior quarter. Mining output was ~891 Bitcoin, compared with ~932 Bitcoin in Q2 2026, while revenue per Bitcoin mined was ~$71,100 versus approximately $71,900. The Company described the quarter as one in which it continued to sell a portion of production to cover operating costs while adding to its strategic reserve.
Operating profitability reflected a large gain on digital assets. The Company reported operating income of 191,834 and GAAP net income of $ 125,987 for the three months ended September 30, 2026, compared with an operating loss of (74,081 ) and net loss of $ (57,151 ) in the prior quarter. The gain on digital assets was (197,340 ), compared with a loss on digital assets of 71,178 in Q2, while the period also included a (Loss) gain on derivatives of (64,276 ). Adjusted EBITDA, a non-GAAP measure, was $ 220,797, compared with $ (45,032) in Q2.
Mining economics weakened sequentially because of seasonal power costs. Gross profit was ~$25.8 million and gross margin was ~41%, compared with ~$33.0 million and ~49% in Q2 2026. Cost to mine increased to ~$42,100 per Bitcoin from ~$36,500 per Bitcoin. Depreciation and amortization was 28,579, broadly consistent with 28,237 in the prior quarter, while general and administrative expenses declined to 2,758 from 7,672.
The strategic reserve expanded despite no Bitcoin purchases during the quarter and no share issuance through the ATM program, according to management. Bitcoin holdings increased from ~8,002 to ~8,427 Bitcoin, and Satoshis Per Share increased from ~10,989 to ~11,572. The reported reserve includes ~3,090 Bitcoin pledged for miner purchases under agreements with BITMAIN. The Company provided no forward financial guidance, cash-flow statement, balance-sheet cash balance, debt balance, EPS data, or capital-return program details in the filing text.
Management, verbatim
Our third-quarter results demonstrate our commitment to building a disciplined, Bitcoin-denominated operating business. Despite seasonal power cost pressures, we continued mining Bitcoin at a structural discount to spot, grew our strategic reserve, and increased Satoshis Per Share by approximately 5%, all without issuing shares through our ATM program or purchasing Bitcoin during the quarter.
Mike Ho, Chief Executive Officer of American Bitcoin
This quarter, we delivered approximately $126 million in net income and $221 million in Adjusted EBITDA, while growing our Bitcoin reserve and increasing Bitcoin per share.
Eric Trump, Co-Founder and Chief Strategy Officer of American Bitcoin
Not in the filing
stated, not guessed- Prior-year revenue, profitability, mining-production, reserve and fleet comparisons
- GAAP diluted EPS and non-GAAP diluted EPS
- Operating cash flow and free cash flow
- Cash balance, debt balance and other balance-sheet data
- Tax rate
- Forward financial guidance
- Prior outlook for comparison
- Segment revenue disclosures
- Share repurchases and dividend information
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.