Bitcoin mining hardware manufacturer, Canaan, has released its revenue report for the second quarter of 2021.
The company stated that it realized $167 million in revenue and sold 5.9 million terahashes per second of hashing power during the period. This represents about 4% of the total current hashing power of the entire Bitcoin network. Canaan reiterated that the revenue represents the highest quarterly sales the firm has recorded in its history. It is more than 150% higher than the first quarter and five times higher year-on-year.
An Impressive Quarter for The Company
Canaan reported a remarkable turnaround in its net income. The company stated that it hit $37.9 million in its Q2 net income compared to the $16.8 million net loss it suffered at the same period last year. The gross profit was also impressive, as it registered $66.2 million in Q2 2021, an increase of a staggering 887% from the same period last year.
Canaan said it spent $101 million as the cost of goods used in the manufacture of equipment, but it still realized $40 million as net income for Q2.
Increased Activity from Institutional Buyers
According to the crypto hardware mining firm, the higher revenue is a result of an increased level of investment it received from institutional buyers since the beginning of the year, especially those from North America.
This does not include the $161 million worth of contract liabilities received for equipment orders that haven’t been delivered yet.
As a result, there is a higher expectation of revenues for the third quarter, with an expectant increase of 30% from the second-quarter revenue.
A Very Busy Year for Canaan
Canaan confirmed that it has launched its self-mine Bitcoin in Kazakhstan as china intensifies its crackdown on Bitcoin mining.
The firm has been very busy in the market this year. It has already sold about 40,000 units of mining equipment to Genesis Digital Assets, Hive Blockchain, and Mawson.