Bit Digital, Inc.: Q3 FY2026 earnings call

What management said about Q3 FY2026, from the documents filed with the SEC on 12 November 2026: press release. The quarter’s numbers.

Key takeaways

Quarterly revenue fell 11% year over year: Third-quarter revenue was $27.1 million against $30.5 million a year earlier. The June 30 release reported second-quarter revenue of $32.1 million. Source
Net income positive on digital asset gains: Net income attributable to Bit Digital shareholders was $28.5 million, or $0.08 per diluted share. Gains on digital assets and related items were about $16.3 million in the quarter. Source
Colocation revenue up 232%: Colocation revenue was $5.6 million at a gross margin of about 57%. The increase reflects the MTL-3 site being fully operational since November 2025, and revenue rose 19% from the second quarter. Source
ETH holdings of 163,725.9 ETH: The company held about 163,725.9 ETH at September 30, including ETH held through a fund and as-converted LsETH. Market value was $439.4 million at an ETH price of about $2,684. Source
59.7% stake in WhiteFiber valued at $487 million: Bit Digital held 27,043,750 WhiteFiber shares, 59.7% of the total, with an implied value of about $487 million at a Nasdaq close of $18.01. The June 30 implied value was $1.05 billion at $38.85 per share. Source
Remaining performance obligations of $729.0 million: Remaining performance obligations were about $729.0 million at quarter end. Management expects $235.1 million of this to be recognized in 2027 and $206.9 million in 2028. Source
Share repurchase described as an option: Management said the discount to net asset value makes repurchases an option worth serious consideration. The company gave no decision on a program. Source

“Our third-quarter results reflect the continued shift toward Ethereum and AI infrastructure,”
Sam Tabar, Chief Executive Officer of Bit Digital

Guidance

Area	Period	Figure
Remaining performance obligations recognition Source	balance of 2026	approximately $13.5 million
Remaining performance obligations recognition Source	2027	$235.1 million
Remaining performance obligations recognition Source	2028	$206.9 million

What changed from last quarter

New: NC-1 colocation revenue began. The June 30 release said NC-1 was not yet in results. The September quarter includes revenue from the first 20 MW of contracted capacity. Source
New: The company sold 1,625 ETH during the quarter at an average price of about $2,114.62. The June 30 release reported no ETH sales in the second quarter. Source
New: The September quarter release adds a discussion of share repurchases as part of capital allocation, following the June 30 statement that the Board was evaluating options. Source
New: After quarter end, WhiteFiber received an additional $70 million under its facility, bringing total outstanding to $100 million. Source

Results and growth drivers

Quarterly revenue fell 11% year over year: Third-quarter revenue was $27.1 million against $30.5 million a year earlier. The June 30 release reported second-quarter revenue of $32.1 million. Source
Nine-month revenue rose 7%: Revenue for the nine months ended September 30, 2026 was $87.1 million, up 7% from the same period of 2025. Source
Net income positive on digital asset gains: Net income attributable to Bit Digital shareholders was $28.5 million, or $0.08 per diluted share. Gains on digital assets and related items were about $16.3 million in the quarter. Source
Nine-month operating cash flow was positive: Net cash provided by operating activities was $163.2 million for the nine months ended September 30, 2026, compared with a use of $204.9 million in the same period of 2025. Source
Cash rose to $143.5 million: Cash and equivalents were about $143.5 million at September 30, up from $83.6 million at June 30. Most of the balance sits at WhiteFiber. Source

Revenue by business line

Cloud services revenue up slightly: Cloud services revenue was $18.1 million, with a gross margin of about 56%. The company described the change as up slightly year over year. Source
Colocation revenue up 232%: Colocation revenue was $5.6 million at a gross margin of about 57%. The increase reflects the MTL-3 site being fully operational since November 2025, and revenue rose 19% from the second quarter. Source
ETH staking revenue fell year over year: Staking revenue was $1.0 million, down from $2.9 million a year earlier, and up 14% sequentially on higher ETH prices. The company tied the annual decline to ETH moved into liquid staking. Source
Mining revenue down sharply: Mining revenue was $2.0 million on 28.4 bitcoin mined, against $7.4 million on 64.9 bitcoin in the third quarter of 2025. The company said this is consistent with the continued wind-down of the business. Source

“Colocation revenue increased 19% sequentially, supported by NC-1’s initial contribution, while native ETH staking revenue grew 14%.”
Sam Tabar, Chief Executive Officer of Bit Digital

Costs and margins

Gross margin was 56.1%: Gross profit was $15.2 million for the quarter, at a gross margin of 56.1%. The June 30 release reported a gross margin of 57.9% for the second quarter. Source
Mining margin about 27%: The mining segment generated a gross margin of about 27% in the quarter, compared with about 26% in the second quarter. Source
Non-cash LsETH impairment of $3.2 million: The company recorded a $3.2 million non-cash impairment on LsETH, which management said does not represent a realized loss. The second-quarter impairment was $46.0 million. Source

Ethereum treasury and staking

ETH holdings of 163,725.9 ETH: The company held about 163,725.9 ETH at September 30, including ETH held through a fund and as-converted LsETH. Market value was $439.4 million at an ETH price of about $2,684. Source
Direct ETH held at $200.2 million: 74,606.4 ETH was held directly at a fair value of $200.2 million, including ETH natively staked through the company’s validator partner. Source
73,683 ETH moved into liquid staking: During the quarter the company liquid staked 73,683 ETH and received 66,192 LsETH. Of that, 19,000 LsETH was pledged as collateral, shown as a $37.1 million receivable. Source
Additional 45,000 LsETH pledged in October: After quarter end, 45,000 more LsETH was pledged as collateral for the WhiteFiber drawdown made in October. Source
Native staking produced 474 ETH: Native staking generated 474 ETH in the quarter. Rewards earned through September totaled about 1,863 ETH. Source

“The persistent discount to our net asset value makes repurchases an option that deserves serious consideration, but the benefit to shareholders depends on both the price we pay and how we fund them.”
Sam Tabar, Chief Executive Officer of Bit Digital

WhiteFiber and AI infrastructure

59.7% stake in WhiteFiber valued at $487 million: Bit Digital held 27,043,750 WhiteFiber shares, 59.7% of the total, with an implied value of about $487 million at a Nasdaq close of $18.01. The June 30 implied value was $1.05 billion at $38.85 per share. Source
Most cash held at WhiteFiber: Of the cash balance, about $138.5 million sat at WhiteFiber and about $5.0 million at Bit Digital. Source
September repayments on WhiteFiber facility: In September WhiteFiber repaid $30 million of its delayed draw term loan facility, and Bit Digital separately repaid $30 million to Galaxy. Source

Contracts and order book

Contract liabilities reached $154.1 million: Contract liabilities were $154.1 million at September 30, up from $7.7 million at December 31, 2025. Source
Remaining performance obligations of $729.0 million: Remaining performance obligations were about $729.0 million at quarter end. Management expects $235.1 million of this to be recognized in 2027 and $206.9 million in 2028. Source
Backlog was about $1.0 billion in June: At June 30 the remaining performance obligations stood at about $1.0 billion, against the $729.0 million reported for September 30.

Capital and shareholder returns

Convertible notes rose to $445.3 million: Consolidated convertible notes, net of issuance costs and discount, were $445.3 million at September 30, up from $336.2 million at June 30. They include Bit Digital’s 2030 notes with $150 million principal. Source
Share repurchase described as an option: Management said the discount to net asset value makes repurchases an option worth serious consideration. The company gave no decision on a program. Source
Shareholder approval needed for buybacks: Under the company’s articles, a repurchase program cannot be implemented without shareholder approval. Any request for approval would need a funding plan. Source
ETH sales would cut staking income: Management said selling ETH to fund repurchases would reduce staking income and exposure to potential ETH appreciation, which it weighs against the benefit of a smaller share count. Source

Strategy and mining wind-down

Strategic Asset Company structure described: The company describes itself as a Strategic Asset Company allocating capital to Ethereum as economic infrastructure and to AI infrastructure through its WhiteFiber stake. Source
Mining is no longer a growth priority: Management said mining remains gross margin positive but is no longer a strategic growth priority, and the company continued reducing its exposure to bitcoin mining in the quarter. Source
No growth or maintenance capital for mining: The company does not expect to allocate meaningful growth or maintenance capital to the mining segment going forward. Source

Coming up, as management said on 12 November 2026

Buyback would need a funding plan: Management said any decision to seek shareholder approval would need a funding plan that it believes improves value per share while keeping adequate liquidity. No decision has been made. Source

In management's words

“We remain constructive on the assets we own, and our responsibility is to determine how best to translate their value into returns for Bit Digital shareholders.”
Sam Tabar, Chief Executive Officer of Bit Digital

Figures management reported

Figure	Reported
Bitcoin mined Source	28.4 bitcoin in Q3 2026 (64.9 in Q3 2025)
Remaining performance obligations Source	$729.0 million at September 30, 2026
Native ETH staking rewards Source	474 ETH in Q3 2026; about 1,863 ETH through September
Colocation capacity generating revenue Source	first 20 MW of contracted capacity at NC-1

Risks management discussed

Financial: Management said the remaining LsETH is retained as a buffer against margin requirements, tied to the collateralized borrowing arrangements. Source
External: Management said the quarter's positive GAAP earnings reflected higher digital asset values, while the prior quarter reflected losses tied to digital assets and non-operating items. Source

Earlier plans management reported on

Not stated: The June 30 release expected NC-1 to contribute from the third quarter. The September release reports revenue from the first 20 MW of contracted capacity at NC-1, and gives no status statement.
Not stated: The June 30 release expected full run-rate billing across 40 MW of contracted IT load later that month. The September release does not state whether this was reached.
Not stated: The June 30 release said the Board was evaluating options to address the gap between valuation and operating results. The September release discusses repurchases without stating a Board decision.
Not stated: Management said the company does not intend to sell WhiteFiber shares in 2026 and continues to view the stake as a long-term strategic asset. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

NEW YORK, November 12, 2026 - Bit Digital, Inc. (Nasdaq: BTBT) (“Bit Digital” or the “Company”), a publicly listed Strategic Asset Company focused on Ethereum (“ETH”) strategies and AI/HPC infrastructure, today announced its financial results for the third quarter of 2026. The Company will host a conference call on November 12, 2026, at 8:30 AM ET to discuss results (click here for registration information).

Financial Highlights for the Third Quarter of 2026

The Company’s third-quarter results reflected continued execution of its Strategic Asset Company strategy, with growth in colocation revenue supported by the initial contribution from WhiteFiber’s NC-1 data center campus and sequential improvement in native ETH staking revenue. Results also benefited from higher digital asset values, which contributed to a return to positive GAAP earnings.

Results for the third quarter of 2026 include the consolidated financial performance of WhiteFiber Inc. (Nasdaq: WYFI), with a portion of results attributable to non-controlling interests.

Total revenue for the third quarter of 2026 was $27.1 million, an 11% decline compared to $30.5 million in the third quarter of 2025. For the nine months ended September 30, 2026, total revenue was $87.1 million, a 7% increase year over year.
Gross profit for the third quarter was $15.2 million, representing a gross margin of 56.1%.
Revenue from Cloud Services was $18.1 million, up slightly year-over-year, at a gross margin of approximately 56%.
Revenue from colocation services was $5.6 million, an increase of 232% from the third quarter of 2025, at a gross margin of approximately 57%. Revenue increased 19% sequentially from the second quarter of 2026. For the nine months ended September 30, 2026, colocation revenue increased nearly 200% year-over-year. The increase was primarily due to the MTL-3 site becoming fully operational in November 2025 and the beginning of the revenue generation from the first 20 MW of contracted capacity at the NC-1 facility.
Third-quarter revenue from ETH staking was $1.0 million, compared to $2.9 million in the year-ago quarter with the decline attributable to the repositioning of ETH into liquid staking to collateralize the WhiteFiber financing during the second quarter. On a sequential basis, revenue increased 14% from the second quarter of 2026 primarily driven by an increase in the price of Ethereum. For the nine months, ETH staking revenue increased 11% year over year primarily due to an increase in ETH earned from native staking partially offset by lower average ETH prices during the nine months.
Revenue from digital asset mining was $2.0 million in the third quarter of 2026, on 28.4 bitcoin mined compared to revenue of $7.4 million, on 64.9 bitcoin mined in the third quarter of 2025. For the nine months, mining revenue declined 63% year over year. The quarterly and nine-month results are consistent with the continued winddown of the business. The segment generated a gross margin of approximately 27% in the third quarter of 2026.
Net income attributable to Bit Digital shareholders for the third quarter of 2026 was $28.5 million, or $0.08 per diluted share, compared to a net loss of $107.2 million, or $0.31 per diluted share in the second quarter of 2026. Results included realized and unrealized gains on digital assets and digital intangible assets, impairment on digital intangible assets, and non-operating items including induced conversion expense, which together accounted for approximately $16.3 million of the gain in the third quarter and $83.5 million of the loss in the second quarter.
Net cash provided by operating activities was $163.2 million for the nine months ended September 30, 2026, compared to a use of cash of $204.9 million in the same period of 2025.
Cash and cash equivalents totaled approximately $143.5 million as of September 30, 2026, compared to $83.6 million as of June 30, 2026. Of that balance, approximately $5.0 million was held at Bit Digital and approximately $138.5 million at WhiteFiber.
Contract liabilities were $154.1 million as of September 30, 2026, compared to $7.7 million as of December 31, 2025. Remaining performance obligations were approximately $729.0 million at quarter end, of which approximately $13.5 million is expected to be recognized during the balance of 2026, $235.1 million in 2027, and $206.9 million in 2028, and the remainder thereafter.
Consolidated convertible notes, net of unamortized debt issuance costs and debt discount, totaled $445.3 million as of September 30, 2026, compared to $336.2 million as of June 30, 2026. The September 30 balance includes Bit Digital’s 2030 Convertible Notes, with $150 million in principal outstanding, and WhiteFiber’s 2031 and 2032 Convertible Notes.
In September WhiteFiber repaid $30 million of the Delayed Draw Term Loan Facility and Bit Digital separately repaid $30 million to Galaxy. Subsequent to the end of the third quarter, on October 27, WhiteFiber received an additional drawdown of $70 million under the facility, bringing the total outstanding to $100 million.
As of September 30, 2026, Bit Digital held 27,043,750 (59.7%) WhiteFiber shares, with an implied value of approximately $487 million based on the Nasdaq closing price of $18.01 per share on that date.

Ethereum Treasury Update

As of September 30, 2026, the Company held approximately 163,725.9 ETH, with a market value of $439.4 million based on a closing ETH price of approximately $2,684 on that date.

74,606.4 ETH was held directly at a fair value of $200.2 million, including ETH natively staked through the Company’s validator partner.

During the third quarter, the Company liquid staked 73,683 ETH and received 66,192 LsETH in exchange. Of that balance, 19,000 LsETH was pledged as collateral in connection with the Company’s collateralized borrowing and is reflected on the balance sheet as a digital asset collateral receivable of $37.1 million. As of September 30, 2026, the remaining 47,192 LsETH was carried within digital intangible assets at $98.3 million and was retained as a buffer against margin requirements. Subsequent to the end of the third quarter, an additional 45,000 LsETH was pledged as collateral in connection with WhiteFiber’s $70 million drawdown in October.

During the quarter the Company sold 1,625 ETH for $3.4 million, at an average sales price of approximately $2,114.62 per ETH. The Company did not acquire any ETH during the quarter.

LsETH is accounted for separately from ETH under different guidance and is carried at cost less impairment rather than fair value. The reclassification changed where the position appears on the balance sheet without changing the Company’s underlying economic exposure. The Company recorded a non-cash impairment of $3.2 million on LsETH during the quarter, which does not represent a realized loss.

Strategic Asset Company Strategy

Bit Digital operates as a Strategic Asset Company, allocating capital across two core areas: Ethereum as economic infrastructure, and AI infrastructure through its majority ownership stake in WhiteFiber. As of September 30, 2026, Bit Digital held 27,043,750 shares of WhiteFiber equating to 59.7% of total WhiteFiber shares outstanding with an implied value of approximately $487 million based on the Nasdaq closing price of $18.01 per share on that date.

The Company does not intend to sell WhiteFiber shares in 2026 and continues to view the position as a long-term strategic asset.

Bitcoin Mining Update

Bit Digital continued reducing exposure to bitcoin mining during the quarter as part of its transition toward Ethereum and infrastructure-related operations. Mining remains gross margin positive but is no longer a strategic growth priority.

The Company does not expect to allocate meaningful growth or maintenance capital to this segment going forward. Capital allocation is expected to continue shifting toward Ethereum and infrastructure-related opportunities.

Includes approximately 15,437 ETH and ETH-equivalents held in an externally managed fund, and approximately 73,683 ETH presented on an as-converted basis from LsETH using the Coinbase conversion rate as of September 30, 2026.

Management Commentary

“Our third-quarter results reflect the continued shift toward Ethereum and AI infrastructure,” said Sam Tabar, Chief Executive Officer of Bit Digital. “Colocation revenue increased 19% sequentially, supported by NC-1’s initial contribution, while native ETH staking revenue grew 14%. We also reported positive GAAP earnings, with digital asset valuation gains contributing significantly to the result.

“Our Strategic Asset Company approach focuses on making the assets we own more productive. Native staking generated 474 ETH during the quarter, bringing rewards earned through September to approximately 1,863 ETH. Alongside our Ethereum treasury and controlling interest in WhiteFiber, our investment portfolio includes third-party managed funds and smaller holdings that provide exposure to private AI businesses and digital asset market infrastructure.

“Our own shares are also part of the capital allocation discussion. The persistent discount to our net asset value makes repurchases an option that deserves serious consideration, but the benefit to shareholders depends on both the price we pay and how we fund them. Under our Articles of Association, shareholder approval is required before a repurchase program can be implemented. Any decision to seek that approval would need to be supported by a funding plan that we believe improves value per share while maintaining sufficient liquidity. Selling Ethereum to fund repurchases would reduce our staking income and exposure to potential ETH appreciation. We weigh those trade-offs against the benefit of reducing the share count and our liquidity requirements.

“We remain constructive on the assets we own, and our responsibility is to determine how best to translate their value into returns for Bit Digital shareholders.”

About Bit Digital

Bit Digital (NASDAQ: BTBT) is a Strategic Asset Company (SAC) focused on active participation in Ethereum infrastructure and controlling equity exposure to AI/HPC infrastructure through its majority ownership stake in WhiteFiber (NASDAQ: WYFI). The Company purchases and stakes ETH to generate protocol-native yield and participates directly in the Ethereum network. Bit Digital allocates capital with a focus on long-duration, foundational infrastructure, and disciplined balance sheet management. For additional information, please contact ir@bit-digital.com, visit our website at www.bit-digital.com or follow us on LinkedIn or X.

Investor Notice

Investing in our securities involves risks worth considering, before making an investment decision. All current and potential investors are advised to regularly review the risks, uncertainties and forward-looking statements described under “Risk Factors” in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025 (Annual Report) and any subsequently filed quarterly reports on Form 10-Q and any Current Reports on Form 8-K. If any material risks were to occur - including those not presently known to us or currently deemed immaterial - our business operations may be impaired, and our financial condition or operating results would likely suffer. In that event, the value of our securities could decline, and you could lose part or all of your investment. In addition, our past financial performance may not be a reliable indicator of future performance, and historical trends should not be used to anticipate results in the future. See “Safe Harbor Statement” below.

Safe Harbor Statement

Forward-looking statements notice

This press release may contain certain “forward-looking statements” relating to the business of Bit Digital, Inc., and its subsidiary companies. All statements, other than statements of historical fact included herein are “forward-looking statements.” These forward-looking statements are often identified by the use of forward-looking terminology such as “believes,” “expects,” or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company’s actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company’s periodic reports that are filed with the Securities and Exchange Commission and available on its website at https://www.sec.gov. All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.

Contacts
Charley Brady
Head of Investor Relations ir@bit-digital.com