MARA (formerly Marathon Digital Holdings) reported first-quarter revenue fell 18% year-over-year to $174.6 million, down from $213.9 million a year earlier, while net losses widened to $1.3 billion. The losses were primarily driven by unrealized losses on its 38,689 bitcoin holdings. Shares dropped more than 5% in after-hours trading.
Despite the weaker results, the company emphasized that Bitcoin mining remains its “operational foundation,” with a strategy to co-locate new infrastructure with existing mining sites. Management noted that around 90% of MARA's non-hosted mining capacity could eventually be redirected to AI and high-performance computing as those opportunities mature. The company plans to slow large-scale ASIC hardware purchases, adopting a selective, returns-focused approach.
Operationally, MARA expanded its energized hashrate by 33% year-over-year to 72.2 EH/s and mined 2,247 BTC in Q1, up from 2,011 BTC the previous quarter. Near the quarter's end, the company sold approximately $1.1 billion worth of BTC to retire debt and improve financial flexibility, causing it to slide from the second- to the fourth-largest public bitcoin treasury company. Its AI ambitions center on a partnership with Starwood Capital and the acquisition of Long Ridge Energy & Power, a gas-fired plant in Ohio that could eventually support over 600 MW of AI load.
