Executive Summary
HIVE’s QQ1 2026 results present a striking mix of elevated non-operating gains and stressed core mining economics. Revenue for the quarter was USD 45.61 million, up 41.5% year over year and 52.7% quarter over quarter, driven by the scale of its mining operations and crypto market activity. However, gross profit recorded a negative USD 6.19 million, yielding a gross margin of about -13.6%, underscoring that mining costs and/or crypto realizations did not align with revenue in the period. The headline profitability is amplified by a substantial contribution from total other income (USD 28.83 million), which, when combined with depreciation (USD 22.01 million) and stock-based compensation (USD 5.75 million), produced an EBITDA of USD 57.96 million and an operating income of USD 6.84 million. Net income reached USD 35.02 million with a diluted EPS of USD 0.18–0.19, reflecting a 974.8% YoY and 2,663.7% QoQ surge driven primarily by non-operating items rather than core mining profitability.
Liquidity and capital allocation actions were notable. Operating cash flow was USD 10.23 million, while capex totaled USD 47.36 million, contributing to a negative free cash flow of USD -37.13 million. Financing activity was a significant USD 52.85 million of net inflows, largely from a substantial equity issuance (USD 68.02 million in common stock issued), which supported capex and working capital needs but introduced meaningful share count growth (weighted average shares outstanding of 182.01 million; diluted 192.83 million). Cash and short-term investments at period end were USD 58.30 million in aggregate (cash USD 24.60 million), with total assets of USD 628.73 million against total liabilities of USD 68.21 million and stockholders’ equity of USD 560.52 million.
From an investor’s perspective, the key question is sustainability: can HIVE translate the current non-operating gains into durable, recurring cash flows while managing capex intensity and equity dilution? The QQ1 2026 performance signals that near-term earnings are highly sensitive to non-operating items and balance-sheet financing activity rather than a steady, mining-margin-driven trajectory. Management commentary (where available) and ongoing capital deployment will be critical to assess a longer-term path to profitability, balance-sheet strength, and return on invested capital.
Key Performance Indicators
QoQ: 48.83% | YoY:-160.72%
QoQ: 133.85% | YoY:-8.95%
QoQ: 2 663.69% | YoY:974.77%
QoQ: 1 819.19% | YoY:546.26%
Key Insights
Revenue (USD): 45,611,000; YoY +41.47%, QoQ +52.69%
Gross Profit (USD): -6,192,000; Gross Margin -13.58% (YoY -160.72%, QoQ +48.83%)
Operating Income (USD): 6,836,000; Operating Margin 14.99% (YoY -8.95%, QoQ +133.85%)
Net Income (USD): 35,016,000; Net Margin 76.77% (YoY +974.77%, QoQ +2,663.69%)
EPS (USD): 0.19; Diluted EPS 0.18; YoY +546.26%, QoQ +1,819.19%
EBITDA (USD): 57,964,000; EBITDA Margin ~127.1% (EBITDA to revenue basis)
Key balance sheet & cash flow indicators: Cash at...
Financial Highlights
Revenue (USD): 45,611,000; YoY +41.47%, QoQ +52.69%
Gross Profit (USD): -6,192,000; Gross Margin -13.58% (YoY -160.72%, QoQ +48.83%)
Operating Income (USD): 6,836,000; Operating Margin 14.99% (YoY -8.95%, QoQ +133.85%)
Net Income (USD): 35,016,000; Net Margin 76.77% (YoY +974.77%, QoQ +2,663.69%)
EPS (USD): 0.19; Diluted EPS 0.18; YoY +546.26%, QoQ +1,819.19%
EBITDA (USD): 57,964,000; EBITDA Margin ~127.1% (EBITDA to revenue basis)
Key balance sheet & cash flow indicators: Cash at end USD 24.60 million; Short-term investments USD 33.69 million; Total cash & short-term investments USD 58.30 million; Total debt USD 40.23 million; Net debt reported USD 15.62 million; Net cash provided by operating activities USD 10.23 million; Free cash flow USD -37.13 million; Capex USD -47.36 million; Net cash provided by financing activities USD 52.85 million; Change in cash USD 1.23 million; Shares outstanding: weighted average 182.01 million; diluted 192.83 million.
Notes: The disproportionately high net income and EBITDA are primarily driven by non-operating items (total other income) rather than core mining economics. Gross margin remains negative on the period, indicating ongoing cost of revenue pressures or pricing dynamics in early QQ1 2026. Investors should anchor on recurring cash flow potential and sustainable mining margins beyond one-time gains.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
45.61M |
41.47% |
52.69% |
| Gross Profit |
-6.19M |
-160.72% |
48.83% |
| Operating Income |
6.84M |
-8.95% |
133.85% |
| Net Income |
35.02M |
974.77% |
2 663.69% |
| EPS |
0.19 |
546.26% |
1 819.19% |
Management Commentary
Transcript data not provided in the dataset. No earnings-call quotes available to include management commentary or thematic quotes.
Forward Guidance
No explicit forward guidance was published in the provided data set for QQ1 2026. Given the industry backdrop (cryptocurrency prices, mining difficulty, energy costs, and regulatory considerations), a cautious view is warranted. Management commentary (if available in subsequent releases) should address: (1) planned capital deployment cadence and return to a more commodity-margin-driven profit profile, (2) progress on expanding mining capacity or energy efficiency initiatives, (3) the company’s strategy for monetizing or timing the sale of mined coins, and (4) the potential impact of equity financing on shareholder dilution. In our baseline, we expect near-term volatility in mining economics to persist, with a pivotal dependence on crypto price cycles and electricity costs. Key factors to monitor: crypto price (BTC/ETH), mining difficulty, energy pricing and hedging, capex intensity, and any new financing or equity issuance that could affect per-share metrics.