Riot Platforms reports $296M net loss in Q1 despite record revenues

Riot Platforms reported record revenue of $161.4 million in the first quarter of 2025, more than doubling its $79.3 million revenue from a year ago, according to its latest earnings report.

The Bitcoin (BTC) miner said it continued to scale operations and capitalize on stronger market conditions during the quarter.

The Texas-based firm, one of the largest vertically integrated Bitcoin mining companies in North America, attributed the growth to a higher average Bitcoin price, expanded hash rate capacity, and strategic improvements at its flagship Corsicana Facility.

However, despite the company’s record revenue, Riot posted a net loss of $296.4 million for the quarter, compared to net income of $211.8 million in the first quarter of 2024.

Adjusted EBITDA fell to negative $176.4 million from a positive $245.7 million a year earlier, reflecting fair value losses on marketable securities and non-cash accounting adjustments.

Bitcoin production climbs

Riot produced 1,530 BTC in the first quarter, compared to  1,364 BTC during the same period last year. However, the cost to mine 1 Bitcoin, excluding depreciation, surged 90% year-over-year to $43,808.

The increase was driven primarily by the April 2024 halving of the Bitcoin block subsidy and a 41% increase in the global network hash rate. Meanwhile, Riot’s total cost to mine each Bitcoin, including depreciation, reached $81,109, nearly 87% of the production value.

Bitcoin mining revenue totaled $142.9 million in the first quarter, compared to $71.4 million in the prior-year period. Riot’s average production value per Bitcoin was approximately $93,385, a sharp rise from $52,343 in the first quarter of 2024.

Engineering revenue also showed strong growth, rising to $13.9 million from $4.7 million in the prior year. The increase was driven in part by the acquisition of E4A Solutions, an engineering and fabrication firm brought into Riot’s ecosystem in December 2024.

At the end of the quarter, the company held 19,223 unencumbered Bitcoin, valued at $1.6 billion based on a market price of $82,534 per coin as of March 31. The firm also held $163.7 million in unrestricted cash and a total of $310.3 million in working capital.

Rhodium settlement

In April, Riot acquired Rhodium Enterprises’ hosted mining operations and physical infrastructure at the Rockdale Facility, resolving ongoing litigation and reclaiming 125 megawatts of contracted power for its own use.

The company said the settlement eliminates about $15 million in annual losses associated with Rhodium’s legacy hosting contract and related legal expenses.

Riot CEO Jason Les said:

“This settlement allows us to fully control the Rockdale site’s capacity and immediately improves the financial efficiency of our operations.”

Riot said it is also making significant headway in transitioning the Corsicana Facility into a future AI and high-performance computing (HPC) hub. A feasibility study conducted in March by consultancy Altman Solon concluded that the site’s size, location, and infrastructure make it well-suited for data center tenants.

To that end, Riot is expanding utility connectivity with new fiber lines, increasing water access, and continuing construction on a new substation that will support up to 1 gigawatt (GW) of total power capacity by early 2026.

Riot operates mining facilities in Texas and Kentucky and maintains electrical engineering and fabrication operations in Denver and Houston. The company said it remains focused on becoming the world’s leading Bitcoin-driven infrastructure platform.

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