Canaan Revenue Falls 90% as Bitcoin Holdings Take a Bigger Role in Capital Plans
Summary
Canaan reported $14.5 million in quarterly revenue, down from $150.5 million a year earlier, including a sharp fall in equipment sales. It posted $8 million in net income despite a $42.9 million operating loss, with cryptocurrency and derivatives revaluation gains helping explain the difference. The company previously disclosed selling 3,952 ETH and 54.5 BTC for about $13.9 million. It has also announced an initial $20 million share-buyback program under a $100 million authorization; authorization does not mean the full amount has been spent. Investors should watch operating cash flow, completed repurchases and whether demand for Canaan’s core products recovers.
