Cango Inc. Reports Impressive Financial Results for Q4 and Full Year 2024

Cango Inc. (NYSE: CANG), a prominent player in the Bitcoin mining sector combined with automotive transaction services in China, recently unveiled its unaudited financial results for the fourth quarter and full year of 2024, showcasing a transformative year for the company.

Financial Performance Highlights

In Q4 2024, Cango reported total revenues reaching a remarkable RMB 668.0 million (approximately US$ 91.5 million), marking a staggering increase from RMB 130.2 million during the same period in 2023. This remarkable growth is primarily driven by the launch of the Bitcoin mining operation in November 2024, which alone contributed RMB 653.0 million (around US$ 89.5 million) in revenue during the quarter.

The company successfully mined a total of 933.8 Bitcoins in the quarter, with the average mining cost, excluding depreciation, calculated at US$ 67,769.9 per Bitcoin. Cango's net income for this quarter amounted to RMB 55.9 million (US$ 7.7 million), a significant turnaround from a net loss of RMB 103.8 million experienced in Q4 2023. Remarkably, the company ended the year with a total cash balance of RMB 2.5 billion (US$ 345.3 million) as of December 31, 2024.

Full Year Overview

For the complete year of 2024, Cango's total revenues were RMB 804.5 million (US$ 110.2 million), as compared to RMB 1.7 billion the previous year. The revenue from Bitcoin mining was a substantial share of this, totaling RMB 653.0 million, albeit with only a brief operational history since its introduction.

Cango's net income for the year reached RMB 299.8 million (US$ 41.1 million), contrasting the net loss of RMB 37.9 million recorded in 2023, signaling a strong recovery and favorable growth trajectory for the company.

Strategic Developments

Jiayuan Lin, CEO of Cango, highlighted 2024 as a pivotal year for the firm, underscoring the strategic pivot to Bitcoin mining as a path to capitalize on emerging market trends in the cryptocurrency arena. The company’s acquisition of mining machinery, totaling 50 exahashes, for an investment of US$ 400 million, positioned Cango as the third-largest Bitcoin miner globally, driving the impressive growth in revenue from this segment.

The company has placed “Energy + Computing Power” at the forefront of its future development strategy while concurrently focusing on its used car exporting business in China. Lin expressed confidence in leveraging their solid platform in the cryptocurrency market to expand further into the digital economy.

Cango’s CFO, Yongyi Zhang, remarked, “Our robust financial performance underscores our successful entry into Bitcoin mining, which has significantly bolstered our earnings potential and overall financial stability.” He also emphasized an ongoing commitment to evaluate and pursue growth opportunities within this sphere while adhering to sustainable energy practices to enhance operational efficiency.

Looking Ahead

As Cango embarks on the next phase of growth, it targets an increased hashrate, aiming for approximately 50 EH. This move is expected to strengthen its competitive edge and optimize overall operational capabilities through cost-effective strategies. The company remains vigilant in assessing new prospects in the cryptocurrencies market and enhancing its asset-light automotive trading services, looking to set the foundation for sustained stakeholder value.

Furthermore, the management will hold a conference call on March 6, 2025, to elaborate on these financial results and the company’s strategic direction going forward, showcasing its vision for continued growth in the evolving landscape of digital currency solutions.

For more details on Cango’s latest developments and financial insights, visit Cango Inc.'s Investor Relations.