#USA #Hong Kong #financial results #Bitcoin Mining #Cango Inc

Cango Inc. Financial Highlights for Q2 2025

Cango Inc. (NYSE: CANG) has just unveiled its unaudited financial results for the second quarter of 2025, marking a significant milestone in its operational journey. As of June 30, 2025, the firm's total mining capacity surged to an impressive 50 EH/s. This upturn is fueled primarily by the recent acquisition of an additional 18 EH/s in June, greatly amplifying its output potential.

In addition to scaling its mining capabilities, Cango successfully divested its assets in China for a hefty $352 million during May. This strategic move not only bolstered Cango’s liquidity but also provided a robust financial foundation to support its ongoing strategic initiatives.

Financial Overview

For this quarter, Cango reported total revenues of $139.8 million, with Bitcoin mining operations generating approximately $138.1 million of this figure. This emphasizes the firm’s dedication to optimizing its core business activities, particularly in the competitive landscape of cryptocurrency mining.

The adjusted EBITDA stood at a substantial $99.1 million during this timeframe, spotlighting Cango's efficiency in managing operational costs. The company successfully mined 1,404.4 Bitcoins, achieving an average mining cost of $83,091 per Bitcoin before accounting for machine depreciation, and $98,636 when including depreciation costs. Since its entry into the Bitcoin mining industry, Cango has mined a cumulative total of 3,879.2 Bitcoins.

However, it’s worth noting that the company faced a net loss this quarter, largely attributed to extraordinary expenses associated with discontinued operations and a non-cash impairment of mining equipment. These impairments were realized when the firm transitioned its equipment to equity in light of a substantial increase in Cango’s stock price since the initial contract signing and delivery. Such charges reflect the company’s strategic decisions rather than poor operational performance. Once these extraordinary items are excluded, the adjusted EBITDA reaffirms a strong and profitable mining operation.

Leadership Insights

Paul Yu, Cango's CEO, articulated the significance of this quarter, stating, “This quarter marks an important turning point for us, as it is our first complete quarter following our strategic transformation. In just nine months, we have positioned ourselves as one of the largest Bitcoin miners globally through an asset-light strategy that facilitates rapid scaling with minimal initial capital.”

Despite the implications of higher cash costs per Bitcoin, Cango’s lower depreciation expenses support competitive total costs and capital efficiency. The recent acquisition of 18 EH/s has significantly boosted the company's Bitcoin production, which surged by 44% in July alone, highlighting the positive effects of expanding operational capacity. Furthermore, the company’s acquisition of a 50 MW mining facility in Georgia enhances energy security while simultaneously reducing energy costs and solidifying its operational expertise for future high-performance computing (HPC) and energy initiatives.

Cango Inc.'s earnings report reflects its determined resolve to adapt and thrive in a volatile market, promising robust growth and innovation in its business strategy moving forward. Investors and stakeholders alike will keep a close eye on the company as it continues to evolve in the fast-paced world of cryptocurrency mining.