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

Cango Inc. Reports Strong Q2 2025 Financial Results

Cango Inc. (NYSE: CANG) recently shared its unaudited financial results for the second quarter ending June 30, 2025. This report highlights the company's significant growth in mining capacity and revenues associated with Bitcoin mining.

Financial Highlights

As of June 30, 2025, Cango's total mining capacity reached 50 EH/s, largely due to the acquisition of 18 EH/s in June. Furthermore, in May, the company completed the sale of its Chinese assets, generating $352 million in liquidity supporting various strategic initiatives. The total revenue during this quarter was reported at $139.8 million, driven primarily by Bitcoin mining activities, which accounted for $138.1 million of that figure.

The adjusted EBITDA for this period stood at $99.1 million. Cango achieved a remarkable milestone by mining 1,404.4 Bitcoins within the quarter. The average cost of mining, exclusive of depreciation of mining equipment, was reported at $83,091 per Bitcoin, while the total cost amounted to $98,636 per Bitcoin. Since entering the Bitcoin mining industry, Cango has mined a total of 3,879.2 Bitcoins as of the end of June 2025.

Operational Challenges and Strategic Moves

Despite these achievements, the company faced a net loss in the reporting period due to a one-time loss related to discontinued operations and a non-cash impairment loss on mining equipment, following a contract made in November and settled via equity in June. The significant rise in Cango’s share price at the time of signing and delivery contributed to these costs. These financial impacts stemmed more from strategic operational adjustments rather than underwhelming operational performance.

Excluding remarkable impairments and one-time losses from discontinued operations, the adjusted EBITDA illustrated the strength and profitability of the core Bitcoin mining business, reaffirming its resilience in fluctuating markets.

CEO Paul Yu's Remarks

Paul Yu, CEO of Cango, stated, "This quarter marks a pivotal milestone as we report our first full quarter after our strategic transformation. In just nine months, we have positioned ourselves among the largest Bitcoin miners globally, bolstered by our asset-light strategy, facilitating rapid scaling with minimal startup capital. While this strategy incurs higher cash costs per Bitcoin, our depreciated costs provide competitive total costs alongside high capital efficiency. Our recent acquisition of 18 EH/s enhanced our total mining capacity to 50 EH/s, fostering a 44% rise in mined Bitcoins in July. This growth exemplifies our extensive operations and supports additional scaling through organic initiatives and strategic acquisitions. Moreover, our acquisition of a 50 MW mining facility in Georgia enhances our energy security and reduces energy costs, equipping us for future HPC and energy initiatives."

Conclusion

With strategic maneuvers and strong financial performance, Cango Inc. showcases its growing influence in the competitive Bitcoin mining sector. The ongoing efforts to enhance mining capacity and investor relations underscore its commitment to maintaining a leading position in the industry as it navigates the evolving landscape of digital currencies.