American Bitcoin reports 8002 BTC holdings increase

American Bitcoin increased its bitcoin treasury to 8,002 BTC in the second quarter, adding 981 BTC from the 7,021 BTC reported at the end of March, as the Hut 8-controlled mining company retained production despite a decline in revenue earned per coin mined.

The company said it produced 932 BTC in the three months ended June 30, lifting its holdings by 14%. Its bitcoin balance grew faster than its share count, which rose about 3% during the period, pushing its satoshis-per-share measure up 11% to 10,989. The figure represents the number of satoshis — the smallest unit of Bitcoin — attributable to each share.

American Bitcoin’s quarterly update places treasury accumulation at the center of its operating model. Rather than selling all newly mined bitcoin to cover costs or fund expansion, the company has kept a growing portion of production on its balance sheet. That approach gives shareholders more direct exposure to Bitcoin’s price movements, while also making reported earnings more sensitive to changes in the value of the company’s holdings.

Mining revenue reached $67 million despite lower revenue per BTC

Mining revenue rose to approximately $67 million in the second quarter, up 8% from $62.1 million in the first quarter, according to American Bitcoin. The increase came as the company expanded its operating fleet and raised its realized computing power, even though revenue per bitcoin mined fell.

American Bitcoin reported revenue of roughly $71,900 for each BTC mined during the quarter, down about 5% from the previous three-month period. The decline shows how mining businesses can face pressure even when total revenue rises: greater output can offset lower unit economics, but only if new capacity comes online efficiently enough.

Gross margin remained close to 50%, according to the company’s update. Its cost to mine one bitcoin was about $36,500, compared with approximately $36,200 in the first quarter. The modest increase in production cost left the company with a substantial gap between mining costs and reported revenue per BTC, though that margin would narrow if bitcoin prices or network mining economics weaken.

The company reported a net loss of $57.2 million, improving from an $81.8 million net loss in the first quarter. American Bitcoin attributed the result primarily to unrealized losses caused by changes in the value of its bitcoin holdings. Such accounting movements can produce large earnings swings for companies that hold substantial digital-asset treasuries, even when mining operations generate positive gross margins.

Drumheller deployment increased operational hash rate

American Bitcoin ended June with 89,242 owned miners representing 28.1 exahashes per second of capacity, according to the quarterly update. An exahash measures one quintillion hash calculations per second, a standard gauge of a Bitcoin miner’s potential contribution to the network.

Its operational fleet consisted of 58,999 miners producing 25 EH/s. The gap between owned capacity and operational capacity reflects the difference between machines held by the company and machines currently energized and contributing to mining output.

The operating figure followed the April energization of 11,298 next-generation mining machines at Hut 8’s Drumheller site. Hut 8, which holds a majority ownership stake in American Bitcoin, provides the infrastructure link behind the company’s expansion. The deployment increased the number of machines available to mine bitcoin during the quarter and helped support the rise in total BTC production.

American Bitcoin was co-founded by Eric Trump and operates as both a mining company and a bitcoin treasury vehicle. That structure puts its quarterly results under pressure from two directions: mining profitability depends on hardware efficiency, electricity costs and network competition, while its balance-sheet results depend heavily on Bitcoin’s market value at the end of each reporting period.

Reverse split changed the per-share framework

The company completed a 1-for-15 reverse stock split last month, and American Bitcoin said the adjusted share count was reflected in its bitcoin-per-share metrics. Reverse splits reduce the number of shares outstanding while increasing the per-share price proportionally, without changing the underlying value of a shareholder’s total position at the time of the split.

Using an adjusted share base is particularly relevant for American Bitcoin’s satoshis-per-share measure. The metric is designed to show whether the company is increasing bitcoin exposure for each share over time, rather than merely increasing its total treasury through additional share issuance.

A rise in both total BTC holdings and satoshis per share gives the company a clearer argument that treasury growth has exceeded dilution during the quarter. The calculation does not remove the risks associated with holding bitcoin, including the potential for sharp mark-to-market losses when the asset’s price declines.

American Bitcoin shares closed 6.4% lower at $5.52 on Friday. The market reaction came after a quarter in which the company expanded production, added to its bitcoin holdings and reduced its net loss, while facing weaker revenue per mined coin and a slightly higher production cost.

The second-quarter results show a mining operation attempting to convert additional hash rate into a larger long-term bitcoin reserve rather than prioritizing immediate liquidation of production. Its ability to maintain that strategy will depend on whether operating margins remain resilient enough to fund mining costs and machine deployments while the treasury remains exposed to Bitcoin’s price swings.