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 <p class="is-style-lead">Despite trimming debt and operational expenses, Argo Blockchain posted a net loss of over $18 million in H1 2023, <a rel="dofollow" title="records" href="https://thebittimes.com/tag/records.html">records</a> show. </p> 
 <p>Argo Blockchain, a leading crypto mining company (LSE: ARB; NASDAQ: ARBK), has released its performance report for the first half of 2023.</p> 
 <p>According to the report, in Q2 2023, Argo Blockchain decreased its non-<a rel="dofollow" title="mining" href="https://thebittimes.com/tag/mining.html">mining</a> operational costs and expenditures by 21% from the prior quarter, yielding a positive Adjusted EBITDA of $1.0 million for the quarter ($2.3 million for H1 2023). </p> 
 <p>While its revenue dropped by 31%, the company achieved a 1% growth in its Bitcoin (BTC) mining operations during that period.</p> 
 <p>The company’s debt was reduced by $4 million in the quarter, resulting in a cumulative debt decrease of $68 million from June 2022 to June 2023. </p> 
 <p>The firm noted that it generated a revenue of $24.0 million in H1 2023, representing a 31% decrease from H1 2022.</p> 
 <p>Argo attributes its revenue decline to the fall in the price of&nbsp; Bitcoin and the surge in global BTC <a rel="dofollow" title="mining" href="https://thebittimes.com/tag/mining.html">mining</a> difficulty. The company’s net loss for H1 2023 stood at $18.8 million, a substantial decrease from the $39.6 million net loss recorded in H1 2022.</p> 
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 <p>In June 2023, the company had $9.1 million in cash and 46 BTC on its balance sheet. Following the period, Argo secured $7.5 million through a share placement partially allocated to reducing debt to $72 million.</p> 
 <p>The company also achieved $7.5 million in gross proceeds via a share placement with investors. A fraction of these funds were utilized to pay off $1.8 million, resulting in a debt balance of $72 million.</p> 
 <p>Argo Blockchain says it’s currently in advanced discussions to divest non-core assets and is continuously evaluating strategies for debt reduction.</p> 
 <p>A significant highlight in H1 2023 was the company’s <a rel="dofollow" title="mining" href="https://thebittimes.com/tag/mining.html">mining</a> margin of 42%, marking an <a rel="dofollow" title="increase" href="https://thebittimes.com/tag/increase.html">increase</a> from 33% in H2 2022.&nbsp;</p> 
 <p>This growth can be attributed to a fixed price power purchase agreement (PPA) established at Helios in H1 2023. The PPA addresses a substantial portion of the facility’s electricity consumption, ensuring predictable power expenses and facilitating power credit generation through economic curtailment.&nbsp;</p> 
 <p>In early 2023, Argo initiated a series of transactions with Galaxy Digital Holdings Ltd. (Galaxy) to bolster its balance sheet, enhance liquidity, and position the company for profitable mining.&nbsp;</p> 
 <p>These transactions involved selling the Helios facility and property in Dickens County, Texas, to Galaxy for $65 million and refinancing existing asset-backed loans using a new $35 million three-year asset-backed loan from Galaxy. These actions reduced total indebtedness by $41 million and streamlined the operational structure.</p> 
 <p>In Q2 2023, the company generated approximately $1.1 million in power credits and anticipates higher credit generation in Q3 2023 due to an ongoing heat wave in Texas.</p> 
 <h2 class="wp-block-heading" id="bitcoin-halving-on-the-horizon">Bitcoin halving on the horizon&nbsp;</h2> 
 <p>The next Bitcoin halving event is expected to occur in early Q2 2024.</p> 
 <p>After every successful halving event, the reward for mining new Bitcoin blocks is cut in half, reducing the rate at which new BTCs are created.&nbsp;The next one will see the block reward fall from 6.25 to 3.125 BTC.</p> 
 <p>Halving increases the scarcity of Bitcoin, leading to a growth in its value due to supply and demand economics. Overall, the Bitcoin halving in April 2024 is anticipated to be a significant event that could potentially impact the cryptocurrency’s price.</p> 
 <p>At the time of writing, Bitcoin (BTC) is exchanging hands for $27,542, up 5% in 24 hours.</p> 
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<p>Source: <a rel="dofollow" target="_blank" href="https://thebittimes.com/argo-records-18-8m-net-loss-despite-increased-mining-efforts-tbt60820.html">https://thebittimes.com/argo-records-18-8m-net-loss-despite-increased-mining-efforts-tbt60820.html</a></p>

Argo records $18.8m net loss despite increased mining efforts

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