Bitcoin mining firm Cipher reports $26.7 million in Q3 revenue, down 63% year-on-year

Bitcoin miner Cipher reported Q3 revenue of $26.7 million, down 63% year-over-year from $71.7 million, in a filing with the SEC on November 2, though the company posted a net profit of $31.6 million. Mining revenue fell 71% to $20.8 million, while AI data center leasing contributed $5.9 million in its first revenue quarter, but the company posted an operating loss of $71.9 million and negative adjusted EBITDA of $10 million. The net profit was driven by a roughly $127.2 million non-cash gain from the fair-value revaluation of Google-related warrants, not actual cash inflows. Cipher is shifting its compute infrastructure from bitcoin mining toward AI data center leasing, recently extending the Barber Lake data center lease to 20 years, bringing total contracted revenue for the project to about $9.1 billion. Investors should watch whether Cipher's AI leasing revenue can scale to offset declining mining income and how the company's pivot progresses against its contracted backlog.