Gryphon Digital Mining Reports 77.4% Revenue Decline and $11.54 Million Net Loss for First Half of 2025

Gryphon Digital Mining, Inc. reported significant financial challenges in its latest 10-Q filing for the quarter ending June 30, 2025. The company generated mining revenues of $2.94 million for the first half of 2025, a substantial decline of 77.4% compared to $13.01 million during the same period in 2024. This drop in revenue was attributed to a combination of factors, including a 50% reduction in Bitcoin block rewards due to a halving event and an increase in the global hashrate, which diminished the number of bitcoins mined for the same energy consumption. The average value of Bitcoin mined increased to $94,000 from $58,000 year-over-year, but this was not enough to offset the overall revenue decline.

In terms of operational costs, Gryphon reported a decrease in total operating expenses to $10.63 million for the first half of 2025, down from $20.43 million in the previous year, primarily due to lower depreciation expenses and reduced general and administrative costs. However, the company still recorded a net loss of $11.54 million for the first half of 2025, an improvement from a loss of $15.75 million in the same period of 2024. The loss per share for the first half of 2025 was $0.16, compared to $0.44 in the prior year.

Strategically, Gryphon has been active in pursuing mergers and acquisitions, including a planned merger with American Bitcoin Corp (ABTC). The company incurred approximately $3.16 million in merger and acquisition costs during the first half of 2025, significantly higher than the $394,000 reported in the same period of 2024. Additionally, Gryphon has made organizational changes, including the hiring of new executives, which contributed to an increase in salaries and wages.

Operationally, Gryphon's mining fleet consisted of approximately 10,700 miners as of June 30, 2025, compared to about 8,800 miners a year earlier. Despite this increase, the company mined only 31 bitcoins in the first half of 2025, a sharp decline from 226 bitcoins mined in the same period of 2024. The company also reported a decrease in its digital asset holdings, with Bitcoin valued at $917,000 as of June 30, 2025, down from $1.02 million at the end of 2024.

Looking ahead, Gryphon indicated that it may need to raise additional capital to support its operations, as its current cash reserves of $678,000 are insufficient to meet anticipated cash needs for the next 12 months. The company plans to explore options for equity or debt financing, although it acknowledges the potential for dilution of shareholder value. The ongoing merger with ABTC is expected to play a crucial role in Gryphon's future strategy, as the company aims to stabilize its financial position and enhance its operational capabilities in the competitive cryptocurrency mining sector.