TeraWulf Reports $140.1 Million Revenue Growth in 2024 Fiscal Year

TeraWulf Inc. reported significant financial growth in its 2024 fiscal year, with revenues reaching $140.1 million, a substantial increase from $69.2 million in 2023. This growth was primarily driven by a rise in the average price of bitcoin, which increased to $65,824 from $28,788, and an expansion in mining capacity at the Lake Mariner Facility, which grew to approximately 195 megawatts (MW) from 110 MW. However, the total bitcoin mined saw a slight decrease, totaling 2,177 bitcoin compared to 2,168 in the previous year, largely due to the halving event in April 2024 and increased network difficulty.

In terms of operational developments, TeraWulf made strategic moves to diversify its revenue streams. The company entered into long-term data center lease agreements with Core42, securing 72.5 MW of high-performance computing (HPC) hosting capacity at the Lake Mariner Facility. This agreement includes an option for an additional 135 MW, which is expected to be exercised by March 31, 2025. The transition towards HPC hosting is part of TeraWulf's strategy to capitalize on the growing demand for AI and cloud computing services, enhancing its position in the digital infrastructure market.

The company also underwent significant changes in its asset portfolio, notably selling its 25% equity interest in the Nautilus Cryptomine Facility for $85 million in cash. This sale allowed TeraWulf to reallocate capital towards expanding its operations at the Lake Mariner Facility. As of December 31, 2024, TeraWulf's operational capacity included 62,000 bitcoin miners, with an average energy efficiency of 19.8 joules per terahash (j/th). The company reported a total of 12 full-time employees, reflecting its focus on maintaining a lean operational structure while expanding its infrastructure.

Despite the revenue growth, TeraWulf reported a net loss of $72.4 million for the year, slightly improved from a loss of $73.4 million in 2023. The increase in costs, particularly in power expenses, was attributed to the expanded mining capacity and the impacts of the bitcoin halving. The company’s total costs and expenses rose to $216.3 million, up from $98.7 million in the previous year. Looking ahead, TeraWulf aims to optimize its operations and expand its infrastructure to enhance profitability, while continuing to focus on sustainable energy sources for its mining activities.

TeraWulf's outlook remains cautiously optimistic, with plans to further develop its HPC hosting capabilities and expand its digital infrastructure. The company is well-positioned to leverage its low-cost, predominantly zero-carbon energy supply to meet the increasing demand for both bitcoin mining and high-performance computing services. The successful execution of its strategic initiatives, including the expansion of the Lake Mariner Facility and the establishment of new customer relationships, will be critical in driving future growth and profitability.