IREN Reports Growth in Bitcoin Mining and AI Cloud Services Expansion

Record Growth in Bitcoin Mining

IREN, now rebranded from Iris Energy, reported substantial expansion in its Bitcoin mining operations for February 2024. The company achieved a record operating hashrate of 7 EH/s and mined 310 Bitcoin, leading to a monthly mining revenue boost to $15.2 million. This growth is driven by an increased average hashrate and a rise in Bitcoin's price to approximately $49,100. IREN aims to further escalate its hashrate to 20 EH/s within the year.

AI Cloud Services Expansion

The company's AI Cloud Services division has signed a pivotal contract with poolside AI. This partnership aims to accelerate business growth by incorporating 816 NVIDIA H100 GPUs, with the initial contract spanning three months and an optional extension. This strategic move is set to triple the AI division's capabilities.

Data Center Expansion Plans

IREN's data center expansion is on track, with plans to reach 460MW capacity in 2024. The Childress Phase 1 in Texas is already operational at 60MW, with an additional 40MW set to be commissioned soon. Phases 2 and 3 are under construction to support the ambitious hashrate target.

Financial Outlook and Market Performance

Despite not yet achieving profitability, IREN's financial health shows promise, with a gross profit margin of 85.52% over the last twelve months. Analysts forecast profitability this year, supported by a remarkable 109.69% revenue growth. The company's stock return of 92.8% over the past year underscores investor confidence, although recent volatility suggests caution for potential investors.

Upcoming Industry Engagements

IREN plans to actively participate in several industry events in March 2024, including the ROTH Conference and NVIDIA GTC, highlighting its commitment to industry presence and networking.

Overall, IREN's strategic expansions and robust financial metrics point to a positive trajectory, though market volatility remains a factor for consideration.