HIVE Digital Technologies (TSX-V:HIVE, NASDAQ:HIVE) has reported record fiscal second quarter revenue, driven by the expansion of its Bitcoin mining operations and rising demand for its BUZZ high-performance computing (HPC) services.
Revenue was $87.3 million, up 285% from the same quarter last year and 91% sequentially, with adjusted EBITDA of $31.5 million.
HIVE’s Bitcoin mining revenue reached $82.1 million, driven by an increase in operational hashrate and slightly higher Bitcoin prices, against direct costs of $42.1 million, primarily energy expenses. The company mined 717 Bitcoin in the quarter, up 76.6% sequentially despite a 21.4% increase in network difficulty.
HPC revenue reached $5.2 million, up 175% year-over-year and 7.6% sequentially, with direct costs of $2 million. General and administrative expenses rose to $7.8 million from $5.8 million in Q1, reflecting staffing increases to support global expansion and the BUZZ HPC division.
On a GAAP basis, HIVE reported a net loss of $15.8 million, largely due to accelerated depreciation of mining equipment in Paraguay ($38.3 million for the quarter) and non-cash losses from equity investments and derivative revaluations.
The company ended the quarter with $47 million in cash and digital currencies.
Operationally, HIVE completed 300 MW of new capacity in Paraguay within six months and reached 25 EH/s operational hashrate in November 2025. It continues to advance AI and HPC initiatives, including retrofits and expansions in New Brunswick, Toronto, and Boden, Sweden, designed to support next-generation GPU operations for BUZZ AI Cloud.
Frank Holmes, HIVE’s executive chairman, described Q2 as “a defining quarter” for the company. “Despite Bitcoin hashprice being up only about 25% year-over-year, our revenue soared 285% year-over-year due to our aggressive hashrate expansion and relentless focus on efficiency,” Holmes said.
“Building 300 MW in Paraguay in just six months shows our ability to deploy large-scale digital infrastructure with speed, discipline, and precision. Our dual-engine strategy — Bitcoin mining and high-performance computing — positions HIVE to be a global leader in next-generation data infrastructure."
Aydin Kilic, HIVE’s CEO, highlighted the team’s execution. “With a sequential 87% increase in operational hash rate for the quarter, and delivering $132.9 million in revenue over the last six months — all with no debt — showcases our disciplined capital strategy and operational excellence,” he said.
Looking ahead, HIVE expects to scale its Paraguay operations to 400 MW through a power purchase agreement and increase mining capacity to 35 EH/s by Q4 2026.
The company is also targeting annualized BUZZ HPC revenue of approximately $140 million by the same period, with projected gross margins around 80%.
Shares of HIVE added 7.2% in New York on Monday morning, reaching around US$4.93.
BUZZ HPC inks Dell deal
Separately, HIVE announced that its subsidiary BUZZ High Performance Computing has partnered with Dell Technologies to expand its AI Cloud infrastructure.
The agreement will deploy a 63-node cluster of liquid-cooled Dell PowerEdge XE9680L servers, operating 504 next-generation GPUs, at the Bell AI Fabric data center. The operating agreements for the first phase of the BUZZ and Bell AI Fabric deployment have been executed.
In addition to the Bell facility, BUZZ is preparing Canadian and Swedish data centers to host 2,000 additional GPUs each, targeting a total of over 6,000 next-generation GPUs for AI Cloud operations by the end of 2026, HIVE highlighted.
Combined with more than 5,000 GPUs already in operation, this will bring BUZZ’s AI Cloud fleet to over 11,000 GPUs.
The expansion is projected to generate $120 million in annual run-rate revenue at an 80% operating margin once deployed.
Additionally, HIVE’s 70 MW Grand Falls, New Brunswick Tier I data center, with 32.5 acres of land, is being upgraded for hyperscaler colocation to Tier III+ standards (PUE <1.3), potentially accommodating over 25,000 next-generation GPUs.
The company said this HPC capacity footprint positions BUZZ to make a significant contribution to Canada’s global AI competitiveness.