HIVE Digital Technologies (TSX-V:HIVE, NASDAQ:HIVE) earlier this week highlighted a 285% increase in year-over-year revenue, despite a decline in the price of Bitcoin over the same period.
In an interview with Proactive, Frank Holmes, HIVE’s executive chairman, said the company’s transition into AI and high-performance computing is already underway.
Proactive: You're again hitting record numbers. Frank, what jumps out to you right away?
Frank Holmes: The revenue. If you look at Bitcoin today versus a year ago, it's down slightly. But our revenue is up 285% year-over-year. Quarter-over-quarter, it's up 90%. And clearly, Bitcoin was not up in any of those numbers. So we are capturing a bigger part of the global Bitcoin network. We're also benefiting from economies of scale. That's what's really key here.
I noticed in the numbers, 86.2% quarter-over-quarter rise in average hash rate. A lift in Bitcoin pricing as well. It seems like everything you’re doing and the growth curve you’re on continues to accelerate.
Yes, we're pretty happy. We're using renewable energy. We're the only company with a pure hydro focus. It's all about disciplined execution. I always say, execute or Mr. Market will execute you. So we've been doing a great job. That’s an old Warren Buffett line. Also, we have diversified revenue. We have AI growth in addition to Bitcoin. We’re currently at 25 exahash and plan to add another 100MW, targeting 35 exahash next year.
When you look at our HPC growth—with Dell, with Bell—it’s exciting. I’m almost rhyming now like a rapper. But seriously, we are in a position to execute, and we will scale AI. I see other companies talk about AI transformations, but they don’t realize how complex it is. We're doing it, we've done it, and now we're going to scale.
Is part of this your ability to get infrastructure up quickly in-country—like the Paraguay facility? It seemed to go from nothing to operational fast.
Yes. That opportunity came when we started building our own 100 exahash. Bitfarms wanted to exit, and we said no. They were halfway through construction, and we took it over and fast-tracked it. Even they were surprised at how well we executed. The team huddled twice daily with teams in Montreal and Vancouver—different languages, time zones—anything that came up, we zapped it within 24 hours. It was phenomenal teamwork. And we still show up as the most efficient Bitcoin miner globally.
Lastly, I want to go back to your ‘rap’ moment because you mentioned Dell and Bell. Two well-known, established names now working with your high-performance computing division. That signals legitimacy and the growing need for computing in Canada and North America.
That’s a great point. A lot of people don’t realize it’s an arms race, especially against China. China has massively expanded its footprint in electricity, data centers, AI, and robotics. The US is far ahead of Europe. If you look at Nvidia chips per capita or per GDP, the US leads. Canada needs to catch up. Our partnerships with Bell and Dell validate the opportunity here. We have top universities like University of Toronto with its Nobel Prize winner in AI. The talent is here, so let’s build the infrastructure so they can operate effectively.
Quotes have been lightly edited for style and clarity