Cipher Digital ( CIFR ) shares fell about 5% in premarket trading after the company reported fourth-quarter results that missed Wall Street expectations and highlighted its shift away from bitcoin mining and towards high performance data centers (HPC).
The company, formerly known as Cipher Mining, reported fourth-quarter revenue of $60 million, below analysts’ estimates of $84.4 million. Adjusted earnings per share came in at a loss of $0.14, which was larger than the expected loss of $0.06. Cipher had an adjusted net loss of $55 million for the quarter.
Management pointed to 2025 as a transformative year as it pivots away from bitcoin mining and towards long-term HPC infrastructure. During the quarter, Cipher secured 600 megawatts of contracted capacity, including a 15-year 300 megawatt (MW) lease with Amazon Web Services and a 10-year 300 MW lease with Fluidstack and Google.
The company also raised $3.73 billion through three senior secured bond offerings to finance construction of its Barber Lake and Black Pearl data center projects, both of which remain on schedule.
Cipher divested its 49% stake in three mining joint ventures for about $40 million in stock, further simplifying its structure as it transitions to a data center-focused business model.
