MARA Holdings ( MARA ) is scheduled to report first-quarter earnings after the market close on May 11, with Wall Street analysts expecting the company to post a loss on revenue and earnings (EPS) of $184.21 million and $2.34, respectively.
The results are expected to reflect the sharp decline in bitcoin prices during the first quarter, with BTC falling around 25% in the period, from around $87,000 to $67,000, creating significant mark-to-market losses on MARA’s digital asset holdings.
However, investor focus is likely to focus less on short-term bitcoin price volatility and more on the company’s strategic transition to artificial intelligence and high-performance computing infrastructure. MARA has increasingly positioned itself as part of a broader industry shift where bitcoin miners leverage their existing energy assets and data center expertise to secure more stable, long-term AI-related revenue streams.
The AI transition includes FTAI Infrastructure agreeing to sell Long Ridge Energy to MARA in a $1.5 billion transaction. The deal is expected to give MARA long-term power generation capacity and exposure to more stable cash flow opportunities tied to AI and data center contracts, reducing reliance on the highly cyclical bitcoin mining business, where revenue fluctuates with bitcoin prices, network issues and transaction fees.
In the fourth quarter, MARA reported revenue falling 6% year-over-year from $214 million to $206 million, although it also announced a partnership with Starwood to develop AI data centers that provide about one gigawatt of computing capacity in the near term.
During Q1, MARA sold 15,133 BTC valued at approximately $1.1 billion, using the proceeds to repurchase $1.0 billion of convertible notes, bolster liquidity, and continue to fund its AI expansion strategy.
The wider bitcoin mining sector is increasingly following a similar path. IREN ( IREN ) recently expanded its AI transition through a $3.4 billion AI cloud deal with NVIDIA ( NVDA ) while also recording a $140.4 million non-cash impairment charge tied to the sale of ASIC mining hardware as it reallocates infrastructure to AI cloud services.
In addition, HIVE Digital Technologies ( HIVE ) announced additional investments in artificial intelligence and digital infrastructure, including $3.1 million to install high-speed fiber infrastructure supporting a planned 50MW AI factory.
MARA shares rose 1% to $13 in premarket trading.
