HIVE Digital’s Meteoric Rise in Revenue Amid Expanding Bitcoin and AI Ventures

HIVE Digital Technologies has once again achieved unprecedented revenue figures, marking the third quarter of its 2026 fiscal year with earnings totaling $93.1 million. This impressive financial milestone emphasizes the significant growth in their Bitcoin mining and high-performance computing (HPC) sectors, which are the main drivers behind the company’s renewed vigor.

How Did HIVE’s Finances Skyrocket?

Compared to the previous year, HIVE’s revenue exhibits a staggering 219% increase and even surpasses the past quarter’s earnings of $87.3 million. This significant surge highlights the company’s remarkable expansion in its core business sectors, dwarfing the $29.2 million earned in the third quarter of the previous year.

Despite these record-breaking sales, HIVE recorded a net loss of $91.3 million under GAAP standards. Key factors contributing to this loss were policy changes and strategic infrastructure investments, with $57.4 million attributed to non-cash depreciation expenses. By halving the depreciation duration for equipment, the company aims to align with rapid technological advancements in mining equipment.

Why is Paraguay Crucial to HIVE’s Plans?

As of December 31, 2025, HIVE bolstered its Bitcoin mining capacity to 25 Exahashes, aided by swift infrastructure developments in Paraguay. This expansion in Paraguay not only propelled revenue growth but also increased depreciation expenses due to new projects coming online.

“Our investments in Paraguay are not merely about increasing capacity but also about cementing our long-term strategic presence in a vital market,” a company spokesperson stated. HIVE’s investment back into its mining operations signals aggressive growth strategies in promising new markets.

Impact of HPC and AI on HIVE’s Profits

In addition to mining, the company is expanding its AI-focused HPC division, resulting in a gross operating profit of $32.1 million from its BUZZ HPC unit—six times the achievement of the same period last year. This diversification strategy signifies HIVE’s shift beyond mere cryptocurrency mining.

Earlier this year, HIVE secured a two-year, $30 million agreement to acquire 504 Nvidia B200 GPUs, set for deployment in early 2026. The company expects this move to yield an additional $15 million in annual recurring revenue.

What Lies Ahead for HIVE?

HIVE’s management is eyeing a target of $140 million in annual revenue from GPU-powered AI cloud services by late 2026. Successfully reaching this goal would transform the company’s revenue structure, decreasing its dependency on mining operations and enhancing stability.

Although record sales figures and rapid AI sector growth provided an operational boost, the decision to accelerate depreciation inflated perceived net losses. Nonetheless, growth in core business areas remains robust, indicating a strong underlying business performance.