Digihost Technology Inc DGHI

Primary Symbol: V.DGHI

Digihost Technology Inc. is a Canada-based blockchain technology and computer infrastructure company. The Company is engaged in cryptocurrency mining. The operations of the Company are located in two geographic locations: Canada and the United States. The Company focuses on its network development, hosting, and mining operations supported by renewable and sustainable energy. The 90% of the energy consumed by the Company is from sources that create zero-carbon emissions, while 50% of the energy consumed is being generated from renewable energy sources. The Company operate its own power generation facilities, which focuses on using bridge power sources where available for low-carbon or renewable sources of energy by creating applications for existing power supplies and transforming the way power is used and the way blockchain is applied. The Company operates approximately 60-megawatt (MW) power plant in North Tonawanda, New York State. It operates from three sites in the United States.

TSXV:DGHI - Post by User

Digihost Technology Inc > Wondering why stock not performing much better

<< Previous

Bullboard Posts

Next >>

Post by WinterBaronon Jun 17, 2021 11:44am

202 Views

Post# 33404498

Wondering why stock not performing much better

Just started looking intoDigihost and am wondering why stock is not performing more strongly.
Last financials appear to be good and they are working with reputable auditors.

Total shares outstanding are significantly lower than most companies in this sector, so wonder what I'm missing.
Comments appreciated.

First Quarter 2021 Financial Highlights

The following information compares the financial results of the Company for the three months ended March 31, 2021 (“ 2021 ”) and the three months ended March 31, 2020 (“ 2020 ”):

Record high total comprehensive income of $5.9 million reported in 2021, compared to a total comprehensive loss of $0.76 million in 2020, an increase of 872%;
Revenue from digital currency mining increased by 469% to $4.8 million in 2021 compared to $0.8 million in 2020;
Gross profit margin increased to 44% in 2021 compared to a gross loss margin of 13% in 2020, an increase in gross margin of 57%;
The weighted average shares outstanding in 2021 were 44,313,754 compared to 20,257,016 in 2020.

The following information compares the financial position of the Company as at March 31, 2021 (“ 2021 ”) and as at December 31, 2020 (“ 2020 ”):

Cash balance of $13.19 million in 2021 compared to $0.03 million in 2020, an increase of $13.16 million;
Digital currencies balance of $15.16 million in 2021, comprised of 260 Bitcoins, compared to $4.51 million in 2020, comprised of 154 Bitcoins, an increase of $10.65 million and 106 Bitcoins;
Total assets of $43.54 million in 2021 compared to $16.52 million in 2020, an increase of $27.02 million;
Total liabilities of $4.40 million in 2021 compared to $6.08 million in 2020, a decrease of $1.68 million; and
Total shareholders’ equity of $39.14 million in 2021 compared to $10.44 million in 2020, an increase of $28.70 million.

Recent Highlights

On April 13, 2021, the Company announced the closing of a private placement of shares and warrants for gross proceeds of CA$25 million;
On April 14, 2021, the Company appointed international audit firm, Raymond Chabot Grant Thornton LLP;
On May 10, 2021, the Company announced the status of its Nasdaq listing application and diversification of cryptocurrency business model to include Ethereum technology;
On May 14, 2021, the Company announced the acquisition of 9,900 Bitcoin Miners to increase its hashrate by 925PH, and hosting agreement with Northern Data AG;
On May 17, 2021, the Company reported on green energy consumption, stating that 90% of the energy consumed by Digihost in its Bitcoin mining operations is from sources that create zero carbon emissions and more than 50% of the energy consumed by the Company is generated from renewable sources; and
The Company’s current cryptocurrency holdings are comprised of: 564 Ethereum and 299 Bitcoin.