Hive Digital Achieves $100 Million AI Revenue as Bitcoin Mining Evolves

• Hive Digital Technologies is expanding into AI-driven high-performance computing (HPC) while sustaining its Bitcoin mining operations.
• With a $100 million annual revenue goal, Hive is leveraging AI chips and international expansions to scale.

On July 12, 2024, HIVE Digital Technologies announced that crypto mining expert Hive Digital Technologies is diversifying into high-performance computing (HPC). The company is expanding to capitalize on surging AI processing demands, and with this strategic shift, Hive has achieved a $100 million annual revenue run rate. It will use cutting-edge AI chips like Nvidia’s H100 GPUs to power its growth. This move positions the company to unlock higher-margin profits than are available in the energy-intensive Bitcoin mining sector.

Hive’s GPU business unit shows substantial progress, generating an annualized revenue run rate of $13 million as of February 2024 and targeting $50 million by the second quarter of fiscal year 2025. During Q4 FY2024, which ended March 31, Hive reported $1.9 million in HPC revenue, showing promising growth. To support this ambitious transformation, the company is investing heavily in AI infrastructure, with Montreal and Lachute emerging as hubs for its facilities.

Even as Hive pivots toward HPC, it remains committed to Bitcoin mining, leveraging its affordable energy resources in Canada and Sweden as a key part of this strategy. By mid-July, Hive reached a mining capacity of 5.0 EH/s and aims to reach 8 EH/s by the end of calendar 2025. This dual approach allows the company to capture expanding AI profitability while reinforcing Bitcoin as a foundational asset.

Hive's financial performance underscores its balance between innovation and stability. For the fiscal year ended March 31, 2024, the company recorded $114.5 million in total revenue, with $40.5 million earned in Q1 FY2025 alone. Of that quarterly amount, Bitcoin mining generated $24.4 million. However, the company also reported a net loss in Q1 F2025, highlighting the operational challenges of its significant structural shifts.

Investor sentiment appears cautiously optimistic. Although volatility in the crypto and AI sectors influences Hive’s stock performance, analysts have set price targets from $5.00 to $7.00. Most analysts give the stock a "Buy" or "Strong Buy" rating.

Hive Digital Technologies is executing a bold dual strategy to position itself as a digital infrastructure leader. By scaling AI-powered HPC alongside sustained Bitcoin mining operations, the company is aligning itself with disruptive trends defining both the computing and blockchain industries.

According to CoinMarketCap, as of July 12, 2024, at 05:22 UTC, Bitcoin (BTC) was trading at $57,325.32, reflecting a 0.5% decrease in the past 24 hours.