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

@Techa, this matter is related to blockchain technologies and Hive’s technical pivot into AI-powered HPC infrastructure, so I’m assigning it to you.

Key Event: Hive Digital Technologies, a crypto miner turned high-performance computing (HPC) services provider, has announced its AI-driven transformation with a goal of achieving a $100 million annual revenue run rate. Leveraging advanced AI chips like Nvidia’s H100s, Hive is strategically expanding its HPC capacity amidst rising demand for AI processing, which it sees as more profitable than Bitcoin mining. Hive continues to maintain Bitcoin as a core asset but is diversifying into higher-margin AI operations, securing strategic locations, such as Toronto, and growing its presence internationally, including in Paraguay.

Of course, I can certainly provide an update on Hive Digital Technologies' strategic shift. It's quite an interesting development how they are pivoting more into high-performance computing (HPC) while still maintaining their Bitcoin mining operations.

Based on the latest information, Hive is actively expanding its HPC capabilities, driven by the increasing demand for AI processing. They are leveraging advanced AI chips to power this growth. In fact, their GPU business unit achieved a $13 million annualized run-rate revenue in late February 2025, with a target of reaching $20 million by the second quarter of 2025. For the second quarter of fiscal 2025, which ended September 30, the HPC business unit generated $1.9 million in revenue.

This move into AI-powered HPC is seen as a potentially more profitable use of energy compared to Bitcoin mining. Despite this strategic pivot, Hive continues to see Bitcoin as a core long-term asset. They've been working on significantly increasing their Bitcoin mining capacity. For instance, they've been expanding their operations in Paraguay, aiming to increase their global hashrate substantially. They announced a significant expansion in Paraguay with the goal of reaching 25 EH/s by September 2025. Recent reports from July 2025 confirm they have surpassed a 12 EH/s milestone and are on track for their 25 EH/s goal.

Regarding their financials, for the fiscal year 2025, Hive reported total revenue of $115.3 million. In the second quarter of fiscal 2025, they generated $22.6 million in revenue, with $20.8 million from Bitcoin mining. For the fourth quarter of fiscal 2025, the company's revenue was $31.16 million, and they posted a net loss.

From a stock performance perspective, it's been a bit of a mixed bag. As of mid-July 2025, the stock has seen some positive movement. Analyst ratings are generally positive, with many viewing the stock as a "Buy" and some even a "Strong Buy". Price targets from various analysts in mid-2025 ranged from $5.00 to $9.00. However, it's worth noting that the stock has experienced volatility.

So, in essence, Hive is executing a dual strategy: expanding their more profitable HPC and AI infrastructure while simultaneously growing their Bitcoin mining operations, particularly in cost-effective locations like Paraguay. It seems they are positioning themselves to capitalize on two of the most significant trends in the digital asset and computing space.

@Techa, for the article on Hive Digital Technologies, focus on presenting their strategic pivot into high-performance computing (HPC) alongside their continued investment in Bitcoin mining. Start by clearly outlining the key events: Hive’s growing HPC revenue powered by AI chips ($13M annualized run-rate with a goal of $20M by Q2 2025) and their Paraguay expansion to hit 25 EH/s in Bitcoin mining. Keep the analysis sharp—emphasize their dual strategy as a play on profitability (HPC) versus long-term asset focus (Bitcoin). Avoid overloading with financial minutiae; instead, highlight the broader trends and implications for their market positioning. Finish with a concise take on their stock outlook and its mixed performance. Prioritize clarity and relevance while trimming redundancies.

Hive Digital Targets $100M 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 $100M annual revenue goal, Hive is leveraging AI chips and international expansions like Paraguay to scale.

On July 22, 2025, CoinDesk reported that Hive Digital Technologies, known for its crypto mining expertise, is diversifying into high-performance computing (HPC) to capitalize on surging AI processing demands. The company’s strategic shift aims to achieve a $100-million annual revenue run rate, powered by cutting-edge AI chips such as Nvidia’s H100 GPUs. This move seeks to unlock higher-margin profits compared to the energy-intensive Bitcoin mining sector.

Hive’s GPU business unit has shown substantial progress, generating an annualized revenue run rate of $13 million as of February 2025, with a target of $20 million by the second quarter of fiscal year 2025. During Q2 FY2025, which concluded on September 30, Hive reported $1.9 million in HPC revenue, reflecting promising growth. The firm is investing heavily in AI infrastructure, with Toronto emerging as a hub for its AI-driven facilities that underscore this ambitious transformation.

Even as Hive pivots towards HPC, its commitment to Bitcoin mining remains steadfast. Paraguay, with its affordable energy resources, is playing a key role in this strategy. By mid-July, the company surpassed a mining capacity of 12 EH/s, setting sights on 25 EH/s by September 2025. This dual approach allows Hive to capture the expanding profitability of AI processing while reinforcing Bitcoin as a foundational asset.

Hive’s financial performance underscores its balancing act between innovation and stability. In fiscal year 2025, the company recorded $115.3 million in total revenue, with $22.6 million earned during Q2 FY2025 alone—$20.8 million of which came from Bitcoin mining. However, a net loss in the fourth quarter of FY2025 highlighted operational challenges amid significant structural shifts.

Investor sentiment appears cautiously optimistic. While volatility in the crypto and AI sectors influences Hive’s stock performance, analysts have set price targets ranging from $5.00 to $9.00, with most ratings categorized as "Buy" or "Strong Buy."

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.

As of July 22, 2025, 02:09 UTC, Bitcoin (BTC) is trading at $117,635.11, with a 0.01% change in the past 24 hours, according to CoinMarketCap.