Bitcoin mining maker Canaan released unaudited Q2 2020 financial results on August 31.
Although gross profit has increased year after year and quarter after quarter, the company still has a net loss, although it has declined significantly over the past twelve months.
The volume of sold computing power in ASIC devices was 2.6 million sec / sec. This corresponds to an increase of almost 200% from 0.9 million touches per second in the first quarter, but represents a decrease of 18.2% from the previous year.
Revenue also increased 160% from the previous quarter, but was down a quarter from last year to 178.1 million yuan ($ 25.2 million).
However, the total profit of 43.3 million yuan (US $ 6.1 million) increased more than 300% from the previous year and more than 1,700% from the first quarter.
This was accompanied by a significant increase in gross profit for the quarter to almost 25%. For comparison: gross margin was 3.5% in the previous quarter and 4.5% in the second quarter of 2019.
This resulted in a net loss of RMB 16.8 million ($ 2.4 million). This was less than half of the previous quarter’s net loss and more than 90% less than the 263.1 million yuan in the same quarter last year.
Canaan was the first mining platform manufacturer to successfully launch in November 2019, although it raised less than 25% of the estimated $ 400 million. Since then, the share price has dropped by about 75%, with a current value of just $ 2.19, up from its original selling price of $ 9.