Digi Power X, Inc. Q4 FY2021 earnings call

• Hashrate: In 2021, started at ~200PH, ended with ~416PH, average weighted 275PH. Target for 2022 is ~1.5EH average, currently at 720PH. - Revenue: If achieving 6.7 BTC/day at ~$47,000/BTC, annual revenue target is ~$114M. - Adjusted EBITDA: 2021 adjusted EBITDA was $14.01M, aiming for 4.5x-5x that in 2022. - Miners: Own 10,600 MicroBT miners, paid $23M for them. - Expansion: Plan to diversify to states like Texas, focusing on ESG with over 90% zero carbon emission. - Finances: Raised CAD$70M in 2021, closed $10M revolving line with 7.5% interest, secured Houston site for April start.

In 2021, Digihost Technology Inc. saw significant growth. Top revenues reached $24.95 million, a 602% increase from 2020. Net income was approximately $300,000, and adjusted EBITDA was $14.01 million, a 1,600% increase from 2020. Cash and cash equivalents at December 31 were around $34.4 million, and working capital was $30 million, a 17.60% increase from 2020. Net book value per share was $3.13, a 251% increase from 2020. Revenue contribution breakdown wasn't precisely disclosed, but adjusted EBITDA was a key metric showing substantial growth.

• Hashrate: Target to average 1.5EH in 2022, currently at 720PH, intending to ramp up safely. - Revenue: If 6.7 BTC/day at $47,000/BTC, annual revenue ~$114M. - Adjusted EBITDA: Aim for 4.5x-5x 2021's $14.01M. - Cash: ~$50M cash and cash equivalents to sustain operations. - Update: Expect March output update next week.

• Political risk: Unfavorable political sentiment in some states (e.g., New York). - Delays: Potential delays in miner delivery and infrastructure setup. - Network difficulty: Uncertainty in network difficulty affecting revenue projections.

Q: How did hashrate develop in 2021 and plans for 2022?

A: Started at ~200PH, ended 2021 at ~416PH, average 275PH. Target 1.5EH in 2022, currently at 720PH, aiming for 6.7 BTC/day revenue.

Q: Facility strategy?

A: Can expand current facilities, but plan to diversify to states like Texas, focusing on ESG and zero carbon emission.

Q: Capital structure and valuation?

A: Market cap ~$108M, cash ~$50M, miners valued at ~$100M, undervalued, expect recognition as execution improves.

Q: Hashrate increase timeline?

A: Intend to deploy miners safely, update on March output next week.