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Canaan's Q3 revenue falls 90% as mining-rig sales collapse, but bitcoin gains deliver an $8 million profit
Summary
Bitcoin mining-rig maker Canaan said third-quarter revenue fell 90% to $14.5 million from $150.5 million a year earlier, as mining equipment sales dropped 96% to $4.8 million from $118.6 million, The Block and Bitcoin Magazine reported.
The company still posted $8 million in net income, helped by a $20.1 million fair-value gain on its crypto holdings and a $31.9 million gain on financial derivatives, while its operating loss widened to $42.9 million, according to both outlets.
Chief financial officer Jin "James" Cheng said the gains came from bitcoin's higher price at the end of September and called the non-cash gain "distinct from underlying operating performance."
Canaan held about 1,875 BTC at the end of September, 1,258 of it pledged for secured loans, and announced a $20 million buyback under a $100 million authorization its board approved Nov. 6, the outlets said.
Key facts
- The Block: Canaan mined 133 BTC in the quarter for $9.5 million of mining revenue, versus $30.6 million in Q3 2025.
- The Block: ERCOT conditionally classified Canaan's proposed 1 GW Duval County, Texas, power project as "Studied Load - Firm," with further studies and approvals pending.
- Bitcoin Magazine: stripping out the fair-value gains, adjusted EBITDA would have been a loss of about $29.5 million.
- Bitcoin Magazine: the bitcoin stack fell about 40 coins from the second quarter despite 133 mined, and CEO Nangeng Zhang said Canaan is "selectively monetizing cryptocurrency holdings to fund share repurchases."
- Bitcoin Magazine: Canaan plans a 1-for-25 reverse ADS split around Dec. 4 to regain compliance with Nasdaq's minimum bid price rule, and guided fourth-quarter revenue of $18 million to $22 million.
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