Mining hardware maker sees sharp rebound as North American buyers ramp up orders
Canaan’s shares surged on Tuesday after the Bitcoin mining hardware manufacturer reported a significant rebound in its third-quarter performance, driven by a sharp rise in equipment demand. The company announced that Q3 revenue more than doubled year over year, signaling renewed interest in mining machinery as Bitcoin profitability improves.
Strong Revenue Growth Led by Mining Equipment Sales
Canaan reported $150.5 million in total Q3 revenue, a 104% increase from the same quarter in 2024. Mining equipment sales accounted for $118.6 million, reflecting what the company described as a “substantial volume of new orders.”
James Jin Cheng, Canaan’s chief financial officer, said the strongest momentum came from the United States.
“A large number of sales came from clients in the U.S. who started actively placing sizable and repeating orders,” he said on the earnings call. He added that North American customers represented 31% of total Q3 revenue, highlighting a clear recovery in the region’s mining activity.
Canaan’s positive results arrived alongside strong earnings across the mining industry. HIVE Digital recently reported a 285% earnings increase, while BitFuFu also posted a sharp rise in its Q3 results driven by cloud mining demand. The sector appears to be benefiting from miners positioning themselves ahead of future Bitcoin price cycles.
Canaan Shares Surge Despite Yearly Decline
Following the earnings release, Canaan’s stock (CAN) closed up nearly 21% at $1.03, with an additional after-hours uptick to $1.05.
However, its share price remains down nearly 50% for the year, as some mining firms shift toward powering artificial intelligence operations.
Canaan generated $30 million in mining revenue, marking a 241% year-over-year increase, and narrowed its net loss to $27 million from $75 million a year earlier. The company mined 267 BTC during the quarter and increased holdings to 1,610 BTC by the end of October.
CEO: Bitcoin Mining Still the “Best Way to Earn” Today
Despite miners exploring AI-related opportunities, Canaan CEO Nangeng Zhang told investors that Bitcoin remains the most efficient near-term use of energy and infrastructure.
“Deploying more Bitcoin miners is still the best way to allocate energy today and generate revenues now, not years later,” he said, noting that AI infrastructure takes significant time to develop.
Disclaimer
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