Press Release: Cipher Digital Provides Fourth Quarter and Full Year 2025 Business Update

Dow Jones
Feb 24

Rebrands to Cipher Digital to Reflect Strategic Shift Toward HPC

Divested 49% Stake in Alborz, Bear, and Chief Mining Sites

Secured Full Funding for Existing Data Center Developments Through High-Yield Bond Offerings

Data Center Development on Track at Barber Lake and Black Pearl

NEW YORK, Feb. 24, 2026 (GLOBE NEWSWIRE) -- Cipher Digital Inc. $(CIFR)$ ("Cipher" or the "Company") today announced its fourth quarter and full year 2025 financial results, with an update on its operations and business strategy.

"Building on a transformative 2025, the fourth quarter reflected continued momentum as we advanced our evolution into a leading HPC data center development company," said Tyler Page, Chief Executive Officer. "During the quarter, we upsized our initial lease with Fluidstack and Google and signed our first HPC lease with Amazon. In addition, we successfully executed multiple high yield bond offerings to finance two of our existing HPC projects at Barber Lake and Black Pearl. In recognition of this successful shift in our business model and strategic priorities going forward, we are proud to now officially operate as Cipher Digital."

The rebrand to Cipher Digital reflects the Company's full strategic transition toward a business model centered on stable, long-duration cash flows and long-term leases with best-in-class hyperscale customers. Cipher is focused on sourcing and securing power, developing advanced data centers purpose-built for HPC workloads, and leasing capacity to the world's leading technology companies. While bitcoin mining played a foundational role in building Cipher's power origination expertise and large-scale development capabilities, the Company's identity has evolved to focus on enabling next-generation compute at industrial scale.

In line with this new direction, Cipher sold its 49% interest in the three 40 MW joint venture sites, Alborz, Bear, and Chief, as well as select bitcoin mining machines previously deployed at Black Pearl. These non-core assets were acquired by Canaan Inc., a vertically integrated innovator in crypto mining, for approximately $40 million in an all-stock transaction. This transaction allows Cipher to simplify the business structure, maintain optimized exposure to the bitcoin mining industry in a capital-light manner, and accelerate the strategic transition.

In addition, the Company successfully executed three high-yield offerings to finance the construction at Barber Lake and Black Pearl. In the first transaction, Cipher raised $1.4 billion in aggregate principal of senior secured notes at 7.125%. Subsequently, the Company offered $333 million in additional aggregate principal at the same rate, bringing the total size of the financing for Barber Lake to $1.73 billion. The third high-yield offering raised $2.0 billion in aggregate principal of senior secured notes at 6.125%, with the substantially lower rate reflecting the Company's continued maturation and strong investor confidence.

With financing secured, the Company has cleared another major hurdle in the execution of these large-scale projects. Cipher is now fully focused on the construction and delivery of Barber Lake and Black Pearl, both of which remain on schedule, supported by our best-in-class construction team.

"2026 is a year of execution for Cipher as we fully transition the business into a leading infrastructure platform. With construction on track at our existing projects, a deep and expanding development pipeline, and heightened demand from both capital providers and tenants, we are firmly focused on establishing Cipher Digital as the premier developer and operator of data centers powering the next generation of compute," added Mr. Page.

Finance and Operations Highlights

   -- Rebranded from Cipher Mining to Cipher Digital, reflecting the Company's 
      pivot from bitcoin mining to HPC data center development 
 
   -- Secured 600 MW gross of total contracted HPC capacity to date across two 
      leases, a 15-year 300 MW lease with AWS and a 10-year 300 MW lease with 
      Fluidstack and Google 
 
   -- Completed three bond offerings to finance HPC data center buildouts for 
      aggregate proceeds of $3.73 billion 
 
   -- Barber Lake data center development is progressing on track with 95% of 
      long lead equipment secured and all current design milestones achieved 
 
   -- Black Pearl data center development is on schedule, with engineering, 
      procurement, and construction activities underway 
 
   -- Q4 2025 Revenue of $60 million and Adjusted Net Loss of $55 million 

Business Update Call and Webcast

The live webcast and a webcast replay of the conference call can be accessed from the investor relations section of Cipher's website at https://investors.cipherdigital.com/.

About Cipher

Cipher develops and operates industrial-scale data centers engineered for next-generation computing at the highest standards of innovation, precision, and excellence. The Company brings together deep expertise across power sourcing, construction, engineering, operations, real estate, and technology to deliver high-quality data centers purpose built for HPC workloads. By partnering with premier tenants, Cipher seeks to meet the growing demand for industrial-scale data center capacity and become a leading HPC development platform that is built for hyperscale. To learn more about Cipher, please visit https://www.cipherdigital.com/.

Forward Looking Statements

This press release contains certain forward-looking statements within the meaning of the federal securities laws of the United States. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and includes this statement for purposes of complying with these safe harbor provisions. Any statements made in this press release that are not statements of historical fact, such as, statements about the Company's beliefs and expectations regarding its future results of operations and financial position, its planned business model and strategy, its data center development, timing and likelihood of success, capacity, functionality and timing of operation of data centers, expectations regarding the operations of data centers, potential strategic initiatives, such as joint ventures and partnerships, and management plans and objectives, are forward-looking statements and should be evaluated as such. These forward-looking statements generally are identified by the words "may," "will," "should," "expects," "plans," "anticipates," "could," "seeks," "intends," "targets," "projects," "contemplates," "believes," "estimates, " "strategy," "future," "forecasts," "opportunity," "predicts," "potential," "would," "will likely result," "continue," and similar expressions (including the negative versions of such words or expressions).

These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by Cipher and its management, are inherently uncertain. Such forward-looking statements are subject to risks, uncertainties, and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. New risks and uncertainties may emerge from time to time, and it is not possible to predict all risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to: volatility in the price of Cipher's securities due to a variety of factors, including changes in the competitive and regulated industry in which Cipher operates, Cipher's evolving business model and strategy and efforts it may make to modify aspects of its business model or engage in various strategic initiatives, variations in performance across competitors, changes in laws and regulations affecting Cipher's business, and the ability to implement business plans, forecasts, and other expectations and to identify and realize additional opportunities. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the "Risk Factors" section of Cipher's Annual Report on Form 10-K for the fiscal year ended December 31, 2025 ("Annual Report") to be filed with the Securities and Exchange Commission ("SEC"), and in Cipher's subsequent filings with the SEC. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and Cipher assumes no obligation and, except as required by law, does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise.

The company maintains a dedicated investor website at https://investors.cipherdigital.com/investors ("Investors' Website"). Financial and other important information regarding the Company is routinely posted on and accessible through the Investors Website. Cipher uses its Investors' Website as a distribution channel of material information about the Company, including through press releases, investor presentations, reports and notices of upcoming events. Cipher intends to utilize its Investors' Website as a channel of distribution to reach public investors and as a means of disclosing material non-public information for complying with disclosure obligations under Regulation FD. In addition, you may sign up to automatically receive email alerts and other information about the Company by visiting the "Email Alerts" option under the Investors Resources section of Cipher's Investors' Website and submitting your email address.

Non-GAAP Financial Measures

This press release includes supplemental financial measures for Adjusted Earnings (Loss) and Adjusted Earnings (Loss) per share - diluted, in each case that exclude the impact of (i) the non-cash change in fair value of derivative asset, (ii) share-based compensation expense, (iii) depreciation and amortization, (iv) deferred income tax expense, (v) nonrecurring gains and losses, (vi) the non-cash change in fair value of warrant liability, (vii) non-cash losses related to miners reclassified as held for sale, (viii) impairment of long-lived assets, and (ix) non-cash disposal of miners. These supplemental financial measures are not measurements of financial performance under accounting principles generally accepted in the United States ("GAAP") and, as a result, these supplemental financial measures may not be comparable to similarly titled measures of other companies. Management uses these non-GAAP financial measures internally to help understand, manage, and evaluate our business performance and to help make operating decisions. We believe the use of these non-GAAP financial measures can also facilitate comparison of our operating results to those of our competitors by excluding certain items that vary in our industry based on company policy.

Non-GAAP financial measures are subject to material limitations as they are not in accordance with, or a substitute for, measurements prepared in accordance with GAAP. For example, we expect that share-based compensation expense, which is excluded from the non-GAAP financial measure, will continue to be a significant recurring expense over the coming years and is an important part of the compensation provided to certain employees, officers and directors. Similarly, we expect that depreciation and amortization will continue to be a recurring expense over the term of the useful life of the related assets. Our non-GAAP financial measures are not meant to be considered in isolation and should be read only in conjunction with our consolidated financial statements included elsewhere in our Annual Report, which have been prepared in accordance with GAAP. We rely primarily on such consolidated financial statements to understand, manage and evaluate our business performance and use the non-GAAP financial measures only supplementally.

Contacts:

Investor Contact:

Courtney Knight

Head of Investor Relations at Cipher Digital

Courtney.knight@ciphermining.com

Media Contact:

Ryan Dicovitsky / Katie Nerantzis

Dukas Linden Public Relations

CipherMining@DLPR.com

 
CIPHER DIGITAL INC. 
 CONSOLIDATED BALANCE SHEETS 
 (in thousands, except for share and per share amounts) 
 
                              December 31, 2025                    December 31, 2024 
ASSETS 
Current assets 
   Cash and cash 
    equivalents       $                         628,263   $                           5,585 
   Restricted cash, 
   current                                    1,761,292                                   - 
   Accounts 
    receivable                                      687                                 596 
   Receivables, 
    related party                                   271                               2,090 
   Prepaid expenses 
    and other 
    current assets                                7,977                               3,387 
   Bitcoin                                      125,400                              92,651 
   Receivable for 
    bitcoin 
    collateral                                        -                              32,248 
   Miners held for 
   sale                                          94,879                                   - 
   Derivative asset                              34,090                              31,648 
      Total current 
       assets                                 2,652,859                             168,205 
Restricted cash, 
 noncurrent                                     275,076                              14,392 
Property and 
 equipment, net                                 622,455                             480,865 
Deposits on 
 equipment                                       10,962                              38,872 
Intangible assets, 
 net                                             77,388                               8,881 
Investment in equity 
 investees                                       29,400                              53,908 
Derivative asset                                 22,720                              54,022 
Operating lease 
 right-of-use asset                              11,321                              12,561 
Security deposits                                27,732                              19,782 
Other noncurrent 
 assets                                         561,995                               3,958 
   Total assets       $                       4,291,908   $                         855,446 
LIABILITIES, 
REDEEMABLE 
NONCONTROLLING 
INTEREST, AND 
STOCKHOLDERS' 
EQUITY 
Current liabilities 
   Accounts payable   $                          40,064   $                          22,699 
   Accrued expenses 
    and other 
    current 
    liabilities                                  90,086                              69,824 
   Finance lease 
    liability, 
    current portion                               4,237                               3,798 
   Operating lease 
    liability, 
    current portion                               1,731                               3,127 
   Warrant liability                            525,160                                   - 
   Short-term 
    borrowings                                   37,793                              32,330 
      Total current 
       liabilities                              699,071                             131,778 
Long-term 
borrowings, net                               2,711,648                                   - 
Asset retirement 
 obligations                                     33,696                              20,282 
Finance lease 
 liability                                        3,094                               7,331 
Operating lease 
 liability                                        8,545                               9,833 
Deferred tax 
 liability                                            -                               4,269 
   Total liabilities                          3,456,054                             173,493 
Commitments and 
contingencies (Note 
14) 
Redeemable 
noncontrolling 
interest                                         30,319                                   - 
Stockholders' equity 
   Preferred stock, 
   $0.001 par value; 
   10,000,000 shares 
   authorized, none 
   issued and 
   outstanding as of 
   December 31, 
   2025, and 
   December 31, 
   2024                                               -                                   - 
   Common stock, 
    $0.001 par 
    value, 
    1,000,000,000 
    and 500,000,000 
    shares 
    authorized as of 
    December 31, 
    2025 and 
    December 31, 
    2024, 
    respectively, 
    412,074,529 and 
    361,432,449 
    shares issued as 
    of December 31, 
    2025 and 
    December 31, 
    2024, 
    respectively, 
    and 404,963,061 
    and 350,783,817 
    shares 
    outstanding as 
    of December 31, 
    2025, and 
    December 31, 
    2024, 
    respectively                                    412                                 361 
   Additional 
    paid-in capital                           1,808,786                             863,015 
   Accumulated 
    deficit                                  (1,003,656)                           (181,412) 
   Treasury stock, 
    at par, 
    7,111,468 and 
    10,648,632 
    shares at 
    December 31, 
    2025 and 
    December 31, 
    2024, 
    respectively                                     (7)                                (11) 
      Total 
       stockholders' 
       equity                                   805,535                             681,953 
   Total 
    liabilities, 
    redeemable 
    noncontrolling 
    interest, and 
    stockholders' 
    equity            $                       4,291,908   $                         855,446 
 
 
CIPHER DIGITAL INC. 
 CONSOLIDATED STATEMENTS OF OPERATIONS 
 (in thousands, except for share and per share amounts) 
 
                    Year Ended December 31, 
                                 2025                            2024                            2023 
                     ----------------------------    ----------------------------    ---------------------------- 
Revenue - bitcoin 
 mining             $                     223,942   $                     151,270   $                     126,842 
Costs and 
operating 
(expenses) income 
   Cost of revenue                        (81,216)                        (62,364)                        (50,309) 
   Compensation 
    and benefits                          (79,129)                        (60,796)                        (57,399) 
   General and 
    administrative                        (36,382)                        (32,655)                        (27,796) 
   Depreciation 
    and 
    amortization                         (198,973)                       (102,448)                        (59,093) 
   Change in fair 
    value of power 
    purchase 
    agreement                             (28,860)                         (7,921)                         26,836 
   Power sales                              7,870                           5,405                           9,941 
   Equity in 
    losses of 
    equity 
    investees                             (20,822)                           (384)                         (2,530) 
   Unrealized 
    gains (losses) 
    on fair value 
    of bitcoin                            (41,603)                         11,313                           3,299 
   Realized gains 
    on sale of 
    bitcoin                                 7,126                          51,548                           7,739 
   Other operating 
    gains 
    (losses)                             (173,516)                          3,333                           2,355 
      Total costs 
       and 
       operating 
       expenses                          (645,505)                       (194,969)                       (146,957) 
Operating loss                           (421,563)                        (43,699)                        (20,115) 
Other income 
(expense) 
   Interest income                         19,479                           3,384                             164 
   Interest 
    expense                               (36,559)                         (1,708)                         (1,999) 
   Change in fair 
    value of 
    warrant 
    liability                              19,290                             250                            (243) 
   Other expense                         (406,204)                         (2,544)                            (17) 
      Total other 
       expense                           (403,994)                           (618)                         (2,095) 
Loss before taxes                        (825,557)                        (44,317)                        (22,210) 
Current income tax 
 expense                                     (956)                         (1,255)                           (201) 
Deferred income 
 tax benefit 
 (expense)                                  4,269                             937                          (3,366) 
  Total income tax 
   benefit 
   (expense)                                3,313                            (318)                         (3,567) 
Net loss                                 (822,244)                        (44,635)                        (25,777) 
Less: Net loss 
attributable to 
redeemable 
noncontrolling 
interest                                        -                               -                               - 
Net loss available 
 for common 
 stockholders       $                    (822,244)  $                     (44,635)  $                     (25,777) 
Loss per share - 
 basic and 
 diluted            $                       (2.15)  $                       (0.14)  $                       (0.10) 
Weighted average 
 shares 
 outstanding - 
 basic and 
 diluted                              381,602,904                     323,103,303                     252,439,461 
 

Non-GAAP Financial Measures

The following are reconciliations of our Adjusted Earnings (Loss) and Adjusted Earnings (Loss) per share - diluted, in each case excluding the impact of (i) the non-cash change in fair value of derivative asset, (ii) share-based compensation expense, (iii) depreciation and amortization, (iv) deferred income tax expense, (v) nonrecurring gains and losses, (vi) the non-cash change in fair value of warrant liability, (vii) non-cash losses related to miners reclassified as held for sale, (viii) impairment of long-lived assets, and (ix) non-cash disposal of miners, to the most directly comparable GAAP measures for the periods indicated (in thousands, except for per share amounts):

 
                                                  Year Ended December 31, 
                  --------------------------------------------------------------------------------------- 
                             2025                         2024                            2023 
                   ------------------------   ---------------------------      -------------------------- 
 Reconciliation 
 of Adjusted 
 Earnings: 
Net loss          $                (822,244)  $                  (44,635)   $                    (25,777) 
 Change in fair 
  value of power 
  purchase 
  agreement                          28,860                         7,921                        (26,836) 
 Share-based 
  compensation 
  expense                            52,787                        42,132                          38,470 
 Depreciation 
  and 
  amortization                      198,973                       102,448                          59,093 
 Deferred income 
  tax (benefit) 
  expense                            (4,269)                        (937)                           3,366 
 Other losses 
  (gains) - 
  nonrecurring                      416,688                            --                         (2,355) 
 Change in fair 
  value of 
  warrant 
  liability                         (19,290)                        (250)                             243 
Loss on miners 
held for sale                        96,056                            --                              -- 
 Impairment of 
 long-lived 
 assets                              45,317                            --                              -- 
 Disposal of 
 miners                              29,358                            --                              -- 
                   ------------------------    --------------------------      -------------------------- 
 Adjusted (loss) 
  earnings        $                  22,236   $                   106,679   $                      46,204 
                   ========================    ==========================      ========================== 
                                                  Year Ended December 31, 
                  --------------------------------------------------------------------------------------- 
                                       2025               2024                            2023 
                   ------------------------    --------------------------      -------------------------- 
Reconciliation 
of Adjusted 
Earnings per 
share - 
diluted: 
Net loss per 
 share - 
 diluted          $                   (2.15)   $                   (0.14)   $                      (0.10) 
Change in fair 
 value of power 
 purchase 
 agreement per 
 diluted share                         0.07                          0.02                          (0.11) 
Share-based 
 compensation 
 expense per 
 diluted share                         0.14                          0.13                            0.15 
Depreciation and 
 amortization 
 per diluted 
 share                                 0.52                          0.32                            0.23 
Deferred income 
 tax (benefit) 
 expense per 
 diluted share                        (0.01)                           --                            0.01 
 Other losses 
  (gains) - 
  nonrecurring 
  per diluted 
  share                                1.09                            --                          (0.01) 
Change in fair 
 value of 
 warrant 
 liability per 
 diluted share                        (0.05)                           --                              -- 
Loss on miners 
held for sale 
per diluted 
share                                  0.25                            --                              -- 
Impairment of 
long-lived 
assets per 
diluted share                          0.12                            --                              -- 
Disposal of 
miners per 
diluted share                          0.08                            --                              -- 
                   ------------------------     -------------------------      -------------------------- 
Adjusted 
 earnings per 
 diluted share    $                    0.06    $                     0.33   $                        0.17 
                   ========================     =========================      ========================== 
 

(END) Dow Jones Newswires

February 24, 2026 07:00 ET (12:00 GMT)

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