Q1 2026 American Bitcoin Corp Earnings Call

May 6, 2026

Speaker #2: Good afternoon, everyone, and thank you for joining. Today is American Bitcoin's first quarter 2026 earnings call. Following today's prepared remarks, we will open the line for questions, and as a reminder, this session is being recorded.

Operator 1: Good afternoon, everyone, and thank you for joining. Today is American Bitcoin's Q1 2026 Earnings Call. Following today's prepared remarks, we will open the line for questions. As a reminder, this session is being recorded and a transcript will be made available on abtc.com. I would now like to turn the call over to American Bitcoin's President and Interim Chief Financial Officer, Matt Prusak. Welcome, sir.

Operator: Good afternoon, everyone, and thank you for joining. Today is American Bitcoin's Q1 2026 Earnings Call. Following today's prepared remarks, we will open the line for questions. As a reminder, this session is being recorded and a transcript will be made available on abtc.com. I would now like to turn the call over to American Bitcoin's President and Interim Chief Financial Officer, Matt Prusak. Welcome, sir.

Speaker #2: And a transcript will be made available on ABTC.com. I would now like to turn the call over to American Bitcoin's President and Interim Chief Financial Officer, Matt Prusak.

Speaker #2: Welcome, sir.

Speaker #3: Thank you. Good afternoon, everyone, and thank you for joining us today. Before we begin, I would like to remind everyone that during this call, we will make forward-looking statements within the meaning of the Federal Securities Laws.

Matt Prusak: Thank you. Good afternoon, everyone, and thank you for joining us today. Before we begin, I would like to remind everyone that during this call we will make forward-looking statements within the meaning of the federal securities laws. These statements are based on current expectations and assumptions and are subject to risks and uncertainties that may cause actual results to differ materially. For a detailed discussion of the risks and uncertainties that could cause actual results and events to differ, please refer to our filings with the Securities and Exchange Commission, including our most recent annual report on Form 10-K for the fiscal year ended 31 December 2025, and the subsequent quarterly report on Form 10-Q. We undertake no obligation to update or revise forward-looking statements to reflect events or circumstances after the date of this call, except as required by law.

Speaker #3: These statements are based on current expectations and assumptions and are subject to risks and uncertainties that may cause actual results to defer materially. For a detailed discussion of the risks and uncertainties, that could cause actual results and effects to defer, please refer to our filings with the Securities and Exchange Commission, including our most recent annual report on Form 10-K for the fiscal year ended December 31, 2025, and the subsequent quarterly report on Form 10-Q.

Speaker #3: We undertake no obligation to update or revise forward-looking statements to reflect events or circumstances after the date of this call, except as required by law.

Speaker #3: During this call, we will also discuss certain non-GAAP financial measures, including adjusted EBITDA. A reconciliation of these measures to the most directly comparable GAAP measures is included in our earnings release, which is available on the investor's section of our website and in our Form 8-K filed with the SEC.

Matt Prusak: During this call, we will also discuss certain non-GAAP financial measures, including adjusted EBITDA. A reconciliation of these measures to the most directly comparable GAAP measures is included in our earnings release, which is available on the investors section of our website and in our Form 8-K filed with the SEC. With that, I would like to turn the call over to Eric Trump, Chief Strategy Officer of American Bitcoin. Eric.

Speaker #3: With that, I would like to turn the call over to Eric Trump, Chief Strategy Officer of American Bitcoin. Eric?

Speaker #4: Good afternoon, everyone. It's wonderful to have you join us today. Just over a year ago, American Bitcoin did not exist. We launched on March 31, 2025, and went public on the NASDAQ on September 3 under a ticker symbol ABTC.

Eric Trump: Good afternoon, everyone. It's wonderful to have you join us today. Just over a year ago, American Bitcoin did not exist. We launched on 31 March 2025 and went public on the Nasdaq on 3 September under a ticker symbol ABTC. Today, just 8 months and 3 days after going public, we now own over 7,300 Bitcoin, own nearly 90,000 miners, and have quickly become one of the largest dedicated Bitcoin accumulation companies anywhere in the world. The pace at which this team has built American Bitcoin is something I'm incredibly proud of. On our last call, I told you we were focused on two races, accumulating the most Bitcoin and doing it at the lowest cost. This quarter, we delivered on both.

Speaker #4: Today, just eight months and three days after going public, we now own over 7,300 Bitcoin, own nearly 90,000 miners, and have quickly become one of the largest dedicated Bitcoin accumulation companies anywhere in the world.

Speaker #4: The pace at which this team has built American Bitcoin is something I'm incredibly proud of. On our last call, I told you we were focused on two races: accumulating the most Bitcoin and doing it at the lowest cost.

Speaker #4: This quarter, we delivered on both. We mined 817 Bitcoin more than any quarter in our history and over one-third of our total Bitcoin mined since we launched this company.

Eric Trump: We mined 817 Bitcoin, more than any quarter in our history and over one-third of our total Bitcoin mined since we launched this company. The underlying mining business was incredibly profitable, and we did not sell a single coin. Growing our holdings is what matters. We also continue to add to our reserve through disciplined treasury purchases. Our strategic Bitcoin reserve stood at 7,021 at quarter end, up from 5,401 at year-end, a growth of more than 1,600 Bitcoin in a single quarter. We have continued to aggressively accumulate virtually every day since. Lastly, we continue to evaluate opportunities to accelerate our Bitcoin accumulation beyond our core mining and treasury programs, including strategic acquisitions and leveraging our incredibly unique position in this market.

Speaker #4: The underlying mining business was incredibly profitable, and we did not sell a single coin. Growing our holdings is what matters. We also continue to add to our reserve through disciplined treasury purchases.

Speaker #4: Our strategic Bitcoin reserve stood at 7,000 in '21 at quarter end, up from 5,401 at year end. A growth of more than 1,600 Bitcoin in a single quarter.

Speaker #4: And we have continued to aggressively accumulate virtually every day since. Lastly, we continue to evaluate opportunities to accelerate our Bitcoin accumulation beyond our core mining and treasury programs.

Speaker #4: Including strategic acquisitions and leveraging our incredibly unique position in this market. Simply put, the fundamentals of what we are building at ABTC have never been stronger.

Eric Trump: Simply put, the fundamentals of what we are building at ABTC have never been stronger. First, we expanded our fleet. Our own fleet now totals nearly 90,000 miners with approximately 28.1 exahash per second of owned capacity, up from roughly 78,000 miners at year-end. On the last day of the quarter, we began energizing our Drumheller site, and we're at full capacity by 22 April. Mike will walk you through those details. Second, our Satoshis per share grew at approximately 20% in Q1, from 554 at year-end to 663 at Q1 end. As we speak today, our Satoshis per share is over 690. Every share of American Bitcoin owns substantially more Bitcoin today than it did 3 months ago. That is our mission, and that is the ABTC story.

Speaker #4: First, we expanded our fleet. Our own fleet now totals nearly 90,000 miners with approximately 28.1 XAH per second of owned capacity, up from roughly 78,000 miners at year end.

Speaker #4: On the last day of the quarter, we began energizing our drumheller site. And we're at full capacity by April 22. Mike will walk you through those details.

Speaker #4: Second, our Satoshi's per share grew at approximately 20% in quarter one. From 554 at year end to 663 at quarter end. As we speak today, our Satoshi's per share is over 690.

Speaker #4: Every share of American Bitcoin owns substantially more Bitcoin today than it did three months ago. That is our mission, and that is the ABTC story.

Speaker #4: Third, the institutional adoption of Bitcoin is accelerating, at a truly incredible pace. We are seeing this in conversations with investors, in ETF inflows, in financial products and offerings at the largest banks and financial institutions in the country and around the world.

Eric Trump: Third, the institutional adoption of Bitcoin is accelerating at a truly incredible pace. We are seeing this in conversations with investors, in ETF inflows, in financial products and offerings at the largest banks and financial institutions in the country and around the world. Chase, Schwab, BlackRock, Morgan Stanley, and virtually every other, as well as countless sovereign reserve discussions around the globe. American Bitcoin is positioned to be the category leader in this asset class as it continues to accelerate. I want to thank Mike, Matt, Asher, and the entire team at American Bitcoin. The execution has been relentless. I could not be more proud that we're leading the way right here in the United States of America. Mike will walk you through the details. Go ahead, Mike.

Speaker #4: Shay, Schwab, BlackRock, Morgan Stanley, and virtually every other. As well as countless sovereign reserve discussions. Around the globe. American Bitcoin is positioned to be the category leader in this asset class as it continues to accelerate.

Speaker #4: I want to thank Mike, Matt, Asher, and the entire team at American Bitcoin. The execution has been relentless, and I could not be more proud that we're leading the way right here in the United States of America.

Speaker #4: Mike will walk you through the details. Go ahead, Mike.

Speaker #2: Thank you, Eric, and good afternoon, everyone. Q1 2026 was a quarter of continued momentum in a resilient business under adverse market conditions. Bitcoin declined approximately 22% quarter over quarter, which drove significant non-cash headwinds through our GAAP financials.

[Company Representative] (American Bitcoin): Thank you, Eric. Good afternoon, everyone. Q1 2026 was a quarter of continued momentum in a resilient business under adverse market conditions. Bitcoin declined approximately 22% quarter over quarter, which drove significant non-cash headwinds through our GAAP financials. Underneath those headline numbers, the business executed well. We produced more Bitcoin than any prior quarter. We expanded our fleet. We brought Drumheller online, and we continued to compound our strategic reserve. Matt will go more deeply into the specifics, but the headline is clear. We mined more Bitcoin at a lower cost with a stronger margin profile than expected in a quarter where Bitcoin fell 22%. I'm going to cover our results across two layers, our mining platform, and our treasury strategy, and then turn it over to Matt for the financial details. Let me start where the story always starts for us, the production engine.

Mike Ho: Thank you, Eric. Good afternoon, everyone. Q1 2026 was a quarter of continued momentum in a resilient business under adverse market conditions. Bitcoin declined approximately 22% quarter over quarter, which drove significant non-cash headwinds through our GAAP financials. Underneath those headline numbers, the business executed well. We produced more Bitcoin than any prior quarter. We expanded our fleet. We brought Drumheller online, and we continued to compound our strategic reserve. Matt will go more deeply into the specifics, but the headline is clear. We mined more Bitcoin at a lower cost with a stronger margin profile than expected in a quarter where Bitcoin fell 22%. I'm going to cover our results across two layers, our mining platform, and our treasury strategy, and then turn it over to Matt for the financial details. Let me start where the story always starts for us, the production engine.

Speaker #2: But underneath those headline numbers, the business executed well. We produced more Bitcoin than any prior quarter. We expanded our fleet. We brought drumheller online.

Speaker #2: And we continue to compound our strategic reserve. Matt will go more deeply into the specifics, but the headline is clear: we mine more Bitcoin, at a lower cost, with a stronger, larger profile than expected in a quarter where Bitcoin fell 22%.

Speaker #2: I'm going to cover our results across two layers. Our mining platform and our treasury strategy. And then turn it over to Matt to the financial details.

Speaker #2: Let me start where the story always starts for us: the production engine. Our mining platform is the production engine of the company. And in Q1, it delivered its strongest quarter yet.

[Company Representative] (American Bitcoin): Our mining platform is the production engine of the company, and in Q1, it delivered its strongest quarter yet. We mined 817 Bitcoin in Q1, up from 783 in Q4 2025. To put that into perspective, Q1 production alone represents approximately 33% of our total Bitcoin mined since our launch on 31 March last year. That sequential increase came despite a significantly lower average Bitcoin price during the period and reflects the continued operational improvement across our site portfolio. January contributed 256 Bitcoin, February contributed 275 Bitcoin, and March contributed 286 Bitcoin, our highest monthly production on record. Our own capacity at quarter end was approximately 25 exahash per second.

Mike Ho: Our mining platform is the production engine of the company, and in Q1, it delivered its strongest quarter yet. We mined 817 Bitcoin in Q1, up from 783 in Q4 2025. To put that into perspective, Q1 production alone represents approximately 33% of our total Bitcoin mined since our launch on 31 March last year. That sequential increase came despite a significantly lower average Bitcoin price during the period and reflects the continued operational improvement across our site portfolio. January contributed 256 Bitcoin, February contributed 275 Bitcoin, and March contributed 286 Bitcoin, our highest monthly production on record. Our own capacity at quarter end was approximately 25 exahash per second.

Speaker #2: We mined 817 Bitcoin in Q1, up from 783 in Q4 2025. To put that into perspective, Q1 production alone represents approximately 33% of our total Bitcoin mined since our launch on March 31 last year.

Speaker #2: That sequential increase came despite a significantly lower average Bitcoin price during the period and reflects the continued operational improvement across our site portfolio. January contributed 256 Bitcoin, February contributed 275 Bitcoin, and March contributed 286 Bitcoin.

Speaker #2: Our highest monthly production on record. Our owned capacity at quarter end was approximately 25 XAH per second. After drumheller's full energization was completed on April 22, total nameplate capacity increased to approximately 28.1 XAH per second across the fleet of nearly 90,000 miners.

[Company Representative] (American Bitcoin): After Drumheller's full energization was completed on 22 April, total nameplate capacity increased to approximately 28.1 exahash per second across a fleet of nearly 90,000 miners, up from roughly 78,000 miners as of 31 December. We are taking an increasing share of this network. In Q1, we completed the acquisition of approximately 11,298 next generation miners, adding approximately 3.05 exahash per second at an efficiency of approximately 13.5 joules per terahash. These units deployed to Hut 8's Drumheller site in Alberta. On 31 March, the final day of the quarter, we began energizing Drumheller. First containers came online and hashed. By 22 April, the remaining miners were fully energized. From an executed purchase agreement to a fully energized site in under two months, that is the execution velocity that our Hut 8 partnership enables.

Mike Ho: After Drumheller's full energization was completed on 22 April, total nameplate capacity increased to approximately 28.1 exahash per second across a fleet of nearly 90,000 miners, up from roughly 78,000 miners as of 31 December. We are taking an increasing share of this network. In Q1, we completed the acquisition of approximately 11,298 next generation miners, adding approximately 3.05 exahash per second at an efficiency of approximately 13.5 joules per terahash. These units deployed to Hut 8's Drumheller site in Alberta. On 31 March, the final day of the quarter, we began energizing Drumheller. First containers came online and hashed. By 22 April, the remaining miners were fully energized. From an executed purchase agreement to a fully energized site in under two months, that is the execution velocity that our Hut 8 partnership enables.

Speaker #2: Up from roughly 78,000 miners as of December 31. We are taking an increasing share of this network. In Q1, we completed the acquisition of approximately 11,298 next-generation miners.

Speaker #2: Adding approximately 3.05 XAH per second at an efficiency of approximately 13.5 joules per terahash. These units deployed to Hutt 8's drumheller site in Alberta.

Speaker #2: On March 31, the final day of the quarter, we began energizing drumheller. First containers came online and hashed. By April 22, the remaining miners were fully energized.

Speaker #2: From an executive purchase agreement to a fully energized site in under two months. That is the execution velocity that our Hutt 8 partnership enables.

Speaker #2: Before I get into site-level detail, a structural note on the competitive landscape. Network difficulty has declined roughly 10% quarter over quarter, and we believe that reflects a durable reallocation of chip supply and power toward AI.

[Company Representative] (American Bitcoin): Before I get into site-level detail, a structural note on the competitive landscape. Network difficulty has declined roughly 10% quarter over quarter, we believe that reflects a durable reallocation of chip supply and power toward AI. Across the industry, miners are dismantling fleets for AI workloads. Once that infrastructure is redeployed, it does not return quickly. The competitive landscape is thinning, not thickening. The focused scaled miners who remain on Bitcoin will benefit disproportionately. American Bitcoin is in that camp. We are not pivoting. We are doubling down. Matt will walk through the full financial detail, I want to highlight one number. Our cost to mine fell to approximately $36,200 per Bitcoin in Q1, down from approximately $46,900 in Q4, a roughly 23% improvement in a single quarter. That discounts a spot as the engine of this business.

Mike Ho: Before I get into site-level detail, a structural note on the competitive landscape. Network difficulty has declined roughly 10% quarter over quarter, we believe that reflects a durable reallocation of chip supply and power toward AI. Across the industry, miners are dismantling fleets for AI workloads. Once that infrastructure is redeployed, it does not return quickly. The competitive landscape is thinning, not thickening. The focused scaled miners who remain on Bitcoin will benefit disproportionately. American Bitcoin is in that camp. We are not pivoting. We are doubling down. Matt will walk through the full financial detail, I want to highlight one number. Our cost to mine fell to approximately $36,200 per Bitcoin in Q1, down from approximately $46,900 in Q4, a roughly 23% improvement in a single quarter. That discounts a spot as the engine of this business.

Speaker #2: Across the industry, miners are dismantling fleets for AI workloads. Once that infrastructure is redeployed, it does not return quickly. The competitive landscape is thinning, not thickening.

Speaker #2: The focused, scaled miners who remain on Bitcoin will benefit disproportionately. American Bitcoin is in that camp. We are not pivoting. We are doubling down.

Speaker #2: Matt will walk through the full financial detail, but I want to highlight one number: our cost to mine fell to approximately $36,200 per Bitcoin in Q1.

Speaker #2: Down from approximately 46,900 in Q4. A roughly 23% improvement in a single quarter. That discounts a spot as the engine of this business. Our partnership with Hutt 8 continues to provide operational leverage, infrastructure access, and competitive energy pricing.

[Company Representative] (American Bitcoin): Our partnership with Hut 8 continues to provide operational leverage, infrastructure access, and competitive energy pricing. The asset light model remains a structural advantage that allows us to concentrate capital where it compounds, miners and Bitcoin. Site-level production was consistent throughout the quarter. Across our portfolio, all operating sites maintained stable output, and Drumheller began contributing its first Bitcoin in early April. As mining produces the Bitcoin, the treasury strategy is what compounds it into a per-share ownership. Our strategic reserve grew from 5,401 Bitcoin as of 31 December 2025 to 7,021 Bitcoin at quarter end. An increase of approximately 1,620 Bitcoin in a single quarter, or roughly 30% growth in 90 days.

Mike Ho: Our partnership with Hut 8 continues to provide operational leverage, infrastructure access, and competitive energy pricing. The asset light model remains a structural advantage that allows us to concentrate capital where it compounds, miners and Bitcoin. Site-level production was consistent throughout the quarter. Across our portfolio, all operating sites maintained stable output, and Drumheller began contributing its first Bitcoin in early April. As mining produces the Bitcoin, the treasury strategy is what compounds it into a per-share ownership. Our strategic reserve grew from 5,401 Bitcoin as of 31 December 2025 to 7,021 Bitcoin at quarter end. An increase of approximately 1,620 Bitcoin in a single quarter, or roughly 30% growth in 90 days.

Speaker #2: The asset-light model remains a structural advantage that allows us to concentrate capital where it compounds. Miners and Bitcoin. Site-level production was consistent throughout the quarter.

Speaker #2: Across our portfolio, all operating sites maintained stable output, and drumheller began contributing its first Bitcoin in early April. As mining produces the Bitcoin, the treasury strategy is what compounds it into a per-share ownership.

Speaker #2: Our strategic reserve grew from 5,401 Bitcoin as of December 31, 2025, to 7,021 Bitcoin at quarter end. An increase of approximately 1,620 Bitcoin in a single quarter, or roughly 30% growth in 90 days.

Speaker #2: The growth came from two sources. Mining production of 817 Bitcoin and treasury purchases of approximately 803 Bitcoin funded through our ATM equity program. For context, we had zero Bitcoin on March 31, 2025.

[Company Representative] (American Bitcoin): The growth came from two sources, mining production of 817 Bitcoin and treasury purchases of approximately 803 Bitcoin funded through our ATM equity program. For context, we had 0 Bitcoin on 31 March 2025. We ended the year with 5,401, and in just the Q1 of fiscal 2026, we added another 1,620. The compounding is accelerating. Satoshis per share grew from 554 at year-end to approximately 663 at quarter end, approximately a 20% increase in one quarter. Each share of American Bitcoin represents more Bitcoin today than it did 90 days ago. SPS is the answer to the dilution question. Our ATM program continued to supplement mining production with treasury purchases, and the math speaks for itself.

Mike Ho: The growth came from two sources, mining production of 817 Bitcoin and treasury purchases of approximately 803 Bitcoin funded through our ATM equity program. For context, we had 0 Bitcoin on 31 March 2025. We ended the year with 5,401, and in just the Q1 of fiscal 2026, we added another 1,620. The compounding is accelerating. Satoshis per share grew from 554 at year-end to approximately 663 at quarter end, approximately a 20% increase in one quarter. Each share of American Bitcoin represents more Bitcoin today than it did 90 days ago. SPS is the answer to the dilution question. Our ATM program continued to supplement mining production with treasury purchases, and the math speaks for itself.

Speaker #2: We ended the year with 5,401. And in just the first quarter of fiscal 2026, we added another 1,620. The compounding is accelerating. Satoshi's per-share grew from 554 at year-end to approximately 663 at quarter end.

Speaker #2: Approximately a 20% increase in one quarter. Each share of American Bitcoin represents more Bitcoin today than it did 90 days ago. SPS is the answer to the dilution question.

Speaker #2: Our ATM program continued to supplement mining production with treasury purchases. And the math speaks for itself. SPS grew 20% while share count grew approximately 9%.

[Company Representative] (American Bitcoin): SPS grew 20% while share count grew approximately 9%. I will now turn it over to Matt for the financial details. Matt.

Mike Ho: SPS grew 20% while share count grew approximately 9%. I will now turn it over to Matt for the financial details. Matt.

Speaker #2: I will now turn it over to Matt for the financial details. Matt?

Speaker #1: Thank you, Mike. Good afternoon, everyone. Let me walk you through the numbers. Total revenue for Q1 2026 was 62.1 million, compared with 78.3 million in Q4 2025.

Matt Prusak: Thank you, Mike. Good afternoon, everyone. Let me walk you through the numbers. Total revenue for Q1 2026 was $62.1 million, compared with $78.3 million in Q4 2025. The sequential decline reflects the impact of significantly lower Bitcoin prices. In the 3 months ended 31 March 2026, Bitcoin price declined from approximately $87,500 to approximately $68,200. Production was not the headwind. We mined 817 Bitcoin versus 783 in Q4. If you hold prices consistent at Q4 levels, Q1 revenue would have increased sequentially. Monthly revenue tracked Bitcoin's price trajectory, declining from January through March as spot prices compressed. This is a pure price effect, not an operational one.

Speaker #1: The sequential decline reflects the impact of significantly lower Bitcoin prices. In the three months ended March 31, 2026, Bitcoin price declined from approximately $87,500 to approximately $68,200.

Speaker #1: Production was not the headwind. We mined 817 Bitcoin versus 783 in Q4. If you hold prices consistent at Q4 levels, Q1 revenue would have increased sequentially.

Speaker #1: Monthly revenue tracked Bitcoin's price trajectory, declining from January through March as spot prices compressed, this is a pure price effect, not an operational one.

Speaker #1: Cost of mining was 29.6 million for the quarter, exclusive of depreciation and amortization, compared to approximately 36.7 million in Q4 2025. Our Q1 cost for Bitcoin was approximately 36,200 dollars.

Matt Prusak: Cost of mining was $29.6 million for the quarter, exclusive of depreciation and amortization, compared to approximately $36.7 million in Q4 2025. Our Q1 cost per Bitcoin was approximately $36,200, a 23% sequential improvement from approximately $46,900 in Q4, driven by higher production volume spread across a stable fixed cost base and continued energy pricing discipline. Mining gross profit was approximately $32.5 million, with a gross margin of approximately 52%, compared to 53% in Q4. A 23% improvement in the unit cost effectively absorbed the 22% decline in Bitcoin price, which is how gross margin held above 50%.

Speaker #1: The 23% sequential improvement from approximately 46,900 dollars in Q4, driven by higher production volume spread across a stable, fixed cost base and continued energy pricing discipline.

Speaker #1: Mining gross profit was approximately 32.5 million, with a gross margin of approximately 52%. Compared to 53% in Q4. A 23% improvement in the unit cost effectively absorbed the 22% decline in Bitcoin price, which is how gross margin held above 50%.

Speaker #1: Depreciation and amortization was approximately 26.6 million for the quarter, roughly flat with 26.6 million in Q4 2025, reflecting a stable fleet base through the quarter before the drumheller additions.

Matt Prusak: Depreciation and amortization was approximately $26.6 million for the quarter, roughly flat with $26.6 million in Q4 2025, reflecting a stable fleet base through the quarter before the Drumheller additions. General and administrative expenses were approximately $6.9 million for the quarter, compared to $7.3 million in Q4 2025, roughly a 6% improvement. G&A as a percentage of revenue was approximately 11%, compared to roughly 9% in Q4. The ratio increased not because cost grew, but because revenue declined on a lower Bitcoin price. With the operating picture in hand, let me address the headline GAAP loss, because the two tell very different stories about the same quarter. Net loss for the quarter was driven primarily by a significant non-cash mark-to-market loss on the Bitcoin we hold and did not sell.

Speaker #1: General and administrative expenses were approximately 6.9 million for the quarter, compared to 7.3 million in Q4 2025, roughly a 6% improvement. GNA, as a percentage of revenue, was approximately 11%, compared to roughly 9% in Q4.

Speaker #1: The ratio increased not because cost grew, but because revenue declined on the lower Bitcoin price. With the operating picture in hand, let me address the headline gap loss.

Speaker #1: Because the two tell very different stories about the same quarter. That loss for the quarter was driven primarily by a significant non-cash mark-to-market loss on the Bitcoin we hold and did not sell.

Speaker #1: Under the fair value accounting rules, we're required to revalue our Bitcoin every quarter. Which flows to the income statement in both directions. This quarter Bitcoin was down, so we recognized a loss, and quarters where Bitcoin is up, we recognize a gain.

Matt Prusak: Under the fair value accounting rules, we're required to revalue our Bitcoin every quarter, which flows to the income statement in both directions. This quarter, Bitcoin was down, so we recognized a loss. In quarters where Bitcoin is up, we recognize a gain. It is an accounting mechanic on an asset we continue to hold. Q4 2025 recognized approximately a $112.2 million loss on digital assets, and Q1 2026 recognized approximately a $117.2 million loss on digital assets. This was partially offset by an approximate $37.3 million gain on derivatives related to our minor purchase agreement, consistent with and arising from the similar underlying arrangement as the $37.5 million gain recorded in Q4. On the funding side, our capital structure continued to evolve in line with the accumulation strategy that Mike described.

Speaker #1: It is an accounting mechanic on an asset we continue to hold. Q4 2025 recognized approximately a 112.2 million dollar loss on digital assets, and Q1 2026 recognized approximately a 117.2 million dollar loss on digital assets.

Speaker #1: This was partially offset by an approximate 37.3 million dollar gain on derivatives related to our minor purchase agreement, consistent with a rising from a similar underlying arrangement as the 37.5 million dollar gain recorded in Q4.

Speaker #1: On the funding side, our capital structure continued to evolve in line with the accumulation strategy that Mike described. On the ATM program, cumulative proceeds through the end of the quarter totaled approximately 351.5 million dollars.

Matt Prusak: On the ATM program, cumulative proceeds through the end of the quarter totaled approximately $351.5 million, representing 16.7% of our $2.1 billion shelf capacity. During Q1, we issued approximately 84 million Class A shares for approximately $111 million in gross proceeds, adding to the 65.5 million shares issued in 2020 and five for $240.5 million. Looking ahead, we are focused on three priorities. First, continued SPS accretion. The dual accumulation model, mining at a structural discount supplemented by ATM-funded purchases, is designed to compound per-share Bitcoin ownership across cycles. We are building for sustained compounding, not one-quarter spikes. Second, fleet deployment and optimization. With Drumheller fully energized as of 22 April, our own fleet reached approximately 28.1 exahash per second of nameplate capacity.

Speaker #1: Representing 16.7% of our $2.1 billion shelf capacity. During Q1, we issued approximately 84 million Class A shares for approximately $111 million in gross proceeds.

Speaker #1: Adding to the 65.5 million shares issued in 2025 for 240.5 million dollars. Looking ahead, we are focused on three priorities. First, continued SPS accretion.

Speaker #1: The dual accumulation model, mining at a structural discount, supplemented by ATM-funded purchases, is designed to compound per-share Bitcoin ownership across cycles. We are building for sustained compounding, not one-quarter spikes.

Speaker #1: Second, fleet deployment and optimization. With drumheller fully energized as of April 22, our own fleet reached approximately 28.1 exahash per second of nameplate capacity.

Speaker #1: The drumheller units at 13.5 joules per terahash will continue to improve our blended fleet efficiency as they ramp. We will continue to evaluate fleet refresh opportunities across the portfolio.

Matt Prusak: The Drumheller units at 13.5 joules per terahash will continue to improve our blended fleet efficiency as they ramp. We will continue to evaluate fleet refresh opportunities across the portfolio. Third, operating leverage. Q1 G&A was approximately $6.9 million, or roughly $2.3 million per month. As the mining platform scales, we expect G&A as a percentage of revenue to continue compressing. With that, we are happy to take your questions.

Speaker #1: Third, operating leverage. Q1 G&A was approximately $6.9 million, or roughly $2.3 million per month. As the mining platform scales, we expect G&A as a percentage of revenue to continue compressing.

Speaker #1: With that, we are happy to take your questions.

Speaker #2: And to our audience joining today over the phones at this time, if you would like to ask a question, simply press star, followed by the digit 1 on your telephone keypad.

Operator 1: To our audience joining today over the phones at this time, if you would like to ask a question, simply press star followed by the digit one on your telephone keypad. Pressing star and one will place your line into a queue, and I will open your lines one at a time, and you'll be invited to direct your questions. Once again, ladies and gentlemen, that is star and one on your telephone keypad, if you would like to ask a question. We'll hear from the line of Benjamin Sommers at BTIG.

Operator: To our audience joining today over the phones at this time, if you would like to ask a question, simply press star followed by the digit one on your telephone keypad. Pressing star and one will place your line into a queue, and I will open your lines one at a time, and you'll be invited to direct your questions. Once again, ladies and gentlemen, that is star and one on your telephone keypad, if you would like to ask a question. We'll hear from the line of Benjamin Sommers at BTIG.

Speaker #2: Pressing star and 1 will place your line into a queue, and I will open your lines one at a time, and you'll be invited to direct your questions.

Speaker #2: Once again, ladies and gentlemen, that is star and 1 on your telephone keypad if you would like to ask a question. We'll hear from the line of Ben Sommers at BTIG.

Speaker #3: Hey, good afternoon. Thanks for taking my questions. So when thinking about the decrease in network difficulty, how much of this do you attribute to public miners shifting towards AI versus more of a cyclical shift as Bitcoin prices largely struggle during the quarter?

Benjamin Sommers: Hey, good afternoon. Thanks for taking my questions. When thinking about the decrease in network difficulty, how much of this do you attribute to public miners shifting towards AI versus, you know, more of a cyclical shift as Bitcoin prices, you know, largely struggled during the quarter?

Ben Sommers: Hey, good afternoon. Thanks for taking my questions. When thinking about the decrease in network difficulty, how much of this do you attribute to public miners shifting towards AI versus, you know, more of a cyclical shift as Bitcoin prices, you know, largely struggled during the quarter?

Speaker #4: Hi, Ben. Thanks for the question. Mike here. So, the numbers speak for themselves. Its difficulty is directly correlated with the number of machines and exahash that is online, and we're seeing public miners, U.S.

[Company Representative] (American Bitcoin): Hi, Ben. Thanks for the question. Mike here. The numbers speak for themselves. Difficulty is directly correlated with the number of machines and exahash that is online. We're seeing public miners, US public miners, which make up a good portion of US hash rates. I believe the total US hash rate historically has been about a third of the total network. We're seeing hundreds of megawatts from the leading public miners shift towards AI. That correlates with tens of exahash of compute coming offline. These are rafts that are being pivoted towards AI GPUs. These are machines that are not easily able to find its way back onto the network. That is what resulted in the network difficulty dropping about 6% this quarter.

Mike Ho: Hi, Ben. Thanks for the question. Mike here. The numbers speak for themselves. Difficulty is directly correlated with the number of machines and exahash that is online. We're seeing public miners, US public miners, which make up a good portion of US hash rates. I believe the total US hash rate historically has been about a third of the total network. We're seeing hundreds of megawatts from the leading public miners shift towards AI. That correlates with tens of exahash of compute coming offline. These are rafts that are being pivoted towards AI GPUs. These are machines that are not easily able to find its way back onto the network. That is what resulted in the network difficulty dropping about 6% this quarter.

Speaker #4: public miners, which make up a good portion of the U.S. hash rates I believe the total U.S. hash rate historically has been about a third of the total network, and we're seeing hundreds of megawatts from the leading public miners shift towards AI.

Speaker #4: That correlates with tens of exahash of compute coming offline; these are racks that are being pivoted towards AI GPUs, and these are machines that are not easily able to find its way back onto the network.

Speaker #4: So that's what resulted in the network difficulty dropping about 6% this quarter.

Speaker #3: Super helpful. And then just wanted to talk about M&A quickly. I know we mentioned it a bit on the last earnings call, but as we think about the market as it currently sits with that transition from a lot of miners into AI and HPC, just how do you think about whether it's acquiring potential mining assets or even if it was another treasury balance, just kind of how do you think about the current M&A market and where that stands for American Bitcoin?

Benjamin Sommers: Super helpful. Just wanted to talk about M&A quickly. I know we mentioned it a bit on last earnings call. You know, as we think about the market as it currently sits, you know, with that transition from a lot of miners into, you know, AI and HPC, how do you think about, you know, whether it's acquiring potential, you know, mining assets or even if it was, you know, another treasury balance? Kind of how do you think about the current M&A market and where that stands for American Bitcoin?

Ben Sommers: Super helpful. Just wanted to talk about M&A quickly. I know we mentioned it a bit on last earnings call. You know, as we think about the market as it currently sits, you know, with that transition from a lot of miners into, you know, AI and HPC, how do you think about, you know, whether it's acquiring potential, you know, mining assets or even if it was, you know, another treasury balance? Kind of how do you think about the current M&A market and where that stands for American Bitcoin?

Speaker #4: We continue looking at opportunities. But our philosophy really ties back to one metric that guides all of our decision-making, which is our Satoshi's per share.

[Company Representative] (American Bitcoin): We continue looking at opportunities, but our philosophy really ties back to one metric that guides all of our decision-making, which is our Satoshis per share. Is M&A, is a decision, is capital allocation going to improve that metric? Are we adding better Bitcoin exposure for our shareholders? That is the mindset that will guide on how we review M&A opportunities. We are exploring a number of opportunities on the M&A side that allow us to further support the Bitcoin ecosystem, and we'll provide updates as those progress.

Mike Ho: We continue looking at opportunities, but our philosophy really ties back to one metric that guides all of our decision-making, which is our Satoshis per share. Is M&A, is a decision, is capital allocation going to improve that metric? Are we adding better Bitcoin exposure for our shareholders? That is the mindset that will guide on how we review M&A opportunities. We are exploring a number of opportunities on the M&A side that allow us to further support the Bitcoin ecosystem, and we'll provide updates as those progress.

Speaker #4: Is M&A a decision, is capital allocation going to improve that metric? Are we adding better Bitcoin exposure for our shareholders? And that is the mindset that will guide how we review M&A opportunities.

Speaker #4: We are exploring a number of opportunities on the M&A side that allow us to further support the Bitcoin ecosystem. And we'll provide updates as those progress.

Speaker #3: Great. Thank you guys for taking my questions, and thanks for the update.

Benjamin Sommers: Great. Thank you guys for taking my questions, and thanks for the update.

Ben Sommers: Great. Thank you guys for taking my questions, and thanks for the update.

Speaker #2: And we have no further questions from our phone audience at this time. I will turn it back to our leadership team for any additional or closing remarks.

Operator 1: We have no further questions from our phone audience at this time. I will turn it back to our leadership team for any additional or closing remarks.

Operator: We have no further questions from our phone audience at this time. I will turn it back to our leadership team for any additional or closing remarks.

Speaker #4: Well, guys, thank you very much. As Eric Trump, we are incredibly proud of this company. As I said, my opening remarks, we started at eight months and three days ago with an amazing how much we've accomplished in that period of time.

Eric Trump: Well, guys, thank you very much. It's Eric Trump. We are incredibly proud of this company. As I said in my opening remarks, we started it 8 months and 3 days ago. It's amazing how much we've accomplished in that period of time. I would argue that there's very few companies anywhere, certainly in this space, that have grown to the size and scale that we have. 7,300 BTC plus right now, in those 8 months. 90,000, almost 90,000 miners, on the books. You know, gross margin of 52.4%. Cost to mine BTC of $36,000. The company is doing unbelievably well, and I truly think we've created one of the greatest brands, in this space. I'm incredibly proud of Asher.

Speaker #4: I would argue that there's very few companies anywhere certainly in the space that have grown to the size and scale that we have. 7300 BTC plus right now in those eight months, 90,000 almost 90,000 miners on the books.

Speaker #4: Gross margin of 52.4%. Cost to mine BTC of $36,000. The company is doing unbelievably well. And I truly think we've created one of the greatest brands in the space.

Speaker #4: So I'm incredibly proud of Asher. I'm incredibly proud of Mike and Matt and the entire team here. We're incredibly proud of the HUD D A team.

Eric Trump: I'm incredibly proud of Mike and Matt and the entire team here. We're incredibly proud of the Hut 8 team, really our sister company. We're also really incredibly proud of the efficiency that we've built this company. Again, having SG&A of roughly 11% is unheard of among our peers. We wanna do that. We're focused on every single penny. We wanna do that because obviously, we believe, you know, our guiding star is the amount of Bitcoin that we can accumulate in our reserve and how many satoshis per share, you know, represents our underlying equity, our underlying stock value. It is our goal each and every day to increase those numbers and build a company that is truly unparalleled. There are two races in Bitcoin.

Speaker #4: I really are a sister company. We're also really incredibly proud of the efficiency that we've built this company. Again, having SG&A of roughly 11% is unheard of among our peers.

Speaker #4: And we want to do that. We're focused on every single penny. We want to do that because, obviously, we believe our guiding star is the amount of Bitcoin that we can accumulate in our reserve and how many Satoshis per share represents our underlying equity, our underlying stock value.

Speaker #4: And it is our goal each and every day to increase those numbers and build a company that is truly unparalleled. There are two races in Bitcoin.

Speaker #4: One of them is who can accumulate the most, and then the second one is who can do so cheapest. We want to win the second race.

Eric Trump: One of them is who can accumulate the most, then the second one is who can do so cheapest. We wanna win the second race. We want to accumulate the most Bitcoin cheapest. I believe that's a race that we're gonna win. We really appreciate the support. We really appreciate the analysts on this call. Ben, you've really been fantastic. We've gotten to know each other, you know, thank you for the question, we look forward to doing many more of these in the months and years to come.

Speaker #4: We want to accumulate the most Bitcoin cheapest. And I believe that's a race that we're going to win. So I really appreciate the support.

Speaker #4: Really appreciate the analysts on this call. Ben, you've really been fantastic. We've gotten to know each other. And thank you for the question. And we look forward to doing many more of these in the months and years to come.

Speaker #2: Ladies and gentlemen, this does conclude the American Bitcoin first quarter 2026 earnings conference call. We thank you all for your participation, and you may now disconnect your lines.

Operator 1: Ladies and gentlemen, this does conclude the American Bitcoin Q1 2026 earnings conference call. We thank you all for your participation, and you may now disconnect your lines.

Operator: Ladies and gentlemen, this does conclude the American Bitcoin Q1 2026 earnings conference call. We thank you all for your participation, and you may now disconnect your lines.