Q2 2026 Cango Inc Earnings Call

September 1, 2026

Speaker #1: Good day, and welcome to the Cango Inc. second quarter 2026 earnings conference call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero.

Speaker #1: After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then 1 on your telephone keypad, and to withdraw your question, please press star then 2.

Speaker #1: Please note, today's event is being recorded. I would now like to turn the conference over to Paul Yoo, CEO. Please go ahead.

Speaker #2: Thank you. Hello, everyone, and thank you for joining Cango's second quarter 2026 earnings call. Let me start with a quick overview of the quarter.

Paul Yu: Thank you. Hello, everyone, and thank you for joining Cango's Q2 2026 earnings call. Let me start with a quick overview of the quarter. On the mining side, we deliberately scaled back operations as planned. That is reflected in our Q2 results. On the AI side, since the end of the Q2, we have made real progress on infrastructure and signed our first customer contract, moving that business from build-out into commercialization. I will be clear that these AI developments occurred after 30 June and are not reflected in this quarter's reported results. In terms of the numbers, total revenue for the quarter was approximately $50.8 million, with about $47.4 million coming from Bitcoin mining. Net loss was approximately $81.6 million, mainly driven by non-cash impairment and disposal losses on our mining machines, a direct result of the deliberate restructuring of our asset base.

Speaker #2: On the money side, we deliberately skewed back operations as planned; that's reflected in our second quarter results. On the AI side, since the end of the second quarter, we have made real progress on infrastructure and signed our first customer contract.

Speaker #2: Moving that business from build-out into commercialization. I want to be clear that this AI development occurred after June 30 and is not reflected in this quarter's reporting results.

Speaker #2: In terms of the numbers, total revenue for the quarter was approximately $50.8 million, with about $47.4 million coming from Bitcoin mining. Net loss was approximately $81.6 million.

Speaker #2: Mainly driven by non-cash impairment and disposal losses on our money machines, a direct result of the deliberate restructuring of our asset base. As of June 30, we held 1,056 Bitcoins.

Paul Yu: As of 30 June, we held 1,056 Bitcoins. In addition, our cash equivalents and cryptocurrencies totaled approximately $23 million, while long-term debt was approximately $31.2 million. Now let me walk through the mining business and AI infrastructure business in more detail. This quarter, we continued to actively right-size our mining operations, disposing of machines with lower marginal efficiency, and introduced a leasing model to shift our focus from scale to economics. As of 30 June, our self-mining hash rate was 19.84 exahashes per second, and our leased hash rate was 7.74 exahashes per second, for a combined operating hash rate of 27.58 exahashes per second. Under the leasing arrangement, the lessee bears the direct operating costs associated with the hash rate, which also reduces our exposure to variable costs. We mined 656 Bitcoins this quarter.

Speaker #2: In addition, our cash equivalents and cryptocurrencies totaled approximately $23 million, while long-term debt was approximately $31.2 million. Now, let me walk through the money business and AI infrastructure business in more detail.

Speaker #2: This quarter, we continued to actively rightsize our money operations, disposing of machines with lower yields and introduced a leasing model to shift our focus from scale to economics.

Speaker #2: As of June 30th, our self-mining hash rate was 19.84 exahashes per second, and our leased hash rate was 7.74 exahashes per second, for a combined operating hash rate of 27.58 exahashes per second. Under the leasing arrangement, the lessee bears the direct operating costs associated with the hash rate, which also reduces our exposure to variable costs.

Speaker #2: We mined 656 Bitcoins this quarter. Production was done sequentially, largely reflecting the deliberate reduction in self-mining capacity and the shift of some capacity into leasing.

Paul Yu: Production was down sequentially, largely reflecting the deliberate reduction in self-mining capacity and shift of some capacity into leasing. We will continue to evaluate the mix between self-mining and leasing based on economics rather than scale. We will keep phasing out less efficient legacy capacity. This quarter, we also began implementing a hedging arrangement to manage our exposure to Bitcoin price volatility, thus enhancing the predictability of our operating cash flows. Our average cash mining cost in Q2 was $73,313 per coin, down about 5% from Q1. Now let's turn into AI infrastructure. A quick on timing, everything I'm about to cover took place after 30 June, since the start of the third quarter, so it isn't reflected in the quarter's financial results, but we want to share it with you.

Speaker #2: We will continue to evaluate the mix between self-money and leasing based on economics rather than scale. We will keep phasing out less efficient legacy capacity.

Speaker #2: This quarter, we also began implementing a hedging arrangement to manage our exposure to Bitcoin price volatility, thus enhancing the predictability of our operating cash flows.

Speaker #2: Our average cash money cost in Q2 was $7,313 per coin, down about 5% from Q1. Now, let's turn to AI infrastructure. A quick note on timing.

Speaker #2: Everything I'm about to cover took place after June 30th, since the start of the third quarter. So, it isn't reflected in the quarter's financial results, but we want to share it with you.

Speaker #2: On infrastructure, construction at our Georgia LN site was completed in early July, with the site infrastructure able to support up to 3 megawatts, leaving room for future expansion.

Paul Yu: On infrastructure, construction at our Georgia site was completed in early July, with the site infrastructure able to support up to 3 megawatts, leaving room for future expansion. Container units have arrived on site and being installed, and GPUs are arriving on site in batches. On the customer side, since the start of the third quarter, we've signed a customer contract and discussion with prospective customers are ongoing. That takes our AI business from technical validation into commercial monetization. This is a development since quarter end. Contracted revenue is still small, and we expect to begin recognizing related revenue in the third quarter. On the business model, we expected to pursue both bare metal GPU hosting using our existing site and power infrastructure to offer a standardized deployment environment and colocation, intended to improve overall infrastructure utilization.

Speaker #2: Container units have arrived on-site and been installed, and GPUs are arriving on-site in batches. On the customer side, since the start of the third quarter, we've signed a customer contract, and discussions with prospective customers are ongoing.

Speaker #2: That takes our AI business from technical validation into commercial monetization. This is a development since quarter end. Contracted revenue is still small, and we expect to begin recognizing related revenue in the third quarter.

Speaker #2: On the business model, we expect to pursue both bare metal GPU hosting using our existing site and power infrastructure, to offer a standardized deployment environment and colocation, indeed to improve overall infrastructure utilization.

Speaker #2: We haven't signed a formal colocation contract yet, and terms are still being worked out. We also have test nodes in Texas and on the West Coast.

Paul Yu: We haven't signed a formal colocation contract yet, and terms are still being worked out. We also have test nodes in Texas and on the West Coast, mainly to support customers who need deployment closer to their location in the future. We are evaluating several potential new sites as well, and we haven't ruled out building our own. We will continue to run mining and AI as parallel businesses. Looking into the second half, our priorities are managing the mix of self-mining and leased hash rate prudently, executing our AI deployment, and continuing to sign new customers, and building on the operating experience from Georgia as we evaluate further site expansion. Capital discipline and operating efficiency remain our priorities. That concludes my remarks. I will now turn it over to our CFO, Simon, for a detailed review of the financials. Thank you.

Speaker #2: Mainly to support customers who need deployment closer to their location in the future. We are evaluating several potential new sites as well, and we haven't ruled out building our own.

Speaker #2: We will continue to run Money and AI as parallel businesses. Looking into the second half, our priorities are managing the mix of self-money and leased hash rate prudently.

Speaker #2: We are executing our AI deployment and continuing to sign new customers, building on the operating experience from Georgia as we evaluate further site expansion. Capital discipline and operating efficiency remain our priorities.

Speaker #2: That concludes my remarks. I will now turn it over to our CFO, Simon, for a detailed review of the financials. Thank you.

Speaker #1: Thanks, Paul. Hi, good morning. Hi, everyone, and welcome to our second quarter 2026 earnings call. Before I start to review our financials, please note that unless otherwise stated, all amounts discussed are in US dollars.

Simon Ming Yeung Tang: Thanks, Paul. Hi, good morning. Hi, everyone, and welcome to our Q2 2026 earnings call. Before I start to review our financials, please note that unless otherwise stated, all amounts discussed are in USD. Total revenues were at $50.8 million. Revenue during the quarter from the Bitcoin mining business was $47.4 million, with a total of 656 Bitcoins mined during the period. The average cost to mine Bitcoin, excluding depreciation of mining machines, was $73,313 per Bitcoin, and all-in cost of $98,405 per Bitcoin. Compared to the first quarter of 2026, total revenue decreased by approximately 50%. This decline primarily reflects our proactive reduction in operational hash rate as we continued to selectively phase out older, less efficient S19 series mining machines and temporarily transition some capacity to a hosted leasing model.

Speaker #1: Total revenues were $50.8 million. Revenue during the quarter from the bitcoin mining business was $47.4 million, with a total of 656 bitcoins mined during the period.

Speaker #1: The average cost to mine Bitcoin, excluding depreciation of mining machines, was $73,313 per Bitcoin, and the all-in cost was $98,405 per Bitcoin. Compared to the first quarter of 2026, total revenue decreased by approximately 50%.

Speaker #1: This decline primarily reflects our proactive reduction in operational hash rate as we continued to selectively phase out older, less efficient S19 series mining machines and temporarily transitioned some capacity to a hosted leasing model.

Speaker #1: While this adjustment has reduced our top-line mining revenue, it has also significantly lowered our operating costs and improved our cash flow profile. Some of these efforts continued throughout the second quarter.

Simon Ming Yeung Tang: While this adjustment has reduced our top-line mining revenue, it has also significantly lowered our operating costs and improved our cash flow profile, and some of these efforts continued throughout Q2. Now let's move on to our costs and expenses. Cost of revenue, exclusive of depreciation, was $50.7 million, down from $99.6 million in Q1, driven by lower electricity and hosting expenses following the hash rate reduction. Depreciation was $16.9 million, down from $29.4 million in Q1. General and administrative expenses, including related party fees, totaled $8.4 million. Impairment loss from mining machines in Q2 was $42.9 million, and loss on disposal of mining machines in Q2 was $8.5 million. Loss from changes in the fair value of crypto assets was $4.1 million, compared with a loss of $151.8 million in Q1.

Speaker #1: Now, let's move on to our costs and expenses. Cost of revenue, exclusive of depreciation, was $50.7 million, down from $99.6 million in the first quarter.

Speaker #1: Driven by lower electricity and hosting expenses following the hash rate reduction. Depreciation was $16.9 million, down from $29.4 million in the first quarter. General and administrative expenses, including related party fees, totaled $8.4 million.

Speaker #1: Impairment loss from mining machines in the second quarter was $42.9 million, and loss on disposal of mining machines in the second quarter was $8.5 million.

Speaker #1: Loss from changes in the fair value of crypto assets was $4.1 million, compared with a loss of $151.8 million in the first quarter. The change was primarily driven by two factors.

Simon Ming Yeung Tang: The change was primarily driven by two factors. The decrease in Bitcoin prices as of 30 June, and this was partially offset by the implementation of our hedging program. As Paul mentioned earlier, we began implementing a Bitcoin hedging program during Q2. The purpose of this program is to manage our exposure to Bitcoin price volatility and provide greater predictability to our operating cash flow. We intend to selectively continue to use hedging as a risk management tool, and this is not for speculative purposes. The related short-term positions are reflected on our balance sheet and will be reflected as we continue to execute this program in a disciplined manner. Operating loss for the quarter was $80.6 million, with a net loss from continuing operations of $81.6 million in Q2.

Speaker #1: The decrease in Bitcoin prices as of June 30 was partially offset by the implementation of our hedging program. As Paul mentioned earlier, we began implementing a Bitcoin hedging program during the second quarter.

Speaker #1: The purpose of this program is to manage our exposure to Bitcoin price volatility and provide greater predictability to our operating cash flow. We intend to selectively continue to use hedging as a risk management tool, and this is not for speculative purposes.

Speaker #1: The related short-term positions are reflected on our balance sheet and will continue to be reflected as we execute this program in a disciplined manner.

Speaker #1: Operating loss for the quarter was $80.6 million, with a net loss from continuing operations of $81.6 million in the second quarter. The net loss was primarily driven by the non-cash impairment and disposal losses I just mentioned.

Simon Ming Yeung Tang: The net loss was primarily driven by the non-cash impairment and disposal losses I just mentioned, which together total approximately $51 million. On a non-GAAP basis, adjusted EBITDA was a loss of $10.7 million, including a $4.1 million loss from the changes in the fair value of the receivables for the Bitcoin collateral. Lastly, moving on to our balance sheet. As of 30 June, we had cash and cash equivalents of $10.1 million, compared with $7.2 million as of 31 March. At the same time, our balance sheet also has Bitcoins in the number of 1,056 Bitcoins held in treasury. In terms of operational assets, we carried our mining machines at a net value of $58.7 after depreciation. On the liability side, we had $31.2 million in long-term debt, compared with $30.6 million as of 31 March. This concludes our prepared remarks.

Speaker #1: Which together total approximately $51 million. On a non-GAAP basis, adjusted EBITDA was a loss of $10.7 million, including a $4.1 million loss from the changes in the fair value of the receivables for the Bitcoin collateral.

Speaker #1: Lastly, moving on to our balance sheet. As of June 30, we had cash and cash equivalents of $10.1 million, compared with $7.2 million as of March 31.

Speaker #1: At the same time, our balance sheets also has a has Bitcoins in the number of 1,056 Bitcoins held in treasury. In terms of operational assets, we carried our mining machines at a net value of $58.7 after depreciation.

Speaker #1: On the liability side, we had $31.2 million in long-term debt, compared with $30.6 million as of March 31. And this concludes our prepared remarks.

Speaker #1: Operator, we are now ready to take questions.

Simon Ming Yeung Tang: Operator, we are now ready to take questions.

Speaker #3: Thank you. We will now begin the question and answer session. To ask a question, you may press star then one on your telephone keypad.

Operator: Thank you. We will now begin the question and answer session. To ask a question, you may press star then one on your telephone keypad. If you are using a speakerphone, we ask that you please pick up your handset before pressing the keys. If at any time your question has been addressed and you would like to withdraw your question, please press star then two. At this time, we will pause for just a moment to assemble our roster. Today's first question comes from Ping Wu with CITIC Securities. Please go ahead.

Speaker #3: If you are using a speakerphone, we ask that you please pick up your handset before pressing the keys. If at any time your question has been addressed and you'd like to withdraw your question, please press star, then two.

Speaker #3: At this time, we'll pause for just a moment to assemble our roster. Today's first question comes from Pingyu Wu with Citi Securities.

Speaker #3: Please go ahead.

Speaker #4: Okay, thank you, Medrin, for taking my question. I have three questions. First, could Medrin provide more color on the Bitcoin hedging program in terms of overall notional size, instrument structure, and duration?

Ping Wu: Hi. Thank you, management, for taking my question. I have three questions. First, can management provide more color on the Bitcoin hedging program in terms of overall notional size, instrument structure, and duration? Additionally, could you clarify whether this is risk mitigating or it involves any directional positioning? My second question is regarding the AI infrastructure progress you highlighted, such as the Georgia site completion and container deployment. We think it is a milestone occurred towards Q2, and what is the rationale for including them now? More importantly, could we incorporate this development as material included in our Q3 financial models? My third question is regarding the newly signed customer contracts. Could you provide some visibility into the anticipated revenue contribution and timeline for top-line recognition? Thank you.

Pingyue Wu: Hi. Thank you, management, for taking my question. I have three questions. First, can management provide more color on the Bitcoin hedging program in terms of overall notional size, instrument structure, and duration? Additionally, could you clarify whether this is risk mitigating or it involves any directional positioning? My second question is regarding the AI infrastructure progress you highlighted, such as the Georgia site completion and container deployment. We think it is a milestone occurred towards Q2, and what is the rationale for including them now? More importantly, could we incorporate this development as material included in our Q3 financial models? My third question is regarding the newly signed customer contracts. Could you provide some visibility into the anticipated revenue contribution and timeline for top-line recognition? Thank you.

Speaker #4: And additionally, could you clarify whether this is risk-mitigating, or if it involves any directional positioning? And my second question is regarding the AI infrastructure progress you highlighted, such as the Georgia site completion and container deployment.

Speaker #4: We think it is a milestone that occurred toward the second quarter. And what is the rationale for including them now—and more importantly—could we incorporate this development as material to be included in our third quarter financial models?

Speaker #4: And my third question is regarding the newly signed customer contracts. Could you provide some visibility into the anticipated revenue contribution and timeline for top-line recognition?

Speaker #4: Thank you.

Speaker #1: Thanks, Pingyu. It's Simon here. Why don't I take the first question, and then Paul can address your second and third questions with regards to the AI progress.

Simon Ming Yeung Tang: Thanks, Ping. It is Simon here. Why don't I take the first question, and then Paul can address your second and third questions with regards to the AI progress. In terms of the hedging program, it is structured as a short-term loan denominated in BTC. That is reflected in our balance sheet under short-term debt, which as of quarter end was around $8 million. At the same time, there is a roughly equivalent amount recorded under current asset as well. This short-term loan in BTC is lent to us on day one, and then which we typically size based on the scale of our Bitcoin mining productions. For example, we might want to think about, okay, we will do one month of production or two months of production. That is the way we think about this. Then this loan in BTC is sold at spot price on day one.

Simon Ming Yeung Tang: Thanks, Pingyue. It is Simon here. Why don't I take the first question, and then Paul can address your second and third questions with regards to the AI progress. In terms of the hedging program, it is structured as a short-term loan denominated in BTC. That is reflected in our balance sheet under short-term debt, which as of quarter end was around $8 million. At the same time, there is a roughly equivalent amount recorded under current asset as well. This short-term loan in BTC is lent to us on day one, and then which we typically size based on the scale of our Bitcoin mining productions. For example, we might want to think about, okay, we will do one month of production or two months of production. That is the way we think about this. Then this loan in BTC is sold at spot price on day one.

Speaker #1: In terms of the hedging program, it's structured as a short-term loan denominated in BTC. So, that is reflected in our balance sheet under short-term debt, which as of quarter end was around $8 million US dollars.

Speaker #1: And at the same time, there is a roughly equivalent amount recorded under current assets as well. So, this short-term loan in BTC is lent to us on day one, and then we typically size it based on the scale of our Bitcoin mining productions.

Speaker #1: For example, we might want to think about, okay, a month of production or two months of production. So that's the way we think about this. And then this loan in BTC is sold at spot price on day one.

Speaker #1: So, if in the coming month Bitcoin prices fall below that, then we'll choose to repay with the BTC that is mined from our mining operations.

Simon Ming Yeung Tang: If in the coming month, if Bitcoin prices fall below that, then we will choose to repay in the BTC that is mined out of our mining operations. I hope that illustratively addresses your question with regards to how we think about the sizing and the structure. Again, I would like to emphasize that we purely think of this as a risk management tool, and the purpose is really just to reduce the sensitivity of our cash flow to the Bitcoin price ranges. With that, I will pass it to Paul.

Speaker #1: So I hope that illustratively addresses your question with regards to how we think about the sizing and the structure. And again, I would like to emphasize that we purely think of this as a risk management tool, and the purpose is really just to reduce the sensitivity of our cash flow to the Bitcoin price ranges.

Speaker #1: And then with that, I'll.

Speaker #2: We wanted to.

Paul Yu: We wanted to

Speaker #1: The second and third question.

Simon Ming Yeung Tang: The second and third question.

Speaker #3: Sure, sure. Thank you. We wanted to give you the most current picture of where the AI business stands. Even though this development falls after the June 30th cutoff, it is not reflected in this quarter's revenue, and only a small amount of property-related cost has been capitalized in Q2.

Paul Yu: Sure. Thank you. We wanted to give you the most current picture of where the AI business stands. Even though this development fell after 30 June's cut-off, we are not reflected in this quarter's revenue, and only a small amount of property-related costs have been capitalized in Q2. The amount is immaterial. We expect the related revenue to start showing up in our Q3 numbers, which we will report in a normal course. That means we expect to begin recognizing AI-related revenue in Q3. The initial contribution will be modest, but it provides initial validation of the commercial viability of our AI infrastructure's strategy and establishes an operating track record we can build on. Thank you.

Speaker #3: The amount is immaterial. We expected the related revenue to start showing up in our third quarter numbers, which we will report in the normal course, and that means we expect to begin recognizing AI-related revenue in the third quarter. The initial contribution will be modest, but it provides initial validation of the commercial viability of our AI infrastructure strategy.

Speaker #3: And establishes an operating track record we can build up. Thank you. Thank you. And as a reminder, if you'd like to ask a question, please press star then one on your telephone keypad.

Operator: Thank you. As a reminder, if you would like to ask a question, please press star then 1 on your telephone keypad. Our next question today comes from Sid Rajeev with Fundamental Research Corp. Please go ahead. Hello, Sid, your line is open. Perhaps you are on mute.

Speaker #3: Our next question today comes from Sid Rajiv with Fundamental Research Corp. Please go ahead. Hello, Sid, your line is open. Perhaps you're on mute.

Speaker #5: Hi, thank you for the call. Should we expect Q3 mining revenue to stabilize at current levels, or anticipate further hash rate reductions?

Sid Rajeev: Hi. Thank you for the call. Should we expect Q3 mining revenue to stabilize at current levels or anticipate further hash rate reductions?

Simon Ming Yeung Tang: Sid, thank you for your question. In terms of the operational hash rate and the mining machines that we have on our balance sheet, in the third quarter, it would not change significantly. Again, given the third quarter includes the summer months of July and August, whereby we may experience some regional power curtailment.

Speaker #1: Sid, thank you for your question. In terms of the operational hash rate and the mining machines that we have on our balance sheet, in the third quarter it would not change significantly.

Speaker #1: It would not change significantly. But again, given that the third quarter includes the summer months of July and August, we may experience some regional power curtailment.

Speaker #5: Got it. Maybe you could provide some color on roughly how much of the current hash rate is from F19 versus newer generation machines.

Sid Rajeev: Got it. Maybe you could provide some color on roughly how much of the current hash rate is from S19 versus newer generation machines.

Simon Ming Yeung Tang: This percentage is increasing. In terms of the mix between the S19s and the S21s, I would say this is purely the amount that is operational, that is on rack and excluding Let me think about how to address this. Excluding the part that is leased, the split is roughly a little bit above a third.

Speaker #1: This percentage is increasing. In terms of the mix between the 19s, and in terms of the mix between the 19s and the 21s, I would say— and this is purely the amount that is operational, that is on rack and excluding— let me think about how to address this.

Speaker #1: Excluding the part that is least, excluding the part that is least, the split is roughly a little bit above a third. And the 21 series.

Sid Rajeev: Got it.

Simon Ming Yeung Tang: in the S21 series.

Speaker #5: Got it. Are you able to talk about your cash cost? Can you further cut costs? Because I see you did have cost reductions in the quarters.

Sid Rajeev: Got it. Are you able to talk about your cash costs? Can you further cut cost? Because I see you did have cost reductions in the quarter, so how about Q3, how should we look at it?

Speaker #5: So how about Q3? How should we look at it?

Speaker #1: Yes, Sid, I think that is a great question. The reason that in the second quarter the costs continued to optimize was due to two reasons.

Simon Ming Yeung Tang: Yes, Sid, I think that is a great question. The reason that in the second quarter the cost continued to optimize, there were two reasons. One reason was that we continue to negotiate with our hosted sites because as you remember, most of our sites are externally hosted instead of our self-owned mining sites. Our own self-owned mining site is just a 50 megawatt site in the state of Georgia, and the rest of our mining machines are hosted externally with third parties. So we continue to negotiate contracts with them, and a lot of these contracts have a power price reduction mechanism whereby the power prices would decrease in an environment where Bitcoin prices are decreasing as well.

Speaker #1: One reason was that we continued to negotiate with our host sites, because as you remember, most of our sites are externally hosted instead of being our self-owned mining sites.

Speaker #1: Our own self-owned mining site is just a 50-megawatt site in the state of Georgia, in the U.S. And the rest of our mining machines are hosted externally.

Speaker #1: With third parties. So we continue to negotiate contracts with them. And a lot of these contracts have a power price reduction mechanism, whereby the power prices would decrease in an environment where Bitcoin prices are decreasing.

Speaker #1: As well. So, if we were to look at the cash cost on a month-by-month basis, between each month of the second quarter, the cash cost was on a downward trend.

Sid Rajeev: Okay.

Simon Ming Yeung Tang: If we were to look at the cash cost on a month-by-month basis between each month of Q2, the cash cost was on a downward trend.

Speaker #5: Got it. Just one more question.

Sid Rajeev: Got it. Just one more question.

Simon Ming Yeung Tang: I think in a way it is a price reduction mechanism to give us a little bit more downside protection.

Speaker #1: So, in a way, it's very much a price reduction mechanism to give us a little bit more downside protection.

Speaker #5: Got it. If I may, one more question. This is slightly more long-term. How much of your existing, say, mining infrastructure or power capacity could realistically be converted to AI infrastructure over the next three years?

Sid Rajeev: Got it. If I may, one more question. This is slightly more long-term. How much of your existing, say, mining infrastructure or power capacity could realistically be converted to AI infrastructure over the next three years?

Simon Ming Yeung Tang: We are starting in the US at the moment. We are still more focused on our own 50-megawatt site right now, but we have started to install small test nodes in other sites. But these are sites that are not necessarily our own, but they could be with partner sites.

Speaker #1: We're starting in the U.S. at the moment. We're still more focused on our own 50-megawatt sites right now, but we have started to install small test nodes in other sites.

Speaker #1: But these are sites that are not necessarily our own; they could be partner sites.

Speaker #5: Perfect. Thank you so much, Simon. I appreciate it.

Sid Rajeev: Perfect. Thank you so much, Simon. Appreciate it.

Speaker #1: Thank you.

Simon Ming Yeung Tang: Thank you.

Speaker #3: Thank you. That does conclude our question-and-answer session. I’d like to turn the conference back over to the management team for any closing remarks.

Operator: Thank you. That does conclude our question and answer session. I would like to turn the conference back over to the management team for any closing remarks.

Speaker #1: Are there any other remarks? Thank you very much for dialing in for our conference call. Thank you.

Simon Ming Yeung Tang: Any other remarks. Thank you very much for dialing for our conference call. Thank you.

Speaker #3: Thank you, sir. That does conclude our conference for today. We thank you all for attending today's presentation. You may now disconnect your lines and have a wonderful day.

Operator: Thank you, sir. That does conclude our conference for today. We thank you all for attending today's presentation. You may now disconnect your lines and have a wonderful day.