Archived article
Please note that tax, investment, pension and ISA rules can change and the information and any views contained in this article may now be inaccurate.
Argo Blockchain PLC on Thursday said the company strengthened its financial position last year, thanks to cost cutting and a rally in the price of bitcoin.
The London-based cryptocurrency miner narrowed its pretax loss to $35.0 million in 2023 from $240.7 million in 2022, even as revenue decreased by 14% to £50.6 million from $58.6.
The improved performance was partly the result of an effort to reduce expenses. Non-mining operating expenses were cut by 48% to $18.8 million from $34.1 million, and Argo reduced its interest expenses to $11.6 million from $22.7 million.
Weighing against 2022 also had been a substantial impairment charge of $55.8 million, as well as a $55.4 million loss on sale of a subsidiary
Being loss-making Argo pays no dividend to shareholders.
In 2023, the company benefited from a strengthening in the price of bitcoin after the previous year’s slump. The cryptocurrency has more than doubled in price over the past 12 months.
Chief Executive Officer Thomas Chippas said: ‘We have worked hard to strengthen our balance sheet and reduce Argo’s debt burden. We have reduced the debt owed to Galaxy Power LLC by $22 million, or 63%, and we have also improved our cash position over the last several quarters.’
Looking ahead, Argo said its priorities for the year include a continued strategic focus on financial discipline.
Argo Blockchain shares were down 4.8% to 11.61 pence each in London on Thursday afternoon.
Copyright 2024 Alliance News Ltd. All Rights Reserved.