On track for 30 EH/s in 2024
AI business strategy update
SYDNEY, Aug. 28, 2024 (GLOBE NEWSWIRE) -- IREN (Iris Energy Limited) (NASDAQ:IREN) (together with its subsidiaries, "IREN" or "the Company"), a leading next-generation data center business powering the future of Bitcoin, AI and beyond, today reported its financial results for the full year ended June 30, 2024. All $ amounts are in United States Dollars ("USD") unless otherwise stated.
"We are pleased to report our full year FY24 results, which highlights continued growth across revenue, earnings and cashflow," said Daniel Roberts, Co-Founder and Co-CEO of IREN. "Our 2024 guidance remains unchanged. With 15 EH/s installed, we are well on track to achieve our 20 EH/s milestone next month and 30 EH/s this year."
Full Year FY24 Results
EBITDA of $19.6 million, as compared to $(123.2) million in fiscal year 20231
Adjusted EBITDA of $54.7 million, as compared to $1.4 million in fiscal year 20231
Record Bitcoin mining revenue of $184.1 million, as compared to $75.5 million in fiscal year 2023, driven by growth in operating hashrate and higher Bitcoin prices
Record 4,191 Bitcoin mined, as compared to 3,259 Bitcoin in fiscal year 2023, primarily driven by growth in operating hashrate
AI Cloud Services revenue of $3.1 million, servicing multiple customers across the reserved and on-demand market
Net electricity costs2 of $76.0 million, as compared to $35.8 million in fiscal year 2023, primarily driven by an increase in operating hashrate, with 80MW of additional capacity commissioned during the year
Other costs of $56.5 million, as compared to $38.4 million in fiscal year 20233
Reflects a larger business today that is delivering significant growth, and projecting continued expansion over the coming years
Procurement of RECs, consistent with our commitment to utilizing 100% renewable energy
Additional head office resources to support growth, and expanded risk, compliance and reporting obligations
Increased site expenses to support design, management and delivery of our Childress operations
Includes $6.3 million provision for Canadian non-refundable sales tax
Net loss after income tax of $29.0 million, as compared to a loss of $171.9 million in fiscal year 2023
Operating cash inflow of $52.7 million, as compared to $6.0 million in fiscal year 2023
Cash and cash equivalents of $404.6 million as of June 30, 2024 and no debt facilities4
Recent Operational Highlights
Data Centers
Morgan Stanley process to evaluate AI data center opportunities in relation to 1.4GW West Texas site underway:
Non-disclosure agreements signed
Information being provided to interested parties
Colocation, AI Cloud Services and other structures also being discussed with prospective partners in relation to British Columbia and Childress sites
Increased grid-connected power secured from 760MW to 2,310MW over the last 12 months
Date center expansion to 510MW in 2024
Childress Phase 2 (100MW, 3Q CY24), 100MW substation energized, 40MW data centers commissioned
Childress Phase 3 (150MW, 4Q CY24), Foundational, structural and electrical works ongoing for 6 x 25MW data centers
Bitcoin Mining
Increased self-mining capacity from 5.6 EH/s to 10 EH/s through FY245
Successful transition to spot pricing from August 2024
Historically challenging for energy retailers to provide spot power to Bitcoin miners
Scale and demonstrated robustness of IREN curtailment systems has now enabled transition to a spot pricing contract effective August 1, 2024
Spot pricing with curtailment allows IREN to optimize power costs in real-time, avoiding prior hedging costs and risks
One-off cost of $7.2 million to close out August and September 2024 hedges
Childress August 2024 month-to-date electricity cost of 3.1 c/kWh (~$23k electricity cost per Bitcoin mined)6
On track for 30 EH/s in 2024
15 EH/s installed (August 28, 2024)
20 EH/s next month, 30 EH/s in next 4 months (fully funded)
Secured 10.5 EH/s of latest-generation Bitmain S21 XP miners
Purchase price of $21.5/TH,7 with 20% deferred until 9 months after shipping
Shipping scheduled for October and November 2024, to support expansion to 30 EH/s
Improves overall nameplate fleet efficiency to 15 J/TH at 30 EH/s
Supports indicative electricity cost per Bitcoin mined of ~$19k8 at 30 EH/s
Pathway from 30 EH/s to 50 EH/s secured via existing Bitmain S21 Pro miner purchase options
Purchase price of $18.9/TH9 (option fee of 10% of purchase price)
Options expiring in March 2025 and May 2025
AI Cloud Services
816 NVIDIA H100 GPUs, servicing multiple customers
AI Cloud Services revenue continues to scale
Launching Childress GPU pilot in H2 2024
Poolside recently extended contract, expected to roll-off August 30, 2024:
Consolidating clusters with other providers for strategic reasons
Continuing to provide testimonials and customer references
Strong customer demand and pipeline
Corporate
The Full Year FY24 Results webcast will be recorded, and the replay will be accessible shortly after the event at https://iren.com/investor/events-and-presentations
Non-IFRS metric reconciliation
Adjusted EBITDA Reconciliation(USD$m)1
Year ended June 30, 2024
Year ended June 30, 2023
Bitcoin mining revenue
184.1
75.5
AI Cloud Service revenue
3.1
-
Other income
1.6
-
Electricity charges
(81.6)
(35.8)
Realized gain on financial asset
4.1
-
Other costs
(56.5)
(38.4)
Adjusted EBITDA
54.7
1.4
Adjusted EBITDA Margin
29%
2%
Reconciliation to consolidated statement of profit or loss
Add/(deduct):
