Mara Holdings Stock Earnings Reports

Key points for investors:

- Strategic pivot toward energy-backed AI and critical IT infrastructure: MARA is repositioning from a pure-play Bitcoin miner to a digital infrastructure company that controls and monetizes power to serve hyperscalers, sovereign/enterprise AI (via Exaion), and token-factory/inference use cases.

- Long Ridge acquisition: MARA signed a definitive agreement to acquire Long Ridge Energy & Power, adding ~1,600 contiguous acres, an operational ~505 MW combined-cycle plant (generating ~$144M annualized adjusted EBITDA H2 2025 with 76% contracted capacity), and a path to >1 GW of generation and ~600 MW of gross AI/IT capacity. Management highlights the deal provides immediate cash flow, a low ~$15/MWh cost position behind the meter, and materially increases energized capacity (~+65% to ~2.2 GW pro forma).

- Starwood joint venture (JV): MARA moved the JV from announcement to execution, advancing permitting/site prep and entering active tenant discussions across ~90% of its sites. The JV is structured to be capital-efficient: MARA contributes powered sites and receives equity credit based on pre-agreed site economics, enabling monetization of powered land with limited incremental equity outlay and preserving upside.

- Exaion commercial pathway: Exaion targets sovereign, enterprise and private-cloud AI demand (data sovereignty/compliance), complementing the Starwood JV's hyperscaler focus — together creating two routes into the AI market anchored by MARA's power control thesis.

- Bitcoin mining remains the operational foundation: Mining generates near-term revenue and allows MARA to monetize power while preserving the option to repurpose capacity for AI/IT build-outs over time. Management remains constructive on Bitcoin long-term.

- Balance sheet & capital actions: MARA reduced convertible debt (retired ~30% of convertibles in Q1 and ~33% of outstanding debt overall), funded in part by monetizing Bitcoin (~$1.5B sold in Q1). They refinanced and reduced the credit line and improved liquidity with committed bridge financing (e.g., $785M Barclays backstop) for Long Ridge. They have not used the ATM since Q3 2025 and emphasize using Bitcoin monetization over equity dilution.

- Financials & operating metrics: Q1 revenue $174.6M (down YoY, driven by ~18% lower BTC price), record energized hashrate 72.2 EH/s (+33% YoY), mined 2,247 BTC in the quarter, net loss $1.3B driven primarily by ~$1B unrealized BTC mark-to-market. Adjusted EBITDA was negative ~$1B (dominated by BTC mark-to-market). Owned-site energy cost remains low ($0.04/kWh), purchased energy cost per BTC rose to $40,047.

- Cost actions and restructuring: MARA reduced workforce by ~15%, expects ~$12M of annualized savings and recorded a $45.9M restructuring charge in Q1. Q1 G&A (ex-SBC) was $57.7M, elevated due to integration and acquisition costs; management expects run-rate to decline as savings realize.

- Execution milestones & outlook: Management expects to sign multiple tenant leases by year-end and disclose contracted megawatts as they convert. Initial AI build-out at Long Ridge targeted ~200 MW with construction starting ~H1 2027 and initial capacity mid-2028. Management emphasizes competition for capacity and accelerating tenant discussions.