TeraWulf Inc. reported significant financial developments in its latest 10-Q filing for the quarter ending September 30, 2024. The company generated revenue of $27.1 million for the three months ended September 30, 2024, a notable increase from $19.0 million in the same period of 2023. For the nine months ended September 30, 2024, revenue reached $105.1 million, up from $45.9 million year-over-year. This growth is attributed primarily to increased bitcoin mining operations, with the average price of bitcoin rising to $61,023 in Q3 2024 from $28,129 in Q3 2023.

Despite the revenue growth, TeraWulf reported a net loss of $22.7 million for the three months ended September 30, 2024, compared to a loss of $19.1 million in the prior year. For the nine-month period, the net loss was $43.2 million, a decrease from $62.9 million in the same period of 2023. The company’s operating loss for Q3 2024 was $15.7 million, up from $9.7 million in Q3 2023, reflecting increased costs associated with its mining operations.

Total costs and expenses for the three months ended September 30, 2024, were $42.8 million, compared to $28.6 million in the same quarter of 2023. The increase in expenses was driven by higher costs of revenue, which rose to $14.7 million from $8.3 million, and increased depreciation expenses, which jumped to $15.6 million from $8.2 million. The depreciation increase is linked to enhanced mining capacity due to infrastructure improvements.

TeraWulf's cash and cash equivalents decreased to $23.9 million as of September 30, 2024, down from $54.4 million at the end of 2023. The company reported total assets of $405.9 million, an increase from $378.1 million at the end of the previous fiscal year. Total liabilities also decreased significantly to $33.3 million from $155.6 million, primarily due to the repayment of term loans totaling $139.4 million during the nine months ended September 30, 2024.

Strategically, TeraWulf has focused on expanding its mining capacity and diversifying its revenue streams. The company operates two bitcoin mining facilities, the Lake Mariner Facility in New York and the Nautilus Cryptomine Facility in Pennsylvania. Notably, TeraWulf sold its 25% equity interest in the Nautilus facility for $85 million in cash on October 2, 2024, to reinvest in future growth. Additionally, the company established WULF Compute, an internal innovation center aimed at diversifying revenue through high-performance computing initiatives.

Overall, TeraWulf's financial performance reflects a complex landscape of growth in revenue and operational capacity, alongside challenges in profitability and cost management.