Second-Quarter Turbulence Hits CleanSpark Shares, Plummeting 25% as Bitcoin's Price Struggles to Gain Traction

Table of Contents CleanSpark (CLSK) disclosed a $378.3 million net loss for its fiscal second quarter that concluded on March 31, 2026. While the figure appears substantial, the bulk stems from a $224.1 million non-cash adjustment linked to Bitcoin’s fair value fluctuations — meaning actual cash didn’t leave the business. Today we reported financial results for fiscal second quarter 2026 (ended 3/31/26), which delivered $136.4 million in revenue and doubled $CLSK’s power under contract year-over-year including 585 MW of ERCOT-approved capacity. *Revenue: $136.4 million*Total Assets: $2.9 billion… pic.twitter.com/cojp6L2GHd — CleanSpark Inc. (@CleanSpark_Inc) May 11, 2026 Quarterly revenue registered at $136.4 million, representing a decline from $181.7 million during the comparable period last year. The $45 million decrease, or roughly 25%, resulted primarily from Bitcoin’s price volatility and increasingly challenging mining conditions. The per-share net loss reached $1.52 on a basic basis, compared with a $0.49 loss per share in Q2 FY2025. Non-cash charges totaled approximately $263 million for the reporting period. CleanSpark, Inc., CLSK Cost of revenues totaled $81.7 million. Depreciation and amortization expenses reached $115.9 million, reflecting the company’s aggressive expansion of its mining fleet. Gross margin exceeded 40%, though this marked a decrease from the previous quarter’s 47%. Adjusted EBITDA settled at negative $241 million versus negative $57.8 million in the prior-year quarter — though showing sequential improvement from last quarter’s negative $295 million. CleanSpark closed the quarter holding $260 million in cash alongside 13,561 Bitcoin valued at $925 million on its balance sheet. Combined liquidity approached $1.2 billion. At the time of reporting, the company’s Bitcoin holdings were valued at roughly $1.1 billion. Total assets reached $2.9 billion. Long-term debt obligations stood at $1.79 billion, while stockholders’ equity totaled $986.2 million and working capital measured $1 billion. CFO Gary Vecchiarelli highlighted the balance sheet as a strategic advantage as the company enters its next development phase. The mining operation produced 1,799 Bitcoin throughout the quarter — just 22 units below the previous quarter’s output. Power expenses averaged $0.052 per kilowatt hour, improving from $0.056 in the preceding quarter. From an operational standpoint, performance indicators showed strength. Monthly average hashrate climbed 18% on a year-over-year basis. Contracted megawatts doubled during the same timeframe. CleanSpark obtained ERCOT regulatory approval for 585 MW of Texas capacity, including a recently greenlit 300 MW facility in Brazoria. Development work continues at the Sandersville, Georgia location. CEO Matt Schultz outlined the quarter’s strategic focus across four key areas: power infrastructure development, leasing advancement, capital financing, and construction execution. “Our strategic objectives remain focused: commercialize our AI/HPC-ready infrastructure, expand our portfolio footprint, and maintain efficient mining operations,” Schultz stated. The company currently manages over 1.8 gigawatts in combined power capacity, real estate, and data center infrastructure throughout the United States. Active efforts are underway to commercialize sites for AI and HPC workloads. Digital asset management activities generated roughly $4 million in cash returns this quarter, pushing fiscal year-to-date returns to $17.2 million.