Digi Power X Maintains Strong Cash and Crypto Position with Debt-Free Operations and Reports April 2025 Production Results

Rhea-AI Summary

Digi Power X (NASDAQ: DGXX) reported its April 2025 production results, maintaining a strong financial position with $10.2 million in combined cash and Bitcoin holdings (down slightly from $10.3 million in March). The company generated $0.7 million in gross energy revenue and produced approximately 30 BTC (valued at $2.8 million) through self-mining and colocation operations.

The company has invested $1.9 million in capital expenditures year-to-date while maintaining zero long-term debt. Currently operating with 100MW of available power across three sites, Digi Power X aims to expand to 200MW. Through its subsidiary US Data Centers, the company is developing a Tier 3 data center in Columbiana, Alabama, focused on AI and high-performance computing workloads.

Positive

• Strong financial position with $10.2 million in cash and Bitcoin holdings
• Zero long-term debt, maintaining financial flexibility
• Generated $0.7 million in monthly energy revenue
• Produced 30 BTC valued at $2.8 million in April
• Plans to double power capacity from 100MW to 200MW
• Strategic expansion into AI and HPC through Tier 3 data center development

Negative

• Slight decrease in total holdings from $10.3M to $10.2M month-over-month
• Significant capital expenditure of $1.9M year-to-date impacting cash reserves

Insights

Financial Analyst

Digi Power X maintains stable financials while investing in infrastructure and diversifying beyond crypto.

Digi Power X demonstrates fiscal discipline by maintaining $10.2 million in combined cash and Bitcoin holdings as of April 30, nearly unchanged from $10.3 million in March despite ongoing capital investments. This stability was supported by Bitcoin's appreciation from $83,500 to $94,000 during the period, which helped offset their $1.9 million in year-to-date capital expenditures.

The company's $0.7 million in monthly energy and power revenue, alongside production of 30 BTC (valued at $2.8 million), reflects their current operational capacity while they continue developing infrastructure. Their zero-debt approach provides significant financial flexibility in a volatile sector, though it may constrain growth velocity compared to leveraged competitors.

The stated preference for self-funding over equity dilution suggests management confidence in operational cash flow, though the current revenue indicates they remain in growth phase rather than optimization. Their balanced approach—maintaining mining operations while developing AI infrastructure through the US Data Centers subsidiary—creates strategic optionality to allocate resources based on market conditions.

The preservation of cash reserves during a period of infrastructure investment demonstrates disciplined financial management during their strategic transition from pure cryptocurrency mining toward higher-margin data center services.

Technology Infrastructure Expert

Strategic pivot to AI computing with planned capacity doubling positions company for higher-margin growth.

Digi Power X's current 100MW power capacity across three sites provides a solid foundation in the data center space, with plans to double capacity to 200MW representing an ambitious but achievable growth trajectory that would significantly enhance their market position.

The establishment of US Data Centers as a dedicated subsidiary for high-performance computing (HPC) and AI workloads signals a strategic pivot toward higher-value services. This diversification beyond cryptocurrency mining helps mitigate Bitcoin volatility risk while positioning the company to capture growing enterprise demand for AI computing infrastructure.

The transformation of their Alabama facility into a Tier 3 data center is particularly significant. Tier 3 facilities typically offer 99.982% availability with redundant capacity components—essential requirements for mission-critical AI applications. This upgrade represents a substantial improvement in service capability and potential revenue per megawatt.

Their dual-track approach—maintaining cryptocurrency operations while developing AI infrastructure—creates a flexible business model that can adapt to market conditions. The 30 BTC produced in April demonstrates continued operational effectiveness in their current business while they develop higher-margin offerings.

Their debt-free approach to infrastructure expansion provides resilience against interest rate fluctuations in a capital-intensive industry. Focusing on converting existing facilities rather than greenfield development should accelerate time-to-market for AI offerings while maximizing return on invested capital.

MIAMI, May 01, 2025 (GLOBE NEWSWIRE) -- Digi Power X Inc. (“Digi Power X” or the “Company”) (Nasdaq: DGXX / TSXV: DGX), a vertically integrated power infrastructure company focused on developing cutting-edge data centers for high-performance computing, is pleased to provide unaudited production results for the month ended April 30, 2025, combined with an operations update. All monetary references are expressed in USD unless otherwise indicated.

Monthly Production Highlights for April 2025

• The Company held cash, Bitcoin (“BTC”) and cash deposits of approximately $10.2 million as of April 30, 2025, as compared to $10.3 million on March 31, 2025 (based on a BTC price of $94,000 as of April 30, 2025, and $83,500 as of March 31, 2025, per CoinMarketCap).
  

• The Company earned gross energy and power revenue of approximately $0.7 million in April 2025 through the provision of power capacity to market customers.
  

• Miners running at the Company’s facilities produced approximately 30 BTC during the month between self-mining and colocation agreements, representing an approximate value of $2.8 million (based on a BTC price of $94,000 as of April 30, 2025, per CoinMarketCap).
  

• The Company has invested approximately $1.9 million year-to-date in capital expenditures and mining infrastructure support equipment. This continued significant investment underscores the Company’s commitment to long-term growth while maintaining a disciplined approach to capital allocation, prioritizing self-funding to minimize equity dilution for shareholders when possible, while still retaining a clean balance sheet with no long-term debt to bolster the Company’s flexible capital deployment strategies.
• Digi Power X continues to operate with zero long-term debt, supporting its capital flexibility and commitment to self-funding. The company maintains a disciplined capital strategy, avoiding dilution where possible while retaining the ability to scale aggressively.
  

Operations Update

The Company currently operates with approximately 100MW of available power across its three sites and is working to expand its capacity to 200MW and beyond. The Company plans to fuel this growth using its existing asset portfolio, combined with strategic expansion through targeted acquisitions.

Tier III HPC Data Center Update

The Company continues to develop its Tier 3 data center assets, invest in high density compute infrastructure, and pursue selective acquisitions to scale its power capacity and operating footprint. US Data Centers, Inc. (“US Data Centers”) is a wholly-owned subsidiary of the Company dedicated to the development of high-performance computing (“HPC”) and artificial intelligence (“AI”)-focused data centers.

With the launch of US Data Centers, the Company is creating a dedicated platform focused on delivering AI and HPC solutions, ensuring purpose-built infrastructure for the next generation of computing. As its first major initiative, US Data Centers plans to lead the transformation of the Company’s existing site in Columbiana, Alabama into a state-of-the-art Tier 3 data center designed to support next-generation AI and HPC workloads. The Company plans to begin implementing this strategy during this quarter.

About Digi Power X

Digi Power X is an innovative energy infrastructure company that develops cutting-edge data centers to drive the expansion of sustainable energy assets.

For further information, please contact:

Michel Amar, Chief Executive Officer
Digi Power X Inc.
www.digipowerx.com
Investor Relations
T: 888-474-9222
Email: IR@digihostpower.com

Cautionary Statement
Trading in the securities of the Company should be considered highly speculative. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

Except for the statements of historical fact, this news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking information”) that are based on expectations, estimates and projections as at the date of this news release and are covered by safe harbors under Canadian and United States securities laws. Forward-looking information in this news release includes information about potential further improvements to profitability and efficiency across the Company’s operations, including, as a result of the Company’s expansion efforts, potential for the Company’s long-term growth and clean energy strategy, and the business goals and objectives of the Company. Factors that could cause actual results to differ materially from those described in such forward-looking information include, but are not limited to: future capital needs and uncertainty of additional financing; share dilution resulting from equity issuances; risks relating to the strategy of maintaining and increasing Bitcoin holdings and the impact of depreciating Bitcoin prices on working capital; effects on Bitcoin prices as a result of the most recent Bitcoin halving; development of additional facilities and installation of infrastructure to expand operations may not be completed on the timelines anticipated by the Company, or at all; ability to access additional power from the local power grid and realize the potential of the clean energy strategy on terms which are economic or at all; a decrease in cryptocurrency pricing, volume of transaction activity or generally, the profitability of cryptocurrency mining; further improvements to profitability and efficiency may not be realized; development of additional facilities to expand operations may not be completed on the timelines anticipated by the Company; ability to access additional power from the local power grid; an increase in natural gas prices may negatively affect the profitability of the Company’s power plant; the digital currency market; the Company’s ability to successfully mine digital currency on the cloud; the Company may not be able to profitably liquidate its current digital currency inventory, or at all; a decline in digital currency prices may have a significant negative impact on the Company’s operations; the volatility of digital currency prices; and other related risks as more fully set out in the Annual Information Form of the Company and other documents disclosed under the Company’s filings at www.sedarplus.ca and www.SEC.gov/EDGAR. The forward-looking information in this news release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available to the Company. In connection with the forward-looking information contained in this news release, the Company has made assumptions about, among other things, the current profitability in mining cryptocurrency (including pricing and volume of current transaction activity); profitable use of the Company’s assets going forward; the Company’s ability to profitably liquidate its digital currency inventory as required; historical prices of digital currencies and the ability of the Company to mine digital currencies on the cloud will be consistent with historical prices; the ability to maintain reliable and economical sources of power to run its cryptocurrency mining assets; the negative impact of regulatory changes in the energy regimes in the jurisdictions in which the Company operates; and there will be no regulation or law that will prevent the Company from operating its business. The Company has also assumed that no significant events occur outside of the Company's normal course of business. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainties therein. The Company undertakes no obligation to revise or update any forward-looking information other than as required by applicable law.

FAQ

What is Digi Power X's (DGXX) Bitcoin production for April 2025?

Digi Power X produced approximately 30 BTC in April 2025 through self-mining and colocation agreements, valued at $2.8 million based on a BTC price of $94,000.

How much power capacity does Digi Power X currently operate?

Digi Power X currently operates with approximately 100MW of available power across three sites and plans to expand to 200MW.

What is Digi Power X's current cash and Bitcoin position as of April 2025?

As of April 30, 2025, Digi Power X held approximately $10.2 million in combined cash, Bitcoin, and cash deposits.

What are Digi Power X's plans for its Columbiana, Alabama facility?

Through its subsidiary US Data Centers, Digi Power X plans to transform its Columbiana, Alabama site into a state-of-the-art Tier 3 data center focused on AI and HPC workloads.

How much revenue did DGXX generate from energy and power in April 2025?

Digi Power X earned approximately $0.7 million in gross energy and power revenue in April 2025 through power capacity provision to market customers.