SAIHEAT Limited Reports Audited Financial Results for the Year Ended December 31, 2024
Rhea-AI Summary
SAIHEAT reported its fiscal year 2024 results with total revenues of $5.54 million, showing an 18% decrease from 2023's $6.78 million. The company faced challenges but saw significant growth in mining revenue, which increased 125% year-over-year.
Key financial highlights:
- Net loss improved slightly to $5.89 million from $6.12 million in 2023
- Mining revenue doubled to $2.92 million
- Other income rose 62% to $2.02 million
- Product sales declined 48% to $2.50 million
The company is focusing on three main areas: Bitcoin mining services, Associate Petroleum Gas (APG) solutions, and Small Modular Reactor (SMR) technology. Notable developments include selling 40MW of liquid-cooling containers to Bitdeer and launching HEATNUC, an advanced SMR system for AI computing centers. Despite challenges from the Bitcoin halving event, SAIHEAT maintains its strategy of combining cryptocurrency mining with clean energy solutions.
Positive
- Mining revenue increased 125% to $2.92 million due to higher average Bitcoin prices
- Other income grew 62% to $2.02 million from crypto asset value appreciation
- Net loss improved slightly to $5.89 million from $6.12 million in 2023
- Secured sale of 40MW liquid-cooling container products to Bitdeer subsidiary
- Started accepting Bitcoin payments for products and services
- No impairment of long-lived assets recorded in 2024, compared to $0.14 million in 2023
Negative
- Total revenue decreased 18% to $5.54 million
- Gross loss of $1.01 million compared to gross profit of $0.46 million in 2023
- Product sales declined 48% to $2.50 million
- Hosting service revenue fell 86% to $0.05 million
- Mining pool revenue decreased 78% to $0.07 million
- Cost of revenues increased 4% despite lower sales
- Gross margin turned negative at -18% compared to positive 7% in 2023
- Cash and cash equivalents decreased to $1.04 million from $3.18 million
News Market Reaction
On the day this news was published, SAIH gained 2.01%, reflecting a moderate positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
SINGAPORE, April 28, 2025 (GLOBE NEWSWIRE) -- SAIHEAT Limited (“SAIHEAT” or the “Company”) (NASDAQ: SAIH), today reported audited financial results for the fiscal year ended December 31, 2024.
Financial Highlights for the Year Ended December 31, 2024
- Total revenues were US
$5.54 million , representing a decrease of18% compared to US$6.78 million in 2023 primarily due to revenue decreases across business segments of sales of products, hosting service and mining pool, which was partially offset by125% revenue increase from mining revenue for the year ended December 31, 2024.
- Gross loss was US
$1.01 million , compared to gross profit of US$0.46 million in 2023.
- Net loss was US
$5.89 million , slightly improved from a net loss of US$6.12 million in 2023.
- Other income increased
62% to from US$1.25 million in 2023 to US$2.02 million in 2024, mainly due to an increase in the fair value of crypto assets for the year ended December 31, 2024.
Management Commentary
Mr. Arthur Lee, Chairman and Chief Executive Officer of SAIHEAT, commented, “While 2024 presented notable challenges following the April Bitcoin halving event, we adapted quickly to shifting market dynamics. Our mining revenue showed strong resilience, doubling revenue year-over-year on the back of higher average Bitcoin prices. Looking ahead, we remain focused on enhancing operational efficiency, progressing our sustainable bitcoin currency-mining strategy, and deepening our innovation in associate petroleum gas and nuclear integration.
In 2025, we will place a greater emphasis on our technologically leading area - Bitcoin cloud computing power mining. By focusing on this direction, we plan to provide the following three categories of services for customers to establish a connection between humanity and clean energy.
The first is Bitcoincurrency mining. We plan to offer an array of services from Bitcoincurrency joint mining to relative asset custody services by providing improved computing power to small and medium-sized eligible investors.
The second is Associate Petroleum Gas (APG). We aim to offer associated gas reutilization to energy asset owners, to help the large enterprises in the oil and gas fields meet the demand of creating value from idle energy through energy digitization and monetarization solutions. These technologies contribute to reducing the carbon footprint and provides innovative solutions for energy enterprises.
The third is Small Modular Reactor (SMR). We will provide sovereign countries with integrated solutions based on modular nuclear power to assist them in building new generation of digital energy infrastructures. Through computing power bitcoin currency mining, we solve problems such as the lack of stable customers at the initial stage of infrastructure construction or the relatively long cost recovery in investment cycle, thus, accelerating the investment recovery cycle and achieving higher economic benefits.
Recent Developments
On-Site Project & Program Development Update
- The sale of 40MW of cutting-edge liquid-cooling container products to one of the subsidiaries of Bitdeer Technologies Group (“Bitdeer”) (NASDAQ: BTDR). The liquid-cooling containers are designed to host Bitdeer’s high-performance SEALMINER mining rigs and will be deployed at Bitdeer’s new data center.
- Participation in the 1CP (AEP’s Critical Peak) program, a strategic initiative designed to reduce electricity costs for energy-intensive industries. This initiative aligns with SAIHEAT’s mission to enhance operational efficiency and sustainability in the digital asset sector.
- Started accepting payments in Bitcoin for its range of products and services, including (1) the Company's HEATWIT liquid cooling Advanced Computing Center Ecosystem (ACCE) for Bitcoin mining operations and AI computing, and (2) the Company's HEATNUC small modular reactor products and services.
Hosting & Presence at Industry Events
- Participation at the Supercomputing 2024 (SC24) Conference, taking place from November 18-21 in Atlanta, Georgia. SAIHEAT showcased its Advanced Computing Center Ecosystem (ACCE), a proven suite of liquid-cooling system that enable carbon-negative data center operations by repurposing waste computing heat.
- Hosted its 2024 BIT HEAT DAY on November 14, 2024, at the Company’s U.S. R&D Center in Marietta, Ohio. The event was co-hosted with the Organization of Clean Energy and Climate (OCEC), a non-profit organization, with full support from local governmental office and community and focused on promoting next-generation edge data center infrastructure and the environmental, social, and governance (ESG) benefits of computing heat recycling through liquid-cooling technologies. SAIHEAT also showcased its new A-series product line, designed to address the growing demands of the AI industry.
HEATNUC Business Line Update
- Strategic Progress in HEATNUC Initiatives
Announced the integration of HEATNUC, an advanced Small Modular Reactor (SMR) system dedicated to power AI computing centers. Designed as a stable, high-capacity energy source, HEATNUC addresses the unique power needs of AI-driven infrastructure, providing a solution that traditional renewable and fossil-fuel-based energy sources cannot match.
Audited Financial Results for the Year Ended December 31, 2024
Revenues
Sales of Products: Decreased by
Hosting Service: Declined
Mining Pool: Decreased by
Mining Revenue: Increased by
Cost of Revenues
Cost of revenues increased by
Gross (Loss)/Profit
Gross profit turned into a gross loss of US
Gross Margin
The gross margin was negative
The decline was primarily driven by higher costs associated with self-mining operations and a shift in revenue mix.
Operating Expenses
Selling and Marketing Expenses: Decreased
General and Administrative Expenses: Slightly increased by
Research and Development Expenses: Decreased by
Impairment of Long-Lived Assets: No impairment recorded in 2024, compared to US
Other Income
Other income was US
Net loss
As a result of the above, SAIHEAT reported a net loss of US
Non-GAAP Financial Measures
We are providing supplemental financial measures for non-GAAP net income from operations that excludes the impact of share-based compensation expense, loss from disposal of property and equipment, impairment losses on crypto assets, depreciation of fixed assets and amortization of intangible assets. This supplemental financial measure is not measurement of financial performance under generally accepted accounting principles in the United States (“GAAP”) and, as a result, this supplemental financial measure may not be comparable to similarly titled measures of other companies. Management uses this non-GAAP financial measure internally to help understand, manage, and evaluate our business performance and to help make operating decisions.
We believe that this non-GAAP financial measure is also useful to investors and analysts in comparing our performance across reporting periods on a consistent basis. Non-GAAP financial measures are subject to material limitations as they are not in accordance with, or a substitute for, measurements prepared in accordance with GAAP. For example, we expect that share-based compensation expense, which is excluded from non-GAAP financial measures, will continue to be a significant recurring expense over the coming years and is an important part of the compensation provided to certain employees, officers, and consultants. Similarly, we expect that depreciation of fixed assets and amortization of intangible assets will continue to be a recurring expense over the term of the useful life of the assets. We also will exclude impairment losses on crypto assets from the non-GAAP financial measure, which may occur in future periods as a result of our continued holdings of significant amounts of bitcoin. Our non-GAAP financial measure is not meant to be considered in isolation and should be read only in conjunction with our Consolidated Financial Statements, which have been prepared in accordance with GAAP. We rely primarily on such Consolidated Financial Statements to understand, manage, and evaluate our business performance and use the non-GAAP financial measure only supplementally.
The following is a reconciliation of our non-GAAP net (loss) income for the years ended December 31, 2024, 2023 and 2022 respectively, which excludes the impact of (i) share-based compensation expense, (ii) loss from disposal of property and equipment, (iii) depreciation of fixed assets and amortization of intangible assets (dollars in thousands):
| For the year ended December 31, | ||||||||
| 2023 | 2024 | |||||||
| Reconciliation of non-GAAP net (loss) income: | ||||||||
| Net (loss) income | $ | (6,120 | ) | $ | (5,886 | ) | ||
| Share-based Compensation Expense | 2,641 | 3,458 | ||||||
| Loss from disposal of property and equipment | 402 | 2 | ||||||
| Depreciation and amortization expenses | 1,347 | 1,655 | ||||||
| Non-GAAP net (loss) income | $ | (1,730 | ) | $ | (771 | ) | ||
About SAIHEAT
SAIHEAT (NASQAQ: SAIH) is a global distributed computing power operator. By leveraging a modular computing power system, we help energy owners address the issues of local energy consumption and efficient resource utilization. The company provides BTC cloud mining services by joint computing power, as well as energy digitization and monetarization solutions for energy asset owners. These technologies contribute to reducing the carbon footprint and provides innovative solutions for energy enterprises.
For more information on SAIHEAT, please visit: https://www.saiheat.com
Safe Harbor Statement
This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words “believe”, “expect”, “anticipate”, “project”, “targets”, “optimistic”, “confident that”, “continue to”, “predict”, “intend”, “aim”, “will” or similar expressions are intended to identify forward-looking statements. All statements other than statements of historical fact are statements that may be deemed forward-looking statements. These forward-looking statements include, but not limited to, statements concerning SAIHEAT and the Company’s operations, financial performance, and condition are based on current expectations, beliefs and assumptions which are subject to change at any time. SAIHEAT cautions that these statements by their nature involve risks and uncertainties, and actual results may differ materially depending on a variety of important factors such as government and stock exchange regulations, competition, political, economic, and social conditions around the world including those discussed in SAIHEAT’s Form 20-F under the headings “Risk Factors”, “Results of Operations” and “Business Overview” and other reports filed with the Securities and Exchange Commission from time to time. All forward-looking statements are applicable only as of the date it is made and SAIHEAT specifically disclaims any obligation to maintain or update the forward-looking information, whether of the nature contained in this release or otherwise, in the future.
Media Contact:
pr@saiheat.com
Investor Relations Contact:
ir@saiheat.com
WFS Investor Relations Inc.
Janice Wang
Email: services@wealthfsllc.com
Phone: +86 13811768599
+1 628 283 9214
| SAIHEAT LIMITED | ||||||||
| CONSOLIDATED BALANCE SHEETS | ||||||||
| (In thousands, except for number of shares and per share data) | ||||||||
| As of December 31, 2023 | As of December 31, 2024 | |||||||
| (US$) | (US$) | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | 3,176 | 1,038 | ||||||
| Restricted cash | — | 41 | ||||||
| Accounts receivable | 900 | 237 | ||||||
| Inventories | 44 | 772 | ||||||
| Crypto assets | 6,709 | 6,905 | ||||||
| Stablecoin assets | 81 | 20 | ||||||
| Deposits, prepayments and other current assets, net | 1,341 | 1,882 | ||||||
| Total current assets | 12,251 | 10,895 | ||||||
| Property and equipment, net | 4,994 | 3,974 | ||||||
| Operating lease right-of-use assets, net | 830 | 585 | ||||||
| Intangible assets, net | — | — | ||||||
| Long term Assets | — | 3,080 | ||||||
| Total assets | 18,075 | 18,534 | ||||||
| Liabilities and equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | 45 | 438 | ||||||
| Operating lease liabilities-current | 241 | 82 | ||||||
| Accrued and other liabilities | 358 | 122 | ||||||
| Advance from customers | — | 870 | ||||||
| Short-term Borrowings | — | 2,115 | ||||||
| Other payable and accrued liabilities | 42 | 55 | ||||||
| Total current liabilities | 686 | 3,682 | ||||||
| Operating lease liabilities-non-current | 569 | 486 | ||||||
| Total non-current liabilities | 569 | 486 | ||||||
| Total Liabilities | 1,255 | 4,168 | ||||||
| Commitments and contingencies - Note 12 | ||||||||
| Shareholders’ equity: | ||||||||
| * Class A Common Shares, | 1 | 1 | ||||||
| * Class B Ordinary shares ( | 1 | 1 | ||||||
| Additional paid-in capital | 48,680 | 52,137 | ||||||
| Accumulated deficit | (31,345 | ) | (37,231 | ) | ||||
| Accumulated other comprehensive income/(loss) | (517 | ) | (542 | ) | ||||
| Total shareholders’ equity | 16,820 | 14,366 | ||||||
| Total Liabilities and shareholders’ equity | 18,075 | 18,534 | ||||||
| SAIHEAT LIMITED | ||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS)/INCOME | ||||||||||||
| (In thousands, except for number of shares and per share data) | ||||||||||||
| For the year ended December 31, | ||||||||||||
| 2022 | 2023 | 2024 | ||||||||||
| (US$) | (US$) | (US$) | ||||||||||
| Revenues | 10,638 | 6,776 | 5,543 | |||||||||
| Cost of revenues | 9,498 | 6,319 | 6,553 | |||||||||
| Gross Profit | 1,140 | 457 | (1,010 | ) | ||||||||
| Sales and marketing expenses | 1,098 | 1,134 | 284 | |||||||||
| General and administrative expenses | 6,080 | 5,703 | 5,973 | |||||||||
| Research and development expenses | 476 | 853 | 642 | |||||||||
| Impairment of long-lived assets | 951 | 138 | — | |||||||||
| Total operating expenses | 8,605 | 7,828 | 6,899 | |||||||||
| Loss from operations | (7,465 | ) | (7,371 | ) | (7,909 | ) | ||||||
| Other income/(expense), net | (1,380 | ) | 1,251 | 2,023 | ||||||||
| Loss before income tax | (8,845 | ) | (6,120 | ) | (5,886 | ) | ||||||
| Income tax benefit(expenses) | — | ) | — | — | ||||||||
| Net loss | (8,845 | ) | (6,120 | ) | (5,886 | ) | ||||||
| Other comprehensive loss | ||||||||||||
| Foreign currency translation loss | (544 | ) | (56 | ) | (25 | ) | ||||||
| Total comprehensive loss | (9,389 | ) | (6,176 | ) | (5,911 | ) | ||||||
| Loss per ordinary share* | ||||||||||||
| Basic and diluted | (6.7189 | ) | (3.7916 | ) | (3.4582 | ) | ||||||
| Weighted average number of ordinary shares outstanding*: | ||||||||||||
| Basic & diluted | 1,316,440 | 1,614,089 | 1,702,018 | |||||||||
| * The shares and per share data are presented on a retroactive basis to reflect the reverse stock split. | ||||||||||||
FAQ
How much did SAIH (NASDAQ: SAIH) revenue decrease in 2024?
What caused SAIH's mining revenue to increase by 125% in 2024?
What are SAIH's three main business focus areas for 2025?
How did SAIH's gross profit performance change in 2024?
What major deal did SAIH secure with Bitdeer (NASDAQ: BTDR) in 2024?
