Fourth Quarter Highlights:
- Expects Fourth Quarter Revenue of approximately
$44 million - Expects GAAP Net Loss of
$(51) to$(41) million , including a noncash goodwill impairment charge related to theSupport.com business of$42 to$47 million - Expects Adjusted EBITDA1 of
$18 to$20 million - Mined 609 bitcoin
- Mining capacity of approximately 1.4 EH/s from 17,300 miners as of
December 31, 2021 $85 million of cash, short-term investments and fair market value of cryptocurrency holdings at year end
Full Year Highlights:
- Expects Full Year Revenue of approximately
$107 million - Expects GAAP Net Loss of
$(54) to$(44) million , including the$42 to$47 million noncash goodwill impairment charge - Expects Adjusted EBITDA1 of
$51 to$54 million - Mined 1,866 bitcoin
For the three months ended
For the year ended
Greenidge produced 609 and 1,866 bitcoin during the fourth quarter and full year 2021, respectively. As of
Preliminary Financial and Operating Results
The preliminary financial and operating results set forth above for the three months and year ended
About
Forward-Looking Statements
This press release includes certain statements that may constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are forward-looking statements for purposes of federal and state securities laws. These forward-looking statements involve uncertainties that could significantly affect Greenidge's financial or operating results. These forward-looking statements may be identified by terms such as "anticipate," "believe," "continue," "foresee," "expect," "intend," "plan," "may," "will," "would," "could," and "should," and the negative of these terms or other similar expressions. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties and are not guarantees of future performance. Forward-looking statements in this press release include, among other things, statements regarding the business plan, business strategy and operations of Greenidge in the future. In addition, all statements that address operating performance and future performance, events or developments that are expected or anticipated to occur in the future, such as statements concerning the preliminary financial and operating results for the three months and year ended
Non-GAAP Financial Measures
From time to time Greenidge utilizes certain financial measures that are not prepared or calculated in accordance with GAAP to assess financial performance and profitability.
"EBITDA" is defined as earnings before interest, taxes, and depreciation and amortization. "Adjusted EBITDA" is defined as EBITDA adjusted for stock-based compensation and other special items determined by management, including, but not limited to, acquisition related expenses, business development, fair value adjustments for certain financial liabilities (including asset retirement obligations), costs associated with debt and equity transactions, and impairment charges as they are not indicative of business operations. Adjusted EBITDA is intended as a supplemental measure of Greenidge's performance that is not presented in accordance with GAAP. Greenidge believes that the use of EBITDA and Adjusted EBITDA provides an additional tool for investors to use in evaluating ongoing operating results and trends and in comparing its financial measures with those of comparable companies, which may present similar non-GAAP financial measures to investors. However, you should be aware that when evaluating EBITDA and Adjusted EBITDA, Greenidge may incur future expenses similar to those excluded when calculating these measures. In addition, Greenidge's presentation of these measures should not be construed as an inference that its future results will be unaffected by unusual or non-recurring items. Greenidge's computation of Adjusted EBITDA may not be comparable to other similarly titled measures computed by other companies, because all companies may not calculate Adjusted EBITDA in the same fashion.
Because of these limitations, EBITDA and Adjusted EBITDA should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP. Greenidge compensates for these limitations by relying primarily on its GAAP results and using EBITDA and Adjusted EBITDA on a supplemental basis. You should review the reconciliation of net loss to EBITDA and Adjusted EBITDA below and not rely on any single financial measure to evaluate Greenidge's business.
The following table reconciles the expected ranges of net loss to the expected ranges of EBITDA and Adjusted EBITDA for the three months and year ended
Three Months Ended |
Year Ended |
||||||
Low |
High |
Low |
High |
||||
Net loss |
|
|
|
|
|||
Provision for income taxes |
8 |
7 |
4 |
3 |
|||
Interest expense, net |
2 |
2 |
4 |
4 |
|||
Depreciation and amortization |
3 |
3 |
9 |
9 |
|||
EBITDA |
|
|
|
|
|||
Stock-based compensation |
2 |
2 |
4 |
4 |
|||
Impairment of goodwill (1) |
47 |
42 |
47 |
42 |
|||
Merger and other costs (2) |
1 |
1 |
32 |
32 |
|||
Expansion costs (3) |
2 |
2 |
2 |
2 |
|||
ARO, environmental and other (4) |
4 |
2 |
3 |
2 |
|||
Adjusted EBITDA |
$ 18 |
$ 20 |
$ 51 |
$ 54 |
(1) |
Greenidge has not yet completed its impairment analysis associated with the acquisition of |
(2) |
Merger and other costs are associated with the merger with |
(3) |
Expansion costs are costs associated with Greenidge's expansion into its property in |
(4) |
ARO & environmental adjustments are associated with the remeasurement of asset retirement obligations and environmental liabilities associated with updated projections of costs. |
View original content:https://www.prnewswire.com/news-releases/greenidge-generation-announces-selected-preliminary-operating-results-for-fourth-quarter-and-full-year-2021-301473543.html
SOURCE
Investor Relations: investorrelations@greenidge.com; or Media Inquiries: media@greenidge.com