Argo Blockchain Records 24 Percent Uptick in Mining Profits

The company’s share price is also skyrocketing, gaining 124 percent since early May.

Argo Blockchain, a United Kingdom-based crypto mining company, on Tuesday reported a 24 percent monthly increase in profits from its crypto mining activity.

The figures skyrocketed with the recent boom in the value of Bitcoin, and the quarterly result even surpassed the company’s expectations.

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“The Company now expects to generate 161 BTC, or GBP1.38m of crypto assets, in June based on a BTC price of $10,817.16 USD as of 30 June 2019,” the official announcement stated.

The London Stock Exchange-listed company has 1,000 Z11 and 1,809 S17 Bitman miners in its mining facility. Though the company is headquartered in London, its mining facilities are in the Quebec province of Canada.

“Our better-than-expected mining performance reflects both improving industry conditions as well as Argo’s business strategy, which has enabled it to rapidly ramp up operations and thereby take full advantage of the upturn,” Mike Edwards, executive chairman of the company, said. “As a result, we enter the third quarter with a strong momentum to deliver further growth and improving mining efficiency.”

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In addition, the company is also preparing to add another 2,500 mining machines to its arsenal by Q3 2019.

The company also detailed that, based on Bitcoin’s value on June 30, its mining results jumped 101 percent from the number in May, with a margin of 81 percent.

“As of 30 June 2019, and based on prevailing crypto asset prices at $10,817.16 USD, the company held the equivalent of approximately GBP3.07m in crypto asset on its balance sheet. This is approximately GBP220,000 or 7.7 percent higher than the previously announced revised estimate of GBP2.85m. This is the result of both a significant increase in crypto asset prices from 3 June 2019 and higher than anticipated production levels by the Company’s mining equipment,” the announcement noted.

Raising demand for blockchain shares

The uptick in the numbers also impacted the publically-listed shares of the company. Since the beginning of May, the stock price of the company jumped 124 percent and is currently trading at GBP 7.85.

Yesterday, Finance Magnates reported that a German crypto mining company, Northern Bitcoin AG, signed purchase agreements with Bitmain and Cannan Creative to add 4,475 ASIC miners to its mining facilities in Norway.

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