Key Highlights
- The company recorded a quarterly net loss of $611.3 million in Q2, a dramatic swing from the $808.2 million gain reported in the same period last year.
- Quarterly revenue decreased 27% compared to last year, reaching $174.9 million.
- The firm’s Bitcoin reserves declined 29% to 35,577 BTC, primarily driven by earlier sales in 2026.
- Management pledged 18,750 BTC as collateral to secure $600 million in additional credit facilities.
- A major $1.5 billion deal to acquire Long Ridge is underway, featuring a 505-megawatt Ohio power facility.
Shares of MARA Holdings finished trading on August 6 at $10.65, representing a 5.25% decline for the session, following the release of the company’s second quarter 2026 financial results.
Marathon Digital Holdings, Inc., MARA
The cryptocurrency mining operation disclosed a net loss of $611.3 million for the three-month period, marking a significant turnaround from the $808.2 million in net income achieved during the second quarter of 2025.
Total revenue registered at $174.9 million, representing a 27% year-over-year contraction. The company’s adjusted EBITDA landed at negative $360.9 million.
The quarterly results were heavily impacted by a $343 million unrealized mark-to-market loss on the company’s digital asset portfolio. The average Bitcoin price tied to mining operations fell to approximately $71,325, compared to $98,975 during the same quarter in 2025.
At the conclusion of June, MARA’s Bitcoin treasury stood at 35,577 BTC, down 29% from the 49,951 BTC held twelve months prior.
The bulk of this reduction stemmed from substantial liquidations during the first quarter of 2026. Management sold 20,880 BTC for approximately $1.5 billion to finance operational needs, debt buybacks, and infrastructure development.
During the second quarter, the company offloaded an additional 2,213 BTC at an average sale price of $73,078. Meanwhile, mining operations produced 2,422 BTC throughout the quarter, resulting in a modest sequential increase in total holdings.
Out of the 35,577 BTC reported at quarter’s end, just 26,307 BTC remained unrestricted. The remaining balance was either deployed in lending programs or committed as collateral.
Leveraging Bitcoin Reserves for Capital
Following the quarter’s conclusion, MARA committed an additional 18,750 BTC to establish two Bitcoin-collateralized credit lines. This arrangement provided $600 million in fresh borrowing capacity through agreements with Coinbase and Two Prime.
Currently, 54% of the company’s total Bitcoin position serves as collateral. MARA reported $421.3 million in cash reserves and approximately $2.5 billion in combined cash and Bitcoin assets at the end of the quarter.
Operational metrics presented a more positive picture. Energized hashrate climbed 22% year-over-year to 70.3 exahashes per second. Bitcoin mining output grew 3% to 2,422 BTC. The cost per petahash per day improved by 4% to $27.70.
General and administrative expenses surged to $69.5 million from $40.1 million, partially attributed to $15.4 million in acquisition and integration expenses and a $10.2 million litigation settlement payment.
Strategic Diversification Into Energy and Computing
The company is aggressively expanding into artificial intelligence and high-performance computing infrastructure. Management is pursuing a $1.5 billion acquisition of Long Ridge, encompassing a 505-megawatt natural gas power generation facility in Ohio and a computing campus with potential capacity surpassing one gigawatt.
The Long Ridge acquisition is projected to generate approximately $144 million in annual EBITDA, with about 70% of production secured under long-term contractual arrangements. The transaction awaits regulatory clearance.
Additionally, MARA is advancing development of a 1,200-acre property in Matagorda County, Texas, capable of delivering up to two gigawatts of power capacity. According to management, the location requires no utility infrastructure enhancements.
The firm’s total prospective power portfolio could reach approximately 4.8 gigawatts. Leadership anticipates finalizing at least two lease agreements by year-end, facilitated by its Starwood partnership.
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