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American Bitcoin, the Bitcoin miner co-founded by Eric Trump and majority-owned by Hut 8, posted a $57.2 million net loss in the second quarter, driven largely by a $71.2 million digital asset accounting charge, even as it mined a record 932 BTC and grew its treasury to roughly 8,002 BTC, nearly 39% of which remains pledged to Bitmain under equipment financing agreements.
The latest American Bitcoin quarterly earnings, released on Aug. 3, showed that the Bitcoin mining company—co-founded by Eric Trump and majority-owned by Hut 8—continued to increase production and revenue while navigating significant accounting losses tied to digital assets.
The biggest contributor to the quarterly loss was a $71.2 million digital asset loss, recorded as an operating expense. While substantial, the figure represented a notable improvement from the $117.2 million reported during the first quarter.
Importantly, the accounting loss does not necessarily represent cash leaving the business. Instead, it reflects changes recognized under accounting standards relating to digital assets.
American Bitcoin did not specify what portion resulted from completed transactions versus unrealized valuation adjustments.
The company also incurred $28.2 million in depreciation and amortization expenses, while general and administrative costs reached $7.7 million.
Offsetting part of these expenses was an $18.3 million derivative gain, reducing the company’s loss before taxes to $55.7 million.
Management also emphasized that adjusted EBITDA—a non-GAAP performance measure—should not replace financial results prepared under Generally Accepted Accounting Principles (GAAP).
Despite posting another quarterly loss, American Bitcoin continued strengthening its operating performance.
Quarterly revenue increased from $62.1 million in Q1 to $67 million in Q2, while adjusted EBITDA improved significantly, narrowing from a negative $91.3 million to negative $45 million.
The company mined approximately 932 BTC during the quarter, compared with 817 BTC in the previous quarter, representing its highest production since operations began in March 2025.
Although Bitcoin prices weakened during the reporting period, operational efficiency remained resilient.
Revenue generated per Bitcoin mined declined roughly 5% to around $71,900, while production costs remained relatively stable at approximately $36,500 per coin.
According to the earnings report, mining gross profit reached roughly $33 million, producing an operating margin close to 49%, despite Bitcoin prices falling approximately 12% during the quarter.
“Our continued operational execution demonstrates the strength of our infrastructure and disciplined mining strategy,” the company said in its quarterly report.
American Bitcoin also continued investing heavily in mining infrastructure.
Its operational fleet grew to approximately 58,999 Bitcoin miners, delivering around 25 exahashes per second (EH/s) of computing capacity.
During April, the company completed deployment of 11,298 next-generation Bitmain mining machines at Hut 8’s Drumheller facility, contributing an additional 3.05 EH/s of computing power.
The expansion positions American Bitcoin to increase production capacity further should Bitcoin prices strengthen in future quarters.
One of the biggest highlights of the earnings report was the continued growth of the American Bitcoin treasury.
The company’s Bitcoin holdings increased from 7,021 BTC at the end of the first quarter to approximately 8,002 BTC, an increase of roughly 981 BTC.
However, investors should note that around 3,090 BTC—nearly 39% of total reserves—remain pledged under equipment financing agreements with Bitmain.
Although these Bitcoin are restricted, American Bitcoin continues recognizing them within its total holdings because it maintains redemption rights and retains economic exposure.
Earlier regulatory filings showed the company carried a $364.3 million miner purchase liability associated with these financing arrangements, although updated liability figures were not disclosed for June 30.
The results reflect a broader trend among institutional Bitcoin miners prioritizing long-term Bitcoin accumulation over short-term earnings volatility.
Michael Saylor, Executive Chairman of Strategy, has repeatedly argued that companies holding Bitcoin should focus on expanding their Bitcoin reserves rather than quarterly accounting fluctuations, describing Bitcoin as “the world’s best treasury reserve asset.”
Meanwhile, Hut 8 CEO Asher Genoot has consistently emphasized disciplined infrastructure growth and efficient capital deployment as key drivers of long-term shareholder value.
While American Bitcoin remains under pressure from accounting losses tied to digital assets, its record production, expanding mining fleet, growing treasury, and improving operational metrics suggest the company remains committed to scaling its Bitcoin-first strategy despite ongoing market volatility.
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