Canaan Inc (CAN) 2025 Q2 法說會逐字稿

Ladies and gentlemen, thank you for standing by, and welcome to Canaan Inc.'s Second Quarter 2025 Earnings Conference Call. (Operator Instructions) Please note that this event is being recorded.

女士們，先生們，感謝你們的支持，歡迎參加嘉楠耘智 2025 年第二季財報電話會議。（操作員指示）請注意，此事件正在被記錄。

Now I'd like to hand the conference over to your speaker today, Ms. Gwyn Lauber, Investor Relations each of the company. Please go ahead, Gwyn.

現在我想將會議交給今天的發言人，公司投資者關係部門的 Gwyn Lauber 女士。請繼續，格溫。

Thank you, operator. Hello, everyone, and welcome to our earnings conference call. Joining us today are Chairman and CEO, Nangeng Zhang; and our CFO, Jin James Cheng; Leo Wang, Vice President of Capital Markets and Corporate Development; and Xi Zhang, Senior IR Manager, will also be available during the question-and-answer session. Our CEO will start the call by providing an overview of the company and performance highlights for the quarter. Our CFO, and will then provide details on the company's operating and financial results for the period before we open up the call for your questions.

謝謝您，接線生。大家好，歡迎參加我們的收益電話會議。今天與我們一起參加的有董事長兼執行長張南庚、財務長程金、資本市場和企業發展副總裁王利奧以及高級投資者關係經理張曦，他們也將出席問答環節。我們的執行長將在電話會議開始時介紹公司概況和本季的業績亮點。我們的財務長將在我們開始回答您的問題之前提供有關公司該期間營運和財務業績的詳細資訊。

Before I begin, I would like to refer you to our safe harbor statement in our earnings press release. Today's call will include forward-looking statements. These statements include, but are not limited to, our outlook for the company and statements that estimate or project future operating results and the performance of the company. These statements speak only as of today, and the company assumes no obligation to revise any forward-looking statements that may be made in today's press release, call or webcast, except as required by law. These statements do not guarantee future performance and are subject to risks, uncertainties and assumptions. Please refer to the press release and the risk factors and documents we file with the Securities and Exchange Commission including our most recent report on Form 20-F for information on risks, uncertainties and assumptions that may cause actual results to differ materially from those set forth in such statements.

在我開始之前，我想請您參閱我們收益新聞稿中的安全港聲明。今天的電話會議將包括前瞻性陳述。這些聲明包括但不限於我們對公司的展望以及估計或預測未來營運績效和公司績效的聲明。這些聲明僅代表今天的觀點，除非法律要求，否則本公司不承擔修改今天的新聞稿、電話會議或網路廣播中可能做出的任何前瞻性聲明的義務。這些聲明並不保證未來的表現，並且受風險、不確定性和假設的影響。請參閱新聞稿以及我們向美國證券交易委員會提交的風險因素和文件，包括我們最新的 20-F 表格報告，以了解可能導致實際結果與此類聲明中所述的結果存在重大差異的風險、不確定性和假設的資訊。

In addition, during today's call, we will discuss both GAAP financial measures and certain non-GAAP financial measures, which we believe are useful as supplemental measures of the company's performance. These non-GAAP measures should be considered in addition to, and not as a substitute for, or in isolation from, GAAP results. You can find additional disclosures regarding these non-GAAP measures including reconciliations with comparable GAAP results in our earnings press release, which is posted on the company's website.

此外，在今天的電話會議中，我們將討論 GAAP 財務指標和某些非 GAAP 財務指標，我們認為這些指標可作為公司業績的補充指標。這些非 GAAP 指標應作為 GAAP 結果的補充，而非替代或與 GAAP 結果分開。您可以在我們公司網站上發布的收益新聞稿中找到有關這些非 GAAP 指標的更多披露信息，包括與可比較 GAAP 結果的對帳。

And finally, please note that during the call, all dollar amounts refer to US dollars.

最後，請注意，通話期間所有金額均指美元。

With that, I will now turn the call over to our Chairman and CEO, N.G. Zhang. Please go ahead.

現在，我將把電話轉給我們的董事長兼執行長張恩剛。請繼續。

Thank you, Gwyn. Hello, everyone. This is NG, CEO of Canaan. Welcome to our earnings call. Together with our CFO, James, we are in our Singapore headquarters to share our Q2 2025 business results and business updates with you.

謝謝你，格溫。大家好。我是嘉楠科技的執行長 NG。歡迎參加我們的收益電話會議。我們與財務長 James 一起在新加坡總部與您分享我們 2025 年第二季的業務成果和業務更新。

This past quarter marked the first anniversary since the most recent Bitcoin (inaudible), and we are delighted to celebrate Bitcoin's all-time high price in recent days. We are pleased to report the strongest quarter -- quarterly results in the current Bitcoin cycle and also the best quarter in the past 10 quarters since Q3 2022. Total revenue for Q2 reached $100.2 million, up 40% year-over-year, breaking the $100 million mark. Gross profit rose to $9.3 million, a significant increase from $0.6 million in Q1. Operating loss narrowed to $27.1 million. EBITDA turned profitable at $1.68 million and adjusted EBITDA reached $25.3 million, both hitting record high since we began reporting these metrics in Q1 2024.

剛剛過去的這個季度是比特幣（聽不清楚）誕生一周年，我們很高興慶祝比特幣最近幾天創下的歷史最高價。我們很高興地報告本季比特幣週期內最強勁的季度業績，也是自 2022 年第三季以來過去 10 個季度中最好的一個季度。第二季總營收達1.002億美元，年增40%，突破1億美元大關。毛利增至 930 萬美元，較第一季的 60 萬美元大幅成長。營業虧損收窄至2,710萬美元。EBITDA 獲利，達到 168 萬美元，調整後 EBITDA 達到 2,530 萬美元，均創下自 2024 年第一季我們開始報告這些指標以來的最高紀錄。

We attribute our strong results this quarter to three main factors: the higher and the stable Bitcoin price, our quick and effective response to the new tariff policy environment, and the rapid growth of our home use Bitcoin mining product line. Throughout the quarter, Bitcoin remained strong, rising from around $75,000 at the start of the quarter to the peak of nearly $120,000 by late May, and then staying at a high level with some volatility. At the same time, total net worth cash rate also stayed high, which kept mining margins and the pressure. The hash price in Q2 moved up overall from a low of about $48 per petahash per day to a peak of $58 per petahash per day in May. In addition, during this quarter, many countries were affected by the recyclical tariff policy, which includes the import cost of equipment for US mining customers and brought a lot of uncertainty to global trade.

我們將本季的強勁業績歸功於三個主要因素：比特幣價格的上漲和穩定、我們對新關稅政策環境的快速有效反應、以及家用比特幣挖礦產品線的快速成長。整個季度，比特幣保持強勢，從季度初的 7.5 萬美元左右上漲至 5 月底的近 12 萬美元峰值，隨後維持在高位並有一定的波動。同時，總淨值現金率也維持高位，這維持了挖礦利潤率的壓力。第二季的哈希價格總體上漲，從 5 月每拍哈希每天約 48 美元的低點上漲至每拍哈希每天 58 美元的高點。此外，本季許多國家受到循環關稅政策的影響，其中包括美國礦業客戶的設備進口成本，為全球貿易帶來了許多不確定性。

This led many US customers to delay building money sites or deploying hash rate. Facing these challenges, our sales, supply chain and the compliance teams worked closely together and focused on markets outside the US, delivering strong performance that offset the negative impact from the US markets weaker business environment. Our product sales reached approximately $72 million, including $55.9 million from Avalon Industrial Mining Solutions and $5.7 million from the Avalon Home-Use Miner Series. In Q2, we delivered a total of 6.4 million terahashes -- terahash per second of computing power with an average selling price of $11.10 per terahash. Our Avalon Home Miner product line delivered strong performance this quarter generating $5.7 million in revenue, a sharp increase of 359% from $1.3 million in the previous quarter and maintained a gross margin of 13%, which is higher than that of our institutional mining machines.

這導致許多美國客戶推遲建立賺錢網站或部署哈希率。面對這些挑戰，我們的銷售、供應鏈和合規團隊緊密合作，專注於美國以外的市場，取得了強勁的業績，抵消了美國市場疲軟商業環境帶來的負面影響。我們的產品銷售額達到約 7,200 萬美元，其中 Avalon 工業採礦解決方案銷售額為 5,590 萬美元，Avalon 家用採礦系列銷售額為 570 萬美元。在第二季度，我們總共交付了 640 萬太赫茲（太赫茲/秒）的運算能力，平均售價為每太赫茲 11.10 美元。我們的 Avalon Home Miner 產品線本季表現強勁，創造了 570 萬美元的收入，較上一季的 130 萬美元大幅成長 359%，並維持了 13% 的毛利率，高於我們的機構礦機。

This segment now accounts for over 5% of our total revenue. What is most remarkable is that this growth was achieved despite the challenges of high summer temperatures and rising electricity costs. Looking ahead, we will continue to rapidly expand the home use mining market especially in heating-related application scenarios, where energy that might otherwise be wasted can be turned into additional value. In Q2, ourself-mining operations produced 284 Bitcoins, up about 9.4% from 259 Bitcoins in the previous quarter, benefiting from the rise of Bitcoin prices during this period. Our mining revenue reached a record $28.1 million, an increase of over 15% from $24.3 million in Q1. At the end of June, our total installed mining capacity worldwide reached 8.15 extra hash per second with a 6.57 extra hash per second already in operation. Last week, we also released our July Bitcoin production and mining operations update, showing continued progress in our mining business. By end of July, our Bitcoin treasury had reached 1,500 (inaudible) Bitcoins.

該部分目前占我們總收入的5％以上。最引人注目的是，儘管面臨夏季高溫和電力成本上升的挑戰，我們仍然實現了這一成長。展望未來，我們將持續快速擴大家用挖礦市場，特別是在暖氣相關的應用情境中，原本可能被浪費的能源可以轉化為附加價值。第二季度，我們的自挖礦共產出 284 個比特幣，較上一季的 259 個比特幣成長約 9.4%，受益於本季比特幣價格的上漲。我們的採礦收入達到創紀錄的 2,810 萬美元，比第一季的 2,430 萬美元成長了 15% 以上。截至 6 月底，我們在全球安裝的總挖礦能力已達到每秒 8.15 個額外雜湊值，其中每秒 6.57 個額外雜湊值已投入運作。上週，我們也發布了 7 月比特幣生產和挖礦營運更新，顯示我們的挖礦業務持續取得進展。截至 7 月底，我們的比特幣金庫已達到 1,500（聽不清楚）比特幣。

This brings us to our next topic, our Bitcoin treasury. Historically, we have increased our Bitcoin treasury in three ways: first, by accepting Bitcoin payments for mining equipment. Second, by earning Bitcoins through our mining operations; and third, by directly purchasing Bitcoins in the open market. Looking back at this Bitcoin cycle, we have steadily accumulated Bitcoins at all stages. In recent quarters, our cash cost of mining has constantly been lower than the average market price of Bitcoin during the same period. While the cost of acquiring Bitcoins may fluctuate from quarter-to-quarter, its long-term value has continued to rise. This is why that money remains a profitable strategy for us even during bare markets.

這將引出我們的下一個主題，即我們的比特幣金庫。從歷史上看，我們透過三種方式增加了比特幣金庫：首先，接受比特幣支付採礦設備費用。第二，透過我們的挖礦業務賺取比特幣；第三，直接在公開市場上購買比特幣。回顧這個比特幣週期，我們在各個階段都在穩步累積比特幣。最近幾個季度，我們的挖礦現金成本一直低於同期比特幣的平均市場價格。雖然比特幣的購買成本可能每季都會有所波動，但其長期價值卻持續上漲。這就是為什麼即使在市場低迷時期，這筆錢對我們來說仍然是一種有利可圖的策略。

At Canaan, we are proud to be one of the few companies in the Bitcoin ecosystem that truly achieves vertical integration. Vertical integration is not just about mining Bitcoin. We design and manufacture our own ASIC chips and the mining machines. We operate our mining business better with partners around the world. And we follow a [displaced] treasury strategy to accumulate Bitcoins at attractive price levels. These three pillars work together to help us lower the cost of acquiring Bitcoins, reducing operational risks and maintain strategic flexibility through our Bitcoin cycle, all while steadily building -- enhancing our Bitcoin treasury. Since our founding, we have always delivered -- believed that Bitcoin is both a global asset class and the foundation of entire cryptocurrency ecosystem. Likewise our business expands to global and does not rely on any single country or customer growth.

在嘉楠科技，我們很自豪能夠成為比特幣生態系統中少數真正實現垂直整合的公司之一。垂直整合不僅僅是挖掘比特幣。我們設計和製造自己的 ASIC 晶片和採礦機。我們與世界各地的合作夥伴一起更好地經營我們的採礦業務。我們遵循[轉移]資金策略，以有吸引力的價格水準累積比特幣。這三大支柱共同作用，幫助我們降低獲取比特幣的成本，減少營運風險，並在整個比特幣週期中保持策略靈活性，同時穩步建立——增強我們的比特幣金庫。自成立以來，我們始終堅信比特幣既是全球資產類別，也是整個加密貨幣生態系統的基礎。同樣，我們的業務擴展到全球，並不依賴任何單一國家或客戶的成長。

Our ability to adapt, flexibility across different markets and supply chains has helped us achieve steady improvements through market cycles and policy changes. We have a strong reputation in many countries, especially in United States, which has earned us repeat orders from some of the most respected mining (inaudible) in the industry.

我們的適應能力以及跨不同市場和供應鏈的靈活性幫助我們在市場週期和政策變化中實現了穩步的改進。我們在許多國家都享有盛譽，尤其是在美國，這為我們贏得了業內一些最受尊敬的採礦公司的回頭訂單。

In R&D and supply chain, our A-16 series is now in the chip packaging and taxing stage, and will soon move into full machine testing. We are making every effort to bring A-16 series to market as quickly as possible. On the supply chain side, our manufacturing capability in US is now up and running. Can be mentioning our existing capacity in Malaysia. This allows us to meet back delivery needs for US customers with only a modest cost increase. This includes fulfilling part of the order from the listed company, Cipher, in Q3. Recently, we also secured a follow-on order from Cleanspark for our A-15 emerging cooling model, showing strong customer recognition of our products and services. As a US listed company committed to 100% compliance, our customers have great confidence in the compliance of our offerings. In today's already volatile trade environment, reducing potential regulatory risks for our clients is more important than ever.

在研發和供應鏈方面，我們的A-16系列目前已經進入晶片封裝和徵稅階段，即將進入整機測試。我們正在盡一切努力盡快將A-16系列推向市場。在供應鏈方面，我們在美國的製造能力現已啟動並運作。可以提及我們在馬來西亞的現有產能。這使我們能夠僅以適度的成本增加來滿足美國客戶的回程交付需求。其中包括在第三季完成上市公司Cipher的部分訂單。最近，我們也獲得了 Cleanspark 針對 A-15 新興冷卻模式的後續訂單，顯示客戶對我們的產品和服務的高度認可。作為一家致力於 100% 合規的美國上市公司，我們的客戶對我們產品的合規性非常有信心。在當今本已動盪的貿易環境中，降低客戶的潛在監管風險比以往任何時候都更重要。

Looking ahead, we will continue to follow our unique full cycle strategy, our vertical integration, [despite] Bitcoin treasury management and ability to flexibility shift between self-mining and Bitcoin purchase when market conditions are right. Give Canaan a clear edge at every stage of the Bitcoin cycle. By designing and producing our own hardware, operating, mining under the most favorable conditions and steadily building our Bitcoin strategy, we have established a clear competitive advantage. One that allow us to keep accumulating Bitcoins at a cost lower than the market price, even in challenging environments. Our ongoing commitment to build a company with both resilience and agility, leveraging the advantages of vertical integration to grow our Bitcoin assets, protect shareholder value and seize every market opportunity.

展望未來，我們將繼續遵循我們獨特的全週期策略、我們的垂直整​​合，[儘管]比特幣資金管理以及在市場條件合適時在自我挖掘和比特幣購買之間靈活轉換的能力。讓嘉楠耘智在比特幣週期的每個階段都佔據明顯優勢。透過設計和生產我們自己的硬體、在最有利的條件下運作和挖掘以及穩步建立我們的比特幣策略，我們建立了明顯的競爭優勢。即使在充滿挑戰的環境中，我們也能夠以低於市場價格的成本不斷累積比特幣。我們始終致力於打造一家具有韌性和敏捷性的公司，利用垂直整合的優勢來增加我們的比特幣資產，保護股東價值並抓住每個市場機會。

We believe this strategy will carry us through short-term volatility and deliver long-term, stable and outstanding returns. It will also position Canaan as a leading institution in both technology innovation and Bitcoin treasury management. We will continue to focus on North America as our core expansion region, strengthening product execution and customer service, while closely monitoring and policy changes to adjust our strategy, seize opportunities and mitigate risks. In summary, based on the current situation, we remain cautiously optimistic for Q3 2025 with revenue expected to be in the range of $125 million to $145 million. This forecast is based on the present market and operational conditions, and actual results may vary given recent policy uncertainties and market fluctuations.

我們相信這項策略將幫助我們度過短期波動並帶來長期、穩定和優異的回報。這也將使嘉楠科技成為技術創新和比特幣資金管理領域的領先機構。我們將繼續以北美為核心擴張區域，加強產品執行和客戶服務，同時密切關注政策變化以調整策略，抓住機會並降低風險。綜上所述，基於目前的情況，我們對 2025 年第三季仍持謹慎樂觀的態度，預計營收將在 1.25 億美元至 1.45 億美元之間。此預測基於當前的市場和營運條件，鑑於近期政策的不確定性和市場波動，實際結果可能會有所不同。

This concludes my prepared remarks. Thank you, everyone. Now I will hand it over to our CFO, James.

我的準備好的發言到此結束。謝謝大家。現在我將把它交給我們的財務長詹姆斯。

Thank you, NG, and good day, everyone. This is James, CFO of Canaan. I'm very glad to share our Q2 financial results with you today. As NG stated, at the start of the call, we are firmly committed to vertical integration in the Bitcoin ecosystem. Our vertically integrated model encompassing the entire chain of R&D, manufacturing and sales of mining equipment, self-mining operations and pivotal currency treasury management positions us uniquely. With the cryptocurrency industry and Bitcoin ecosystem gaining increasing attention and support globally, we are confident that our forward-thinking strategic investment is demonstrating its sustained value potential.

謝謝 NG，大家好。我是嘉楠科技的財務長詹姆斯。我很高興今天與大家分享我們的第二季財務表現。正如 NG 在電話會議開始時所說，我們堅定地致力於比特幣生態系統的垂直整合。我們的垂直整​​合模式涵蓋了採礦設備的研發、製造和銷售、自主採礦營運和關鍵貨幣資金管理的整個鏈條，使我們具有獨特的地位。隨著加密貨幣產業和比特幣生態系統在全球範圍內獲得越來越多的關注和支持，我們相信，我們具有前瞻性的策略投資正在展現其持續的價值潛力。

We are pleased to report record quarterly results with both the peak of the current Bitcoin cycle and the highest performance in the past 10 quarters following Q3 2022.

我們很高興地報告創紀錄的季度業績，既達到了當前比特幣週期的峰值，也創下了 2022 年第三季以來過去 10 個季度的最高業績。

Let me give a quick summary of our financial performance. First, we reported strong Q2 results with total revenue of $100.2 million, not only exceeding our guidance, but also reaching $100 million quarterly milestone and representing a 40% year-over-year increase. Our product sales delivered a robust performance with revenue of $72 million, an increase of 23% quarter-over-quarter and up 17% year-over-year. In Q2, we experienced a softening US demand under the pressure of tariff uncertainties while continuously delivering some early booked contract sales orders from US customers. We were also working hard to expand our distribution channels in Asia. With our efforts our average selling price or ASP increased to $11.10 per terahash per second, reaching a new quarterly high in the past two years.

讓我簡單總結一下我們的財務表現。首先，我們報告了強勁的第二季度業績，總收入達到 1.002 億美元，不僅超出了我們的預期，而且達到了 1 億美元的季度里程碑，同比增長 40%。我們的產品銷售表現強勁，營收達 7,200 萬美元，較上季成長 23%，較去年同期成長 17%。第二季度，在關稅不確定性的壓力下，我們經歷了美國需求疲軟，同時繼續交付一些來自美國客戶的早期合約銷售訂單。我們也正在努力擴大我們在亞洲的分銷管道。在我們的努力下，我們的平均售價或 ASP 提高到每太赫茲每秒 11.10 美元，達到了過去兩年來的新季度最高水平。

Turning to the revenue from our Avalon Home series. In quarter 2, we delivered approximately 13,000 units of our Avalon Home products, contributing revenue of approximately $5.7 million, and reaching the gross profit margin of 39%. As of August 13, unfulfilled orders and finished deliveries in quarter 3 totaled $9.5 million. Second, our mining business also recorded its best quarterly performance. Our mining revenue surged 202% year-over-year to $28 million. We mined 284 Bitcoins in the quarter, up 101% year-over-year. Our deployed hash rate expanded 23% from 6.6 extra hash per second at the end of quarter 1 to 8.15 extra hash per second at the end of quarter 2. In quarter 2, more than 10,000 mining rigs were newly deployed in our American projects and the installed computing power in America reached 3.66 extra hash per second at the end of quarter 2.

談到我們的 Avalon Home 系列的收入。第二季度，我們交付了約 13,000 台 Avalon Home 產品，貢獻了約 570 萬美元的收入，毛利率達到 39%。截至8月13日，第三季未完成訂單和已完成交付總額為950萬美元。第二，我們的礦業業務也創下了季度最佳業績。我們的採礦收入年增 202%，達到 2,800 萬美元。本季我們開採了 284 個比特幣，年增 101%。我們部署的哈希率從第一季末的每秒 6.6 個額外哈希值擴大了 23%，到第二季末增加到每秒 8.15 個額外哈希值。第二季度，我們在美國專案上新部署了超過 10,000 台礦機，第二季末美國安裝的算力已達到每秒 3.66 個額外哈希值。

Next, driven by the strong results of machine sales and mining operations, our profitability sold both sequentially and year-over-year. Gross profit came in at $9.3 million compared with $0.6 million in quarter 1, also setting a record high for the first time since quarter 3, 2022. Adjusted EBITDA achieved a gain of $25 million, a significant turnaround from the prior quarter's loss of $38 million. Our basic and diluted net loss per ADS narrowed to $0.03, representing the lowest loss in the past 10 quarters following quarter 3, 2022.

其次，在機器銷售和採礦業務強勁業績的推動下，我們的獲利能力環比和年比均有所提升。毛利為 930 萬美元，而第一季為 60 萬美元，這也是自 2022 年第三季以來首次創下歷史新高。調整後的 EBITDA 實現了 2,500 萬美元的收益，較上一季 3,800 萬美元的虧損有了顯著扭轉。我們的每股美國存託憑證基本和稀釋淨虧損收窄至 0.03 美元，為 2022 年第三季以來 10 個季度中的最低虧損。

Last but not least, we maintained a solid balance sheet with over 1,480 Bitcoins with a market value of approximately $160 million at the end of quarter 2. We continue to manage our Bitcoin reserves to generate sustainable outperformance.

最後但同樣重要的一點是，我們保持了穩健的資產負債表，截至第二季末，我們擁有超過 1,480 個比特幣，市值約為 1.6 億美元。我們將繼續管理我們的比特幣儲備，以實現可持續的優異表現。

Turning to the expenses. Our operating expenses totaled approximately $36 million, remaining flat sequentially. As previously announced, we are steadily progressing with the exit of our AI business. Once completed, this is expected to significantly reduce operating costs although there will be a onetime expense related to organization optimization in the short-term, the overall operating expense structure will become healthier. By the end of second quarter, the price of Bitcoin increased to around $107,000 versus around $83,000 at the end of the first quarter. The increased Bitcoin price on the last day of the quarter resulted in an aggregate unrealized fair value gain on crypto assets of $34 million. The noncash accounting treatment for the fair value change of the preferred shares hit our quarter 2 bottom line with $17 million consisting of $8 million from the Series A1 preferred shares converted during this quarter and $9 million from the remaining unconverted Series A and Series A1 preferred shares at the quarter end.

談到費用。我們的營運費用總計約為 3,600 萬美元，與上一季持平。正如先前宣布的，我們正在穩步推進人工智慧業務的退出。一旦完成，預計將大幅降低營運成本，雖然短期內會產生與組織優化相關的一次性費用，但整體營運費用結構將更加健康。截至第二季末，比特幣價格上漲至約 107,000 美元，而第一季末約為 83,000 美元。本季最後一天比特幣價格上漲，導致加密資產未實現公允價值收益總計 3,400 萬美元。優先股公允價值變動的非現金會計處理對我們第二季度的利潤產生了 1700 萬美元的影響，其中包括本季度轉換的 A1 系列優先股的 800 萬美元以及季度末剩餘未轉換的 A 系列和 A1 系列優先股的 900 萬美元。

In order to represent our performance more accurately, and more comparably, we have excluded the impact of this accounting treatment for our non-GAAP measures.

為了更準確、更具可比性地反映我們的業績，我們在非公認會計準則衡量指標中排除了這種會計處理的影響。

Turning to our balance sheet and cash flow. In quarter 2, we paid $41 million to secure our wafer supply, $62 million for production and operations and $5 million prepaid for our share repurchase program. The cash outflow aforementioned was offset by cash inflow of $66 million from sales, $7 million from export VAT refunds and $4 million from ADI program reimbursement. Consequently, at the end of quarter 2, we held cash of $66 million on our balance sheet.

轉向我們的資產負債表和現金流。在第二季度，我們支付了 4,100 萬美元以確保晶圓供應，支付了 6,200 萬美元用於生產和運營，並預付了 500 萬美元用於我們的股票回購計劃。上述現金流出被銷售現金流入 6,600 萬美元、出口增值稅退稅 700 萬美元和 ADI 計劃補償 400 萬美元所抵銷。因此，在第二季末，我們的資產負債表上持有 6,600 萬美元的現金。

Now turning to our Bitcoin assets. Bitcoin held as our own holding assets increased in the quarter, reaching a record high of 1,484 Bitcoins as of June 30. This is 76 more than 1,408 at the end of the first quarter. On June 30, 2025, the fair market value of our owned Bitcoins totaled around $160 million, and our hold gain was approximately $82 million higher than the original value of the Bitcoins that we gained from mining or other operations. As of July 31, our total Bitcoin treasury increased to 1,511 as already disclosed. As announced recently, by the end of July 2025, all Series A1 preferred shares have been converted into ADS's and sold. As of the date of the earnings, we have cumulatively repurchased approximately 3.6 million ADS's for approximately $2.4 million under the share repurchase program.

現在轉向我們的比特幣資產。本季度，我們持有的比特幣作為自有資產增加，截至 6 月 30 日，達到創紀錄的 1,484 比特幣。這比第一季末的 1,408 家增加了 76 家。2025 年 6 月 30 日，我們所擁有的比特幣的公平市場價值總計約為 1.6 億美元，而我們的持有收益比我們透過挖礦或其他操作獲得的比特幣的原始價值高出約 8,200 萬美元。截至 7 月 31 日，我們的比特幣總儲備已增至 1,511 個，正如先前所揭露的那樣。正如最近宣布的那樣，到2025年7月底，所有A1系列優先股均已轉換為ADS並出售。截至收益日期，我們已根據股票回購計畫累積回購了約 360 萬股 A​​DS，回購金額約 240 萬美元。

With rebounding customer demand and proven local manufacturing in North America, we will maintain our strategic focus on this core market. Concurrently, we will continue to be agile in response to geopolitical and policy shifts, seizing opportunities while mitigating risks. Given these developments, we expect the revenue for the third quarter to be in the range of $125 million to $145 million.

隨著客戶需求的反彈和北美本地製造業的成熟，我們將繼續把策略重點放在這個核心市場。同時，我們將繼續靈活應對地緣政治和政策變化，抓住機遇，化解風險。鑑於這些發展，我們預計第三季的營收將在 1.25 億美元至 1.45 億美元之間。

This concludes our prepared remarks. We are now open for questions.

我們的準備好的演講到此結束。我們現在接受提問。

(Operator Instructions) Mike Grondahl, Northland Capital Markets.

（操作員指示）Northland Capital Markets 的 Mike Grondahl。

This is Logan on for Mike. Congrats on the quarter. First, it was nice to see the 6.4 extra hash sold an ASP of $11.10. Is there anything to call out on current market dynamics, pricing strategy and demand for A15 you guys saw in July and August?

這是洛根 (Logan) 代替邁克 (Mike) 上場。恭喜本季取得佳績。首先，很高興看到6.4的額外哈希值平均售價為11.10美元。你們在7月和8月觀察到的當前市場動態、定價策略以及A15的需求有什麼需要注意的嗎？

Hi, Mike. Yes, in Q1 this year, first, I give some -- yes. Of course, I'll give some (inaudible) at the numbers. Bitcoin price now rise to new heights. And demand of A15 today looks somewhat different from when we issued our first year -- first 2025 guidance in January. And in Q1, I think the ASP for our -- the ASP for Q1 is $10.50 per terahash, and Q2 ASPs rise to $11.10 terahash. Yes, this is ASP side. But in Q2 there's -- because of the tariff policy, which has increased the overall cost for our US customers. And I think the estimated impact is roughly from like 15% to 25%. And it remains fluctuate. So as a result, many mining customers in the US are still taking -- we will wait and see, but several US orders we announced recently, especially from public listed miners shows that through joint efforts customers are gradually adapting the tariff changes and they are -- will need to purchase.

你好，麥克。是的，在今年第一季度，首先，我給一些——是的。當然，我會給一些（聽不清楚）數字。比特幣價格現已升至新高。今天對 A15 的需求與我們在一月份發布第一年（即 2025 年第一個指導意見）時有所不同。在第一季度，我認為我們的 ASP 為——第一季的 ASP 為每太赫茲 10.50 美元，而第二季度的 ASP 則上升至每太赫茲 11.10 美元。是的，這是ASP端。但在第二季度，由於關稅政策，我們美國客戶的整體成本增加了。我認為預計影響大約在 15% 到 25% 之間。並且它仍然在波動。因此，美國的許多礦業客戶仍在採取——我們將拭目以待，但我們最近宣布的幾份美國訂單，特別是來自上市礦業公司的訂單表明，透過共同努力，客戶正在逐步適應關稅變化，他們需要購買。

It's coming back. Yes. And also, we have opened our production facilities in the US. And now we can deliver machines from US and Malaysia to avoid the tariffs, some of the tariffs, to improve the overall user experience in full service.

它又回來了。是的。此外，我們也在美國開設了生產設施。現在我們可以從美國和馬來西亞運送機器以避免關稅，部分關稅，以全面改善用戶的整體服務體驗。

So I think in the last three quarters, our ASP is increasing. And also ongoing demand outside -- especially outside US for high-performance miners is also growing. So -- and another thing is because the A15, the manufacturing advantage -- process is improving, and the performance is increasing and the cost is slightly lower and lower. So it's supported our ASP and gross margin.

所以我認為在過去三個季度中，我們的平均售價正在上漲。而且外部需求—尤其是美國以外地區對高性能礦機的需求也不斷增長。所以——另一件事是因為 A15 的製造優勢——製程正在改進，性能正在提高，成本也越來越低。因此它支持了我們的平均售價和毛利率。

Great. Thanks for the color there. And then one follow-up from us. Congrats on the Cipher and Cleanspark order during the quarter. Can you guys just provide an update now with the -- I think you said the United States production facility, how is Canaan viewing a strategy for penetrating the North American market? Is there any updates for how you guys see to grow market share there?

偉大的。感謝那裡的色彩。然後我們再跟進一下。恭喜本季獲得 Cipher 和 Cleanspark 訂單。你們能否提供一下最新情況──我想你們說的是美國生產設施，嘉楠耘智如何看待進軍北美市場的策略？你們對於如何擴大市佔率有什麼最新看法嗎？

First, I will say something. And about Cipher's orders, maybe James will add some color after that. I think we have always believed that actively expanding in North America market is the right decision at least in mid and long term. And fully in line with our long-term strategy I think the US continues to send strong policy signals supporting the reason is the signal supporting the cryptocurrency industry and also American has the world's most true crypto community. And it's home to the largest number of publicly listed mining companies. It also has abundance and diverse power resources, including wind and solar, renewable energy that can support very large-scale deployments.

首先我要說一下。關於 Cipher 的命令，也許 James 之後會添加一些說明。我想我們一直相信積極拓展北美市場至少從中長期來看是正確的決定。並且完全符合我們的長期戰略，我認為美國繼續發出強有力的政策信號支持，原因是支持加密貨幣行業的信號，而且美國擁有世界上最真正的加密社區。這裡也是上市礦業公司數量最多的地區。它還擁有豐富多樣的電力資源，包括風能和太陽能等再生能源，可以支援大規模部署。

America's culture of innovation and its capital markets ecosystem provides a very strong foundation for institutional miners. Yes. So for us, because the institutional miners always have set habits in site operations, equipment purchasing. So for us, the key to gain more market share in US is to get more customers to try our products first. So our machines must have very clear performance advantages. So customers have good reasons to test our new models.

美國的創新文化及其資本市場生態系統為機構礦工提供了非常堅實的基礎。是的。所以對我們來說，因為機構礦工在現場操作、設備採購方面總是有固定的習慣。因此對我們來說，在美國獲得更多市場份額的關鍵是讓更多的客戶先嘗試我們的產品。所以我們的機器必須具有非常明顯的性能優勢。因此客戶有充分的理由測試我們的新模型。

Second is our service quality must be the highest in the industry standard. I think in 2024, North America already contributed about 40% of our total mining machine sales revenue. On the mining side, we already have deployed 3.67 extra hash per second for -- of mining hash rate in this region. In Q2, our mining revenue in North America reached a record high of $28 million. And this year, we -- as I mentioned, we also established manufacturing capacity in US. This is all solid for long-term growth in North America.

第二是我們的服務品質必須是業界最高的標準。我認為到2024年，北美已經貢獻了我們礦機總銷售收入的40%左右。在挖礦方面，我們已經在該地區部署了每秒 3.67 個額外的哈希值——挖礦哈希率。第二季度，我們在北美的挖礦收入達到了創紀錄的2,800萬美元。正如我所提到的，今年我們也在美國建立了製造能力。這對於北美的長期成長來說都是有利的。

In short-term, I think the changes in business environment and policies earlier this year slowed our expansion pace in US. So -- but we make adjustments and some -- and I think the most transit period is now behind us. Key metrics are recurring, and we remain confident in long-term potential of North American market.

短期來看，我認為今年年初商業環境和政策的變化減緩了我們在美國的擴張步伐。所以 — — 但我們會做一些調整 — — 我認為大部分過渡期已經過去了。關鍵指標不斷重複，我們對北美市場的長期潛力仍然充滿信心。

Yes. I will add some color on this because US market is so important for us in our annual report we have mentioned like 40% of our revenue in 2024, has come from US market. And recently, we got orders from Cipher and Cleanspark. And in the Cipher order, it's the first time we start to have the -- use the manufacturing factory in the United States to -- as a new alternative. Although the cost is a little bit higher, and I think it's beneficial to our customers. It's close to them. And they recognize our product performance.

是的。我將對此進行一些說明，因為美國市場對我們來說非常重要，我們在年度報告中提到，2024 年我們 40% 的收入來自美國市場。最近，我們收到了Cipher和Cleanspark的訂單。在 Cipher 訂單中，我們第一次開始使用美國的製造工廠作為新的替代方案。雖然成本稍微高一點，但我認為這對我們的客戶來說是有利的。它離他們很近。並且他們認可我們產品的性能。

So we would like to improve the delivery capability and overall corporation experience for them. So I think that's also showed our execution to the strategic thinking from CEO, just to mention that we really value our customers in the United States and the US strategy is one of the most important strategy in our whole integrated system. I think the new orders is mutually beneficial to both us and also Cipher. And we also have the immerse cooling orders from Cleanspark as well. So I think now is the better time compared to the early stage of the tariff come out after Liberation Day. US customers tend to slow down their orders. But now we get back our customers, and we start to have some orders. I believe we will have chance -- have opportunity to have more. Thank you, Mike.

因此，我們希望提高他們的交付能力和整體企業體驗。所以我認為這也顯示了我們對執行長戰略思想的執行，需要指出的是，我們非常重視我們在美國的客戶，美國戰略是我們整個綜合系統中最重要的戰略之一。我認為新指令對我們和 Cipher 都是互惠互利的。我們還有來自 Cleanspark 的浸入式冷卻訂單。所以我認為現在比解放後初期的電價推出要好一些。美國客戶往往會放慢訂單速度。但現在我們的客戶已經回來了，並且開始收到一些訂單。我相信我們會有機會—擁有更多的機會。謝謝你，麥克。

Edward Engel, Compass Point Research.

愛德華·恩格爾（Edward Engel），Compass Point Research。

This is [Bill Lever] on for Ed. Can I just ask, have you seen any changes in customary site demand since May? And has sentiment rebounded back towards like Q1 levels, for example?

我是[Bill Lever]，代替Ed發言。請問自五月以來，您發現常規站點需求有任何變化嗎？例如，市場情緒是否已經反彈至第一季的水平？

I think since July this year, we have indeed seen some positive changes in the market demand recently. We have announced several new orders from institutional customers in North America, showing that local customers are gradually adopting this new tariff environment. And their willingness to purchase is returning. I think it's important to note that the direct impact of the tariff policy is concentrated mainly in the US. During Q2, we saw very active demand in Asia and other regions, where we secured a large number of orders this quarter. The company delivered over $100 million in revenue, with more than $70 million for mining machine sales, and most of these orders did not come from the US. This shows that overall global demand remains healthy and risk ceded.

我想從今年7月份以來，我們最近確實看到市場需求出現了一些正面的變化。我們已公佈了幾份來自北美機構客戶的新訂單，顯示當地客戶正在逐步適應這種新的資費環境。他們的購買意願正在恢復。我認為需要注意的是，關稅政策的直接影響主要集中在美國。第二季度，我們看到亞洲和其他地區的需求非常活躍，本季我們獲得了大量訂單。該公司營收超過1億美元，其中礦機銷售額超過7,000萬美元，而且這些訂單大部分並非來自美國。這顯示全球整體需求依然健康，風險已經消退。

And because in July, Bitcoin prices have also reached a new all-time high, several times. Which has been an important driver for miners to increase purchases. That said, because the US tariff policy is still not settled uncertainty remains. I think the demand from US customers has not fully returned to levels before the tariff policy announced. And I think I need to talk about some indirect impacts, because it's more complex restrictions, our mining machines import to US have a great -- a very rare situation in this industry, maybe in the past 10 years where mining is still profitable or very profitable. But due to supply demand imbalances, machine originally intend for US market had to be sold to other regions that -- at discounted prices. This created the virus market doing a(inaudible) cycle -- so something is not seen over a decade. So to address this, I must -- I think what we can do is we must continue to work on other ways to get machines into the US at a lower cost. Yes.

而自7月以來，比特幣價格也多次創下歷史新高。這成為礦工增加購買量的重要動力。儘管如此，由於美國關稅政策仍未確定，不確定性依然存在。我認為美國客戶的需求還沒有完全恢復到關稅政策宣布之前的水平。我認為我需要談談一些間接影響，因為限制更為複雜，我們進口到美國的採礦機有很大的——這在該行業非常罕見，也許在過去的 10 年裡，採礦仍然有利可圖或非常有利可圖。但由於供需失衡，原本打算銷往美國市場的機器只好以折扣價賣給其他地區。這使得病毒市場形成了一個（聽不清楚）循環——因此十年來沒有出現過這種情況。因此，為了解決這個問題，我必須——我認為我們能做的就是繼續努力尋找其他方法，以更低的成本將機器運進美國。是的。

So I think our US manufacturer is already in operational but while it's still very complex because complements enter in the US steel base tariffs. Overall, I think the setup helps us to lower the cost and to speed of the supply for US market to solve the previous question. And yes, I think it will help us to gain more lock holders.

因此，我認為我們的美國製造商已開始運營，但由於補充產品進入美國鋼鐵基本關稅，情況仍然非常複雜。整體來說，我認為這個設定有助於我們降低成本，加快美國市場的供應速度，從而解決前面的問題。是的，我認為這將幫助我們獲得更多的鎖定持有者。

Kevin Cassidy, Rosenblatt Securities.

羅森布拉特證券公司的凱文·卡西迪。

Yes. Congratulations on the great results. Can you describe the effect that Bitcoin miners -- with them pursuing the AI and HPC co-location hosting agreements. Is that slowing the demand for the Bitcoin mining rigs?

是的。恭喜您取得如此優異的成績。你能描述一下比特幣礦工追求 AI 和 HPC 共置託管協議的影響嗎？這是否會減緩對比特幣挖礦設備的需求？

Yes. Yes, we have seen some miners in recent quarters. They are shifting a part of their power and the facilities to AI/HPC co-location projects and some have done so very successfully, often leveraging their experience in Bitcoin mining and access to energy resources. We see AI/HPC and Bitcoin mining as complementary for two reasons. First is AI/HPC products typically have longer sales cycles and capital recovery period than Bitcoin mining. So when Bitcoin price is high, the network demand strong. Mining continued to offer higher and more predictable (inaudible) which is why many companies are pursuing both.

是的。是的，最近幾季我們看到了一些礦工。他們正在將部分電力和設施轉移到 AI/HPC 共置項目，其中一些項目已經非常成功，通常利用他們在比特幣挖礦和能源資源獲取方面的經驗。我們認為 AI/HPC 和比特幣挖礦是互補的，原因有二。首先，AI/HPC 產品的銷售週期和資本回收期通常比比特幣挖礦更長。因此，當比特幣價格高時，網路需求強勁。採礦業繼續提供更高、更可預測的（聽不清楚），這就是為什麼許多公司都在追求這兩者。

Second, from an energy standpoint, there is no direct competition for resources. Bitcoin mining is an already flexible power consumer. Over the long term, it can quickly secure large volumes of energy at very low cost, enabling rapid scaling rather than waiting years for traditional products over longer timeframes down to a year or even days. It's load profile allows it to absorb intermediate renewable or surpass energy, helping stabilize supply for AI/HPC will grow. So many large energy projects now plan for both mining and potential HPC customers together, improving overall energy utilization.

其次，從能源角度來看，不存在直接的資源競爭。比特幣挖礦已經是一個靈活的電力消耗者。從長遠來看，它可以以極低的成本快速獲得大量能源，實現快速擴展，而無需等待傳統產品數年，時間長達一年甚至幾天。它的負載曲線使其能夠吸收中等再生能源或超越能源，有助於穩定 AI/HPC 的供應成長。因此，許多大型能源專案現在同時為採礦業和潛在的 HPC 客戶進行規劃，以提高整體能源利用率。

So overall, our customers include large institutional miners, distribution partners, and home use around the world with a flexible for -- product portfolio and global delivery capabilities. I think we can meet a wide range of deployment needs. So we expect Bitcoin mining equipment to remain the core driver for our business.

整體而言，我們的客戶包括大型機構礦工、分銷合作夥伴和世界各地的家庭用戶，擁有靈活的產品組合和全球交付能力。我認為我們可以滿足廣泛的部署需求。因此，我們預期比特幣挖礦設備仍將是我們業務的核心驅動力。

Okay. And maybe just as a follow-up, can you give us an update on the next-gen A-16s? And are you seeing a trend for more liquid cool than immersion systems than in the past?

好的。也許只是作為後續問題，您能否向我們提供有關下一代 A-16 的最新消息？您是否發現與過去相比，液體冷卻比浸沒系統更受歡迎？

Firstly, I will answer the liquid cool and air cool question. Yes. I think currently, (inaudible) cool system have been grow steadily. But now air cool models still account for most of our miner sales. I think the reason is because they have lower deployment requirements. It's more simple to install and maintain and can be quickly rolled out across a wide range of global markets, especially for customers who have -- value flexibility and low operating costs. For the water cool system, because it performed very well in high-density computing environments but require stricter standards for water quality and operations. They are mainly used by large mining farms with fixed infrastructure. Since July, we've seen growing demand in Asia from customers who want to use the heat output for water heating many of them start with small batches for a (inaudible) to several hundred machines, while they prepare for larger deployments later in winter, yes. Immersion cooling is growing very fast, particularly in North America and parts of Middle East.

首先，我將回答液體冷卻和空氣冷卻的問題。是的。我認為目前，（聽不清楚）酷系統一直在穩定發展。但現在風冷機型仍然占我們礦機銷售的大部分。我認為原因是它們的部署要求較低。它的安裝和維護更加簡單，並且可以在全球廣泛的市場上快速推廣，特別是對於那些重視靈活性和低營運成本的客戶。對於水冷系統，因為它在高密度計算環境中表現非常出色，但對水質和操作的標準要求更嚴格。它們主要被具有固定基礎設施的大型礦場使用。自七月以來，我們看到亞洲客戶的需求不斷增長，他們希望利用熱量輸出來加熱水，其中許多客戶從小批量開始，用於（聽不清楚）到幾百台機器，同時為冬季晚些時候的大規模部署做準備，是的。浸入式冷卻發展非常迅速，特別是在北美和中東部分地區。

Large institutional miners like Cleanspark are choosing immersion for its strong performance, high density, low noise and very stable. These projects often involve higher customization, long-term capital investments, which also strengthened customer rotation -- orientation yes. For that generation, we will offer all three different cooling options and we will optimize designs for different markets or even different customers for different energy conditions. Yes. For example, I think in higher-temperature regions, immersion cooling, water cooling, may be more attractive and some distributed sites or smaller sized air cooling maybe continue to deliver strong cost effectiveness. So I think, for -- because the energy efficiency and the next-gen ASIC minus requirements and a larger and larger scale operators immersion and water cool models will become more and more common.

Cleanspark 等大型機構礦工選擇浸入式挖礦是因為其性能強大、密度高、噪音低且非常穩定。這些項目通常涉及更高程度的客製化、長期資本投資，這也加強了客戶輪調——是的。對於那一代產品，我們將提供所有三種不同的冷卻選項，並將針對不同的市場甚至不同的客戶針對不同的能源條件最佳化設計。是的。例如，我認為在較高溫度的地區，浸入式冷卻、水冷可能更具吸引力，而一些分佈式站點或較小規模的空氣冷卻可能繼續提供強大的成本效益。所以我認為，由於能源效率和下一代 ASIC 減量要求以及越來越大規模的操作員浸入式和水冷模型將變得越來越普遍。

Another -- I think you asked about the A-16. So A-16 now is a -- yes, yes, the A-16 now is at stages for chip assembly and the testing. Yes, it's only maybe one, two weeks before we have full machine testing results. So -- yes, so after that, we will have a product launch when the full system test is complete, we will announce -- officially introduce this -- A-16 to market.

另外——我想您問的是 A-16。所以 A-16 現在是 — — 是的，是的，A-16 現在正處於晶片組裝和測試階段。是的，可能只需要一到兩週我們就能得到完整的機器測試結果。所以——是的，之後，當整個系統測試完成後，我們將推出一款產品，我們將宣布——正式將 A-16 推向市場。

John Todaro, Needham & Company.

約翰‧托達羅，李約瑟公司。

Two for you. One, if we could just dig a little bit more into the Bitcoin treasury strategy and kind of your thoughts on some of the Bitcoin treasury companies out there? Is there a possibility you could start getting a premium into the stock, similar to those type of companies? And then as a follow-up, as you do think about your Bitcoin stack, and apologies if I missed this, but any way to generate yield off it, derivative strategies, anything like that, like some of your peers where they're able to generate a yield on that Bitcoin holding?

給你兩個。首先，我們是否可以更深入地了解比特幣財務策略，以及您對一些比特幣財務公司的看法？您是否有可能像那些類型的公司一樣開始獲得股票溢價？然後作為後續問題，當您考慮您的比特幣堆疊時，如果我錯過了這一點，請原諒，但是有沒有什麼方法可以從中產生收益，衍生策略，諸如此類的東西，就像您的一些同行一樣，他們能夠從比特幣持有中獲得收益？

Thank you, John. This is James speaking. I would like to introduce a little bit, although we are still in the early stage of doing Bitcoin treasury strategy. I think our approach to do this Bitcoin treasury management, the first thing is to build up a kind of conservative foundation with the goal to make sure our holdings is quite safe. And also, we would like to increase the long-term value and liquidity. I think that's the purpose of doing this.

謝謝你，約翰。我是詹姆斯。我想稍微介紹一下，雖然我們還處於做比特幣財務策略的早期階段。我認為我們進行比特幣資金管理的方法首先是建立一個保守的基礎，目標是確保我們的資產相當安全。此外，我們也希望提高長期價值和流動性。我想這就是我們這樣做的目的。

First of all, we have already the -- demonstrated a way of doing this collateral rise financing. Kind of rising Bitcoin market, we can pledge part of our Bitcoin to access low-cost capital for high return projects. Such as miner production and also self-mining expansion for our operation. I think when the financing term ends, we usually can repay the principle. Also, we can generate additional financing. This can also improve the efficiency of our capital use. I think that's the first method.

首先，我們已經展示了一種實現這種抵押品增加融資的方法。隨著比特幣市場的不斷成長，我們可以抵押部分比特幣來獲取低成本資本，用於高回報項目。例如礦工生產以及我們營運的自我採礦擴張。我認為當融資期限結束時，我們通常可以償還本金。此外，我們還可以獲得額外的融資。這樣也能提高我們資金使用的效率。我認為這是第一種方法。

Secondly, I think we can also place some of the Bitcoin in short-term interest-bearing accounts. As you said, earning a modest yield. Also make sure it's safe and compliance. In addition, we can also evaluate selective derivative strategies to manage price volatility or capture extra returns under certain market conditions. I think that's also important.

其次，我認為我們也可以把一部分比特幣放在短期有利息的帳戶裡。正如你所說，獲得適度的收益。還要確保其安全性和合規性。此外，我們還可以評估選擇性衍生策略，以管理價格波動或在特定市場條件下獲得額外回報。我認為這也很重要。

So overall speaking, we have a kind of vertical integrated model. This model is quite interesting. We can grow our Bitcoin reserves through multiple channels. For example, accepting Bitcoin and payments for miners. Also, we can mine coins at a kind of cost below market average. And also, we can directly buy Bitcoin in the secondary market when the prices are more attractive. So I think although we are still in the early stage, our Bitcoin treasury has already reached 1,511 coins by the end of July. It's a new record. So over time, I believe the market will see us not only as a kind of a hardware maker or mining machine provider or computing solutions. The whole market will also look at as a capable Bitcoin treasury company. Thank you thank you, John.

整體來說，我們有一種垂直整合模式。這個模型挺有意思的。我們可以透過多種管道增加我們的比特幣儲備。例如接受比特幣和礦工付款。此外，我們可以以低於市場平均的成本來開採貨幣。而且，當價格更具吸引力時，我們可以直接在二級市場上購買比特幣。因此我認為，儘管我們仍處於早期階段，但截至 7 月底，我們的比特幣金庫已經達到了 1,511 個幣。這是一個新紀錄。因此，隨著時間的推移，我相信市場將不僅僅將我們視為一種硬體製造商、採礦機提供商或計算解決方案。整個市場也將視其為一家有能力的比特幣財務公司。謝謝你，約翰。

Kevin Dede, H.C. Wainwright.

凱文·德德、H.C. 溫賴特。

NG, James, I'm curious to dig in a little bit deeper following up on John's question. Would you consider using the Bitcoin treasury to help fund operations? I wasn't really clear, James, if that was part of the intention. I apologize if I messed that up.

NG，詹姆斯，我很好奇想更深入地了解約翰的問題。您會考慮使用比特幣金庫來幫助資助營運嗎？詹姆斯，我不太清楚這是否是意圖的一部分。如果我把事情搞砸了，我深感抱歉。

Kevin, to fund different operations like mining size expansion and also, in certain stage, we also order wafers by utilizing Bitcoins as a pledge to get loans. Does that answer your question, Kevin?

凱文，為了資助不同的運營，例如擴大採礦規模，並且在某些階段，我們還利用比特幣作為抵押品來獲得貸款，從而訂購晶圓。這回答了你的問題嗎，凱文？

That helps very much. Appreciate it, James. Yes. So also curious about the geographies that you're finding the greatest demand for the Avalon home miners and how you intend to market that effort?

這非常有幫助。非常感謝，詹姆斯。是的。所以，您還好奇哪些地區對 Avalon 家用礦機的需求最大，以及您打算如何推銷產品？

Yes. Yes, I think currently, we will sell the Avalon Home series globally. There's many, many different countries. But I think the primary region is still the US, yes. So yes. And I think we have -- the home miner, we have very good metrics in quarter 2 and in quarter 3, this is only one month, a little more than one month, and we have better -- much better performance than the quarter 2. I don't have the exact numbers, but it's roughly is much better than quarter 2. So yes, so -- the interesting thing is we are selling -- we are trying to sell more heaters in summer and still is getting very good results. So I think the home miner is a very new production line for the whole industry. We are working and learning. This is (inaudible). From my personal view, I think the home miners today can get a good -- it's already reached a good level for the -- for product. If a target customer is miners.

是的。是的，我認為目前，我們將在全球銷售 Avalon Home 系列。有很多很多不同的國家。但我認為主要地區仍然是美國，是的。是的。我認為，對於家庭礦工來說，我們在第二季和第三季都有非常好的指標，這僅僅一個月，一個多月，我們的表現比第二季好得多。我沒有確切的數字，但大致比第二季好得多。是的，有趣的是，我們正在銷售——我們正試圖在夏天銷售更多的加熱器，並且仍然取得了非常好的成績。所以我認為家用礦機對於整個產業來說是一個非常新的生產線。我們正在工作和學習。這是（聽不清楚）。從我個人的觀點來看，我認為今天的家庭礦工可以獲得良好的產品 - 它已經達到了良好的水平。如果目標客戶是礦工。

But for traditional consumer market, we still need to enhance the everything. Include the user experience, costs, and the quality, everything to reach the requirements for traditional consumer markets. So this is what we need to do next. And we are building a very special team to working on the product itself. Yes. So I hope this answers your question. Thank you.

但對於傳統消費市場，我們還需要加強一切。包括使用者體驗、成本、品質，一切都要達到傳統消費市場的要求。這就是我們接下來需要做的。我們正在組建一個非常特殊的團隊來負責產品本身的研發。是的。我希望這能回答你的問題。謝謝。

(Operator Instructions) Mark Palmer, The Benchmark Company.

（操作員指示）Mark Palmer，The Benchmark Company。

Yes. Congratulations on the resilience demonstrated during the quarter. I wanted to see if you could address the company's current capital deployment priorities, given where the share price is, how inexpensive the stock certainly appears, it seems like buybacks would be very much in order. I know that there were some executed during the second quarter. How are you thinking about capital deployment at large, where buybacks fit into the mix, versus alternative uses of capital?

是的。恭喜您在本季度表現出的韌性。我想看看您是否可以解決公司目前的資本部署優先事項，考慮到股價目前的位置，股票看起來有多便宜，回購似乎是非常有序的。我知道第二季度有一些人被處決了。您如何看待整體資本配置，其中回購與資本的其他用途如何結合？

Yes. Thank you, Mark. I think we have already completed the $100 million preferred share financing in March. After that, we have not used our ATM program. We have paused the ATM program since February 20 to avoid putting additional pressure on the market especially after our share price fell below $2, I think in early February. Instead in May, we have announced up to $30 million share repurchase program. And in June, both CEO and myself personally purchased like 817,000 shares.

是的。謝謝你，馬克。我認為我們已經在三月完成了1億美元的優先股融資。此後，我們就沒有使用過我們的 ATM 程式。我們從 2 月 20 日起暫停了 ATM 計劃，以避免給市場帶來額外壓力，尤其是在我們的股價跌破 2 美元之後，我想是在 2 月初。相反，我們在五月宣布了高達 3000 萬美元的股票回購計劃。6 月份，執行長和我個人分別購買了 817,000 股。

I think in current stage, we believe our shares are significantly undervalued. So buying back stock at current level is a better use of capital than issuing equity. So far, we have already purchased like 3.6 million ADS's. I think -- that's something we have already do. And also in using the fund recently, the demand in Asia remains strong. And I think the customers' interest on expanding their mining fleets from North American customers is steadily recovering. So it seems like the overall market demand is going up, and we got healthy orders and sales growth. Every quarter is better than the previous one quarter. So this allows us to prioritize using the capital from the operation to do the operation. Of course, we can also do some self-mining, although it's not as fast as previously.

我認為在當前階段，我們的股票被嚴重低估了。因此，以目前水準回購股票比發行股票更能充分利用資本。到目前為止，我們已經購買了約 360 萬股 A​​DS。我認為——這是我們已經做過的事情。而且在最近使用該基金時，亞洲的需求依然強勁。我認為北美客戶對擴大採礦船隊的興趣正在穩步恢復。因此看起來整體市場需求正在上升，我們獲得了健康的訂單和銷售成長。每個季度都比前一個季度更好。因此，這使我們能夠優先使用營運資金來開展營運。當然我們也可以進行一些自我挖掘，儘管速度沒有以前那麼快。

But still, we are growing our mining fleet. I think that's something we are trying to do. We will continuously maintain flexible in capital allocation. We can make all kinds of spending decisions based on the actual business needs, we should balance the allocation of minor inventory between sales and sales mining. Usually, we follow a kind of strategy to build to order, keeping some delivery capacity in reserve. So I think for the capital use in the operation, we always do the allocation in between different business needs, so make sure we have the sufficient funds for future. But of course, we will also do some stock repurchase recently, and we will not start any kind of fundraising immediately. I think -- I hope I answered your question, Mark.

但我們仍在擴大我們的採礦船隊。我認為這是我們正在努力做的事情。我們將繼續保持資本配置的靈活性。我們可以根據實際業務需求做出各種支出決策，應該在銷售和銷售挖掘之間平衡小庫存的分配。通常我們採取一種按訂單生產的策略，保留一定的交付能力。因此我認為，對於營運中的資金使用，我們總是在不同的業務需求之間進行分配，以確保我們有足夠的資金用於未來。但當然，我們最近也會做一些股票回購，而且我們不會立即開始任何形式的融資。我想——我希望我回答了你的問題，馬克。

[Dorsha Beling], B. Riley Securities.

[Dorsha Beling]，B. Riley 證券。

Hello, everyone. And NG and James, maybe my question is the kind of summary and follow-up of what's been asked regarding our North America plans. So given that many, many minor kind of postponed the expansion plan due to HPC AI initiatives, how do you see the evolution of average selling price, let's say, by the end of 2025 and maybe going forward in 2026?

大家好。NG 和 James，也許我的問題是針對我們的北美計劃所提出的總結和後續問題。因此，鑑於許多小規模企業由於 HPC AI 計劃而推遲了擴張計劃，您如何看待平均售價的演變，比如說到 2025 年底，甚至 2026 年？

Yes, I think -- because I think I just mentioned, the -- the global market is quite active currently because you know the -- I think we -- I mentioned a number which is the hash price, for how many dollars per petahash per day. Now, today, I think is about $58 per petahash per day. There is an experienced number if this number is higher than $55, then is a full market for the miner market. But if it's lower than $55, it's maybe a bear market. So currently, it's $58. So technically, it's a full market for the miner market. But still because unbalanced caused by the tariff policy fluctuations in North America. So currently, I think the ASP for the miners it's lower than it should be. This is what we are facing today and how to -- we are talking higher ASP, so the method for us is to reopen the channel to send more or manufacture or produce more miners in US than the supply and demand and bias could be solved.

是的，我認為——因為我認為我剛才提到過——全球市場目前非常活躍，因為你知道——我認為我們——我提到了一個數字，即哈希價格，即每 petahash 每天多少美元。現在，我認為今天的價格大約是每拍哈希每天 58 美元。有一個經驗豐富的數字，如果這個數字高於 55 美元，那麼對於礦工市場來說就是一個完整的市場。但如果低於 55 美元，則可能進入熊市。目前價格為 58 美元。所以從技術上來說，這是一個完整的礦工市場。但仍因為北美關稅政策波動造成的不平衡。因此目前，我認為礦工的平均售價低於應有的水平。這就是我們今天面臨的問題以及如何——我們正在談論更高的平均售價，所以我們的方法是重新開放管道，向美國發送更多、製造或生產更多的礦機，這樣才能解決供需和偏見的問題。

So I think for the US market because the tariff stuff, the ASPs may be higher than what we expected, but because the cost is higher, so we need to sell the machines at a higher price. It's not a healthy ASP growth, I think, but it will happen. And also most of the orders, it happens outside the US in Q2. In Q3, more and more new customers coming -- which is coming in Q1, Q2, making deals with us. So we are in -- I think personally, we are in a very cautious optimistic for the ASPs in late 2025. And because the machines performance is higher, and we have A-16 following. So we have better machines than the ASP should be higher than -- should also higher yes. Okay. So -- yes, so this is my comment on ASP sessions. Thank you.

因此我認為對於美國市場來說，由於關稅的原因，平均售價可能高於我們的預期，但由於成本較高，所以我們需要以更高的價格出售機器。我認為這不是一個健康的平均售價成長，但它會發生。而且第二季的訂單大多發生在美國境外。在第三季度，越來越多的新客戶－在第一季、第二季就已經有客戶來與我們達成交易。因此，我個人認為，我們對 2025 年末的 ASP 持非常謹慎樂觀的態度。而且由於機器性能更高，我們還有A-16跟隨。因此，我們擁有比 ASP 更好的機器，其價格也應該更高——是的。好的。所以——是的，這是我對 ASP 會話的評論。謝謝。

Thank you. As there are no further questions in queue. Now I'd like to turn the call back over to the company for any closing remarks.

謝謝。因為隊列中沒有其他問題。現在我想將電話轉回給公司，請他們做最後發言。

Thank you, everyone, for joining us on the call today. If you have any further questions, feel free to reach us directly or through the contact information that you can find on our website. Thank you.

感謝大家今天參加我們的電話會議。如果您有任何其他問題，請直接聯絡我們，或透過我們網站上的聯絡資訊與我們聯絡。謝謝。

That concludes the conference call for today. Thank you, everyone, for attending, and you may now disconnect.

今天的電話會議到此結束。感謝大家的出席，現在您可以斷開連結了。