Digital asset mining company Argo Blockchain has reported losses of $18.8 million in the first half of the year, reducing total losses from last year to $75 million.
The company has faced difficulties due to the overall market decline and the falling prices of major cryptocurrencies.
According to the company’s “Interim Half Year Results”, net losses have decreased by 50% compared to the first half of 2022.
The company’s revenues dropped by 21% compared to 2022 as a result of the declining price of Bitcoin (BTC).
In total, the company generated $24 million in revenue in the first six months of the year, with 46 BTC in assets and $9.1 million in cash.
A portion of the money raised was through operations, while $7.5 million was generated through a share placement offered to investors in July 2022.
The company previously had a debt of $143 million in June 2022, but has since reduced it to $75 million.
Argo Blockchain has also reduced its non-mining operational costs by 21% in the last quarter compared to Q2 2022.
Restructuring key to Argo’s survival
Last year was challenging for most digital asset firms, including miners who faced declining revenues due to the drop in BTC prices.
The company faced threats of bankruptcy in late 2022 but managed to restructure its operations through transactions with Galaxy Digital.
As a result, Argo Blockchain was able to reduce its indebtedness by $41 million and simplify its operating structure.
The company has increased its hashrate to 2.6EH/s and plans to raise it to 2.8EH/s in the coming months.
In line with its debt reduction plans, Argo also plans to sell certain non-core assets.