Datacentrex Q2 Loss Widens as Power Costs Crush Gross Margin
DTCX sits 26% above its 52-week low of $1.51 on light trading volume (0.3× avg).
Summary
Datacentrex reported a $5.5M GAAP net loss for Q2, with revenue flat at $1.9M. Gross margin fell sharply on higher power costs for its mining fleet, and operating expenses rose on increased depreciation, amortization, and stock-based compensation. Adjusted EBITDA loss improved sequentially to -$1.33M, and net cash burn was nearly breakeven. The company gave no guidance. This follows the 10-Q filed earlier today, which also revealed 5.5M warrants and 17.8M preferred-conversion shares as a major overhang. With $51.9M cash, the company has runway, but margin pressure and dilution risk are the key concerns.
At the time of this announcement, DTCX was trading at $1.90 on NASDAQ in the Crypto Assets sector, with a market capitalization of approximately $75M. The 52-week trading range was $1.51 to $10.93. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Reuters.