Company: SLNH
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001756
Chunk: 3027

Company: Soluna Holdings, Inc
Filing Date: 2025-03-31
Form: 10-K
Item: Item 9C
Chunk 3027
---
 Data Center Hosting segment
generated revenue from hosting services performed to third-party Bitcoin mining customers at the Company’s data centers, which
were previously at Project Marie and currently from Project Sophie and Project Dorothy. The High-Performance Computing Services
segment currently has just begun generating revenue in December 2024 for approximately $16
thousand, as Project Ada still worked to build its customer base. Project Ada’s cost of revenue for the year ended
December 31, 2024 is approximately $5.7
million in relation to costs associated with HPE.

The
Company includes Demand Response revenue as a reconciling item of revenue and is not included within the three reportable segments.
The Company utilizes our data centers to deliver demand response services to grid operators or utilities. Under these arrangements
with a grid operator, the Company agrees to be available to ramp down a registered data center’s power consumption to a
specific target level. In exchange, the grid pays the company a fee for this dispatch right, provided the Company can perform within
certain parameters. The Company can be providing any type of service at the data centers whether it be Cryptocurrency Mining, Data
Center Hosting, or AI to generate demand service revenue.

The
following table details revenue, cost of revenues, and other operating costs for the Company’s reportable segments for years ended December 31, 2024 and
2023, and reconciles to net income (loss) on the consolidated statements of operations:

Schedule
of Segment Reporting Information

For
the year ended December 31, 2024

    Cryptocurrency Mining  
    Data Center Hosting  
    High-Performance Computing Services  
    Total 
  
    Segment Revenue: Revenue from external customers 
    $17,027  
    $18,838  
    $16  
    $35,881 
  
    Reconciliation of revenue Demand
                                            response revenue (a) 

     2,140 
  
    Total consolidated revenue 

     38,021 
  
    Less: Segment cost of revenue 

    Utility costs 
     5,381  
     5,437  
     -  
     10,818 
  
    Wages, benefits, and employee related costs 
     849  
     2,087  
     6  
     2,942 
  
    Facilities and Equipment costs 
     944  
     1,406  
     5,718