Company: CIFRW
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001819989-25-000081
Chunk: 175

Company: Cipher Mining Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part II, Item 2
Chunk 175
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, and the accretion of the basis differences in our investments in the equity investees that resulted from contributions of miners during the year ended December 31, 2022. We are accreting these basis differences over the five-year useful life of the miners. For the six months ended June 30, 2025, we recognized roughly $4 million as our 49% share of a one-time impairment charge on the miners of Alborz LLC, net of accretion.

Unrealized (losses) gains on fair value of bitcoin

Unrealized losses on fair value of bitcoin totaled $3.0 million for the six months ended June 30, 2025, compared to Unrealized gains on fair value of bitcoin of $19.4 million for the six months ended June 30, 2024. Unrealized (losses) gains on fair value of bitcoin is driven by the cost of bitcoin mined compared to the price of bitcoin at the end of the period.

Realized gains on sale of bitcoin

Realized gains on sale of bitcoin totaled $8.6 million for the six months ended June 30, 2025 compared to $4.9 million in the prior year period. In both periods, this is driven by selling bitcoin above our cost basis.

Other expense (income)

Other expense totaled $0.4 million for the six months ended June 30, 2025, compared to $0.1 million of Other income for the six months ended June 30, 2024. The increase of Other expense in the current year is driven primarily from an increase in interest expense related to the Coinbase Loan Facility and the 2030 Convertible Notes.

Income tax benefit (expense)

For the six months ended June 30, 2025, we recorded a provision for income taxes of $1.1 million as a result of projected income for the current year in the jurisdictions which we operate. For the six months ended June 30, 2024, we recorded a provision for income taxes of $6.1 million.

Liquidity and Capital Resources

We had cash used in operations of $103.5 million for the six months ended June 30, 2025. As of June 30, 2025, we had cash and cash equivalents of $62.7 million, total stockholders’ equity of $748.9 million and an accumulated deficit of $266.2 million. We fund operations primarily through a combination of at-the-market stock