Company: BTBT
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076608
Chunk: 100

Company: Bit Digital, Inc
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 1
Chunk 100
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 the data center for the high performance computing equipment and were closely correlated with the number of deployed
GPU servers.

For the three months ended June 30, 2025, electricity
costs increased by $0.5 million, or 321%, compared to the electricity costs incurred for the three months ended June 30, 2024. The increase
primarily resulted from an increase in the number of deployed GPU servers.

Datacenter lease expenses. We entered
into datacenter lease agreements for fixed monthly recurring costs.

For the three months ended June 30, 2025, datacenter
lease expenses increased by $0.8 million, or 126%, compared to the datacenter lease expenses incurred for the three months ended June
30, 2024. The increase primarily resulted from two additional datacenter leases entered into after the second quarter of 2024.

GPU servers lease expenses. We entered
into a GPU servers lease agreement to support our cloud services. The lease payment depends on the usage of the GPU servers.

For the three months ended June 30, 2025, GPU servers lease expenses
were relatively consistent with the same period in 2024, with a slight decrease of $0.1 million, or 2%.

Cost of revenue - Colocation Services

In the fourth quarter of 2024, we acquired Enovum
which provides colocation services. For the three months ended June 30, 2025 and 2024, the cost of revenue from colocation services was
comprised of the following:

    For the Three Months Ended
 June
    30, 

    2025  
    2024 

    Electricity costs 
    $270,003  
    $- 
  
    Lease expenses 
     156,740  
     - 
  
    Wage expenses 
     169,543  
     - 
  
    Other costs 
     91,594  
         - 
  
    Total 
    $687,880  
    $- 

Electricity costs. These
expenses were closely correlated with the number of deployed servers hosted by the data center.

For the three months ended June 30, 2025, electricity
costs totaled $0.3 million. We had no electricity costs for the three months ended June 30, 2024 as we acquired Enovum in the fourth quarter
of 2024, which