London-listed Argo reported a dip in May revenue, possibly as a result of the bitcoin halving event.
Per the mining firm’s monthly operational update, monthly mining margins – revenue minus operating costs – was roughly 34% in May, down from 39% in April. Overall, the company mined 252 bitcoin (~$2.4 million at press time), down from 319 bitcoin (~$3 million) the month before.
This slight dip in revenue comes straight after the bitcoin halving – which took block rewards down from 12.5 to 6.25 BTC last month. Argo says it was able to mitigate potential disruptions from the halving by investing in “state-of-the-art” mining rigs.
Argo, which listed on the London Stock Exchange (LSE) in 2018, currently operates 18,000 mining rigs with a combined total hashpower of 730 Petahash – a 244% increase since the end of 2019.
With the halving event coming near slap-bang in the middle of the month, it’s difficult to say what effect this may have had on Argo’s mining revenues.
In a statement, CEO Peter Wall said Argo anticipated Bitcoin’s mining difficulty to drop between 4% to 6% at the next adjustment, expected later this week. “This change is expected to result in improvements to our overall mining margins,” he said.
Argo’s share price remained relatively unchanged on the LSE, ending the U.K. trading day at £0.04 (~$0.05).