HIVE Digital Technologies Ltd (TSX:HIVE, NASDAQ:HIVE, FRA:YO0, BVC:HIVECO) CFO Darcy Daubaras says the company is entering a new phase of growth after delivering record fiscal year-end results. With Bitcoin mining expansion in Paraguay providing strong cash flow, HIVE is now accelerating its AI infrastructure strategy through Canadian data centers and its Bell partnership.
Proactive: The company has reported fiscal year-end financial results and, as we’ve seen throughout the year, record numbers once again.
Darcy Daubaras: It’s been an incredible growth story over the last year. The fiscal year was defined by our growth in Paraguay, increasing from 6 EH/s to 25 EH/s. We always manage the ups and downs of Bitcoin, but we’ve also been energizing our dual-engine strategy by growing our high-performance computing business to a $20 million annual run rate and continuing to build from there. Looking ahead, we expect significant growth in high-performance computing through Canadian sovereign AI data center facilities. It’s a very exciting time for HIVE.
You mentioned the Bitcoin side of the business. The company increased Bitcoin production by 104% and generated nearly $300 million in revenue. It seems Bitcoin continues to be a strong contributor.
Absolutely. While some industry participants are pivoting away from Bitcoin mining, we’ve continued to embrace it because it powers our expansion into data centers. We have 300MW in Paraguay and one of the industry’s most efficient mining fleets. That gives us stable cash flow to continue investing in both our AI data center initiatives and our core operations.
Let’s talk about the computing side. Revenue was just under $20 million, but much of that appears to be laying the groundwork for future growth.
Exactly. The $20 million annual run rate comes from our historical data center business using NVIDIA A-series cards acquired several years ago. Now we’re leveraging our Bell partnership in Canada. We’ve deployed our first cluster of 500 units in Manitoba. That agreement is worth $30 million over two years and adds approximately $15 million in annual run-rate revenue.
We’ve also secured capacity in Bell’s Merritt, British Columbia facility. We’re evaluating two large clusters there and have secured the space and power. We are also working with prospective customers under memorandums of understanding. Each cluster could contribute between $65 million and $70 million in annual run-rate revenue.
We see a pathway from our current level to approximately $200 million in annual run-rate revenue by the end of the year. Beyond that, we have ambitions to reach $600 million through developments including the AI Gigafactory initiative in the Toronto-Waterloo corridor and our Toronto airport data center facility. We have the land and power in place; now the focus is on customers and GPU deployment.
When speaking with investors, is the message essentially one of hyper growth?
Absolutely. Fiscal 2026 was focused on Paraguay and our Bitcoin business. Fiscal 2027 will focus on high-performance computing. We have a strong pipeline of opportunities and look forward to delivering continued growth and results for shareholders.
Quotes have been lightly edited for style and clarity