Phoenix Group recorded revenue of 31 million USD, increasing the gross profit margin to 30%, and additionally operating a 20 MW facility in Texas.
Phoenix Group PLC, a cryptocurrency mining company based in Abu Dhabi, has just announced its Q1/2025 business results with many positive signals regarding growth and global expansion. The company recorded consolidated revenue of 31 million USD, mainly due to the increase in self-mining activities and has made significant progress in its Bitcoin mining capacity expansion plans.
In the first three months of the year, Phoenix Group mined a total of 350 bitcoins, of which 222 BTC came from self-mining activities. The gross profit margin from mining operations has significantly improved, rising to 30% from 24% in Q4/2024, equivalent to 6.3 million USD in gross profit. However, operating costs also increased to 9 million USD due to the global expansion strategy being implemented.
Global capacity expansion strategy
A highlight in Phoenix Group's report is the activation of a new 20 MW mining facility in the state of Texas, USA, right after the end of Q1. This facility contributes an additional 1.2 exahash per second (EH/s) to the company's total hashrate and raises Phoenix's total mining capacity in North America to 185 MW.
In addition to the North American market, Phoenix Group has also made significant progress in Ethiopia by securing an additional 52 MW of capacity, with 20 MW already operational. Currently, the company is operating a total of 500 MW across five countries: the United States, UAE, Canada, Oman, and Ethiopia.
CEO Munaf Ali emphasized the company's adaptability in the face of market volatility: "We are ramping up the necessary capabilities to meet the upcoming wave of energy demand from Bitcoin mining and AI data centers."
The company also reported an improved mining performance of 17%, achieving 25.4 joules per terahash (J/T) following upgrades in the United States and Ethiopia. Phoenix stated that they maintain a debt-free balance sheet and fund growth through liquid reserves.
Although recording unrealized EBITDA losses in Q1 due to falling crypto prices, the company expects to recover in Q3/2025. Phoenix Group has an ambitious goal of being among the top 5 largest Bitcoin mining companies in the world by 2026, while also expanding into the AI data center sector.
Founded in 2017, Phoenix Group currently operates the largest mining farm in the Middle East and is the first blockchain company in the region listed on the Abu Dhabi Stock Exchange. The company's global expansion strategy focuses on energy-rich and low-cost markets, demonstrating a commitment to optimizing operational efficiency in the cryptocurrency mining industry.
