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      HIVE Digital Technologies Projects Strong Mining Margins as Bitcoin Nears $80K

      HIVE Digital Technologies has projected mining margins ranging from 36% to 52% as Bitcoin approaches $80,000. During a recent earnings webcast, President and CEO Aydin Kilic detailed how the company's reliance on hydroelectric power from Paraguay allows for competitive operational costs, specifically a rate of 5 cents per kilowatt-hour. This low energy cost is crucial for the company's profitability, with margins increasing significantly as Bitcoin prices rise.

      At a Bitcoin price of $60,000, HIVE's mining margins stand at 36%. As the price increases to $70,000, margins rise to 45%, and at $80,000, the company retains 52 cents on every dollar earned from mining after covering electricity costs. HIVE's first quarter results for fiscal year 2027 reflected this potential, with the company reporting $79.1 million in revenue, a 73% increase year-over-year, primarily driven by Bitcoin mining, which contributed $72.1 million.

      In addition to its mining operations, HIVE is expanding into high-performance computing and artificial intelligence, which added $7 million to its revenue. However, this segment currently represents only about 9% of total revenue. HIVE's growth trajectory is supported by its strategic positioning in Paraguay, where surplus hydroelectric power offers a significant cost advantage, enabling the company to capitalize on rising Bitcoin prices.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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