The first quarter of 2025 proved to be a record-breaking period for U.S.-listed Bitcoin mining companies, according to a recent report from Wall Street bank JPMorgan. The analysts, Reginald Smith and Charles Pearce, highlighted that four out of the five companies they cover achieved new highs in revenue and profits during this period.
Overall, these Bitcoin miners generated approximately $2.0 billion in gross profit with healthy gross margins of 53%. This marks an improvement from the previous quarter, where gross profits stood at $1.7 billion with a 50% margin, reflecting industry growth and increased profitability.
MARA Holdings (MARA) continued its dominance by mining the most Bitcoin in JPMorgan’s coverage universe for the ninth consecutive quarter. Meanwhile, IREN (IREN) made a notable achievement by earning the highest gross profit for the first time and recording the lowest all-in cash cost per Bitcoin at just around $36,400.
However, there were some challenges as well. MARA posted the highest cost per Bitcoin at approximately $72,600, indicating increased expenses for the company. Additionally, the tracked companies issued only $310 million in equity during the quarter, a significant drop of $1 billion compared to the last quarter of 2024. CleanSpark (CLSK) notably did not raise any new equity.
In terms of operational costs, the industry spent an estimated total of $1.8 billion on power, which is $50 million more than the previous quarter, underscoring the ongoing investment in energy resources to support mining operations.
JPMorgan maintains a positive outlook on the industry, assigning an overweight rating to CleanSpark, IREN, and Riot Platforms (RIOT). Meanwhile, they hold a neutral rating for Cipher Mining (CIFR) and MARA, reflecting cautious optimism amid evolving industry dynamics.
As industry economics continue to improve, Bitcoin mining companies are adapting and expanding their operations, signaling a promising outlook for the sector in 2025.
