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| Share Name | Share Symbol | Market | Stock Type |
|---|---|---|---|
| Argo Blockchain Plc | ARB | London | Ordinary Share |
| Price Change | Price Change % | Share Price | Last Trade
|
|
|---|---|---|---|---|
| 0.45 | 5.42% | 8.75 | 08:03:57 |
| Open Price | Low Price | High Price | Close Price | Previous Close |
|---|---|---|---|---|
| 8.25 | 8.05 | 8.75 | 8.30 |
| Industry Sector |
|---|
| SOFTWARE & COMPUTER SERVICES |
| Top Posts |
|---|
Posted at 20/11/2024 16:11 by pwhite73 john henry - "Debt will drive this company into administration."What debt is this? They cleared the main secured debt with Galaxy. RNS 11/08/2024 - "Full Repayment of $35 Million Galaxy Loan Argo Blockchain plc, a global leader in cryptocurrency mining (LSE: ARB; NASDAQ: ARBK), is pleased to announce that it has fully repaid the remaining balance of the original loan extended by Galaxy Digital Holdings, Ltd. ("Galaxy") (TSX: GLXY) on 28 December 2022. Repayments of the $35 million loan began in May 2023. The loan balance as at June 30, 2024 was approximately $5.7 million. This Galaxy debt was repaid over four months ahead of the current schedule, and nearly 18 months ahead of the original repayment schedule. The early repayment reflects the Company's focus on strengthening its balance sheet and reducing its financial liabilities." |
Posted at 17/11/2024 08:51 by ssunday This is the new BTC thread.It’s been taken over as ARB is a waste of time . Spractive , you are no doubt losing heavily on this just like you did on Boohoo. Should have purchased BTC instead of this garbage |
Posted at 16/11/2024 08:23 by ffriday Can we just discuss BTC ?Arb is a waste of time . Only losing investors hold ARB. |
Posted at 19/9/2024 08:42 by 1knocker JakNife, Yes I understand all that. I acknowledged that imminent collapse has been averted (as it has), but the point of my post was that I see no way from here to prosperity for ARB. That is why I sold the last of my ARB holding and got out - when the share price was over 30% higher than it is now.I remain enthusiastic about BTC (which I continue to hold) but not the crypto miners as an asset class, and certainly not ARB as a member of that class. The stronger miners at least offer opportunities for trading, but ARB is not even on my trading watch list. |
Posted at 18/9/2024 16:46 by 1knocker Yes, ARB is holding at present. The current management has stabilised the business, disposed of assets, and paid down debt.I still think though that holders and prospective buyers need to look at the balance sheet and ask themselves where, operationally, ARB goes from here. Note: I have no skin in the ARB game. I do not currently hold any ARB. I sold he last of my holding at a tad over 12p. I do hold BTC. |
Posted at 07/9/2024 03:46 by tenapen tenapen26 Apr '24 - 08:37 - 34153 of 344340 3 0 Ken Chung - 14 Apr 2024 - 07:33:26 - 34061 of 34153 Bitcoin just $64,557. Will ARB go bust after the halving next week? Lemmings and mushrooms only. Ken Chung - 14 Apr 2024 - 00:17:44 - 34060 of 34153 Bitcoin just $65,164. Will ARB go bust after the halving next week? Lemmings and mushrooms only. Ken Chung - 12 Apr 2024 - 22:32:40 - 34057 of 34153 Bitcoin just $66,848. Will ARB go bust after the halving next week? -------- 07/09/24 I guess the answer is NO, ARB isn't going bust and it's staying strong in a weak crypto environment. Silly wee chung |
Posted at 05/9/2024 21:31 by 1knocker I have been saying for some time that I don't see a way forward for ARB. It has no USP anymore, its balance sheet is weak, and it is small, too small I think to raise sufficient capital to transform its prospects. If BTC remains weak, it is in trouble, and even if BTC strengthens the bigger miners will ramp up their operations, difficulty will increase, and ARB won't make sufficient profit to grow organically and it has no significant stash of BTC to give its balance sheet a lift.I took the hit and sold the last of my ARB a while back at a bit over 12. No one has explained where they see a future for ARB, or any reason for holding it in preference to one of the big miners save that it is held on a UK exchange thus saving FX charges when buying and selling, which does not seem a compelling reason to me unless you see it purely as a trading play. Personally, if one is bullish BTC, or just wants to keep a finger in the crypto pie, the obvious answer is to hold BTC (or other coin of choice) directly, or through a holding in MSTR if you want to avoid the hassle of buying BTC direct.. |
Posted at 07/6/2024 08:39 by jaknife idriveajag,"Arb's average costs per bitcoin mined pre-April 2024 halving was $31k, which implies $62k post halving. So with bitcoin now above $71k and rising, Arb are in a good position." Have you looked at the accounts? In Q1 ARB mined 319 BTC generating $16.8m in revenues. You can find the detail here: This also shows that the "direct costs" of mining BTC in Q1 were $10.4m. After all the other costs, ARB lost $2.8m in Q1. Following the halving, ARB will now generate half the revenue that it did before. That was effectively confirmed this week when the May update reported revenue for May of a mere $2.9m. See: Very roughly $2.9m x 3 means that ARB's revenue for Q2 will be in the ballpark of $9m. It doesn't take much to see that, if all other costs remain unchanged, then ARB will make a a negative mining margin in Q2 of about -$1.4m and should report a loss for Q2 of the order of -$10.6m. So Argo was in a really poor position before the halving and post the halving it's in a disastrously terrible position. I don't actually understand how the director can carry on running the business? If they were to just turn the machines off then they'd make a better profit (ie a smaller loss). JakNife |
Posted at 01/5/2024 09:49 by 1knocker porky, there are posters (including me) who have many times explained in detail why ARB is a high risk low reward play. You do not need to hear it from Ken Chung to understand the negative case on ARB.As I say, the bear case is well documented here. What I don't find posted, here or anywhere else, is a convincing bull case. All the miners are an indirect bet on BTC, with trading and operational risk which is avoided by buying BTC. ARB is pure trading and operational risk, because it holds no significant quantity of BTC. The risk is high because ARB has a weak balance sheet, is loss making and is running out of runway. The reward is low, because even if BTC goes vertical, ARB has few BTC to appreciate in value. Thus, even if you want exposure to BTC through the mining sector, how is ARB the best way to do so? As I see it, the only (small) advantage it has (for us) over the other miners is that it is sterling investment, saving FX costs on buying and selling.. What is the bull response t that ? |
Posted at 28/4/2024 13:32 by jaknife Here’s a quick journey through ARB’s finals that were released last week:1. P&L * Revenues are down 14% at $50.6m, the company says ”driven primarily by a significant increase in the global hashrate and associated network difficulty level.” Note that these are for the year ending 31 Dec 2023 and so don’t include the effect of the recent halving from just over a week ago. * Gross profit is $3.8m, noticeably there is little movement in the fair value of crypto assets as ARB no longer hold significant crypto on balance sheet. “Digital assets” at year-end were just $385k, which is significantly lower than the $109.0m that ARB held going into 2022, during which it sold nearly all of its crypto. * ARB highlight the depreciation that makes up the gross profit line ($18.7m), which is a helpful reminder of this non-cash item. * After operating expenses of $19.3m and (non-cash) remuneration paid by shares of $4.0m there’s an operating loss of $19.4m * And then finance charges and other costs bring the P&L to a loss after tax of $35.0m The P&L basically shows a loss-making company further weighed down by the burden of interest. 2. Balance Sheet * The main asset in the balance sheet is property, plant and equipment ($59.7m), cash is down from $20.1m at the start of the year and is now just $7.4m * On the other side loans and bonds total $62.5m of which $14.3m is current (ie due within 12 months of the balance sheet date). Note 25 explains that the “Galaxy loan” is repayable on an amortising schedule. * Net equity has declined from $24.6m to a mere $158k 3. Cash Flow * The business does generate a small amount of cash from its operating activities ($3.8m in 2023) but once you factor in interest at $10.7m and loan repayments of $14.1m it’s cash burn city! And if you half the "Revenue from digital assets" then you can get a glimpse what the cash flow will look like from April 2024 onwards. 4. Conclusion/Forecast ARB wasn’t profitable in 2023 and it will get even worse in 2024 following the recent bit coin halving. If you look at the numbers for 2023 then you could imagine a mildly profitable company *IF* the bonds were converted to equity. However allowing for the bitcoin halving, even if the bonds were converted to equity, then ARB would still make a stonking loss in 2004. And the big thing is that ARB’s bitminers are rapidly becoming inefficient and obsolete but ARB isn’t generating enough cash to replace those bitminers! ARB’s equity is ultimately worthless, the business will never generate adequate cash to provide a return to equity, if it generates any sort of cash then all of that cash is going to go to service the debt. They could look to recapitalise the business by converting the debt to equity, at a price that wipes out current equity, but even then the business isn’t going to generate a profit without a substantial slashing of expenses. Regardless, something needs to happen soon as ARB must be running on fumes! JakNife |
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