Argo Blockchain Share Discussion Threads

[j4ckthehat] 20/1/2020 07:13

Argo Blockchain PLC Ten Fold Increase in 2019 Annual RevenueSource: UK Regulatory (RNS & others)TIDMARBRNS Number : 2417AArgo Blockchain PLC20 January 2020Press Release20 January 2020Argo Blockchain PLC('Argo' or 'The Company')Trading UpdateAnnual revenues increase 10-fold in 2019Argo, a leading cryptominer based in the UK (LSE: ARB), is pleased to provide the following operational update for the fourth quarter ended 31st December 2019 and annual revenues for last year.The Company expects to report a 10-fold increase in annual revenues of approximately GBP8.5m for 2019, its maiden full year of operations, against GBP0.76m revenues in 2018.For Q4, Argo produced 432 Bitcoins (BTC) from its cryptomining operations compared with 426 BTC in Q3, resulting in revenues of GBP2.66m compared with GBP3.63m in the previous quarter. The lower quarterly revenue is attributable to a drop in cryptocurrency prices, increased mining difficulty, and unfavourable foreign exchange rates towards the end of the year.The Company achieved a mining margin of approximately 52% during Q4 (Q3 2019: 73%), which it believes to be one of the highest efficiency rates in the market. The lower mining margin was again due to a 20% softening in the price of Bitcoin as well as a rise in mining difficulty and network hash rates in Q4.Since the year end, the Company is ahead of schedule with the rapid expansion of its installed production capacity, which currently stands at 13,364 machines. This includes 6,375 new generation Bitmain Antminer T17s delivered and installed since the beginning of this month.The Company also remains on track to install 3,625 more T17s machines by the end of Q1 2020, with the goal of establishing a total production base of 17,000 machines.The Company's installed machines currently produce 380 petahash. Following the installation of the final 3,625 machines currently on order, the Company expects to generate more than 650 petahash.Peter Wall, chief executive of Argo, said: "Thanks to a resilient performance in the last quarter, Argo delivered annual revenues of approximately GBP8.5m in 2019, our maiden operational year when we commenced mining at scale only in the second half.""Our mining operations continued to generate industry-best mining margin in the last quarter despite a softening in market conditions from the previous quarter. Our state-of-the-art mining platform is performing as expected and with the expansion of our mining network on pace, along with the recent rise with the price of Bitcoin, Argo is well-placed for a strong year ahead."Argo will report its audited results for 2019 in April.This announcement contains inside information.

[john henry] 19/1/2020 20:28

difficulty.

Mining block transaction ?

Or more difficult regarding mining due to increased hash rate.

[orm5] 19/1/2020 19:14

John henry - is that increased hash rate not linked to the difficulty rate ?

[john henry] 19/1/2020 18:49

orm5 you also need to factor in a higher hash rate.

[orm5] 19/1/2020 10:24

In my calc / estimate I have an average of 250 PH in December producing 203 BTC. For April, I have 640PH producing 509. However I probably need to factor in a higher difficulty rate form Dec to April than I have.

[john henry] 19/1/2020 10:07

The Mining difficulty will go up and up as more and more Miners expanded in line with ARGO.
The profitability of each mining machine decreases over time.

ive heard talk that 17,000 machines will bring in almost 3 times more revenue than 6,000 machines.crazy talk.

Imho difficulty is going to go through the roof.

[trustmeimastomach] 19/1/2020 09:48

370 PetaHash.. Arb statethey are taking delivery of new machines this quarter PetaHash will be 640 at current BTC price and difficulty we should be mining c/ 12 BTC P/day and approx $3.5 million p/m

[trustmeimastomach] 19/1/2020 08:55

Guesstimate .7 btc p/day just shy of $2 million p/m at 37 PetaHash

[parsons4] 19/1/2020 06:40

This BTC rally is looking much more sustainable. We should get a company update very soon now.

[scotty666] 19/1/2020 04:11

Similar to Q4 otherwise they would have released a trading update (more machines/ all time high yash rate) !!! That said BTC just passed 9k so let’s hope for another run into double digits.

[purplepelmets] 18/1/2020 22:24

MM conspiracies are boring. Its basic supply and demand that ultimately sets the price. Now what is more puzzling is we know how many machines we have, we know the cost of electric, we know the hash rate, we know the price of bitcoin, we should be able to work out exactly how much profit/day we are making without waiting for the trading update. Anyone care to make an educated guess?

[scottman72] 18/1/2020 20:37

Precisely horneblower.
There’s plenty of info out there as to how the MMs operate and where they have to be at the end of the day.
This falsely makes the uneducated think they are manipulating things when actually they are operating things to the book.
If they didn’t, the financial authorities would have them locked up.

[horneblower] 18/1/2020 18:18

Agree Scottman72.
Normal practice as with all other shares.

ARB is very thinly traded. In order to maintain a market the MMs have to be able to protect their book. Hence the late pub rule.

I don't like it but that's how it is.

[1new guy] 18/1/2020 16:50

Ooh, sorry, Scotty. I bow to your more informed expertise and retire.

[scottman72] 18/1/2020 15:26

Nah, looks right to me.
Stop trying to make conspiracies

[1new guy] 18/1/2020 12:53

It's all deliberately obtuse. My quote is from how just one publisher of prices handles the assessment of buy or sell trades. This link shows how they are published by the LSE. The automatic parameters set by the ARB broker/market maker is possibly daily. Certainly available for change at any time. I don't know. However it still shows that this share is manipulated and depressed. Every MSN or BTC rise, that has created a rise in the share is quickly reversed. We all know that it is never ever allowed near the IPO 16p, too. Time will tell but it sure looks iffy.

[hootza616] 18/1/2020 08:49

So the 550000 trade in question was declared late but shown as a sell. Why not N/A if it's all automatic?

[1new guy] 17/1/2020 11:57

LSE does not publish transactions as buys or sells."Trades priced above mid-price at the time a trade is placed are assumed buys, those priced below are assumed sells. Trades priced close to mid-price or declared late are shown N/A." AS FOR MMs. Like most listed shares these days, the price is set automatically via parameters set by the appointed trade org. or broker. That said, this stock is heavily manipulated for some reason at a low price. That is not satisfactory for we private investors and smells a bit fishy to me. I see no reason the IPO should not be closer given the data so far available.

[hootza616] 17/1/2020 11:42

That my friend is the right question.The answer is lack of news confirming the production rate, costs, margin, profit and what they have done with the BTC mined. Banked or sold?

[king suarez] 17/1/2020 11:17

Price here closed over 11p in Sept, when BTC was around $10k. Why are we still at 7p when BTC is back near $9k and we've had 3 months of cash flow + ramped up production since?...

[hootza616] 17/1/2020 10:03

Maybe I could take this opportunity to learn something.How can the price drop if it is really a buy? Or has the price not actually dropped, it is just the graph suggesting it has?Just now a test sell offered 7.23 and a test buy 7.29

[jumpenjim] 17/1/2020 09:42

just had alook back at the trades , that 550000 that's just showed up which now looks like a sell is actually a buy from earlier on this morning Bloody mm at it again !

jj

[hootza616] 17/1/2020 08:57

Don't jinx it Scru!Always expect the worst and you will be pleasantly surprised, as my mum would always tell me!