HIVE Digital pivots to AI infrastructure as Bitcoin cash flow fuels $600 million revenue ambition
Record fiscal results and a Bell partnership underpin the company’s plan to scale high-performance computing revenue to $200 million by year-end, with long-term targets reaching $600 million.
HIVE Digital Technologies is entering a new growth phase following record fiscal year-end results, with Chief Financial Officer Darcy Daubaras outlining a strategic pivot from Bitcoin mining to high-performance computing (HPC) for fiscal 2027. The transition is underpinned by robust cash flow generated from a 104% increase in Bitcoin production in Paraguay, which yielded nearly $300 million in revenue during the fiscal year.
The company’s Bitcoin operations in Paraguay expanded capacity from 6 EH/s to 25 EH/s, leveraging a 300MW facility and an efficient mining fleet to provide stable financial backing. Daubaras noted that while some industry peers are reducing exposure to crypto mining, HIVE continues to utilise the sector to fund its dual-engine strategy, which now prioritises AI infrastructure development.
This strategic focus is evident in the company’s accelerating AI infrastructure plans through Canadian data centres and a partnership with Bell. HIVE has deployed its first cluster of 500 units in Manitoba under a $30 million, two-year agreement, which adds approximately $15 million in annual run-rate revenue. The current HPC business, utilising historical NVIDIA A-series cards, is generating a $20 million annual run rate.
Looking ahead, HIVE has secured capacity in Bell’s Merritt, British Columbia facility, where two large clusters are being evaluated. Each new cluster in Merritt could contribute between $65 million and $70 million in annual run-rate revenue. The company aims to reach approximately $200 million in annual run-rate revenue for high-performance computing by the end of the year.
Long-term ambitions include the AI Gigafactory initiative in the Toronto-Waterloo corridor and a data centre facility at the Toronto airport, targeting a total of $600 million in annual run-rate revenue. With land and power already in place, the focus now shifts to securing customers and GPU deployment for these major projects.
