Canaan reported a sharp rebound in fourth quarter performance as demand for bitcoin mining hardware recovered and the company continued to expand its bitcoin treasury to record levels. The Singapore based mining hardware manufacturer and operator posted revenue of more than 196 million dollars for the quarter, more than double the level recorded a year earlier and its strongest quarterly result in three years.
The improvement was driven primarily by hardware sales, with the company shipping a record 14.6 exahashes per second of computing power during the period. Large orders from North American mining firms played a key role, reflecting renewed investment in infrastructure despite a softer bitcoin price environment. Management said the shipment milestone underscored improving sentiment among industrial scale miners following a prolonged slowdown in equipment demand.
In addition to hardware sales, Canaan generated revenue from its own mining operations. During the quarter, the company mined approximately 300 bitcoin, contributing just over 30 million dollars in revenue at an implied price significantly above current market levels. Bitcoin prices have since retreated sharply, which weighed on the company’s reported financials despite the operational gains.
Overall profitability remained under pressure. Canaan posted a net loss of around 85 million dollars for the quarter, an increase from the previous period. The loss was largely attributed to fair value accounting adjustments on its cryptocurrency holdings as digital asset prices declined. These non cash losses continue to introduce volatility into earnings, even as underlying operations show signs of recovery.
Shares of Canaan rose modestly following the earnings release, stabilizing after recently touching record lows. Market participants noted that while near term price pressure remains, the revenue rebound helped ease concerns about liquidity and operational resilience.
A key focus for investors has been Canaan’s growing bitcoin treasury. By the end of December, the company held roughly 1,750 bitcoin along with a sizable ether position. In January, treasury holdings increased further as the firm mined additional bitcoin and converted portions of stablecoin proceeds from miner sales into bitcoin. Total bitcoin holdings rose to approximately 1,778 coins by the end of the month, marking the highest level on the company’s balance sheet to date.
Canaan’s approach reflects a broader trend among mining firms seeking to build long term exposure to bitcoin rather than immediately selling production. The company now ranks among the top public firms globally in terms of bitcoin held, reinforcing its dual identity as both a hardware supplier and a digital asset holder.
Beyond mining, management signaled a strategic pivot toward broader computing and energy infrastructure. A recent pilot project in Manitoba uses mining equipment heat output to support greenhouse operations, highlighting efforts to monetize excess computational energy. Executives said similar initiatives could open new revenue streams and reduce reliance on purely cyclical mining demand.
Looking ahead, Canaan expects first quarter 2026 revenue to moderate amid a challenging crypto market, with guidance ranging between 60 million and 70 million dollars. While near term conditions remain uncertain, the company’s fourth quarter results suggest improving fundamentals as it balances hardware sales, self mining, and longer term infrastructure expansion.
