Crypto Mining Company Bitmain Records $1.1 Billion Profit In Q1 2018 and Plans to Hold an IPO
Bitmain, the world’s largest cryptocurrency mining hardware company, recently revealed plans to hold an initial public offering (IPO) in Hong Kong.
According to a report by Fortune, Bitmain delivered a $1.2 billion profit in 2017 at an operating margin of 50%. In Q1 of 2018, Bitmain brought in $1.1 billion net profit and expects to deliver up to $3 billion in net income for 2018.
Conservatively, the company expects to earn $2 to $3 billion in profit for the fiscal year.
The timing of the transparency push may be opportunistic as Bitmain prepares for additional scrutiny of added disclosure associated with an IPO.
Recently, company CEO, Jihan Wu, spoke about the company’s plans to conduct an ICO in Hong Kong.
If successful, an IPO could push Bitmain’s value to more than $14 billion which could increase its earnings by multiples of ten or eleven. The shares to be sold in the IPO are expected to be denominated in U.S. dollar.
If the plan does go through, the company would be following in the footsteps of Canaan Creative, another Bitcoin mining firm.
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