Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.22.4
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Cash flows from operating activities      
Net income (loss) $ (509,553) $ (15,437) $ (14,107)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:      
Stock-based compensation 24,555 68,491 3,407
Depreciation and amortization 107,950 26,324 4,494
Amortization of license fee revenue (97) (97) (97)
Amortization of right of use assets 12,181 275 367
Income tax expense (benefit) (11,749) 254
Issuance of common stock warrant for settlement of advisory fees 1,157
Impairment of long-term investment 9,413
Impairment of Bitcoin 147,365 43,973 3,595
Impairment of goodwill 335,648
Impairment of miners 55,544
Reversal of registration rights penalty (1,358)
Change in fair value of derivative asset (71,418) (12,112)
Change in fair value of contingent consideration (159) 975
Realized loss on sale of marketable equity securities 8,996
Realized gain on sale/exchange of long-term investment (26,260)
Realized gain on sale/exchange of Bitcoin (30,346) (253) (6,350)
Unrealized loss on marketable equity securities 13,655
Gain on exchange of equipment (16,281) (29)
Casualty-related charges 9,688
Bitcoin Mining revenue (156,870) (184,422) (11,838)
Changes in assets and liabilities:      
Proceeds from sale of Bitcoin 79,529 295 8,298
Accounts receivable (11,534) (4,446)
Costs and estimated earnings in excess of billings (9,881) 3,343
Prepaid expenses and other current assets (25,520) (5,070) 795
Future power credits 58,993 (975)
Accounts payable (1,593) (2,770) 1
Billings in excess of costs and estimated earnings 3,182 (619)
Accrued expenses 13,555 16,070 928
Customer deposits 1,989 6,124
Deferred revenue (1,791) (12,895)
Lease liability (11,853) (1,662) (368)
Net cash provided by (used in) operating activities 530 (86,082) (2,849)
Cash flows from investing activities      
Proceeds from the sale of marketable equity securities 1,808
Acquisition of Whinstone, net of cash acquired (40,879)
Acquisition of ESS Metron, net of cash acquired (29,567)
Proceeds from the sale of long-term investments 1,800
Proceeds from the sale of equipment 146
Deposits on equipment (194,923) (274,833) (33,093)
Other deposits (3,809)
Purchases of property and equipment, including construction in progress (148,412) (147,116) (8,139)
Patent costs incurred (9,527) (30) (44)
Net cash used in investing activities (354,863) (490,625) (41,130)
Cash flows from financing activities      
Proceeds from the issuance of common stock / At-the-market offering 304,849 684,817 264,727
Offering costs for the issuance of common stock / At-the-market offering (6,640) (14,901) (7,255)
Proceeds from exercise of common stock warrants 806 2,895
Payments on contingent consideration liability - future power credits (15,725)
Repurchase of common shares to pay employee withholding taxes (10,138) (5,082) (446)
Net cash provided by financing activities 272,346 665,640 259,921
Net increase (decrease) in cash and cash equivalents (81,987) 88,933 215,942
Cash and cash equivalents at beginning of year 312,315 223,382 7,440
Cash and cash equivalents at end of year 230,328 312,315 223,382
Supplemental disclosure of noncash investing and financing activities:      
Issuance of common stock for business combination   352,887  
Issuance of common stock to settle previously accrued executive compensation     175
Reclassification of deposits to property and equipment 422,865 46,711 1,449
Construction in progress included in accrued expenses 16,621 2,423  
Bitcoin received from sale of equipment     $ 52
Bitcoin exchanged for employee compensation 1,495    
Conversion of preferred stock to common stock 11 11  
Right of use assets exchanged for new operating lease liabilities 10,333 $ 13,622  
Property and equipment obtained in exchange transaction $ 10,409