Bitcoin Miner Canaan Drops 7% Following Record-Breaking Quarter
On Tuesday, Canaan experienced a 7% decline, pushing shares down to $0.56 and widening the gap from the critical $1 threshold needed by July to prevent Nasdaq delisting.
The cryptocurrency mining hardware producer Canaan experienced a 6.9% decline on the Nasdaq exchange Tuesday, even as the company disclosed a remarkable 121.1% year-over-year revenue surge reaching $196.3 million during the fourth quarter, propelled by heightened equipment sales and enhanced mining operations.
According to Canaan's report, the company's Bitcoin (BTC) mining revenues climbed 98.5% year-over-year to reach $30.4 million, contributing to the expansion of its Bitcoin reserves to an unprecedented 1,750 BTC, currently worth approximately $120 million, while simultaneously growing its Ether (ETH) position to 3,950 ETH, valued at $7.9 million.
This revenue achievement marks Canaan's strongest quarterly performance over the past three years, fueled significantly by Bitcoin mining equipment sales, with the firm delivering an unprecedented 14.6 exahashes per second (EH/s) of computational capacity throughout the quarter.
According to Canaan, the surge in computing power sales received backing from a "milestone order" placed by an institutional mining client based in the United States, enabling the company to establish a new quarterly benchmark for computing power distribution and accomplish a 60% year-over-year growth.
Regarding mining operations, the Singapore-headquartered firm announced it grew its installed hashrate capacity to 9.91 EH/s, maintaining 7.65 EH/s in active operation throughout the quarter.
The Bitcoin network hashrate has decreased from its peak of 1,150 EH/s recorded in mid-October down to 980 EH/s as mining operators continue disconnecting unprofitable equipment and transitioning toward artificial intelligence and high-performance computing ventures.
Notwithstanding the robust fourth-quarter results, Canaan (CAN) stock plummeted an additional 6.87% to reach $0.56, according to Google Finance information, positioning it among the poorest performers within the top 15 Bitcoin mining companies ranked by market capitalization.
Nasdaq Delisting Threat Intensifies for Canaan
Trading at its present level of $0.56, the organization has declined 18.1% since the beginning of the year and has fallen 70.2% across the previous 12-month period.
On Jan. 16, Canaan announced it had been notified by Nasdaq through an official letter cautioning that the company needs to elevate its stock price above the $1 mark to satisfy the exchange's minimum bid requirement or face potential removal from the listing.
Nasdaq provided the Singapore-based corporation with a 180-day window, extending until July 13, to restore compliance with the regulation, which mandates that its closing bid price must reach a minimum of $1 for no fewer than 10 consecutive business days. The last time Canaan shares closed above the $1 threshold was on Nov. 28, 2025.