LM Funding (LMFA) Q1 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Fri, May 15, 2026 astatine 10:33 AM CDT 13 min read

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DATE

Friday, May 15, 2026 astatine 8:30 a.m. ET

CALL PARTICIPANTS

• Chief Executive Officer — Bruce Rodgers

• President, U.S. Digital Mining — Ryan Duran

• Chief Financial Officer — Richard Russell

Full Conference Call Transcript

Bruce Rodgers: Thank you, Cody, and bully morning, everyone. The archetypal 4th of 2026 saw america proceed to turn and amended our operations successful a softer Bitcoin environment. Since completing our tract integrations successful 2025, our absorption has shifted to moving our vertically integrated level astatine scale. We mined 26.1 Bitcoin during the quarter, an summation from 22 Bitcoin successful the 4th fourth of 2025. We did this with higher energized hash complaint and continued improvements successful fleet efficiency. In March, energized hash complaint reached astir 790 petahash, the highest level successful the company's history. And the period delivered 9.6 Bitcoin of production, our strongest of the quarter. On March 31, 2026, our 338.2 Bitcoin treasury was valued astatine astir $23.1 million.

With the betterment successful Bitcoin terms since 4th end, our 334 Bitcoin treasury connected April 30 was valued astatine astir $25.3 cardinal and astir $27.3 cardinal arsenic of earlier this week. Despite this trend, our marketplace capitalization continues to commercialized astatine a worldly discount to the worth of our Bitcoin holdings alone. While Bitcoin terms weakness is driving the reported fiscal results, the underlying operating illustration improved crossed each applicable measure, Bitcoin produced, energized hash rate, fleet ratio and uptime. The archetypal 4th of 2026 represents the archetypal afloat play successful which the level we assembled successful 2025 has operated astatine scale, and we are precise blessed with the numbers being produced.

I'll present crook the telephone implicit to the President of U.S. Digital Mining, Ryan Duran. Ryan?

Ryan Duran: Thank you, Bruce. The archetypal 4th of 2026 was the archetypal afloat play during which our expanded fleet operated astatine standard crossed some sites. We produced 26.1 Bitcoin, an summation of 19% implicit the 4th quarter, portion energized hash complaint grew from astir 750 petahash astatine year-end to astir 790 petahash astatine 4th end, the highest successful company's history. In January, we energized our 2nd BC40 Elite immersion cooled portion astatine Oklahoma, adding astir 35 petahash via 160 Bitmain S21 immersion miners. The aforesaid month, wintertime Storm Fern gave america an accidental to show the worth of our grid relationships.

We proactively curtailed mining operations and redirected powerfulness to the grid, generating astir $305,000 successful vigor and curtailment gross successful January with the bulk earned successful conscionable 3 days during the storm, equivalent to astir 4 Bitcoin. In precocious February, we deployed astir 300 Bit S19 XP miners astatine Oklahoma, replacing older hardware and reallocating higher terahash units to Mississippi. The upgrade lifted February accumulation to 8.7 Bitcoin. March closed the 4th astatine 9.6 Bitcoin, our highest monthly output and highest hash complaint connected record. As we determination into the 2nd quarter, we are mindful of the seasonal headwinds that warmer temperatures bring to mining ratio and output.