BGIN maintains a strong competitive moat with a 42.24% gross margin and a 27.01% operating margin, signaling efficient scaling of its hardware-centric business model.
| Metric | Dec'24 | Dec'23 | Dec'22 | Dec'21 |
|---|
| Sales/Revenue | 302.28M | 257.27M | 15.05M | 21.52M |
| Revenue Growth % | 17.5% | 1609.02% | -30.05% | - |
| Cost of Goods Sold | 174.59M | 58.1M | 6.12M | 6.66M |
| COGS % of Revenue | 57.76% | 22.58% | 40.66% | 30.93% |
| Gross Profit | 127.69M | 199.17M | 8.93M | 14.87M |
| Gross Margin % | 42.24% | 77.42% | 59.34% | 69.07% |
| Gross Profit Growth % | -35.89% | 2129.6% | -39.91% | - |
| Operating Expenses | 46.05M | 25.51M | 9.51M | 5.35M |
| OpEx % of Revenue | 15.24% | 9.91% | 63.15% | 24.84% |
| Selling, General & Admin | 7.83M | 15.4M | 1.86M | 3.51M |
| SG&A % of Revenue | 2.59% | 5.99% | 12.35% | 16.31% |
| Research & Development | 16.37M | 10.1M | 7.18M | 195.26K |
| R&D % of Revenue | 5.42% | 3.93% | 47.68% | 0.91% |
| Other Operating Expenses | 21.84M | 5.57K | 468.55K | 1.64M |
| Operating Income | 81.63M | 173.67M | -572.85K | 9.52M |
| Operating Margin % | 27.01% | 67.5% | -3.81% | 44.24% |
| Operating Income Growth % | -52.99% | 30416.29% | -106.02% | - |
| EBITDA | 91.29M | 176.63M | 1.22M | 10.75M |
| EBITDA Margin % | 30.2% | 68.66% | 8.1% | 49.95% |
| EBITDA Growth % | -48.32% | 14384.62% | -88.66% | - |
| D&A (Non-Cash Add-back) | 9.65M | 2.96M | 1.79M | 1.23M |
| EBIT | 103.45M | 173.36M | -162.39K | 10.98M |
| Net Interest Income | 0 | -2.18M | -182.06K | -72.01K |
| Interest Income | 0 | 0 | 0 | 0 |
| Interest Expense | 0 | 2.18M | 182.06K | 364.25K |
| Other Income/Expense | -847.67K | -94.33K | 299K | -315.96K |
| Pretax Income | 80.79M | 173.57M | -273.85K | 9.2M |
| Pretax Margin % | 26.73% | 67.47% | -1.82% | 42.77% |
| Income Tax | 14.65M | 33.81M | -45.03K | 1.5M |
| Effective Tax Rate % | 18.13% | 19.48% | 16.44% | 16.28% |
| Net Income | 65.93M | 139.71M | -220.38K | 7.71M |
| Net Margin % | 21.81% | 54.3% | -1.46% | 35.81% |
| Net Income Growth % | -52.81% | 63492.79% | -102.86% | - |
| Net Income (Continuing) | 66.14M | 139.76M | -228.82K | 7.71M |
| Discontinued Operations | 0 | 0 | 0 | 0 |
| Minority Interest | 352.15K | 143.59K | 91K | -568 |
| EPS (Diluted) | 0.58 | 1.22 | -0.00 | 0.07 |
| EPS Growth % | -52.46% | - | -102.81% | - |
| EPS (Basic) | 0.58 | 1.22 | -0.00 | 0.07 |
| Diluted Shares Outstanding | 114.14M | 114.14M | 114.14M | 114.14M |
| Basic Shares Outstanding | 114.14M | 114.14M | 114.14M | 114.14M |
| Dividend Payout Ratio | - | - | - | - |
Network difficulty and halving
As indicated by recent corporate disclosures, BGIN has achieved a 17.5% year-over-year revenue growth rate, demonstrating a resilient expansion trajectory that appears to decouple the firm from the more erratic performance patterns observed in several of its direct industry peers within the digital asset infrastructure space.
The company's ability to maintain double-digit growth suggests that its tripartite revenue model—spanning hardware sales, self-mining, and hosting services—provides a necessary buffer against the inherent volatility of Bitcoin price cycles. Investors should monitor whether this growth remains organic or if it relies increasingly on capital-intensive fleet expansions that could pressure future liquidity.
Based on reported figures, BGIN maintains a robust 42.24% gross margin, which significantly outperforms many North American mining peers and suggests that the company's vertical integration into proprietary chip design provides a meaningful competitive moat against the commoditization typically seen in the computer hardware manufacturing industry.
This margin profile implies that BGIN is successfully capturing value through intellectual property rather than acting as a mere assembler of third-party components. However, the sustainability of these margins warrants further investigation, as they may be vulnerable to rising semiconductor foundry costs or shifts in global electricity pricing.
According to financial analysis of the firm's cost structure, BGIN demonstrates strong operating leverage with a 27.01% operating margin, suggesting that management has successfully scaled its infrastructure and hosting services without incurring the bloated overhead costs that have historically plagued other participants in the mining sector.
The company's ability to convert gross profit into operating income at this rate indicates disciplined expense management. Analysts should remain cautious, however, as this efficiency may be tested if the firm is forced to increase R&D spending to maintain its technological edge in the face of increasing network difficulty.
As noted in the company's financial profile, the 21.81% net margin reflects a high level of profitability, though investors should be aware that these figures may be sensitive to fair value adjustments of digital assets held on the balance sheet rather than purely operational cash generation.
While the lack of debt is a positive indicator of financial health, the reliance on non-operating items for net income could mask underlying operational fluctuations. A deeper look into the cash-versus-non-cash components of these earnings is necessary to determine the true quality of the reported bottom-line performance.
While BGIN presents a strong financial picture, short-term observers might argue that the company's 0% debt-to-equity ratio and high margins could be threatened by the upcoming halving cycle, which may force a rapid and costly transition to more efficient hardware to maintain current profitability levels.
The primary risk remains the potential for inventory obsolescence if the company fails to secure priority access to next-generation semiconductor wafers. If the market begins to view BGIN as a pure-play mining proxy rather than a diversified infrastructure provider, the current valuation multiples may face significant downward pressure.
Quick answers to the most common questions about buying BGIN stock.
For fiscal year 2024, BGIN BLOCKCHAIN Ltd (BGIN) reported total revenue of $302.3M. This represents a 1304.5% increase compared to $21.5M in 2021.
BGIN BLOCKCHAIN Ltd (BGIN) is profitable, generating $65.9M in net income for the fiscal year ending 2024 with a net profit margin of 21.8%.
BGIN BLOCKCHAIN Ltd (BGIN) reported an operating income of $81.6M, resulting in an operating profit margin of 27.0%. This margin reflects the operational efficiency of the business before interest and taxes.
BGIN BLOCKCHAIN Ltd (BGIN) generated $127.7M in gross profit for the year, representing a gross profit margin of 42.2%. This demonstrates the company's core pricing power and production efficiency.