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American Bitcoin Corp. (Nasdaq: ABTC), the bitcoin miner co-founded by Eric Trump, reported roughly $126 million in third-quarter net income and approximately $221 million in adjusted EBITDA for the three months ended September 30, according to Bitcoin.com News. The result reverses a $57.2 million net loss in the second quarter, when adjusted EBITDA was negative $45 million.
The headline turnaround did not lift the stock. ABTC shares fell nearly 17% on Thursday to a recent price of $5.18 amid a wider sell-off in technology and mining stocks, and are down more than 40% over the past month, Bitcoin.com News reported.
Also read: Tether posts $1.5B Q3 profit as reserves rebuild to $7.95B
Key facts
- Net income of about $126 million in Q3 2026, versus a $57.2 million loss in Q2 2026.
- Bitcoin holdings of 8,427 BTC at September 30, up roughly 425 BTC from 8,002 BTC at June 30.
- Mining revenue fell to $63.4 million from $67 million, and gross profit slipped to $25.8 million from $33 million.
- Cost to mine one bitcoin rose to $42,100 from $36,500, a 15.3% quarterly increase.
- Production declined 4.4%, from about 932 BTC to 891 BTC.
Where the profit came from
The profit was driven less by mining than by accounting gains on the company’s bitcoin reserve. Coverage by crypto.news put a $197.3 million digital-asset valuation gain in the quarter, reversing a $71.2 million loss on holdings in the prior period, against a $64.3 million derivative loss tied mainly to Bitcoin redemption and put options linked to equipment supplier Bitmain. American Bitcoin carries its bitcoin at fair value, so price moves flow through earnings whether or not coins are sold.
Bitcoin.com News reported adjusted EBITDA of approximately $221 million; crypto.news gave the figure as $220.8 million, a rounding difference. Both outlets put gross margin at 41%, down from 49% in the second quarter, which American Bitcoin attributed to seasonal electricity costs.
CEO Mike Ho said the company expanded its reserve without buying bitcoin on the open market or issuing shares under its at-the-market program during the quarter, and that operations kept mining at a structural discount to spot prices despite seasonal power costs. Satoshis per share rose about 5%, from 10,989 to 11,572.
Treasury ranking and equipment
BitcoinTreasuries.net ranked American Bitcoin 13th among public corporate bitcoin holders, ahead of GD Culture Group and Galaxy Digital Holdings. About 3,090 BTC of the total were pledged under Bitmain miner-purchase agreements, split into 2,385 BTC as current assets and 705 BTC as noncurrent, crypto.news reported, citing the SEC filing. The company’s owned fleet stood at roughly 89,242 machines and 28.1 EH/s of capacity at quarter-end.
crypto.news also reported details from the filing that Bitcoin.com News did not carry: 7.76 million Class A shares sold under the at-the-market program in the first nine months of 2026 for $144.7 million in gross proceeds, and $72.4 million in net cash used by operating activities over that period.
Why it matters
The quarter separates accounting income from mining economics: earnings rose sharply while revenue, output and margins all fell. Shareholders are exposed to that gap because reported profit on held bitcoin does not add coins, and further share issuance would dilute per-share holdings. Placing 3,090 BTC as collateral for mining hardware also ties part of the treasury to equipment commitments.
What to watch
Next up is whether Q4 electricity costs ease and whether the company resumes share sales under its at-the-market program. Peer results in the same reporting period — Hut 8’s $189.5 million net income and Riot Platforms’ $181.4 million in revenue — set a comparison point for how much of sector earnings depends on valuation gains.
Bitcoin traded around $76,111 on November 5, according to Bitcoin.com News. This article is not financial advice; cryptocurrency prices are volatile and the figures above describe reported results, not expected future performance.
Reported by Bitcoin.com News.
Sources: Bitcoin.com News, crypto.news