| Schedule of Disposal Groups, Including Discontinued Operations |
The following table provides the components of the assets or disposal groups that either met the criteria of "assets held for sale" as of June 30, 2026 or December 31, 2025.
| | | | | | | | | | | | As of June 30, | As of December 31, | | | 2026 | 2025 | Miners | | 13,013 | | 166 | | Mining electrical components | | 2,901 | | 3,198 | | Assets of disposal group classified as held for sale: | | | | Other assets | | — | | 1,404 | | Inventories - electronic and networking components | | — | | 426 | | Property, plant and equipment | | — | | 17,168 | | Long-term deposits and equipment prepayments | | — | | 1,145 | | Refundable deposits - security deposits for energy | | — | | 5,157 | | | | 15,914 | | 28,664 | |
The combined results of the Company's Argentina and Paraguay operations for the three and six months ended June 30, 2026 and 2025 are presented below: | | | | | | | | | | | | | | | | | | | | | | | | | Three months ended June 30, | | 2026 | 2025 | | | | | | | | | | | | | Argentina | Paraguay | Total | Argentina | Paraguay | Total | | | | Revenues* | — | | 1,296 | | 1,296 | | 3,657 | | 12,217 | | 15,874 | | | | | Cost of revenues | — | | (1,287) | | (1,287) | | (5,775) | | (12,430) | | (18,205) | | | | | Gross profit (loss) | — | | 9 | | 9 | | (2,118) | | (213) | | (2,331) | | | | | Operating expenses | | | | | | | | | | General and administrative expenses | (572) | | (343) | | (915) | | (1,438) | | (575) | | (2,013) | | | | | Gain (loss) on disposition of property, plant and equipment and deposits | (287) | | 128 | | (159) | | 70 | | 4 | | 74 | | | | | Impairment of long-lived assets | — | | — | | — | | (14,872) | | — | | (14,872) | | | | | Operating loss | (859) | | (206) | | (1,065) | | (18,358) | | (784) | | (19,142) | | | | | Interest expense | — | | — | | — | | — | | (29) | | (29) | | | | | Other (expense) income | (9) | | (23) | | (32) | | 22 | | 106 | | 128 | | | | | Total other (expense) income | (9) | | (23) | | (32) | | 22 | | 77 | | 99 | | | | | Loss before income taxes | (868) | | (229) | | (1,097) | | (18,336) | | (707) | | (19,043) | | | | | Income tax recovery (expense) | — | | 53 | | 53 | | 457 | | (111) | | 346 | | | | | Loss from discontinued operations | (868) | | (176) | | (1,044) | | (17,879) | | (818) | | (18,697) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
*Revenues are presented based on the geographical contribution of computational power used for hashing calculations (measured by hashrate) or sales to external customers. | | | | | | | | | | | | | | | | | | | | | | | | | Six months ended June 30, | | 2026 | 2025 | | | | | | | | | | | | | Argentina | Paraguay | Total | Argentina | Paraguay | Total | | | | Revenues* | — | | 7,378 | | 7,378 | | 10,612 | | 24,231 | | 34,843 | | | | | Cost of revenues | — | | (7,149) | | (7,149) | | (13,828) | | (24,084) | | (37,912) | | | | | Gross profit (loss) | — | | 229 | | 229 | | (3,216) | | 147 | | (3,069) | | | | | Operating expenses | | | | | | | | | | General and administrative expenses | (4,420) | | (1,302) | | (5,722) | | (3,001) | | (1,454) | | (4,455) | | | | | Gain (loss) on disposition of property, plant and equipment and deposits | 37 | | 123 | | 160 | | (126) | | 4 | | (122) | | | | | Impairment of long-lived assets | (811) | | (12,806) | | (13,617) | | (33,696) | | — | | (33,696) | | | | | Operating loss | (5,194) | | (13,756) | | (18,950) | | (40,039) | | (1,303) | | (41,342) | | | | | Interest income | — | | — | | — | | — | | 74 | | 74 | | | | | Interest expense | — | | — | | — | | — | | (62) | | (62) | | | | | Other income | 70 | | 4 | | 74 | | 386 | | 36 | | 422 | | | | | Total other income | 70 | | 4 | | 74 | | 386 | | 48 | | 434 | | | | | Loss before income taxes | (5,124) | | (13,752) | | (18,876) | | (39,653) | | (1,255) | | (40,908) | | | | | Income tax recovery (expense) | — | | 53 | | 53 | | (1) | | (193) | | (194) | | | | | Loss from discontinued operations | (5,124) | | (13,699) | | (18,823) | | (39,654) | | (1,448) | | (41,102) | | | | | Gain on disposition of Yguazu Bitcoin data center | — | | — | | — | | — | | 5,225 | | 5,225 | | | | | (Loss) gain from discontinued operations | (5,124) | | (13,699) | | (18,823) | | (39,654) | | 3,777 | | (35,877) | | | | |
*Revenues are presented based on the geographical contribution of computational power used for hashing calculations (measured by hashrate) or sales to external customers.
The net cash flows incurred by Argentina's and Paraguay's operations are, as follows: | | | | | | | | | | | Six months ended June 30, | | 2026 | 2025 | | Net change in cash related to operating activities | (7,220) | | (16,698) | | | Net change in cash related to investing activities | 19,105 | | 20,730 | | | Net change in cash related to financing activities | (150) | | (226) | | | Net change in cash generated by the discontinued operations | 11,735 | | 3,806 | | |
| | | | | | | | | As of March 17, | | | 2025 | Consideration | | | Advance received in January 2025 upon signing the LOI | | 20,000 | | Cash received upon closing | | 12,038 | | Receivable over 6 equal monthly payments following the closing date* | | 31,000 | | Other costs assumed by HIVE | | 222 | | Total consideration received | | 63,260 | | Net assets transferred | | | Current assets | | 2,590 | | Property, plant and equipment | | 34,006 | | Intangible asset | | 309 | | Long-term deposits and equipment prepayments | | 18,321 | | Security deposit for energy | | 2,809 | | Total net assets transferred | | 58,035 | | Gain on disposal of subsidiary | | 5,225 | | | | | | | |
* The $31,000 interest-free receivable was fully collected by the end of the third quarter of 2025. The transaction details are as follows: | | | | | | | | | As of April 21, | | | 2026 | Consideration | | | Cash received upon closing | | 13,000 | | Total consideration received | | 13,000 | | Net assets transferred | | | Other assets | | 1,435 | | Inventories - electronic and networking components | | 426 | | Property, plant and equipment | | 4,503 | | Long-term deposits and equipment prepayments | | 1,414 | | Other non-current assets | | 5,157 | | Accounts payable and accrued expenses | | (59) | | Total net assets transferred | | 12,876 | | Gain on disposal of subsidiary | | 124 | | | | | | | |
| | | | | | | | | | | Six months ended June 30, | | 2026 | 2025 | | Changes in non-cash working capital components: | | | | Increase in accounts receivable, net | (3,895) | | (374) | | | Decrease in other current assets | 3 | | 7,121 | | | Increase in inventories | (177) | | (2,663) | | | (Increase) decrease in deposits | (730) | | 8,569 | | | | | | | (Decrease) increase in accounts payable and accrued expenses | (7,222) | | 1,576 | | | (Decrease) increase in operating lease liabilities | (1,056) | | 1,883 | | | | | | | Decrease in other non-current liabilities | (854) | | (296) | | | | (13,931) | | 15,816 | | | Significant non-cash transactions: | | | | | | | | Issuance of common shares, warrants and RSUs in connection with the acquisition of Stronghold | — | | 78,161 | | | Issuance of warrants in connection with debt issuance | — | | 2,900 | | | Equipment prepayments realized as additions to PPE | 474 | | 41,045 | | | | | | | Capitalization of interest relating to construction in progress | 757 | | — | | | Addition of ROU assets and related lease liabilities | — | | 239 | | | Purchase of PPE financed by short-term credit | 7,270 | | 934 | | | | | | | | | | | Computational power revenue and its related service expense | 831 | | 1,750 | | | Depreciation and amortization* | | | | Property, plant and equipment, net | 111,478 | | 63,158 | | | Finance lease right-of-use assets | 197 | | 482 | | | Intangible assets, net | 168 | | 337 | | | | 111,843 | | 63,977 | | |
*Depreciation and amortization expenses are part of the non-cash adjustments in the cash flow statement, and these amounts also include figures from discontinued operations. See Note 8 for more details.
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