BitMine’s filings reveal $2.8 billion in quarterly profit from unrealized Ethereum gains, alongside $17.5 million in operating cash outflows.

BitMine’s annual filing implies a nearly $2.8 billion profit for the Ethereum treasury company in the three months ended Aug. 31, driven by unrealized gains on its digital assets.

The annual accounts filed Nov. 10, compared with the nine-month statements through May, make the final-quarter result measurable for the first time.

CryptoSlate calculated the June-August figures by subtracting the cumulative nine-month amounts from the full-year totals.

BitMine reported a full-year net loss of about $6.3 billion, against a $9.1 billion loss for the first nine months. Calculations using the filings’ underlying figures imply $2.8 billion in final-quarter net income, measured before preferred distributions.

The principal driver was a calculated $2.8 billion unrealized digital asset gain during June-August, slightly more than the quarter’s net income. The cumulative unrealized loss had narrowed from about $9 billion through May to $6.2 billion for the full year.

Under BitMine’s accounting policy, digital assets are measured at fair value, and changes flow through net income. A higher valuation can increase reported earnings without a corresponding cash receipt.

BitMine used $305.1 million in operating activities over the full year and $287.6 million over the first nine months. The difference is $17.5 million of operating cash used in June-August, despite the calculated profit.

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