MARA Holdings, Inc.

Greetings and welcome to Marrow's Q4 2024 earnings call. At this time, all participants are in a listen-only mode. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Please note that this conference is being recorded. I will now turn the conference over to our host, Robert Samuels, Vice President, Investor Relations. Thank you. You may begin.

Thank you, Operator. Good afternoon, and welcome to MARA's fourth quarter and full year 2024 earnings call. Thank you for joining us today. With me on today's call are our chairman and chief executive officer, Fred Thiele, and our chief financial officer, Salman Khan. Certain statements made during this call may be considered forward-looking statements within the meaning of the federal securities laws. In particular, any statements about our future growth plans and performance, our liquidity position, our growth opportunities, and our future financial performance are forward-looking statements. These statements are identified by the use of words such as anticipate, believe, estimate, intend, design, may, plan, project, would, and similar expressions or variations. Investors are cautioned not to place undue reliance on these forward-looking statements. All forward-looking statements made on today's call involve risks and uncertainties. While we may elect to update these forward-looking statements at some point in the future, we have no current intention of doing so except to the extent required by applicable law. Our actual results and outcomes may differ materially from those included in these forward-looking statements as a result of various factors including, but not limited to, the factors discussed under the heading risk factors in our most recent annual report on Form 10-K and any other periodic reports that we may file with the Securities and Exchange Commission. Finally, please note that on today's call, we will refer to certain financial measures that were not prepared in accordance with generally accepted accounting principles in the United States. including adjusted EBITDA and non-GAAP total margin. Mara believes these non-GAAP financial measures are important indicators of its operating performance because they exclude certain items that we do not believe directly reflect our core operations and may not be indicative of our recurring operations. Please refer to the earnings release for a full reconciliation of these non-GAAP financial measures to the most comparable GAAP financial measures. We hope you got the chance to read our shareholder letter, and we look forward to your feedback. We'll begin with some prepared remarks from Fred and Salman. After their comments, we are going to be conducting an analyst interview with management. Today's session will be conducted by Brett Knobloch, analyst at Canterford Sheralds. Once Brett is finished, we will go through some of the more popular questions from our retail investors. And with that out of the way, I'm going to turn the call over to Fred to kick things off. Fred?

Thank you, Rob. Thanks everyone for joining us this afternoon. I'm very proud to report record high revenues, net income, and adjusted EBITDA for the fourth quarter and full year 2024. In addition, our direct energy cost for Bitcoin for 2024 was $28,000 from our own sites. Our shareholder letter this quarter walks through the transformation that we set in motion last year to transform Mara from asset light into a vertically integrated energy and technology solutions provider. a transformation that we are accelerating in 2025. We secured 300% more energy capacity, expanding our total portfolio from approximately 5 gigawatts to 1.7 gigawatts, and deployed our first owned power generating assets, reducing our reliance on grid power and lowering our cost to mine. By owning energy assets, we lower our single biggest input cost, energy. Where the average grid-connected miner may be paying $40 a megawatt, at sites where we use owned energy assets, our energy costs could be as low as $10 a megawatt, or even less in some cases. This is what allows us to extend the life of our single largest CapEx item, compute. By potentially doubling the useful life of miners, our need for maintenance CapEx is reduced, which we believe will make us more capital efficient and less dependent on replacing our fleet at these sites every three to four years like our peers. This also means we potentially would be able to mine at times when others will have to curtail because the marginal cost to mine is too high, allowing us to benefit from likely reduction in global hash rate while some others cannot. The other area we're very focused on in regards to energy transformation is developing solutions that help us and the customers of our solutions optimize how power is consumed, stored, and distributed. This allows us to activate new services for data centers, AI operators, and energy markets. We can co-locate with them, balance their load, and generate revenue to offset costs in ways that grid-reliant miners simply cannot. We're proud of our transformation, but we're far from done. While we remain bullish on Bitcoin and our mining business, we're continuing to explore how Mara can emerge as a leader in the next major opportunity, artificial intelligence. With a focus on inference AI, where we intend to deploy an initial set of pilots totaling 30 megawatts of inference AI compute using our 2PIC liquid cooling technology this year. at our own sites, as well as our partner and a customer site. We'll discuss our AI plans in more detail next quarter, and you can read more about it in our shareholder letter. In conjunction with our emerging technology business, we're taking steps today, including investing in research and development to establish our presence in AI and adjacent markets, which we expect will create additional revenue opportunities over the long term. We expect our costs to decline as we realize savings from owning our own sites and generating our own power. And we will be laser focused on efficiency as we drive towards our goal of near zero cost of energy. I'd like to thank our employees for their hard work and our shareholders for their support. And with that, I'll turn it over to Salman for some highlights from the quarter. Salman.