Bitmine Reports $6.3 Billion Net Loss as Ether Fell 44% in Fiscal Year

Bitmine Immersion Technologies (NYSE American: BMNR) reported a net loss of more than $6.3 billion for the fiscal year ended Aug. 31, 2026, according to its Form 10-K filed with the Securities and Exchange Commission. The loss, driven almost entirely by the decline in the price of ether, marks a sharp reversal from the prior fiscal year, when the firm reported net income of $348.6 million.

Nearly $6.23 billion of the net losses came from unrealized fair value losses on digital asset holdings, the filing shows. Ether dropped roughly 44% over the fiscal year, falling from approximately $4,390 to $2,466. For a company that measures its treasury at fair value, that decline flowed directly through the income statement rather than sitting on the balance sheet as a footnote.

What does the filing change for practitioners?

The core operational fact: as of the end of August, the Tom Lee-led Ethereum treasury firm held 5,901,837 ETH with a fair value of $14.6 billion, alongside 211 BTC worth $16.6 million. The company itself flagged the accounting consequence in plain terms. "Because our digital assets are measured at fair value, with changes in fair value recognized in earnings, changes in ETH prices are expected to continue to cause significant volatility in our reported results, stockholders' equity and financial condition," Bitmine said in the filing.

In other words, a 44% move in a single asset produced a swing of more than $6.6 billion between two fiscal years — from a $348.6 million profit to a $6.3 billion loss. That is the structural reality for any corporate treasury company holding ETH under fair-value accounting standards.

Equity issuance continued despite paper losses

Bitmine did not slow its capital raising during the losing year. The company sold 395.1 million shares of common stock through its at-the-market offering program, raising $13.2 billion in gross proceeds. It also repurchased 20.8 million shares at an average price of $17 per share. The issuance figure means the firm raised roughly twice its cumulative paper loss in fresh equity during the same period it recorded that loss.

Revenue remains almost entirely dependent on the same asset that drove the losses. Staking and validation revenue accounted for 97% of total revenue, which came in at $124.8 million for the year. The filing notes that the decline in ETH's value also adversely affected staking revenue, because rewards are paid in the cryptocurrency itself.

Accumulation continues toward the 5% target

Despite the unrealized losses, Bitmine has kept buying. In a Monday press release, the company said it has accumulated 6,070,092 ETH, reaching 4.97% of Ethereum's total token supply — roughly 168,000 ETH more than it held at the Aug. 31 fiscal year-end.

Company chairman Tom Lee said Bitmine would stop accumulating once it reaches the "Alchemy of 5%" target set when the Ethereum treasury strategy launched in June 2025. At 4.97% of supply, the firm sits within a few basis points of that ceiling, which implies the accumulation phase is effectively at its end. Once purchases stop, the company's reported results will turn almost entirely on ether's price and its staking yield — with no further dilution-funded buying to offset fair-value declines. The next quarterly filing will show how the market treated that transition.