Cango's $285M Q4 Loss: When Your ASICs Are More Impairing Than Your Portfolio

Bitcoin mining outfit Cango Inc. just posted a net loss of $285 million for Q4 2025, proving that sometimes the only thing being mined is a deeper hole. The firm did rake in $179.5 million in revenue, with $172.4 million coming from digging up digital gold, but its total operating costs and expenses decided to moon instead, hitting a cool $456.0 million.

The red ink fountain was powered by some truly spectacular accounting. The company booked an $81.4 million "oops" on its mining machines and a $171.4 million loss from fair-value changes on Bitcoin-collateralized receivables, because marking assets to market in a volatile crypto winter is a special kind of thrill.

The cost to produce a single Bitcoin ballooned to $106,251 for the quarter. While revenue from mining grew, it was utterly vaporized by impairment charges, mark-to-market magic, and rising production costs as the company scaled up—a classic case of the cobbler's children having no shoes, or in this case, no profitable sats.

Cango's stock chart started to look like a failed leverage long. Shares plummeted from around $4.50 at the start of October to roughly $1.50 by New Year's Eve. At the time of writing, they're changing hands at a mere $0.68, marking an 84% nosedive over six months that would make any degen's liquidation look gentle.

For the entire 2025 calendar year, Cango reported total revenue of $688.1 million, with Bitcoin mining contributing $675.5 million of that. The company extracted 6,594.6 Bitcoin from the earth's digital crust, averaging about 18.07 Bitcoin per day—a respectable haul, if only they could afford the electricity bill.

Total operating costs and expenses for 2025 summed to a staggering $1.1 billion. This figure includes a $338.3 million impairment on mining rigs (turns out they don't always go up) and another $96.5 million in fair-value losses on those pesky Bitcoin-collateralized receivables.

The final score for the year was a net loss of $452.8 million. Chief financial officer Michael Zhang noted the loss was largely driven by non-recurring transformation costs and market-driven fair-value adjustments, which is corporate speak for "we bet the farm and the farm got rekt."

These results cap off a dramatic strategic U-turn. In April 2025, Cango dumped its legacy China auto financing business for $352 million to Ursalpha Digital Limited, an entity with ties to Bitmain, effectively trading car loans for ASICs.

The transaction included the transfer of 32 exahashes per second (EH/s) of mining hashrate to Cango, officially rebranding the company from a financier of wheels to a publicly traded Bitcoin miner—a pivot sharper than a trader spotting a fakeout.

In a move of pure poetry, Cango raised $75.5 million in equity financing this past February after selling 4,451 Bitcoin for approximately $305 million to deleverage. The company claims this funds its latest plot twist: a pivot toward AI infrastructure, with plans to turn its mining ops into distributed compute for AI workloads. Because when one hype cycle cools, you simply plug into the next.