MARA Stock Up 12% Despite $1.71B Loss as Company Shifts to AI

MARA Holdings reported a net loss of $1.71 billion for Q4 2025, compared with a $528.3 million profit in the same period last year. Quarterly revenue fell 6% to $202.3 million, according to a filing with the SEC, as the decline in Bitcoin prices outweighed gains from higher network hash rates.

The biggest impact came from the $1.5 billion negative revaluation of digital assets due to Bitcoin’s price drop. For the full year 2025, MARA posted a $1.31 billion loss, despite increasing revenue to $907.1 million from $656.4 million in 2024. The company had earned $541 million in net profit the year before.

Production and Bitcoin Reserves

In Q4, MARA mined 2,011 BTC, down 6% from Q3 and below the year-ago figure of 2,492 BTC. Total production for 2025 reached 8,799 BTC, compared with 9,430 BTC in 2024.

At the end of the quarter, the company held 53,822 BTC, including 15,315 BTC pledged or collateralized. At a quarterly price of $87,498 per coin, the total reserve value was approximately $4.7 billion. Over the past six months, MARA shares have fallen 46%.

Pivot to AI and High-Performance Computing

Alongside its financial results, MARA announced a strategic pivot to transform from a Bitcoin miner into an energy and digital infrastructure company. The firm revealed a joint venture with Starwood Digital Ventures to build AI and high-performance computing data centers at locations with sufficient energy capacity.

The initial phase targets over 1 gigawatt of IT infrastructure, with potential expansion to 2.5 gigawatts. MARA may hold up to 50% stakes in individual projects while continuing mining operations where electricity costs remain attractive.

In February, the company acquired a 64% stake in Exaion, a firm focused on corporate and government AI solutions.

Industry Context and Challenges

MARA’s strategy aligns with a broader trend as miners seek new revenue streams amid a market correction. The company faces pressure from declining Bitcoin prices, while other miners like Hut 8 reported a $279.7 million Q4 loss.

Accounting rules under FASB ASU 2023-08 require MARA to report digital assets at fair value, creating volatility in quarterly earnings. While this standard drove paper profits during Bitcoin rallies, it also caused the record losses in 2025.

MARA’s pivot to AI infrastructure could provide an alternative revenue stream, but success will depend on execution and whether the new business model offsets the volatility of its core Bitcoin holdings.