Cango Inc. Reports Record Financial Growth and Future Plans

Author: Evelyn Baker Updated: 03-06-2025 04:59 PM

Cango Inc. Financial Highlights

Cango Inc. (NYSE: CANG) a prominent name in Bitcoin mining and automotive transaction services, has released its unaudited financial results demonstrating significant achievements in the financial year.

Robust Fourth Quarter Performance

The fourth quarter of 2024 was particularly fruitful for Cango, showcasing total revenues of RMB668 million, translating to approximately USD 91.5 million. This figure represents a remarkable increase over the RMB130.2 million reported during the same period in 2023.

Revenue Sources

The expansion into the Bitcoin mining business played a vital role in this revenue boost, generating RMB653 million (about USD 89.5 million) during the quarter. This substantial uptick directly correlates with the launch of their Bitcoin mining operations in late 2024.

Bitcoin Mining Efficiency

During this quarter, Cango successfully mined 933.8 Bitcoins. The average cost to mine, excluding the depreciation of mining machines, stood at approximately USD 67,769.9 per Bitcoin. This operational efficiency is commendable and aligns with the company's future objectives.

Full Year Financial Overview

For the entirety of 2024, Cango reported total revenues of RMB804.5 million (around USD 110.2 million), down from RMB1.7 billion in 2023. Despite this decrease, net income soared to RMB299.8 million (USD 41.1 million), a significant recovery from a net loss of RMB37.9 million in 2023.

Driving Growth Through Innovation

Mr. Jiayuan Lin, the company's CEO, noted the transformative year that 2024 represented. Cango strategically transitioned to readily embrace opportunities in the cryptocurrency sector while maintaining its traditional automotive services. Their acquisition of Bitcoin mining machines in November 2024, totaling 50 EH of hashrate for USD 400 million, solidified their position as the third-largest Bitcoin miner globally.

Future Outlook and Strategies

With a deployed hashrate of 32 EH, Cango is well-positioned to increase its operational capabilities significantly. Plans are underway to expand this to approximately 50 EH in the coming months. Their focus is on cost-effective, sustainable energy solutions that optimize their mining operations.

Shareholder Value Enhancement Efforts

As part of its ongoing commitment to creating value for shareholders, Cango has implemented a share repurchase program, wherein they have repurchased nearly 1 million ADSs valued at USD 1.7 million as of the end of 2024.

Management's Perspective

Mr. Yongyi Zhang, CFO of Cango, expressed confidence in the company’s financial trajectory, emphasizing the successful pivot to Bitcoin mining as a cornerstone of Cango's growth strategy.

Frequently Asked Questions

What is Cango Inc. known for?

Cango Inc. is recognized for its innovative involvement in Bitcoin mining and automotive transaction services.

How did Cango Inc. perform financially in 2024?

The company reported revenues of RMB804.5 million and a net income of RMB299.8 million in 2024.

What was Cango Inc.’s most significant revenue driver in 2024?

The Bitcoin mining business emerged as the major revenue contributor during 2024.

What are Cango's plans for future growth?

Cango aims to increase its mining capacity while continuing to enhance its automotive services and promote sustainability.

How has Cango enhanced shareholder value?

Through a share repurchase program, Cango has taken active steps to improve shareholder value.

About The Author

Greetings, I'm 32-year-old author and financial specialist Evelyn Baker. My introduction into the financial industry started with an economics degree and continued with a wealth of experience in wealth management and financial consulting. My great passion over the years has been assisting people and companies in making wise, well-informed decisions to reach their financial objectives.

My goal with writing is to simplify difficult financial ideas into understandable, doable guidance. My goal in writing many books and articles is to make personal finance understandable to everyone, irrespective of their experience or background. I want to give readers the information they need to take charge of their financial futures, from investing and retirement planning to budgeting and saving.

Along with my writing, I lead webinars and workshops where I provide doable advice and methods for achieving financial success. To reach a larger audience, I also frequently contribute to financial blogs and publications. My method is always to offer doable, real-world guidance that can actually improve people's lives.

Aside from my job, I like to cook, travel, and experience other cultures. I work hard to apply my belief in the value of a balanced life to my financial counsel. My goal in working is to encourage and enable people to succeed financially so they may lead the best lives possible.

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