Soluna (NASDAQ:SLNH) shares are down 16% after the crypto data center developer reported second quarter results, with revenue of $8.67M up 5.2x year-over-year but down 6.3% sequentially amid declining bitcoin (BTC-USD) prices.In its latest flash presentation, the company noted that increased seasonal curtailment and outage at Marie accounted for ~$0.6M in the revenue lost in Q2. Although adj. cash contribution margin grew +4x year-over-year, it declined 3.9% sequentially. Prop mining margins were 55.3%, while hosting margins (excluding legacy hosting) were 17.3%.Taking all sites into account, adj. EBITDA grew +2.9x year-over-year but fell 13.4% sequentially. The company expects increased overhead and SG&A costs going forward to support long-term pipeline growth.Average price of Bitcoin declined 32% from May to July 2022. BTC mined equivalent increased 10.4% over same period, while revenue declined 25%.July update: Cash contribution margin slipped from $800K in June to $433K (excluding fuel cost adjustment) in July. Revenue, too, dropped from $2.28M to $2.25M, while consolidated power costs grew 26.9%.August pricing is likely to remain elevated, but Soluna (SLNH) expects decline in September costs. Assuming an FCA return to June levels, the reduction would reflect ~$300K+ improvement to July's expenses.
