NASDAQ$LMFA

LM Funding America Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Reported financial results for Q3 2022 and provided a business update.

LM Funding America reported its Q3 2022 financial results, revealing revenues of $188,000 and a cash balance of $10.2 million as of September 30, 2022. The company is actively mining Bitcoin since September 2022 and plans to increase its mining capacity to approximately 2,700 miners by year-end.

  • Revenues for the quarter ended September 30, 2022, were approximately $188,000 as compared to $224,000 for the comparable quarter in 2021.
  • Cash of $10.2 million as of September 30, 2022.
  • Working capital of $15.5 million as of September 30, 2022.
  • Total stockholders’ equity of $62.2 million as of September 30, 2022.

Headline financials

Total Revenue

$188K

Previous: $224K-16.0%
EPS (adj)

-$3.06

Previous: -$6.06+49.5%
Capital Expenditures

-$15.4K

Previous: $1.02K-1604.9%
Free Cash Flow

-$6.68M

Previous: -$5.52M-21.0%
Net Income

-$6.66M

Previous: -$5.52M-20.7%
Operating Income

-$5.26M

Previous: -$2.19M-139.8%
Gross Profit

$188K

Previous: $224K-16.0%
Cash & Equivalents

$10.2M

Previous: $17.5M-41.7%
Total Assets

$68M

Previous: $32.2M+110.9%
Stock-Based Comp

$329K

No prior period

Revenue & EPS history

LMFA · Revenue · Quarterly

$188K

Q3 2022-16%vs Q3 2021
Beat estimate in 8 of 13 quarters(62%)
ActualEstimate

Revenue by segment

LMFA · $2.11M total across 3 segments · Q1 2026

  • Digital mining
    $1.98M
  • Specialty finance
    $108K
  • Rental revenue
    $23.1K

Forward guidance

LM Funding expects to have approximately 2,700 miners mining by year’s end, up from 848 machines as of September 30, 2022. Production is expected to increase to 270 petahash by year’s end when the company hopes to have the approximately 2,700 miners energized.

Tailwinds

  • Expected to have approximately 2,700 miners mining by year’s end, up from 848 machines as of September 30, 2022.
  • Production is expected to increase to 270 petahash by year’s end when the company hopes to have the approximately 2,700 miners energized.
  • Purchased four hundred additional S19J Pros and two hundred S19XP miners, which we expect to come online between now and March 31, 2023.
  • Balance sheet remains strong.
  • Merger with SeaStar Medical successfully consummated on October 28, 2022.

Headwinds

  • Experienced issues with one of third-party hosting companies.
  • Looking for alternative solutions to host approximately 2,690 miners.
  • Previously, anticipated having more than 5,000 miners operational by the fourth quarter of 2022.
  • Revenues for the quarter ended September 30, 2022, were approximately $188,000 as compared to $224,000 for the comparable quarter in 2021.
  • Shift in focus to Bitcoin mining, and timing of Bitcoin mining late in the quarter, as well as the timing of association fee payoffs.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

+10.7%

Avg return

Earnings day

-2.6%

Avg return

5 days after

-5.1%

Avg return

30 days after

45%

19 / 42 earnings

Positive

+506.6%

Q2 2017

Best reaction

-100.0%

Q3 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-9.8%
Q3 2025-13.0%-24.9%-28.3%
Q2 2025+1.3%-40.8%-46.6%
Q1 2025-4.2%+4.8%-0.6%
Q4 2024-6.8%-10.5%+12.0%
Q3 2024-22.1%-20.6%-20.3%
Q2 2024-4.2%-3.6%-13.4%
Q1 2024+26.7%+38.6%+130.1%
Q4 2023-12.0%-11.2%-34.8%
Q4 2025-4.0%-6.4%-11.4%
Q3 2023-17.5%-22.3%-20.5%
Q2 2023-10.2%-17.0%-20.9%
Q1 2023+7.6%+0.9%-7.1%
Q4 2022+7.2%+5.6%+4.8%
Q3 2022-4.3%-2.9%-10.4%
Q2 2022+23.1%+5.6%+9.3%
Q1 2022+4.1%+1.7%-27.0%
Q4 2021-0.3%-3.3%-22.6%
Q3 2021-6.3%-6.5%-12.1%
Q2 2021+7.6%+4.0%-0.6%
Q1 2021+10.2%+9.4%-75.4%
Q4 2020+3.9%+2.4%-13.4%
Q3 2020+3.8%+9.6%+10.6%
Q2 2020-19.6%-52.4%-63.4%
Q1 2020+7.0%+28.2%+77.6%
Q4 2019+29.9%+24.8%+56.4%
Q3 2019-0.1%-4.9%-1.2%
Q2 2019-9.0%-9.0%-9.7%
Q1 2019-3.7%-3.0%-7.5%
Q4 2018-0.7%+1.5%-10.7%
Q3 2018-12.7%-19.5%-29.5%
Q2 2018+19.7%+3.8%+34.6%
Q1 2018-0.8%+0.3%-9.0%
Q4 2017+5.8%-1.3%-4.2%
Q3 2017+35.5%+15.7%+24.5%
Q2 2017+506.6%+5.3%-26.6%
Q1 2017+0.3%+6.6%-2.4%
Q4 2016-0.3%+2.3%+2.6%
Q3 2016-100.0%-17.8%-39.1%
Q2 2016+4.4%+4.1%+5.4%
Q1 2016+7.7%
Q4 2015-0.5%
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2014

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