How CLSK (CleanSpark) Makes Money in 2026: A Deep-Dive With Income Statement

Welcome to the Value Sense Blog, your resource for insights on the stock market! At Value Sense, we focus on intrinsic value tools and offer stock ideas with undervalued companies. Dive into our research products and learn more about our unique approach at valuesense.io

Explore diverse stock ideas covering technology, healthcare, and commodities sectors. Our insights are crafted to help investors spot opportunities in undervalued growth stocks, enhancing potential returns. Visit us to see evaluations and in-depth market research.

Understanding how a Bitcoin mining company like CLSK makes money is essential for investors and anyone interested in the business of digital assets. In this post, we break down CLSK's quarterly income statement (Q4 2025) using a Sankey chart to visualize the financial flows — what comes in, where it goes, and what's left as profit.

* *

Quick CLSK Overview

CLSK operates as a Bitcoin mining company focused on high-performance computing and digital asset infrastructure. Revenue comes primarily from Bitcoin mining operations, leveraging large-scale data centers and efficient mining hardware to generate cryptocurrency rewards. No detailed revenue segments are broken out in the Q4 2025 filings, indicating a streamlined model centered on mining output amid volatile crypto markets.

Revenue Breakdown

• Total Revenue (Q4 2025): $0.181B (+11.6% YoY)
  • Primarily from Bitcoin mining (100% of total, as no segments specified)
  • Growth is powered by increased mining efficiency, higher Bitcoin prices, and expanded hashrate capacity.

Gross Profit and Margins

• Gross Profit: $0.086B (47.2% gross margin)
  • Cost of Revenue: $0.096B (+4.9% YoY)
  • CLSK maintains robust margins due to energy-efficient mining operations and economies of scale in data center utilization.
• Most costs come from hosting and electricity fees, mining hardware depreciation.

Operating Income and Expenses

• Operating Income: Not specified (impacted by high operating expenses)
• Operating Expenses: $0.402B (+0.0% YoY)
  • R&D: Not specified
  • SG&A: $0.021B (+49.6% YoY, 11.5% of revenue) — covering administrative overhead, legal, and expansion-related costs
  • CLSK continues to prioritize innovation while expanding operations in high-growth crypto infrastructure.

Net Income

• Pre-Tax Income: Not specified
• Income Tax: Not specified (0% effective tax rate)
• Net Income: $0.379B (+0.0% YoY, 209.0% net margin)
• CLSK converts a high portion of sales into profit due to non-operating gains like cryptocurrency appreciation and fair value adjustments.

Most investors waste time on the wrong metrics. We've spent 10,000+ hours perfecting our value investing engine to find what actually matters.

Want to see what we'll uncover next - before everyone else does?

Find Hidden Gems First!

What Drives CLSK's Money Machine?

• Bitcoin mining revenue: 100%+ of revenue — Core driver from block rewards and transaction fees, scaled by hashrate and network difficulty.
• Hashrate expansion: CLSK boosted mining capacity, contributing to revenue growth despite modest YoY increase.
• Infrastructure investments: Heavy capex in data centers and hardware to lower energy costs per Bitcoin mined.
• Crypto asset holdings: Strategic retention of mined Bitcoin, with unrealized gains boosting net income significantly.

Visualizing CLSK's Financial Flows

The Sankey chart below visualizes how each dollar flows from gross revenue, through costs and expenses, down to net income. This helps investors spot where value is created, what areas weigh on profits, and how efficiently the company operates.

• Most revenue flows into gross profit, with operating expenses (especially other operating items) taking the largest chunk.
• Even after significant other expenses $2.554B, 209% of revenue drops to the bottom line, driven by extraordinary gains.

Key Takeaways

• CLSK's money comes overwhelmingly from Bitcoin mining
• High gross and net margins illustrate the power of CLSK's asset-light mining model with crypto upside
• Heavy investment in mining infrastructure, balanced by efficiency in operating costs
• Ongoing growth is driven by hashrate scaling and Bitcoin market dynamics

Explore More Investment Opportunities

For investors seeking undervalued companies with high fundamental quality, our analytics team provides curated stock lists:

📌 50 Undervalued Stocks (Best overall value plays for 2026)

📌 50 Undervalued Dividend Stocks (For income-focused investors)

📌 50 Undervalued Growth Stocks (High-growth potential with strong fundamentals)

🔍 Check out these stocks on the Value Sense platform for free!

FAQ About CLSK's Income Statement

1. What is the main source of CLSK's revenue in 2025?

CLSK generates over 100% of its revenue from Bitcoin mining. No other significant revenue sources are detailed in Q4 2025 filings.

2. How profitable is CLSK in Q4 2025?

CLSK reported net income of $0.379B in Q4 2025, with a net margin of approximately 209%, reflecting strong profitability driven by gross margins and non-operating crypto gains.

3. What are the largest expense categories for CLSK?

The biggest expenses on CLSK's income statement are operating expenses, particularly Research & Development (R&D) and Sales, General & Administrative (SG&A) costs. R&D investment reached Not specified in Q4 2025, as CLSK prioritizes mining hardware and expansion.

4. Why does other items operate at a loss?

Other, despite generating Not specified in revenue, posted an operating loss of over $2.554B in Q4 2025. This is because CLSK aggressively invests in crypto-related adjustments and expansions, believing these will drive long-term growth—even if the division is unprofitable today.

5. How does CLSK's effective tax rate compare to previous years?

CLSK's effective tax rate in Q4 2025 was 0%, consistent with previous years. This low rate is primarily due to tax benefits from crypto operations and no taxable income reported.