Mawson Infrastructure Group Inc Q3 2021 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Kevin Dede - H.C. Wainwright & Co., LLC - Analyst : Thanks, Kevin Dede, H.C. Wainwright. James, Nick, thank you so much for having me on the call. Great to be here. Could you help me understand the difference between qualified and prospective pipeline?

Question: Kevin Dede - H.C. Wainwright & Co., LLC - Analyst : Okay, thank you. The Luna opportunity seems very interesting, especially given hot demand; five customers, I think you noted. Can you talk about revenues? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. NOVEMBER 16, 2021 / 10:00PM, MIGI.OQ - Q3 2021 Mawson Infrastructure Group Inc Earnings Call

Question: Kevin Dede - H.C. Wainwright & Co., LLC - Analyst : Look, as you know, the Canaan call was this morning and obviously, you stand out as a critical customer for them, given there were lots of shady bars in the forecast and Canaan seeing great demand. Can you speak to the assurances you have, given the long-term nature of your relationship that you'll be able to secure the machinery that you need to generate five?

Question: Kevin Dede - H.C. Wainwright & Co., LLC - Analyst : So Bitmain, obviously, after the big conference in Dubai, talked about their XP. That's the S19 JXP using a five-nanometer chipset and pump and terahash up to I think, what was it, 120 or 140? I don't remember.

Question: Kevin Dede - H.C. Wainwright & Co., LLC - Analyst : Yeah, so I was wondering if you could speak to Canaan's roadmap and how close you might be to seeing where they're going and whether or not -- I think they're reliant on TSMC as well. If their plans include a five-nanometer chipset upgrade and -- how comfortable you are in seeing them getting the wafers that they need for those chips?

Question: Kevin Dede - H.C. Wainwright & Co., LLC - Analyst : Okay. Last question for me, if you can take a deep breath, James, just a little bit more on the Quinbrook relationship. Obviously, there's more to come there. I was wondering if you could zero in on a timeline, maybe how many other projects you're looking at, what the scope of them may be? You alluded to working with them in the US. I just know it's critical for Bitcoin miners to be joined at the hip with powers -- generators. So I think this is a great step for you, folks. Just maybe you could dig in on that a little bit.

Question: Kevin Dede - H.C. Wainwright & Co., LLC - Analyst : Very good. Okay. Thank you, James. I appreciate you entertaining my questions.

Question: Angus McGeoch - CLSA - Analyst : Thanks, guys. I think you addressed my question on the webcast, but just following on from that, and hopefully I'm not misreading this. But it does appear that you've brought your ramp-up timeline forward, just in terms of how you're executing towards that expanded capacity. So in terms of the ability to continue to do that on a forward-looking basis, do you think there's further room to move to hit higher Exahash rates at an earlier time than currently expected?

Question: Angus McGeoch - CLSA - Analyst : Okay. Thanks, James. And sorry, just one last question. You've provided a lot of transparency there just around bitcoin pricing and revenue forecast, which is great. And you talk to being fully funded to that 5 Exahash level. Could you disclose at what bitcoin price you may not be fully funded and you might need alternate source of funding to achieve on that extended execution rate?

Question: Angus McGeoch - CLSA - Analyst : Sorry. I mean, you guys are obviously talking to be fully funded to the 5 Exahash rate, notwithstanding the fact that you need to order some more miners. Is there a bitcoin price at which the ability to internally fund with what you -- the cash reserves you currently have plus the cash that you're REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. NOVEMBER 16, 2021 / 10:00PM, MIGI.OQ - Q3 2021 Mawson Infrastructure Group Inc Earnings Call generating, is there a bitcoin price that might say that become problematic? Or do you think there's just a lot of margin of safety based on where you are today?

Question: Angus McGeoch - CLSA - Analyst : Okay, great. Thanks, guys, and congrats on a strong quarter.