According to Foresight News, Canaan Creative announced its fourth quarter and full-year financial report for fiscal year 2022. Revenue in the fourth quarter of 2022 was US$56.8 million, a decrease of 59.9% from the previous quarter and a decrease of 82.1% from the previous year. Among them, product revenue in the fourth quarter of 2022 was US$46.3 million, a decrease of 65.1% from the previous quarter, mainly due to the decrease in total computing power sold and lower selling prices due to the decline in Bitcoin prices. Mining revenue in the fourth quarter of 2022 was US$10.5 million, an increase of 16.3% from the previous quarter and an increase of 368.2% from the previous year. The increase in mining revenue in the third quarter of 2022 and the fourth quarter of 2021 was mainly attributed to the increase in computing power.
In addition, the gross loss in the fourth quarter of 2022 was RMB 230.9 million (US$33.5 million), the gross profit in the third quarter of 2022 was RMB 219.3 million, and the gross profit in the same period of 2021 was RMB 1.4869 billion. The impairment of cryptocurrency in the fourth quarter of 2022 was US$1.6 million, compared with RMB 11.3 million in the third quarter of 2022 and zero in the same period of 2021. The impairment was mainly due to the decline in Bitcoin prices.
Revenue for the full year 2022 decreased to RMB 4,378.9 million (US$634.9 million) from RMB 4,986.7 million in 2021. The main reason for the decrease was the decrease in total computing power sold. Gross profit for the full year 2022 decreased to RMB 1,747.9 million (US$253.4 million) from RMB 2,850.7 million in the full year 2021.
As of December 31, 2022, the company's cryptocurrency assets included 757.14 bitcoins with a book value of US$12.7 million. In addition, it had cash and cash equivalents of RMB 707.3 million (US$102.5 million).
