Bit Digital (BTBT) Q2 FY26 earnings call: the analyst Q&A

When might the Board decide on a buyback, and would it be funded by selling White Fiber shares, given the commitment not to sell White Fiber this year?

Sam Tabar stated the Board is vigorously discussing a buyback due to the 40%+ NAV discount but cannot give exact timing. He reaffirmed the commitment not to sell White Fiber shares this year, citing "greed" and belief in White Fiber's future performance. He noted multiple potential liquidity sources for a buyback, not just White Fiber proceeds.

“I can't give details on the exact timing of that. The Board is still considering how and when to do that. But I can tell you that it is a very vigorous discussion that we're having. We think the 40% or sometimes even 43% discount to NAV is unacceptable and makes no sense.”

asked by Nick Giles · answered by Samir Tabar

What is the potential timing and expected returns for writing out-of-the-money covered calls against White Fiber holdings?

Erke Huang indicated coordination with White Fiber for a registration statement potentially later this quarter, working with banks for execution. They don't have exact pricing yet but expect to discuss it once registration is done.

“In terms of timing, I think we're coordinating with White Fiber for registration statement potentially later this quarter. And we're working with a few banks for their execution.”

asked by Nick Giles · answered by Erke Huang

If White Fiber secures permanent financing for NC1, leading to an inflow of cash, would that fuel a significant buyback?

Erke Huang clarified that the bridge facility is short-term (90 days to end of year). Upon permanent financing, White Fiber would repay the bridge, and Bit Digital would use those proceeds to unwind its own borrowing, not necessarily for a buyback. Sam Tabar added that the bridge facility generated a higher return than native staking.

“For the bridge facility we had with White Fiber is relatively short term, is 90 days to like half the year towards the end of this year. So once the NC1 coming on financing down the White Fiber will obviously pay back a bridge and will use the proceeds we received to unwind our [indiscernible] borrowing with tax in this scenario.”

asked by George Sutton · answered by Erke Huang

Would the company consider selling a portion of White Fiber to finance a share repurchase, and are there other investments that could generate a greater return than repurchasing Bit Digital shares?

Sam Tabar reiterated that a buyback is a "pretty good investment" and is being considered. He confirmed that if a buyback happens this year, it would not be funded by White Fiber proceeds due to the prior commitment. He stated that the timing of a buyback is still undecided.

“If we were to do a buyback program this year, it will not be with the proceeds of White fiber. But we have no idea what the timing of the -- we're just considering it. We're just talking about it. It's on our menu, and it's a very attractive dish on our menu for obvious reasons.”

asked by Brian Dobson · answered by Samir Tabar

Why did the share count increase by approximately 25 million shares last quarter, given the company's stance on not issuing shares for White Fiber or Ethereum purchases?

Sam Tabar explained that the Ethereum purchase and equity issuance (via ATM for construction spending) were separate decisions made based on circumstances at the time. He emphasized that the capital priorities changed as the NAV discount widened, leading to the current evaluation of a buyback.

“The Ethereum purchase and equity issuance were separate decisions. We bought Ethereum to lower our average cost while the ATM provided cash for construction spending, each decision made sense based on the circumstances at the time.”

asked by Raymond Edings · answered by Samir Tabar