Sphere 3D 2025 Q3 Earnings Severe Net Loss Expansion of 4184.6%

Sphere 3D Corp. (NASDAQ: ANY) reported fiscal 2025 Q3 earnings on November 4, 2025, with results far below expectations. The company swung to a loss of $0.15 per share, missing the Zacks Consensus Estimate of a $0.11 loss, and recorded a net loss of $4.25 million, a 4184.6% deterioration from the $104,000 net income in 2024 Q3. Despite a 11.4% revenue increase to $2.62 million, the stock has underperformed the S&P 500, down 28% year-to-date.

Revenue

Sphere 3D’s total revenue rose to $2.62 million in Q3 2025, driven entirely by Bitcoin mining operations, which accounted for the full $2.62 million. This represents a 11.4% year-over-year increase from $2.35 million in Q3 2024. However, the company’s operational challenges and sector volatility continue to weigh on profitability.

Earnings/Net Income

The company reported a net loss of $4.25 million in Q3 2025, a dramatic decline from a $104,000 profit in the prior-year period. Earnings per share turned negative at -$0.15, a 1600% deterioration from $0.01 in Q3 2024. This marks the ninth consecutive year of losses in the same quarter, underscoring persistent financial strain.

Post-Earnings Price Action Review

Sphere 3D’s stock price has continued its downward trend, falling 2.22% in the latest trading day, 16.12% over the past week, and 24.81% month-to-date. The stock’s underperformance contrasts sharply with the S&P 500’s 16.5% year-to-date gain. Despite a revenue increase, the market’s focus on deteriorating profitability and operational headwinds has led to sustained selling pressure.

CEO Commentary

Interim CEO Kurt Kalbfleisch emphasized progress in cost reduction, including a 40% cut in general and administrative expenses to $1.8 million, and strategic actions like expanding mining capacity and securing new hosting agreements. He stated, “We’ve taken deliberate steps to position the Company for durable, long-term growth, simplifying our structure and enhancing flexibility.”

Guidance

Sphere 3D did not provide explicit forward-looking guidance in the earnings report. However, management highlighted plans to increase deployed EH/s by ~25% in Q4 2025 through October equipment purchases and optimize operations to improve production efficiency.

Additional News

Recent non-earnings developments include the sale of remaining CORZ shares, generating $9.4 million in cumulative recovery, and a $4.1 million warrant inducement to raise capital. The company also announced new hosting capacity expansions and October equipment purchases aimed at boosting mining output. These actions reflect ongoing efforts to stabilize operations amid a challenging Bitcoin mining environment.