Canaan Breaks 17.9 J/TH Mining Efficiency Record While One-Third Of Its Capacity Sits Idle

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Canaan breaks efficiency record while one-third of capacity sits idle

Despite having about 36% of its mining equipment offline by the end of May, Canaan reached a new high in efficiency for its operations in North America, achieving 17.9 J/TH.

Summary

  • Canaan’s North American mining fleet reached a record efficiency of 17.9 J/TH in May, improving 11% year-over-year.
  • Despite the efficiency gains, only 6.47 EH/s of its 10.05 EH/s installed capacity was operational at month-end.
  • The update comes after Canaan reported an $88.7 million Q1 net loss and guided for weaker-than-expected Q2 revenue.

Canaan, a Bitcoin mining company traded on the Nasdaq, announced that its mining operations in North America became 11% more efficient in May 2026. They achieved a new company record of 17.9 joules per terahash, meaning they’re using less energy to mine each Bitcoin.

The newest results also show improvement over previous performance; in March and April, the company’s North American operations (excluding joint ventures) averaged 18.7 Joules per Terahash. Canaan’s data indicates this decrease to 17.9 J/TH represents roughly a 4% efficiency gain in just two months.

Canaan’s data also revealed that their equipment wasn’t being used to its full potential. They had mining hardware capable of 10.05 EH/s, but were only actually operating at 6.47 EH/s as of the end of May. Canaan explained this difference was due to a hosting agreement ending.

Fleet upgrades continue to improve mining performance

In May, Canaan announced that its mining machines worldwide operated at an average efficiency of 23.7 Joules per Terahash. This is a 13.5% increase compared to the same month last year.

Bitcoin production increased last month. Canaan mined 90 Bitcoin and received an additional 24 from its customers. This brought the company’s total digital asset holdings to roughly 1,867 Bitcoin and 3,952 Ethereum – the biggest amount the company has ever reported.

Canaan’s chairman and CEO, Nangeng Zhang, said the company’s May results show it’s holding strong even with challenges in the market.

These improvements come shortly after Canaan announced disappointing financial results for the first quarter. As crypto.news previously reported, the company’s revenue was $62.7 million in Q1 2026, a significant drop from $196.3 million the quarter before. Canaan also experienced a net loss of $88.7 million and a gross loss of $22.9 million, including a $25 million reduction in the value of its inventory.

During the three-month period ending May 19th, Canaan reported challenges including fluctuating Bitcoin prices, lower profitability per unit of computing power (hashrate), higher energy expenses, and weather problems in North America, according to Zhang in the company’s earnings statement.

Capacity expansion offsets hosting-related setbacks

Even though some of the company’s equipment was temporarily unavailable, Canaan kept expanding by buying new resources and collaborating with other businesses.

Canaan has expanded its operations in West Texas through a deal with Cipher Mining, acquiring a 49% ownership in several projects. This agreement adds roughly 4.4 exahashes per second (EH/s) of computing power and 120 megawatts of electrical capacity to Canaan’s future projects.

Despite recent progress, investors are still carefully considering Canaan’s operational improvements alongside its financial difficulties. As crypto.news previously reported, Canaan received another warning from Nasdaq in January because its stock price stayed below $1. The company has until July 13, 2026, to bring its stock price back up to meet Nasdaq’s requirements.

Overall, expectations for the current quarter are low. Canaan reported first-quarter earnings and predicted second-quarter revenue of $35 to $45 million, which is significantly less than what analysts had predicted – around $96 million.

The company plans to keep a close watch on how the market changes and any new policies that are introduced. They may update their predictions when they have a clearer understanding of what’s happening.

In addition to our mining business, we’re developing our infrastructure platform to explore other possibilities. According to Zhang, with increasing demand for AI and computing power, Canaan’s focus on innovative and efficient hardware gives us a strong advantage in areas where energy and technology can be combined to deliver results.

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2026-06-13 02:41