Bitcoin Depot Files Q2 2024 10-Q

TL;DR

Bitcoin Depot's Q2 2024 10-Q is in. Check financials.

AI Summary

Bitcoin Depot Inc. filed its 10-Q for the period ending June 30, 2024. The company, formerly known as GSR II Meteora Acquisition Corp., reported on its financial performance. Key financial data and operational details for the second quarter of 2024 are presented in this filing.

Why It Matters

This filing provides investors with an update on Bitcoin Depot's financial health and operational status, crucial for understanding the company's performance in the cryptocurrency ATM sector.

Risk Assessment

Risk Level: medium — As a company operating in the volatile cryptocurrency space and having undergone SPAC mergers, its financial performance and future outlook carry inherent risks.

Key Players & Entities

• Bitcoin Depot Inc. (company) — Filer of the 10-Q
• GSR II Meteora Acquisition Corp. (company) — Former name of Bitcoin Depot Inc.
• 20240630 (date) — End of the reporting period
• 20240815 (date) — Filing date
• Atlanta, GA (location) — Company headquarters and mailing address

FAQ

Key Financial Figures

• $0.0001 — tered Class A common stock, par value $0.0001 per share BTM The NASDAQ Stock Mark
• $11.50 — A common stock at an exercise price of $11.50 per share BTMWW The NASDAQ Stock Ma
• $0 — Series A Preferred Shares, par value of $0.0001, 0 shares outstanding of Class B c

Filing Documents

• btm-20240630.htm (10-Q) — 3376KB
• btm-ex2_6.htm (EX-2.6) — 456KB
• btm-ex31_1.htm (EX-31.1) — 13KB
• btm-ex31_2.htm (EX-31.2) — 12KB
• btm-ex32_1.htm (EX-32.1) — 22KB
• btm-ex32_2.htm (EX-32.2) — 22KB
• 0000950170-24-097680.txt ( ) — 14737KB
• btm-20240630.xsd (EX-101.SCH) — 2253KB
• btm-20240630_htm.xml (XML) — 2550KB

- Financial Information

Part I - Financial Information 1 Item 1.

Financial Statements

Financial Statements 1 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 37 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 52 Item 4.

Controls and Procedures

Controls and Procedures 52

- OTHER INFORMATION

PART II - OTHER INFORMATION 54 Item 1.

Legal Proceedings

Legal Proceedings 54 Item 1A.

Risk Factors

Risk Factors 54 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 54 Item 3. Defaults upon Senior Securities 54 Item 4. Mine Safety Disclosures 54 Item 5. Other Information 55 Item 6. Exhibits and Financial Statement Schedules 56

Forward-Looking Statements

Forward-Looking Statements Our disclosure and analysis in this report concerning our operations, cash flows and financial position, including, in particular, the likelihood of our success in developing and expanding our business and the realization of sales from our backlog, include forward-looking statements. Statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as "expects," "anticipates," "intends," "plans," "believes," "estimates" and similar expressions are forward-looking statements. Although these statements are based upon reasonable assumptions, they are subject to risks and uncertainties that are described more fully herein and in our Annual Report on Form 10-K for the year ended December 31, 2023, in Part I, Item 1A, "Risk Factors" and in Part I under the heading "Cautionary Notice Regarding Forward-Looking Statements", as well as in our other filings with the Securities and Exchange Commission. These risks include our ability to successfully realize the expected benefits of the business combination; our ability to operate in existing markets or expand into new jurisdictions; our ability to manage our growth effectively; our ability to continue to operate in states where we have obtained the requisite licenses to the extent that the laws and regulations of such states clearly indicate that a license is required or where state regulators have advised us that we need a license to operate; our ability to manage regulatory uncertainty in the cryptocurrency industry and maintain positive relationships with federal and state regulators; our dependence on key business relationships with certain key suppliers of Bitcoin; our dependence on, and ability to maintain, key business relationships with store locations for our kiosks and franchise locations, and related supplies, programs, and technologies for our business on acceptable terms; the negative impact on our future results of operations

- Financi al Information

Part I - Financi al Information

Fina ncial Statements

Item 1. Fina ncial Statements. BITCOIN DEPOT INC. CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share amounts) June 30, 2024 (unaudited) December 31, 2023 Assets Current: Cash and cash equivalents $ 43,942 $ 29,759 Cryptocurrencies 600 712 Accounts receivable 317 245 Prepaid expenses and other current assets 9,777 6,554 Total current assets 54,636 37,270 Property and equipment: Furniture and fixtures 635 635 Leasehold improvements 172 172 Kiosk machines - owned 27,100 24,222 Kiosk machines - leased 22,394 20,524 Total property and equipment 50,301 45,553 Less: accumulated depreciation ( 25,758 ) ( 20,699 ) Total property and equipment, net 24,543 24,854 Intangible assets, net 3,168 3,836 Goodwill 8,717 8,717 Operating lease right-of-use assets, net 2,489 484 Deposits 699 412 Deferred tax assets 3,286 1,804 Total assets $ 97,538 $ 77,377 The accompanying notes are an integral part of these unaudited consolidated financial statements. - 1 - Table of Contents BITCOIN DEPOT INC. CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share amounts) June 30, 2024 (unaudited) December 31, 2023 Liabilities and Stockholders' Equity Current: Accounts payable $ 10,326 $ 8,337 Accrued expenses and other current liabilities 21,591 21,545 Notes payable 4,366 3,985 Income taxes payable 2,811 2,484 Deferred revenue 13 297 Operating lease liabilities, current portion 813 279 Current installments of obligations under finance leases 4,761 6,801 Other non-income tax payable 2,235 2,297 Total current liabilities 46,916 46,025 Long-term liabilities Notes payable, non-current 38,793 17,101 Operating lease liabilities, non-current 1,754 319 Obligations under finance leases, non-current 2,653 2,848 Deferred income tax, net 853 8

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) (1) Organization and Background (a) Organization Lux Vending, LLC (dba Bitcoin Depot) ("Legacy Bitcoin Depot") was formed on June 7, 2016. Pursuant to a transaction with GSR II Meteora Acquisition Corp. ("GSRM"), a Delaware corporation formed on October 14, 2021, Legacy Bitcoin Depot merged with and into GSRM and GSRM was renamed Bitcoin Depot Inc. ("Bitcoin Depot", or the "Company") (see Note 2(a)). Bitcoin Depot owns and operates a network of cryptocurrency kiosks ("BTMs") across North America where customers can buy and sell cryptocurrencies. In addition to the BTM network, Bitcoin Depot also sells cryptocurrency to consumers at a network of retail locations through its BDCheckout product offering and through its website. The BDCheckout offering allows users similar functionality to the BTM kiosks, enabling users to load cash into their accounts at the checkout counter at retail locations, and use those funds to purchase cryptocurrency. The Company's website allows users to purchase cryptocurrency online for which the Company earns a commission. Bitcoin Depot also offers a software solution to other BTM operators through its controlled subsidiary, BitAccess Inc. ("BitAccess"). (b) Background Several factors affect the price of cryptocurrencies, including but not limited to: (a) global supply and demand; (b) investors' expectations with respect to the rate of inflation; (c) interest rates; (d) currency exchange rates, including the rates at which cryptocurrencies may be exchanged for fiat currencies; (e) fiat currency withdrawal and deposit policies of electronic market places where traders may buy and sell cryptocurrencies based on bid-ask trading activity with the various exchanges and the liquidity of those exchanges; (f) interruptions in service from or failures of major cryptocurrency exchanges; (g) investment and trading activities of large investors, including private and registered funds, t

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View this 10-Q filing on SEC EDGAR