Gary Vecchiarelli : Yes, I’m give you a little bit more color. We’re still in the process of really ramping up our internal repair shop. And so really, those synergies have not been recognized fully in our financial results yet. So — because we were previously outsourcing that. But we expect in future quarters that will meaningfully help the margins.
Zach Bradford: Just to quantify the other piece, from an uptime perspective, if you look at some of the independent reports that exist out there, there’s the average uptime across the industry is floating around in the 80%, 85% range. Obviously, unless someone discloses that, we don’t have all the details, but that’s what it seems to be from an industry standard of uptime. And us, consistently achieving in the high 90% uptime. Part of that is what turns into our returns on that, which is ultimately measured in top line revenue versus some specific cost savings metric. So that’s why I would look at it as we’re probably 12% to 15% or more, profitable due to our uptime metrics because of what we have developed internally.
Gregory Lewis : Yes, 100%. I was looking for a little bit more clarity on the you kind of called out the $72 million — I’m sorry, the 72 megawatts of expansion potential — just kind of in terms of the timing, you highlighted Dalton but beyond that, is that — should we be thinking about that? Is that more of a first half event? Or is it with the halving coming, we’re going to maybe look at doing that that’s kind of maybe part of our second half ’24 kind of growth build-out? Just a little more color around that. And then really, I guess, a 2-part question. How are you thinking about splitting off that are deploying that extra megawatts across the facilities beyond Dalton?
Zach Bradford: Yes. So we do expect it to be a first half event because our intention is to basically add megawatts so that as we receive the S21s, we can plug them in and get them hashing right away. So for example, the Dalton expansion should happen very rapidly. And then some of the follow-on expansion, I would still expect to happen in the first half of — calendar half of 2024. And then from…
Gregory Lewis : And similar to Dalton, it’s going to be like minimal — and similar to the Dalton it seems like these are all going to be a couple of million dollars here, a couple of million dollars there.
Zach Bradford: Yes, yes. We expect — our intention is to make a fairly low-cost endeavor. We’ve gotten even better at building. And so we — depending on what we build, whether it is air cooled or immersion and we are eyeing some additional immersion going forward, but you’re talking about anywhere from 350,000 megawatt to around 500,000 megawatt, which I should add is substantially better than the immersion that we’ve built in the past. The markets improved substantially for that. And we’re pretty excited about what Immersion seems to bring in the coming year.
Operator: Your next question comes from the line of Brian Dobson from Chardan Capital.
Brian Dobson : So you’ve done a tremendous job decreasing joules per terahash over the past 6 months. And you mentioned that new machines could bring that metric down to about 25 joules per terahash. What time frame are you thinking about for that further reduction?
Zach Bradford: Inside the first half of next year. So we’re going to see a meaningful improvement into the 25 range, when Sandersville comes online next calendar quarter. And then with the 21s plugging in, which, as I mentioned, we do expect to be shelfing those in the first half of the year. That should — will bring it down into the 24 joules per terahash.
Brian Dobson : Yes. No, that’s impressive. And I guess, as you’re thinking of just adding those new more efficient machines, what other kind of efficiencies can you wring out of the fleet? Is there more to be had on the software side of things?
Zach Bradford: Yes. When you look at what we — those numbers we are using that doesn’t include, that’s based sticker value of what this machine can do. So what our focus is, is on that flexibility. So as I mentioned in the call, we could really make that 27% more efficient from an energy use, on about 2/3 of the fleet and also take everything up about 12%. And, so that’s really the flexibility we think we can continue to wring out of it. In addition to, there’s still a small portion of the fleet that is included in that number, that 24 number that we would consider to also upgrade, which would likely — and I do expect we will execute upon that. We’re just going to be very cautious in try and time that from a capital side that would bring it under 24 watts or joules per terahash.
Brian Dobson : Yes, very good. Thinking about the halving next year, you mentioned that, that should create some challenges for weaker players, obviously, and opportunities for yourself. How are you thinking about M&A as we head into ’24?
Zach Bradford: Right now, we have really interesting opportunities already because there are weak players that know they’re weak and that are looking for things. But I think it’s all about timing it correctly. So we’re incredibly interested in M&A. We’ve been very focused on site by site, and we continue currently, if you’re asking me sitting here today, we’re focusing on the site level. A few reasons, you avoid any baggage that often comes with entities and mergers. How I’m going to see that on a post halving basis though, I really think that there’s going to be opportunities to not only merge with weaker players, but I think there will present itself opportunities to merge with equally or appear to as strong of players. And I think that, that’s important, and that’s why our focus really is going to be on the coming year, is really on maximizing our market value because when it comes time, when and if it comes time to have discussions like that in ’24 and ’25, we, of course, want to be the bigger, stronger, more valuable player in that discussion.
So there’s a lot of ways we’re looking at it. And so that’s why for the next 2 years, it’s going to be all about maximizing value.
Operator: [Operator Instructions] We have no more questions in the queue at this time. I will now turn the call — I’m sorry, we do have a question. Your next question comes from Reggie Smith from JPMorgan.
Unidentified Analyst : This is Charlie on for Reggie. Thinking about the remaining 72 megawatts needed to reach your 20 exahash target, it sounds like 30 megawatts will come from new sites. Can you talk a little bit about what you’re prioritizing in that search? Would that be the cheapest power? Would that be maximizing uptime, would that be staying in Georgia? Anything there would be helpful.
Zach Bradford: Yes. Our first priority, of course, is low-cost power that is reliable. Those 2 go together in making sure that we have high uptime at low cost. We’re, of course, interested in growing in Georgia, but if additional opportunities present themselves, we’re certainly not going to take the borders of the state and call that a hard and fast line, certainly not. So it really is that focus on low-cost power reliable. And the other thing we’re prioritizing is speed to deployment. We, of course, want to deploy those S21s, the time of receipt. We don’t want to be sitting on those. It’s always been our strategy to be able to plug things in as quick as we can after we get the miners in hand. So that’s going to be the other piece that we prioritize is, is it going to be up and functional in the time lines that we want it to be.
