Eric Trump highlighted a 52% first-quarter mining margin and said the company continues to accumulate Bitcoin while maintaining low operating costs.
- American Bitcoin's treasury surpassed 8,000 BTC, even as shares fell to a one-year low despite the company's recent reverse stock split.
- The miner completed a 1-for-15 reverse split last week to regain compliance with Nasdaq's minimum bid price requirement.
- Trump reiterated the firm's commitment to its Bitcoin treasury, saying it would take a "beyond catastrophic" scenario for American Bitcoin to consider selling its holdings.
American Bitcoin’s (ABTC) growing Bitcoin treasury is doing little to lift investor sentiment. Shares of the Eric Trump-backed Bitcoin (BTC) miner hit a one-year low on Tuesday even after the company revealed its treasury had surpassed 8,000 BTC.
The milestone comes days after American Bitcoin completed a 1-for-15 reverse stock split aimed at maintaining its Nasdaq listing, highlighting the disconnect between its expanding digital-asset holdings and its battered share price. The stock trades well below its 52-week high of $217.80 on a pre-split basis.
Bitcoin Treasury Keeps Growing
The company now holds 8,000 BTC in its treasury, as Eric Trump highlighted on X that American Bitcoin mined at a 52% profit margin in the first quarter while continuing to add to its treasury, maintaining "one of the lowest SG&A ratios in the industry" even amid crypto market volatility. SG&A, or selling, general, and administrative expenses, measures a company's overhead costs, such as marketing and salaries, as a share of revenue.
ABTC stock was trading at $6.27, down over 3% in pre-market trading. On Stocktwits, the retail sentiment around ABTC moved to ‘bullish’ from ‘neutral’ while chatter around it stayed at ‘extremely high’ levels over the past day.
ABTC Shares Slide Despite Reverse Split
American Bitcoin, a majority-owned subsidiary of miner Hut 8 (HUT), completed a 1-for-15 reverse stock split last week, reducing outstanding shares from roughly 1.09 billion to about 73 million. Under the split, every 15 shares of the company's Class A and Class B common stock were reclassified into a single share, cutting the outstanding share count by roughly 93.3%.
The company said the split was primarily intended to raise its per-share price to meet Nasdaq's (NDAQ) minimum bid price requirement of $1, after ABTC stock traded as low as $0.65, more than 5% down and well below that threshold.
Eric Trump Says Bitcoin Treasury Is Not For Sale
Despite the share-price pressure, Eric Trump has defended the company's Bitcoin holdings on Bonnie Blockchain's podcast. "It would have to be beyond catastrophic. We believe in Bitcoin. Come hell or high water, it would take us a lot, a lot to have to sell our treasury," he said.
American Bitcoin is distinct from President Trump's personally disclosed crypto holdings, which separately showed an estimated $44.4 million paper loss since the disclosure's filing date.
Read also: Bitcoin And The World Cup Have The Same Four-Year Cycle, Says Analyst Benjamin Cowen, As Crypto Fear Gauge Hits 'Extreme Fear'
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