Canaan Inc. reported a net loss of $97.6 million for Q2 2026, sharply wider than its $11.1 million loss in the same period last year. Revenue fell 68% year over year to $31.9 million and declined 49% from the previous quarter, amid a drop in Bitcoin prices from roughly $82,000 to approximately $58,000 during the quarter. A $25.3 million inventory write-down was the main factor behind a gross loss of $29.3 million, indicating that revenue did not cover the cost of goods sold. Canaan mined 243 BTC through its self-mining operations, but lower Bitcoin prices reduced the value of that output. The company ended the quarter with a record digital asset treasury of 1,915.5 BTC and 3,951.7 ETH, while non-joint-venture installed hashrate (computing power used for mining) reached 10.05 EH/s, up 23.3% from a year earlier. As of September 8, 2026, Canaan had repurchased approximately 16.4 million American Depositary Shares for $7.4 million, or roughly $0.45 per ADS. Management expects Q3 2026 revenue of $11 million to $15 million, implying another sequential decline and, at the midpoint, revenue equal to roughly one-fifth of Q2 2025 levels. Canaan is one of the largest publicly traded manufacturers of application-specific integrated circuit (ASIC) miners, specialized chips that support Bitcoin's proof-of-work network. Competitors Bitmain and MicroBT face similar pressures, while publicly traded fleet operators such as Marathon Digital and Riot Platforms face lower Bitcoin prices without carrying the same inventory risk. The Q3 guidance suggests management does not see a near-term recovery in hardware demand and is preparing for continued pressure through at least the end of the quarter.