IREN Restricted (NASDAQ: IREN) introduced that its income for the quarter ended March 31, 2026 decreased to $144.8 million from $184.7 million within the prior quarter as a weak Bitcoin financial system collided with continued AI cloud capability build-out.
The lower was $39.9 million and was associated to a decline within the common value of Bitcoin and outdated mining machines being retired earlier than new GPU programs began charging prospects in full.
The conclusion was even uglier. IREN reported a web lack of $247.8 million. Compared, the corporate’s second quarter 2026 web loss was $155.4 million. Adjusted EBITDA decreased from $75.3 million to $59.5 million. Prices additionally decreased by $25.9 million. This was primarily because of decrease electrical energy utilization because of diminished mining exercise.
Throughout the quarter, we incurred non-cash impairment costs of $140.4 million primarily because of retired mining {hardware} and $23.7 million of unrealized losses associated to capped calls associated to our convertible notes.
IREN replaces older mining {hardware} with Blackwell GPUs beneath new NVIDIA deal
IREN has signed a five-year, $3.4 billion AI Cloud settlement with NVIDIA Company (NASDAQ: NVDA) for air-cooled Blackwell GPUs. The corporate plans to find its {hardware} inside 60MW of Childress’ current information heart area, with buyer additions anticipated to start in early 2027.
“The world is structurally under-computed, and the bottleneck is the info heart and GPU capability obtainable,” mentioned Daniel Roberts, co-founder and co-CEO of IREN. Daniel then mentioned the quarter included work throughout energy, land, information heart development and large-scale computing provision.
The corporate additionally entered right into a broader 5GW partnership with NVIDIA. The contract covers information heart design and infrastructure constructed round NVIDIA programs throughout IREN’s world energy infrastructure. IREN additionally granted NVIDIA a five-year proper to buy as much as 30 million frequent shares at $70 per share. This has the potential to generate as much as $2.1 billion in income, topic to all circumstances together with regulatory approvals being met.
Daniel mentioned IREN delivered energy to the Sweetwater 1 substation as scheduled, expanded Childress’ Horizon 1-4 liquid cooling websites, and continued the info heart conversion from ASIC mining machines to GPUs. These Childress websites help IREN’s $9.7 billion contract with Microsoft Company (NASDAQ: MSFT).
IREN inventory rose about 10% to $62.50 in after-hours buying and selling Thursday. NVIDIA inventory value stays nearly unchanged. The partnership will primarily be centered round IREN’s 2GW Sweetwater campus in Texas. That is no small potato, as 1 GW of electrical energy can energy about 750,000 houses at a time.
IREN provides Spain, Mirantis and different energy websites after Bitcoin mining
IREN mentioned its enlargement plans to 480MW in 2026 are on schedule. Horizon 1-4 are anticipated to be operational by the tip of the 12 months, and their working capability is already absolutely contracted. The corporate has contractual annual recurring income of $3.1 billion and hopes that quantity will attain $3.7 billion by the tip of 2026.
Looking forward to 2027, IREN is shifting ahead with development, aiming for 1,210MW. This consists of Childress Horizons 5-6, extra air-cooled Childress areas, and the primary part of Sweetwater 1. Beginning in 2028, the corporate expects Sweetwater and Kiowa capability to extend throughout its 5GW secured energy portfolio. He additionally mentioned the Australian undertaking was near a connectivity settlement.
IREN has additionally agreed to accumulate Spanish information heart developer Ingenostrum SL (generally referred to as Nostrum). The contract provides IREN its first European platform, provides roughly 490MW of safe grid-connected energy and brings a growth pipeline of over 1GW.
Spain has added entry to renewable vitality, grid hyperlinks, AI coverage help and allow circumstances that qualify the corporate for large-scale information heart tasks.
“This acquisition establishes IREN’s strategic platform in Europe,” Daniel mentioned. He additional added, “Nostrum provides high-quality websites, an skilled native workforce, and a number one place within the enticing marketplace for AI infrastructure.”
The Nostrum workforce brings expertise throughout growth, engineering, development, and operations. IREN additionally acquired Mirantis, including software program, orchestration, buyer help, and operational instruments to its AI cloud platform.
The corporate mentioned short-term capital expenditures must be funded with $2.6 billion in money as of April 30, with working money move, GPU financing, information heart financing, and enterprise-level financing efforts already underway.
