Total Revenue

+22% (Q3 2025: $52.9M vs. Q3 2024: $43.3M " " )

The revenue growth in Q3 2025 was driven mainly by the Cloud Services segment expansion, which offset a modest decline in the Data Center Hosting revenue. This follows the dramatic 208% increase seen in Q3 2024 compared to Q3 2023. " "

Cloud Services Revenue

+220% (Q3 2025: $17.8M vs. Q3 2024: $5.6M " " " " )

Rapid expansion due to additional GPU clusters deployment boosted cloud revenue despite a temporary sequential drop from Q2 2025 caused by the shift from single-tenant to multi-tenant models, a challenge that was subsequently resolved. " "

Data Center Hosting Revenue

-7% (Q3 2025: $35.2M vs. Q3 2024: $37.8M " " " )

The decline is attributed to seasonal fluctuations in power costs and other operational factors, building off the increased capacity benefits realized in Q3 2024. " " "

Cost of Revenues

+4% (Q3 2025: $49.1M vs. Q3 2024: $47.1M " " )

Increased operational activities and additional facilities being energized led to higher costs, which continued the trend from Q3 2024 where accelerated depreciation and heightened energy expenses were already noted. " "

SG&A Expenses

-24% (Q3 2025: $22.7M vs. Q3 2024: $30.0M " " )

The reduction reflects efficiency improvements, as GPU clusters began generating revenue with associated depreciation shifting to cost of revenues, thereby decreasing overall selling, general, and administrative expenses compared to Q3 2024. " "

Interest Expense

+87% (Q3 2025: $8.9M vs. Q3 2024: $4.8M " " )

A significant rise in interest-bearing loans and finance leases drove higher interest costs, a result of strategic financing activities that marked Q3 2025, contrasting with the lower financing expenses observed in Q3 2024. " "

Net Loss

Improved (Q3 2025: $36.1M vs. Q3 2024: $62.8M " " " )

Net loss reduction benefitted from a better revenue mix and cost control measures, including lower SG&A expenses and operational efficiencies, following the high net loss impact from power outages and one-time losses in Q3 2024. " " "

Adjusted EBITDA

Improved (Q3 2025: $10.0M vs. Q3 2024: -$1.3M " " )

**Operational improvements and robust cost management transformed adjusted EBITDA from a loss in Q3 2024 to a positive value in Q3 2025, highlighting the financial improvements as a result of the previous period’s challenges being addressed. " "

Revenue Guidance

Q1 2026

First Ellendale building expected to generate revenue in calendar Q4 2025 " " " " " "

Revenue expected to increase significantly sequentially beginning in Q1 2026 "

lowered

Capital Expenditure (CapEx)

Q3 2025

CapEx for the first building running anywhere from $30 million to $50 million a month " " " " " "

no current guidance

no current guidance

Cloud Services Business

Q3 2025

Cloud business estimated at roughly $110 million to $120 million annual business " " " " " "

no current guidance

no current guidance

Technical Issues Resolution

Q3 2025

Technical issues resolved in the first or second week of March 2025 to positively impact May quarter " " " " " "

no current guidance

no current guidance

Customer Interest & Market Dynamics

Q3 2025

Continued high customer interest and optimism for securing leases " " " " " "

no current guidance

no current guidance

Campus Expansion Strategy and Execution

Q1 through Q3 calls detailed the development of the Ellendale/Polaris Forge One campus, with updates on construction milestones, financing strategies, and capacity targets. " " " "

Q4 emphasized continued growth with streamlined construction (e.g., Building 2 progress), while introducing caution around construction delays and seasonal slowdowns. " " "

Consistent emphasis on expansion with improved execution; however, Q4 introduces new caution regarding potential construction delay risks. " " "

Hyperscaler Demand and Leasing Agreements

Across Q1–Q3, discussions focused on strong market interest, exclusivity expiration, prolonged due diligence, and complex multi-level approval processes for lease deals. " " " " "

Q4 reiterated strong hyperscaler interest but noted extended onboarding and contracting timelines, emphasizing that lease negotiations remain challenging. " " "

Persistent high customer interest with recurring hurdles in leasing negotiations; sentiment remains cautiously optimistic but acknowledges operational complexities. " " "

Financing Conditions and Capital Structure

Q1–Q3 highlighted strategic investments, debt financing improvements, and initiatives (like convertible notes and multi-billion-dollar facilities) to lower cost of capital. " " " " "

Q4 reported robust funding results with a recent $270M raise and expected finalization of project financing, reinforcing a strong balance sheet and favorable financing terms. " "

A steadily strong and improving funding picture, with Q4 reinforcing robust capital and execution discipline. " "

Technical Transition and GPU Cluster Deployment

In Q1–Q3, the company detailed plans for additional GPU clusters, noted growth in their cloud segment, and discussed technical challenges linked to shifting from reserve to on‑demand capacity. " " " "

Q4 did not mention this topic, indicating less emphasis on GPU cluster deployment and technical transition in the most recent call [N/A].

Previously a focus with operational challenges and improvements, now de-emphasized in Q4.

Construction and Fit‑Out Delays

Earlier periods (Q1–Q3) referenced construction progress and timelines without emphasizing delays or risks. " " "

Q4 explicitly highlighted potential construction and fit‑out delays with associated revenue risk, noting standard lease penalties and seasonal slowdowns. " "

A new emphasis in Q4 on potential delays, representing an emerging risk factor that could impact project revenue timelines.

Dependence on External Service Providers

Q1–Q3 did not mention any issues regarding reliance on outside consultants or legal partners [N/A].

Q4 raised concerns over dependence on external service providers, including consultants and lawyers, as factors that might delay project financing finalization. " "

A newly emerged concern in Q4, signaling increased scrutiny on reliance upon external partners.

Bitcoin Hosting Contract Nonrenewal Risk

In Q3, there was some discussion acknowledging nonrenewal risk with about two years remaining on contracts " , while Q1–Q2 did not discuss it in detail.

Q4 did not mention nonrenewal risk; instead, it noted strong Bitcoin prices and operational capacity, implying the issue is no longer a focal concern. "

A previously noted issue in Q3 that has since faded from the discussion, indicating reduced concern.

Cloud Business Strategy and Divestiture Uncertainty

Q3 saw in-depth discussion on strategic options for the cloud business with mixed signals regarding possible separation or sale, while Q1 had no mention and Q2 focused on operational growth. " " " "

Q4 mentioned that the Board is reviewing strategic alternatives for the cloud business without a definitive plan, continuing the uncertainty about a potential divestiture. "

A theme emerging since Q3 that remains uncertain in Q4, reflecting mixed signals on potential separation or sale.

Next‑Generation GPU Deployment Timing

Q1 discussions focused on customer debates between deploying current “hopper” GPUs or waiting for next‑generation “Blackwell” models; Q2 briefly noted evaluation of next‑gen opportunities. " "

Q3 and Q4 did not specifically address next‑generation GPU timing or delays, reducing focus on this topic in the most recent period " [N/A].

A decreasing focus on timing concerns, suggesting that customer attention may be shifting away from next‑gen deployment delays.

Customer Acquisition and Exclusivity Challenges

Q1–Q3 consistently discussed challenges in lease negotiations, including exclusivity expiration, prolonged finalization processes, and friction with potential customers. " " " "

Q4 maintained focus on these recurring hurdles, highlighting complex contracting processes and emphasizing that while customer interest remains high, finalization continues to be challenging. "

A consistent, recurring challenge across periods; customer acquisition and exclusivity remain hurdles that could impact revenue if not accelerated. " " "