IREN beats quarterly revenue estimates as AI cloud sales surge to $200 million
Data center and cloud provider IREN reported fiscal first-quarter 2027 revenue of $228 million, beating Wall Street estimates as AI cloud revenue jumped 182% quarter on quarter, though the company delayed a $4 billion annualized revenue milestone to early 2027.
IREN posted total revenue of $228 million for its fiscal first quarter ended Sept. 30, surpassing consensus estimates of $221 million despite a 5% year-over-year decline. Growth was propelled by the AI Cloud segment, where net revenue surged 182% quarter on quarter to $200 million and delivered an 86% gross margin. In contrast, Bitcoin mining revenue fell to $28 million from $67 million in the previous quarter.[1][2][3][7]
The company recorded a quarterly net loss of $263 million—including a $28 million unrealized loss on financial instruments—which narrowed from a $684 million loss in the prior quarter, though Bloomberg reported the loss was steeper than anticipated. Adjusted EBITDA rose to $66 million from $19 million. IREN also expanded its revenue backlog by 22% to $20.3 billion, with roughly two-thirds tied to investment-grade counterparties.[1][2][3][4]
Co-CEO Daniel Roberts announced that IREN's target to reach over $4 billion in annualized run-rate revenue has been pushed from year-end to January 2027, with the potential to extend to the end of February. Roberts cited supplier timing and a customer-requested design change for the postponement. According to Reuters, the delayed deliveries are for Microsoft, which asked for network design modifications, and IREN incurs no financial penalties. The company noted that its Horizon 1 data center began service for Microsoft during the quarter.[2][3][6][8]
IREN outlined $15 billion in planned capital expenditures remaining for fiscal 2027, with approximately $9 billion covered by existing cash, committed GPU financing, and customer prepayments, while the remaining $6 billion is slated for capacity beyond the $4 billion milestone. Since quarter-end, the company signed a five-year contract at roughly $22 million per megawatt with 90% GPU spending prepaid, and a short-term contract at $40 million per megawatt. IREN shares closed Thursday's session down nearly 17% at $18.03 ahead of the earnings release.[2][3][5]
Key facts
- IREN reported fiscal Q1 2027 revenue of $228 million, beating analyst estimates of $221 million.
- AI cloud revenue grew 182% quarter on quarter to $200 million with an 86% segment gross margin, while Bitcoin mining revenue fell to $28 million.
- IREN posted an adjusted EBITDA of $66 million and a net loss of $263 million, which included a $28 million unrealized loss on financial instruments.
- The company's revenue backlog grew 22% to $20.3 billion, with about two-thirds tied to investment-grade counterparties.
- IREN shifted its $4 billion annualized run-rate revenue target from year-end to January or February 2027 following network design changes requested by Microsoft.
- Of the $15 billion in planned capital expenditure remaining for fiscal 2027, $9 billion is funded or committed, leaving $6 billion to be financed.
- IREN shares closed down 16.95% at $18.03 on November 5 before earnings were published.
Sources · 8 sources
- UW
unusual_whales@unusual_whalesPost on X ·
$IREN earnings: - Revenue: $228 million, est: $221 million _ AI cloud revenue increased 182% - Revenue backlog increased 22%
Open source - UN
UnchainedArticle ·
IREN Moves Its $4 Billion AI Cloud Goal Into 2027, With $6 Billion of Capex Yet to Be Financed IREN , the Nasdaq-listed bitcoin miner turned AI cloud provider, now expects to reach more than $4 billion in annualized run-rate revenue in January 2027 instead of by the end of this year, and the date could move to the end of February, the company said on Thursday with its results for the quarter ended Sept. 30. IREN also set out how it plans to pay for its buildout. It has $15 billion of planned capital spending left in fiscal 2027, which ends in June. About $9 billion of that is covered by cash, committed GPU financing and customer prepayments. The other $6 billion , or 40% of the total by Unchained’s math, is expected to come from GPU and data center financing, prepayments and other sources “subject to market conditions,” the company said. IREN said the program behind the $4 billion target is itself fully funded, and the $6 billion is meant for capacity beyond it. The funding climate for these companies came up on Unchained in October. Asked about bitcoin miners that had pivoted to AI hosting, with IREN among them, Coinbase head of institutional strategy John D’Agostino said on Unchained’s Bits + Bips , “I think they believe the equity markets are tapped out,” adding that “the debt markets are starting to get skittish about that.” Get Unchained’s crypto news in your inbox with the free Unchained Daily newsletter . A ‘Customer-Requested’ Change Co-founder and Co-CEO Daniel Roberts tied the delay to “a customer-requested design change and supplier timing” that moved the target from year-end. The release did not name the customer. Reuters reported that the delayed deliveries are for Microsoft , which asked for changes to the network design, and that IREN faces no financial penalties as a result. IREN said its Horizon 1 data center went into service for Microsoft during the quarter. AI Cloud Revenue Climbs Total revenue rose 66% from the prior quarter to $228 million . AI cloud revenue reached $200 million , up from $71 million, and made up about 88% of sales, compared with about 52% three months earlier, by Unchained’s count. Bitcoin mining revenue fell to $28 million from $67 million. The net loss narrowed to $263 million from $684 million, while adjusted EBITDA rose to $66 million from $19 million. Revenue backlog grew 22% to $20.3 billion , with about two-thirds tied to investment-grade counterparties. Since the quarter ended, IREN said it has expanded a contract with an unnamed frontier AI lab and signed a five-year deal at about $22 million a megawatt, with the customer prepaying 90% of the related GPU spending. IREN shares closed Thursday’s regular session at $18.03 , down about 17%, before the results came out, according to price data . “We own the land, the power and the data centers under all of it, which gives us more ways to fund growth and lets us set its pace,” Roberts said in the release . Related Listen: The Miner Sell Wall and Why Saylor Is Absorbing It The post IREN Moves Its $4 Billion AI Cloud Goal Into 2027, With $6 Billion of Capex Yet to Be Financed appeared first on Unchained .
Open source - WS
Wall St Engine@wallstenginePost on X ·
$IREN Q1’27 EARNINGS HIGHLIGHTS 🔹 Revenue: $228M (Est. $221M) 🟢; -5% YoY Segment Net Revenue: 🔹 AI Cloud: $200M 🔹 Bitcoin Mining: 28 Announcements: 🔹 ARR Target: More than $4B fully contracted and funded; targeted for January 2027 🔹 Five-Year Contract: ~$22M per IT-MW; 90% of GPU capex prepaid 🔹 Short-Term Contract: $40M per IT-MW Other Q1 Metrics: 🔹 AI Cloud Segment Gross Margin: 86% 🔹 Adjusted EBITDA: 66 🔹 Net Income (Loss): (263) Key Updates: 🔹 Unrealized Loss on Financial Instruments: (28) 🔹 Revenue Backlog: $20.3B; approximately two-thirds investment-grade 🔹 FY27 Capex: $15B remaining planned Comments: 🔸 Daniel Roberts, Co-Founder and Co-CEO: “The more than $4 billion of contracted ARR is funded and now targeted for January, after a customer-requested design change and supplier timing moved it from year-end; it may extend to the end of February.” 🔸 Daniel Roberts, Co-Founder and Co-CEO: “Since quarter-end we have signed a five-year contract at about $22 million per megawatt with 90% of the GPU capex prepaid by the customer, and a short-term contract at $40 million per megawatt.”
Open source - BL
Bloomberg@businessPost on X ·
IREN, a data center company that counts Microsoft as a customer, reported a surge in its artificial intelligence cloud revenue — while also posting a steeper loss than anticipated https://t.co/fXYyi9qiVx
Open source - AI
Analytics Insight@analyticsinmePost on X ·
𝐈𝐑𝐄𝐍 𝐒𝐭𝐨𝐜𝐤 𝐅𝐚𝐥𝐥𝐬 𝟏𝟕% 𝐚𝐬 𝐁𝐢𝐭𝐜𝐨𝐢𝐧 𝐌𝐢𝐧𝐢𝐧𝐠 𝐑𝐞𝐯𝐞𝐧𝐮𝐞 𝐃𝐫𝐨𝐩𝐬 𝟓𝟖% 𝐚𝐧𝐝 𝐀𝐈 𝐄𝐱𝐩𝐚𝐧𝐬𝐢𝐨𝐧 𝐀𝐜𝐜𝐞𝐥𝐞𝐫𝐚𝐭𝐞𝐬 IREN Stock Crashes Nearly 17% as Bitcoin Mining Revenue Falls 58%, Despite AI Cloud Growth! IREN shares closed 16.95% lower at USD 18.03 on November 5, after the company reported a sharp decline in Bitcoin mining revenue and delayed a major AI revenue milestone. Can IREN's rapidly expanding AI business offset declining Bitcoin mining revenue and growing financing requirements? #IREN #IRENStock #BitcoinMining #BitcoinNews #AICloud #ArtificialIntelligence #NVIDIA #CryptoStocks #DataCenters #IRENEarnings #AnalyticsInsight #AnalyticsInsightMagazine Read More 👇 https://t.co/uxByJ7vhhz
Open source - CB
Crypto BriefingArticle ·
IREN pushes more than $4 billion in annualized revenue target to January IREN's delay highlights the volatility of tech-dependent revenue streams and underscores the risks of relying on a few major clients. The post IREN pushes more than $4 billion in annualized revenue target to January appeared first on Crypto Briefing .
Open source - TB
The Block@TheBlockCoPost on X ·
THE BLOCK: IREN's revenue hit $228 million for the quarter ended Sept. 30, as AI Cloud revenue surged 182% quarter on quarter to $200 million while Bitcoin mining revenue fell to $28 million. $IREN The company continues shifting focus to AI infrastructure, with mining operations expected to wind down by year-end.
Open source - CN
CNBC@CNBCPost on X ·
Neocloud IREN says $4 billion in annualized revenue being delayed due to customer request https://t.co/Dd5lQW8cG0
Open source