IREN (IREN) Q3 2026 earnings summary

Executive summary

• Transitioned core business from Bitcoin mining to AI Cloud, achieving major milestones including a $3.4B five-year AI Cloud contract with NVIDIA, a 5GW global partnership, and the acquisition of Mirantis and Nostrum Group to strengthen software, engineering, and European platform capabilities.

• Secured 5GW of power globally, expanded into Europe and APAC, and energized key sites such as Sweetwater One and Horizon One for Microsoft.

• Operational capacity for 2026 is fully contracted, with major customers including Microsoft and NVIDIA.

• Mirantis acquisition adds 650 engineers and enhances delivery and customer support capabilities for enterprise AI infrastructure.

• Strategic focus is on scaling AI Cloud services, with significant investments in data centers and GPU infrastructure.

Financial highlights

• Q3 FY26 revenue was $144.8M, down from $184.7M in the prior quarter, reflecting the ongoing transition from Bitcoin mining to AI Cloud.

• Net loss widened to $(247.8)M, impacted by $140.4M in non-cash impairments and $23.7M in unrealized losses on capped calls.

• Adjusted EBITDA was $59.5M, down from $75.3M in the prior quarter; margin remained stable at 41%.

• Cash and cash equivalents at quarter-end were $2.2B, down from $3.3B at December 31, 2025.

• Cost of revenues decreased by $25.9M due to reduced Bitcoin mining activity and lower electricity costs.

Outlook and guidance

• Targeting $3.7B ARR by end of 2026, with $3.1B already under contract.

• 2026 expansion to 480MW on track; 2027 plan scales to 1,210MW, with further ramp-up to 5GW globally through 2028+.

• AI Cloud revenue expected to ramp as Microsoft contract and additional GPUs come online.

• Sufficient liquidity is expected for the next 12 months, but ongoing expansion will require additional capital.

• Customer demand remains robust, with no idle GPUs and strong pre-contracting of capacity.