TeraWulf Q3 revenue jumps 87% to $50.6 million - AI/HPC services contribute $7.2 M

TeraWulf reported third quarter financial results on Monday, with the company stating that revenue reached $50.6 million, an 87% year‑over‑year increase, according to its Q3 earnings report.

The growth came from higher bitcoin mining output, expanded mining capacity, and the first reported quarter of revenue from its AI and high‑performance computing (HPC) infrastructure services.

Out of the total revenue, $43.38 million came from bitcoin mining, while $7.2 million came from the new AI/HPC service line.

The company said its cost of revenue, excluding depreciation, rose 17% to $17.1 million in the period. TeraWulf ended the quarter holding $712.8 million in cash, cash equivalents, and restricted cash.

The company also said that it completed more than $5 billion in long‑term financing during the quarter, which included funding for its Lake Mariner facility and equity investments tied to the Abernathy joint venture with Fluidstack and Google.

Total debt stood at about $1.5 billion, made up mainly of convertible notes maturing in 2030 and 2031.

TeraWulf signs new data center deals and maps out multi-site HPC growth through 2027

At its Lake Mariner campus in Barker, New York, TeraWulf operates 245 megawatts (MW) of bitcoin mining capacity and 22.5 MW of HPC capacity.

The company manages additional HPC infrastructure through two subsidiaries, La Lupa Data LLC and Akela Data LLC, which together oversee more than 520 MW of long‑term HPC leases. Within this, La Lupa’s Core42 leases include 72.5 MW of GPU‑optimized power, supported by $1.1 billion in contracted revenue.

During the quarter, the company signed three 10‑year Fluidstack leases at Lake Mariner totaling approximately $6.7 billion in contracted lease payments. These leases are supported by a $3.2 billion Google credit enhancement, according to the company.

The Abernathy joint venture in Texas is being developed for 240 MW of HPC capacity, with the option to expand the site to 600 MW, operating under a 25‑year lease backed by $1.3 billion in Google credit support.

TeraWulf also signed an 80‑year lease in Lansing, New York, where the company plans to build another HPC campus beginning deployment in 2027. In addition, the company secured a 51% ownership interest in a proposed 200 MW Fluidstack‑led data center development.

TeraWulf CEO Paul Prager said the company expanded its partnerships with Fluidstack and Google during the quarter and continued preparing for the next series of build‑outs planned through 2027.

Prager said during the earnings call that he “would not be surprised if by the end of the year the company announces one or two new sites.”

Chief Operating Officer Sean Farrell said construction work at both Lake Mariner and Akela remains on schedule toward planned delivery milestones. Chief Financial Officer Patrick Fleury said that the company’s $5 billion capital formation effort outlines how TeraWulf plans to continue funding and scaling its infrastructure.

The company reaffirmed its target of signing 250 to 500 MW of new HPC leases each year, pointing to continued demand for low‑cost, low‑carbon computing capacity from enterprise customers, including those building or training AI models.

On October 28, Oppenheimer began coverage of TeraWulf Inc. (NASDAQ: WULF) with an Outperform rating and a $20 price target. The firm noted the company’s access to renewable electricity, data‑ready land, and fiber connectivity, which it said have helped attract AI industry clients.

Oppenheimer said demand for AI data centers has grown faster than expected in the past three years and projected that the market could expand 18% annually over the next five years, while estimating a 15‑gigawatt capacity shortage, equal to about 20% below need.

The report said that TeraWulf controls 1.2 gigawatts of available power and land capacity, with over 400 MW in customer lease contracts and 250 MW of bitcoin mining capacity that can be converted to HPC use. The company’s shares rose 2.6% during Monday trading.

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