IREN revenue falls 22% to $145 million as bitcoin miner leans harder into AI

IREN Limited (NASDAQ: IREN) has announced revenue fell to $144.8 million in the quarter ended March 31, 2026, down from $184.7 million in the prior quarter, as weaker Bitcoin economics collided with its ongoing buildout of AI Cloud capacity.

The drop was $39.9 million, tied to a lower average Bitcoin price and the removal of older mining machines before new GPU systems began generating full customer billing.

The bottom line was uglier. IREN reported a net loss of $247.8 million, compared with a $155.4 million loss in Q2 FY26. Adjusted EBITDA fell to $59.5 million from $75.3 million. Costs also came down by $25.9 million, mainly because reduced mining activity lowered power use.

The quarter carried $140.4 million in non-cash impairments, mostly from retired mining hardware, and $23.7 million in unrealized losses tied to capped calls linked to convertible notes.

IREN replaces old mining hardware with Blackwell GPUs under a new NVIDIA deal

IREN signed a five-year, $3.4 billion AI Cloud contract with NVIDIA Corporation (NASDAQ: NVDA) covering air-cooled Blackwell GPUs. The company plans to place that hardware inside 60MW of existing data center space at Childress, with customer ramp-up expected from early 2027.

Daniel Roberts, Co-Founder and Co-CEO of IREN, said, “The world is structurally short compute, and the bottleneck is delivered data center and GPU capacity.” After that, Daniel said the quarter included work across power, land, data center construction, and large-scale compute delivery.

The company also entered a wider 5GW partnership with NVIDIA. That agreement covers data center designs and infrastructure built around NVIDIA systems across IREN’s global power base. IREN also gave NVIDIA a five-year right to buy up to 30 million ordinary shares at $70 each, which could bring in up to $2.1 billion if all conditions are met, including regulatory approvals.

Daniel said IREN energized the Sweetwater 1 substation on schedule, advanced the Horizon 1-4 liquid-cooled sites at Childress, and kept converting data centers from ASIC mining machines to GPUs. Those Childress sites support IREN’s $9.7 billion contract with Microsoft Corporation (NASDAQ: MSFT).

IREN shares rose about 10% to $62.50 in after-hours trading on Thursday. NVIDIA stock was nearly unchanged. The partnership is centered mainly on IREN’s 2GW Sweetwater campus in Texas. One GW of power can serve about 750,000 homes at one time, so the scale here is not small potatoes.

IREN adds Spain, Mirantis and more power sites as it builds past Bitcoin mining

IREN said its 2026 expansion plan to 480MW remains on schedule. Horizon 1-4 is expected by year-end, and its operating capacity is already fully contracted. The company has $3.1 billion in annual recurring revenue under contract and wants that figure to reach $3.7 billion by the end of calendar 2026.

For 2027, IREN is building toward 1,210MW. That includes Childress Horizons 5-6, more air-cooled Childress space, and the first phase of Sweetwater 1. From 2028, the company expects more capacity at Sweetwater and Kiowa across its secured 5GW power portfolio. It also said projects in Australia are nearing connection agreements.

IREN also agreed to buy Ingenostrum SL, or Nostrum, a data center developer in Spain. The deal gives IREN its first European platform, adds about 490MW of secured grid-connected power, and brings a development pipeline above 1GW. 

Spain adds renewable energy access, grid links, AI policy support, and permitting conditions the company says fit large data center projects.

Daniel said, “This acquisition establishes a strategic platform in Europe for IREN.” He added, “Nostrum adds high-quality sites, an experienced local team and a leading position in an attractive market for AI infrastructure.”

The Nostrum team brings experience across development, engineering, construction, and operations. IREN also bought Mirantis, adding software, orchestration, customer support, and operating tools for its AI Cloud platform.

The company said near-term capital spending should be funded with $2.6 billion of cash as of April 30, operating cash flow, GPU financing, data center financing, and corporate-level funding work already in progress.

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