IREN revenue falls 22% to $144.8M after NVIDIA AI deal

IREN reported revenue of $144.8 million for the quarter ended March 31, 2026, a 22% decline from $184.7 million in the prior quarter. The company posted a net loss of $247.8 million and adjusted EBITDA of $59.5 million. Operating costs fell $25.9 million during the quarter.

The company attributed the revenue decline to a lower average Bitcoin price and the retirement of older ASIC mining machines before new GPU systems began generating full customer billing. The quarter included $140.4 million in non-cash impairments tied to retired mining hardware and $23.7 million in unrealized losses on capped calls related to convertible notes.

IREN announced a five-year, $3.4 billion AI Cloud contract with NVIDIA to deploy air-cooled Blackwell GPUs. The initial hardware is planned for 60 megawatts of existing data center space at Childress, with customer ramp-up expected in early 2027. The companies also agreed a broader 5-gigawatt partnership to design and build data center infrastructure across IREN’s global power portfolio.

Under the agreement NVIDIA received a five-year right to buy up to 30 million ordinary shares at $70 each, a potential $2.1 billion of equity if conditions and approvals are met. IREN said the partnership focuses on its Sweetwater campus in Texas and on Childress sites that support a $9.7 billion contract with Microsoft.

Co-Founder and Co-CEO Daniel Roberts described the market as “The world is structurally short compute, and the bottleneck is delivered data center and GPU capacity.” Roberts noted the quarter included work across power, land, data center construction and large-scale compute delivery, and that IREN energized the Sweetwater 1 substation and advanced liquid-cooled Horizon 1-4 sites at Childress.

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

For 2027 IREN is targeting 1,210 megawatts of capacity, including Childress Horizons 5-6, additional 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 5-gigawatt power portfolio. IREN said projects in Australia are nearing connection agreements.

IREN agreed to acquire Ingenostrum SL, known as Nostrum, adding about 490 megawatts of secured grid-connected power and raising its development pipeline above one gigawatt. The company also purchased Mirantis to add software, orchestration, customer support and operating tools for its AI Cloud platform.

The company plans to fund near-term capital spending with $2.6 billion in cash on hand as of April 30, plus operating cash flow and a mix of GPU financing, data center financing and corporate-level funding that are in progress. Investors sent IREN shares up about 10% to $62.50 in after-hours trading; NVIDIA shares were largely unchanged.