IREN Limited (NASDAQ: IREN) reported a 22% drop in quarterly revenue, landing at $144.8 million for the period ending March 31, 2026. That compares to $184.7 million in the prior quarter. The main culprits? A lower average Bitcoin price and the removal of older mining machines before new GPU systems could start generating full customer bills.
Financial results take a hit
The bottom line was uglier. IREN posted a net loss of $247.8 million, up from a $155.4 million loss in the previous quarter. Adjusted EBITDA fell to $59.5 million from $75.3 million. Costs dropped by $25.9 million, largely due to reduced mining activity lowering power usage. The quarter also included $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.
Big moves with NVIDIA
IREN signed a five-year, $3.4 billion AI Cloud contract with NVIDIA Corporation (NASDAQ: NVDA). The deal covers 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.” He added that the quarter included work across power, land, data center construction, and large-scale compute delivery.
IREN 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. NVIDIA also got 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.
Infrastructure progress and contracts
Roberts 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 centers 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 is significant.
IREN said its 2026 expansion plan to 480MW remains on schedule. Horizon 1-4 is expected by year-end, and 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.
European expansion and acquisitions
IREN 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.
Roberts 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.
