IREN reports $1b in first-quarter earnings
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The news: Nasdaq-listed data centre provider IREN has delivered USD663 million ($1 billion) in EBITDA in Q1 September, although this includes unrealised gains largely from prepaid forwards and capped calls relating to convertible notes.
The numbers: IREN’s EBITDA was USD681.5 million higher than the USD18.8 million loss in Q1 FY25. On a quarter by quarter basis, IREN’s EBITDA lifted by 174.5% from USD241.4 million.
Adjusted EBITDA came in at USD92 million, a massive jump compared to the USD2.5 million posted in Q1 FY25. On a quarter by quarter basis adjusted EBITDA had fallen 24.8% to USD121.9 million.
Net income meanwhile lifted to USD385 million from a loss of USD51.7 million in Q1 FY25.
Total revenue had gained 355% from USD52.8 million in Q1 FY25 to USD240.3 million in Q1 FY26. On a quarter by quarter basis, revenue increased by 28.2% from USD187.3 million.
The context: By the end of 2026, IREN said it hopes to expand to 140,000 GPUs across its data centres. At that time, the company hopes to reach an annualised run-rate of USD3.4 billion.
Capital investment needs are expected to be met through existing cash – as of 31 October, IREN held USD1.8 billion in cash – operating cashflows, pre-pay from its Microsoft contract, a total of USD400 million in GPU financing, USD1 billion in zero-coupon convertible notes and additional financing.
On Monday, IREN announced it had signed a five-year USD9.7 billion contract with Microsoft to supply AI cloud capacity.
What they said: “IREN continues to execute with discipline, delivering record results this quarter and meaningful progress in our AI Cloud expansion,” said IREN co-founder and co-CEO Daniel Roberts.
“We secured several new multi-year contracts, including a landmark partnership with Microsoft, which solidifies IREN’s position as a leading AI Cloud Services Provider and expands our reach into new hyperscale customer segments.
“Looking ahead, our announced expansion to 140k GPUs represents only 16% of our 3GW grid-connected power portfolio, providing ample capacity to continue scaling IREN’s AI Cloud platform and drive long-term value creation.”
The source: IREN earnings release
