Bitcoin Miner IREN Posts Record First-Quarter Earnings, Looks to Growth in AI

IREN (IREN) reported grounds fiscal first-quarter net arsenic it expanded further into AI unreality computing and gross from bitcoin (BTC) mining surged.

Net income successful the play ended Sept. 30 roseate to $384.6 million, reversing a year-earlier nonaccomplishment of $51.7 million, the institution said connected its website. Total gross roseate 355% to $240.3 million, with bitcoin mining accounting for $232.9 million, 50-times the year-earlier figure.

The Sydney, Australia-based institution is 1 of a broader inclination of bitcoin miners repurposing their vigor and information halfway assets to service the booming AI compute market. Earlier this week, Mara Holdings (MARA), which is pursuing a akin path, reported a quarterly nett vs nonaccomplishment and gross that roseate 92% twelvemonth implicit year.

The companies, which person acquisition successful moving large-scale information centers and negotiating supplies of inexpensive power, are pivoting their ASIC-based mining facilities to GPU-powered AI unreality services.

For IREN, the standout improvement going guardant is the five-year, $9.7 cardinal AI unreality declaration with Microsoft announced connected Monday. The woody includes phased deployments astatine its Childress tract done 2026 and a 20% prepayment, with an expected $1.9 cardinal annualized run-rate gross (ARR) contribution. Combined with caller multiyear contracts with Together AI, Fluidstack and Fireworks AI, the institution is targeting $3.4 cardinal successful AI Cloud ARR by the extremity of adjacent year, supported by the planned enlargement to 140,000 GPUs.

Infrastructure improvement continues astatine pace. The institution plans to modulation its British Columbia (160MW) facilities from ASICs to GPUs end-2026, portion accelerating operation of liquid-cooled Horizon information centers (200MW) astatine Childress (750MW). At the Sweetwater Hub (2GW), cardinal substations are scheduled for energization implicit the adjacent wo years.

“IREN continues to execute with discipline, delivering grounds results and meaningful advancement successful our AI Cloud expansion,”  co-founder and co-CEO Daniel Roberts said successful a statement.

IREN shares slid much than 12% connected Thursday. They were precocious 3% little successful pre-market trading aft rising arsenic overmuch arsenic 6%.

UPDATE (Nov. 7, 11:40 UTC): Rewrites header to region pre-market stock terms rise. Updates past sentence.