IREN revenue drops 22% to $145M as Bitcoin weakens and AI GPU plans expand

IREN Limited (NASDAQ: IREN) reported IREN revenue of $144.8 million for the quarter ended 2026-03-31, down 22% from $184.7 million, as weaker Bitcoin economics and the removal of older mining hardware pressured sales. The company also posted a $247.8 million net loss, including $140.4 million of non-cash impairments tied to retired equipment. On costs and profitability, adjusted EBITDA fell to $59.5 million from $75.3 million, while power-related costs eased by $25.9 million due to reduced mining activity. Results also included $23.7 million of unrealized losses from capped calls linked to convertible notes. Strategically, IREN is leaning harder into AI infrastructure. It signed a five-year, $3.4 billion AI Cloud deal with NVIDIA (NVDA) for air-cooled Blackwell GPUs, with customer billing expected to ramp from early 2027. IREN said it will place the hardware inside 60MW of existing data center space at Childress and is working on power, land, construction, and compute delivery. The partnership is also tied to IREN’s 2GW Sweetwater campus, supporting its $9.7 billion Microsoft (MSFT) contract. IREN’s wider buildout remains on track: 480MW expansion in 2026, with capacity targets rising through 2027 and beyond. In addition, it agreed to buy Spain-based developer Ingenostrum SL (Nostrum) to establish a Europe AI platform and added Mirantis to strengthen its AI Cloud software and orchestration. Traders should note: IREN revenue pressure is linked to Bitcoin pricing, but the spend shift toward AI GPUs may support a longer-term earnings profile. IREN revenue is expected to be the key near-term headline, while GPU ramp-up is the medium-term catalyst.