1D·

A bang for IREN - Q3 surprises with 4 new announcements

$IREN (-11,52%)

1. q3 figures reflect the reorganization

The switch from Bitcoin mining to the AI cloud is in full swing.

  • Revenue: $144.8 million (Q2: $184.7 million)
  • Bitcoin turnover: $111.2 million (Q2: $167.4 million)
  • AI cloud revenue: $33.6 million (Q2: $17.3 million)
  • Net loss: -247.8 million $ (Q2: -155.4 million $)

Why the decline? $IREN (-11,52%) is deliberately dismantling Bitcoin miners to make room for GPUs. This depresses sales in the short term, and the weaker $BTC (+0,8%)-exchange rate.


2. hammer 1: 3.4 billion dollar AI cloud contract with $NVDA (+0,92%)

  • Volume: approx. 3.4 billion $ over 5 years
  • $IREN (-11,52%) provides NVIDIA managed GPU cloud for internal AI and research workloads. The contract includes not only hardware, but also complete orchestration and operation.
  • Location: 60 MW in converted halls in Childress, Texas
  • Start: from the beginning of 2027


3rd Hammer 2: Strategic 5-gigawatt partnership with NVIDIA

Even bigger than the contract.

  • Goal: joint expansion of up to 5 GW of NVIDIA DSX-capable AI infrastructure for the global $IREN (-11,52%)-portfolio
  • Investment option: NVIDIA receives the right to purchase up to 30 million $IREN (-11,52%)-shares at $70 - up to $2.1 billion over 5 years


Jensen Huang, CEO NVIDIA: "AI factories are becoming the basic infrastructure of the global economy. IREN brings scale in power, land and operations."

This makes NVIDIA not only a customer, but also a potential major shareholder.


4th European expansion: acquisition of the Nostrum Group in Spain

  • 490 MW of secured, grid-connected electricity
  • Pipeline: further GW in development

Why Spain?

Cheap renewable energy, fast approvals, strong grid connection, politically desired "Sovereign AI"


5. next step: Australia

  • $IREN (-11,52%) is currently negotiating grid connection agreements for new sites in Australia, which represent the decisive regulatory milestone before construction begins


Overall, this will $IREN (-11,52%) international provider on three continents three continents with a total portfolio of 5 GW of energy capacity

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6. outlook: The roadmap to 2028+

  • 2026: 480 MW in operation
  • ARR target at the end of 2026: $3.7 billion (of which $1.9 billion Microsoft, $0.7 billion NVIDIA, $0.5 billion Prince George)
  • 2027: expansion to 1,210 MW (Childress Horizon 5-6 and Sweetwater 1 Phase 1)
  • 2028+: further expansion Sweetwater and Kiowa (Oklahoma), plus Spain and Australia
  • Financing to be sourced from cash, operating cash flow, GPU financing and project financing


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$IREN (-11,52%) surprised with the $NVDA (+0,92%)-deal, but at the same time remains deliberately cautious. The focus is clearly on operational implementation and not on the hasty conclusion of further contracts.


The Q3 figures are weak, but this is a direct consequence of the planned conversion from Bitcoin to AI. With 3.1 billion $ already contractually secured ARR (Annual Recurring Revenue), 2.6 billion dollars in cash and a capacity of 5GW pipeline that has grown to 5GW, the foundation has been laid for the coming years. 🚀


Source: iren.com/investors/news

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4 Comentários

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Thank you! I was going to make a post about it too, but if you've done it now 👍

IREN is now even the position in my portfolio with the highest percentage gain 🤫
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@Klein-Anleger Thank you 🫶
The company remains exciting. Was a good buy 🚀
Nevertheless, the quarterly figures look catastrophically bad 🫣
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@Pazzzi Definitely, in the short term the numbers don't look so bright, but that's precisely because the Bitcoin miners are gradually being switched off to switch to AI workloads. This costs money in the short term during this transition phase. I'm sure you've read my analysis of them and my main thesis that energy will be the next bottleneck is still intact. The fact that the global market leader NVIDIA is not only injecting money into IREN and buying in like other NeoCloud providers, but also wants to run the latest technology in IREN's data centers as a showcase project and use the capacity for internal developers is already an accolade for IREN! In addition, the expansion into Europe to secure even more energy access! Simply strong news, even if the figures were impacted by the transformation...
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@Klein-Anleger That's right. The news was very surprising 🤙
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