Galaxy Digital reported a narrowed loss for the first quarter, driven by changes in its business mix and improved financial management, despite a decline in cryptocurrency prices. The company's loss was $216 million, or 49 cents per share, which was less than the estimated 59 cents per share by analysts. Revenue declined to $10.2 billion from $12.9 billion in the same quarter last year. Galaxy Digital has been focusing on the growing demand for data centers and has delivered its first data hall at the Helios campus in Texas to CoreWeave, marking the beginning of revenue generation under a long-term lease for artificial intelligence workloads.
The company stated that 'adjusted gross profit remained relatively stable due to a shift in the business mix, with recurring fee revenue and transaction income continuing to grow and provide greater resilience in challenging market conditions.' The company also emphasized its focus on disciplined expense management, which helped to reduce the adjusted EBITDA loss. The Helios facility is expected to deliver 133 megawatts of computing power by the end of the second quarter, and the company has secured approval for an additional 830 megawatts of power, bringing the total capacity to over 1.6 gigawatts. Galaxy Digital's shares fell for the second consecutive day, down 0.84% to $24.84.