Galaxy Digital reported a narrowed loss for the first quarter, driven by a change in its business mix and improved financial management, which offset the impact of declining cryptocurrency prices. The company posted a loss of $216 million, or 49 cents per share, beating the analysts' estimate of 59 cents. Revenue declined to $10.2 billion from $12.9 billion in the same quarter last year. Galaxy Digital is increasingly focusing on the rising 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 noted that its adjusted gross profit remained relatively stable due to the growth of recurring fee revenue and transaction income, providing greater resilience in a softer market. Disciplined expense management during the quarter helped reduce the adjusted EBITDA loss, highlighting the company's focus on operational efficiency in challenging environments. The Helios facility is expected to deliver 133 megawatts of computing power by the end of the second quarter, with an additional 830 megawatts of power approved, taking the total capacity to over 1.6 gigawatts. Shares of GLXY fell for the second consecutive day, down 0.84% to $24.84.