Galaxy Digital reported a reduced loss in the first quarter, driven by a change in its business operations and improved financial management, despite a decline in cryptocurrency prices. The company incurred a loss of $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.
The company has been shifting its focus towards meeting 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 agreement for artificial intelligence workloads. According to the company, "the stability in adjusted gross profit reflects the evolving business mix, with recurring fee revenue and transaction income providing greater resilience in challenging market conditions." The company also emphasized its commitment to operating efficiency through disciplined expense management. The Helios facility is expected to deliver 133 megawatts of computing power by the end of the second quarter, with approval secured for an additional 830 megawatts, bringing the total capacity to over 1.6 gigawatts. Shares of GLXY fell for the second consecutive day, down 0.84% at $24.84.