Galaxy Digital reported a narrower loss in 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's loss was $216 million, or 49 cents per share, beating the estimated loss of 59 cents per share.
Revenue decreased to $10.2 billion from $12.9 billion in the same period last year. Galaxy Digital is increasingly focused on 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. The company stated, "The stability of our adjusted gross profit reflects the shift in our business mix, with recurring fee revenue and transaction income continuing to grow and provide greater resilience in challenging market conditions. Our disciplined expense management during the quarter helped reduce the adjusted EBITDA loss, demonstrating our focus on operational efficiency in more difficult 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, 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.