Galaxy Digital posted a first-quarter loss of $216 million, or 49 cents per share, beating the estimated loss of 59 cents per share. The company's revenue declined to $10.2 billion from $12.9 billion in the previous year. Despite the decline in cryptocurrency prices, Galaxy Digital's shift in business focus and improved financial management contributed to the reduced loss.
The company has started to generate revenue from its data center business, with the delivery of its first data hall at the Helios campus in Texas to CoreWeave. This long-term lease is tied to artificial intelligence workloads and marks a significant step in the company's expansion into the growing demand for data centers.
Galaxy Digital's adjusted gross profit remained stable due to the growth of recurring fee revenue and transaction income, which provided greater resilience in challenging market conditions. The company's disciplined expense management also helped to narrow the adjusted EBITDA loss, highlighting its focus on operating efficiency. 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.