Galaxy Digital reported a reduced loss for the first quarter, driven by a change in its business mix and improved financial management, despite a decline in cryptocurrency prices. The company's loss totaled $216 million, or 49 cents per share, beating analysts' estimates of 59 cents. Revenue decreased to $10.2 billion from $12.9 billion in the same quarter last year.
Galaxy Digital is increasingly focusing 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 tied to artificial intelligence workloads. The company noted that "adjusted gross profit remained relatively stable due to the shift in business mix, with recurring fee revenue and transaction income continuing to grow and provide greater resilience in challenging market conditions." The company's disciplined expense management during the quarter contributed to a narrowed adjusted EBITDA loss, highlighting its focus on operational 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.
Galaxy Digital's shares fell for the second consecutive day, down 0.84% to $24.84.