Galaxy Digital reported a narrowed loss in the first quarter, driven by a change in its business mix and improved financial management, despite a decline in cryptocurrency prices. The company posted a loss of $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 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 stated that its adjusted gross profit remained relatively stable due to the growth of recurring fee revenue and transaction income, providing greater resilience in challenging market conditions.
The Helios facility is expected to deliver 133 megawatts of computing power by the end of the second quarter, with a total capacity of over 1.6 gigawatts following the approval of an additional 830 megawatts of power.