Galaxy Digital (GLXY) has 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 posted a loss of $216 million, or 49 cents per share, which was less than the estimated loss of 59 cents per share. Revenue for the quarter decreased to $10.2 billion from $12.9 billion in the same quarter last year.
The company has shifted 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 (CRWV), marking the start of revenue generation under a long-term lease agreement for artificial intelligence workloads. According to the company, '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 also noted that 'disciplined expense management during the quarter helped reduce the adjusted EBITDA loss, highlighting the focus on operating efficiency in more difficult environments.' The Helios facility is expected to deliver 133 megawatts of computing power by the end of the second quarter, and the company has secured approval for an additional 830 megawatts of power, bringing the total capacity to over 1.6 gigawatts. GLXY shares have fallen for the second consecutive day, recently trading 0.84% lower at $24.84.