Nebius shares jump 34% on continued AI infrastructure demand
SiliconANGLE Maria Deutscher ● Covered by 2 sources
Nebius said demand for AI infrastructure is still ripping, and the stock shot up 34%. It also cut its loss sharply and is aiming for 5 gigawatts of contracted power by 2026.
Based on reporting by SiliconANGLE, Maria Deutscher — read the original for the full story.
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Nebius had a very good day on the market after posting second-quarter results that beat expectations across the board. The stock closed 34% higher, a sharp reaction for a company that’s been spending heavily to keep up with demand for its AI-focused cloud services.
Revenue climbed 454% from a year earlier to $582.3 million, about $10 million above the LSEG consensus estimate. The growth was helped by four data center deals with an average value of more than $1 billion. One went to Cohere, while the others came from Reflection AI, an unnamed neocloud operator and an investment firm trading firm.
The company is not pretending the bills are small. Capital expenditures hit $5.7 billion in the quarter, versus analysts’ expectations of $4.7 billion. Nebius says that spending should pay back in one year and 10 months, and that more than half of its expenses are financed by customer prepayments. That helps explain why investors didn’t flinch at the big number.
And the business is moving closer to profitability even while it builds. Nebius lost $33.2 million in the quarter, down 64% from a year earlier, and reported an adjusted loss of 12 cents per share versus the 67 cents analysts had expected. It also raised its 2026 contracted power target to 5 gigawatts and said it plans to add more than 1 gigawatt of computing capacity each year starting in 2027. The scale is the point now: Missouri, Finland, Meta, Microsoft, Cohere, and a line of customers waiting for more compute.
My take — AI-written commentary, not fact-checked reporting
This is what AI infra looks like when the music is still loud: spend first, collect the prepayments, and pray the demand doesn’t blink. Nebius is selling picks and shovels in a gold rush, which is fine until everyone else starts digging in the same canyon. The market loves that story as long as the power keeps flowing and the checks keep coming.
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