Cipher Digital (CIFR) Q1 2026 earnings summary

Executive summary

• Transitioned from a bitcoin mining startup to a vertically integrated developer and operator of industrial-scale HPC data centers, rebranding as Cipher Digital Inc. in February 2026.

• Achieved major execution milestones in Q1 2026, including a third data center campus lease with a 15-year term and an investment-grade hyperscale tenant, and significant progress at Barber Lake and Black Pearl.

• Fully financed the Black Pearl project with a $2B high-yield bond offering and established a $200M revolving credit facility.

• Operating and contracted capacity reached 907 MW, with a total pipeline of up to 4.2 GW across 10 sites, anchored by three signed data center campus leases representing $11.4B in contracted revenue over 10-15 years.

• Construction at Barber Lake, Black Pearl, and Stingray data centers is progressing on schedule, with major milestones achieved and equipment procurement nearly complete.

Financial highlights

• Q1 2026 revenue was $34.8M, down from $60M in Q4 and $49M in Q1 2025, reflecting the planned wind down of mining operations and lower bitcoin prices.

• Reported a GAAP net loss of $114.3M ($0.28 per diluted share) in Q1 2026, compared to a $734M loss in Q4 2025 and $39M in Q1 2025.

• Adjusted EBITDA for Q1 2026 was $(48.2)M, compared to $(39.9)M in Q4 2025 and $7.5M in Q1 2025.

• Cost of revenue was $18M, down from $24M in Q4; compensation and benefits were $35M, up year-over-year due to headcount growth.

• Interest income rose to $32M, while interest expense increased to $59M due to new project-level financings.

Outlook and guidance

• Three executed data center campus leases expected to generate $787M average annualized net operating income from Oct 2026 to Sep 2036, rising to $892M in 2035.

• Pipeline capacity of 3.3 GW is expected to be energized between 2027 and 2030+, targeting a total portfolio capacity of ~4.2 GW by 2030+.

• No additional capital investment planned for Bitcoin mining; focus shifting entirely to HPC data centers, with mining phased out by 2027.

• Management expects existing financial resources, projected cash and bitcoin inflows, and the ability to sell bitcoin and stock to be sufficient for at least the next 12 months.

• Focus remains on execution and establishing a leading HPC development platform.