CleanSpark (CLSK) Q1 2026 earnings summary

Executive summary

• Transitioned from a pure-play Bitcoin miner to a diversified digital infrastructure and data center developer, expanding into high-performance computing (HPC) and AI, with no material revenue yet from AI/HPC as of December 31, 2025.

• Expanded infrastructure platform with multiple earning streams, leveraging mining cash flows to fund AI and digital asset management initiatives, and secured up to 890 MW of new utility-grade power capacity in Texas and Georgia.

• Maintained strong operational performance in Bitcoin mining, operating 245,199 miners with a hashrate of 47.1–50 EH/s, representing 4.46% of global hashrate.

• Ended the quarter with a strong balance sheet and $1.3 billion in working capital, supporting ongoing expansion.

• Ongoing portfolio expansion with a focus on tenant certainty, construction progress, and large-scale commissioning through 2027.

Financial highlights

• Q1 2026 revenue grew 11.6–12% year-over-year to $181.2 million, despite flat Bitcoin production and sequential decline from Q4.

• Gross margin declined to 47–47.2% from 56.5–57% a year ago, mainly due to increased network difficulty and higher power prices.

• Net loss of $378.7–$379 million versus net income of $246.8–$247 million a year ago, driven by non-cash mark-to-market adjustments on Bitcoin holdings.

• Adjusted EBITDA was negative $295.4 million, compared to positive $321.6–$322 million a year ago.

• Total assets reached $3.3 billion, with $458.1 million in cash and $1.0–$1.15 billion in bitcoin holdings.

Outlook and guidance

• Expecting continued strong demand for AI data center capacity, with multiple hyperscaler tenants in advanced discussions and plans for multi-campus capabilities and giga-project development by 2028.

• Confident in signing quality AI infrastructure leases in the near term, with a disciplined approach to contract terms and delivery risk.

• Plans to redeploy cash flows from bitcoin mining into long-duration infrastructure opportunities, including HPC and AI markets.

• Management expects existing cash, bitcoin, and operational cash flows to cover anticipated needs for the next 12 months.

• Focused on capital discipline and minimizing dilution, with significant liquidity to support ongoing expansion.