Galaxy Digital first-quarter loss narrows, AI push grows

Galaxy Digital (GLXY) narrowed its first-quarter loss as a shift in business mix and tighter financial management outweighed a decline in cryptocurrency prices.

The company lost $216 million, or 49 cents a share, less than the 59 cents estimated by analysts. Revenue dropped to $10.2 billion from $12.9 billion in the year-earlier quarter.

The company is increasingly focusing on the growing demand for data centers, and this month delivered its first data hall at the Helios campus in Texas to CoreWeave (CRWV), marking the start of revenue under a long-term lease tied to artificial intelligence workloads.

“Adjusted gross profit remained broadly stable, reflecting a shift in the business mix as recurring fee revenue and transaction income continue to scale and provide greater resilience in softer market conditions,” the company said in a statement. “Disciplined expense management during the quarter helped narrow the adjusted EBITDA loss, underscoring a focus on operating efficiency in more challenging environments.”

The Helios facility is set to deliver 133 megawatts of computing power by the end of the second quarter. The company also secured approval for an additional 830 megawatts of power at the site, bringing total capacity to more than 1.6 gigawatts.

GLXY shares fell for a second day, and were recently 0.84% lower at $24.84.