Applied Digital reported Q3 revenue of $126.6 million, up 139% from a year ago, with a GAAP net loss of $100.9 million versus $100 million adjusted net income and $44.1 million adjusted EBITDA. The results surpassed consensus revenue estimates by roughly $50 million, driven by enterprise and hyperscaler demand for high-performance AI data center services.

The company initiated construction of Delta Forge 1, a 430 MW AI Factory campus spanning over 500 acres in a strategic southern U.S. market, targeting mid-2027 for initial operations. This follows full operational status of the first 100 MW direct-to-chip liquid-cooled facility at Polaris Forge 1 and ongoing development of two additional 150 MW buildings.

Applied Digital entered a $100 million DevCo financing facility with Macquarie Equipment Capital for new data center projects and issued $2.15 billion of 6.75% senior secured notes due 2031 at 98% of par. The company also restructured CoreWeave leases under an investment-grade SPV framework, secured by a $50 million letter of credit and springing guarantees to bolster credit quality.

Shares surged 12.15% following Bitcoin’s climb above $69,000 and reports of a potential U.S.-Iran ceasefire, highlighting Applied Digital’s exposure to increased crypto transaction volume and demand for digital infrastructure supporting blockchain workloads.