IREN FY26 swings to net loss on bitcoin hardware decommissioning
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IREN
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Outlook
IREN sees $4 bln contracted ARR for 2026 capacity, with 2026 capacity largely sold out
Company in late-stage discussions for 2027 capacity with new customers
IREN targeting cumulative delivery of 0.3GW (IT) in 2026 and 0.8GW (IT) in 2027
Overview
US AI Cloud platform's FY26 revenue rose but missed analyst expectations
Net income for FY26 was negative, impacted by non-cash impairments from Bitcoin hardware decommissioning
Company signed major multi-year AI Cloud contract and completed acquisitions to expand platform
Result drivers
AI cloud contracts - Co said new multi-year contracts and renewals with AI labs and enterprises drove growth in AI Cloud Services revenue
Bitcoin hardware impairments - Co said net income was impacted by non-cash impairments from decommissioning Bitcoin mining hardware as sites are converted to support AI Cloud growth
Higher contracted pricing - Co said contracted pricing for AI Cloud Services increased, driving more value per megawatt
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the blockchain & cryptocurrency peer group is "buy"
Wall Street's median 12-month price target for IREN Limited is $81.00, about 104.6% above its August 26 closing price of $39.58
