Nebius Q1 Revenue Soars 684% to $399M, Power Guidance Hits 4GW
Nebius posted Q1 revenue of $399 million, up 684% year-over-year, with adjusted EBITDA swinging to $129.5 million and AI margins expanding to 45%. Management raised contracted power guidance to 4GW, added a 1.2GW Pennsylvania site and unveiled a $27 billion five-year capacity deal with Meta.
1. Q1 Financial Results
Nebius delivered Q1 revenue of $399 million, a 684% increase year-over-year and 75% above the prior quarter. Adjusted EBITDA swung to a positive $129.5 million from a loss of $53.7 million, driven by AI margin expansion to 45% from 24% in Q4.
2. Capacity Guidance and Site Expansion
Contracted power guidance was increased to 4 GW from 3 GW, marking the fourth consecutive quarterly raise. The company brought a second gigawatt-scale U.S. site online in Pennsylvania with 1.2 GW of capacity, joining its existing Missouri facility.
3. Meta Platforms Capacity Agreement
Nebius secured a $27 billion, five-year capacity contract with Meta, including $12 billion in dedicated compute and a $15 billion option. This agreement underpins long-term utilization and supports the company’s target of 5 GW active power by 2030.
4. Analyst Target Revisions
Following the Q1 beat, DA Davidson lifted its price target to $250 from $200 while Citizens raised its target to $270 from $175, both reaffirming outperform ratings. Analysts cited hyper-growth characteristics and the strengthened power trajectory as key drivers for higher valuations.