TeraWulf Adds 1.85 GW Power Capacity While Q4 Revenue Drops to $35.8 M
TeraWulf added about 1.85 GW of power-backed AI capacity in 2025 via the Beowulf acquisition, 400 MW at Cayuga and a Google-backed 450 MW Fluid Stack lease. Q4 revenue fell to $35.8 M from $50.6 M, driving a $661.4 M GAAP net loss, with operating expenses up to $8.8 M and interest costs at $62.4 M.
1. Strategic Capacity Expansion
In 2025, TeraWulf completed the acquisition of Beowulf electricity and data, integrating full power-generation expertise. The company secured 400 MW of site control at Cayuga and signed a 450 MW Fluid Stack lease backed by Google, validating its execution model. It also added roughly 1.5 GW of additional power-backed capacity across former industrial sites in Kentucky and Maryland.
2. Q4 Financial Performance
Revenue in Q4 2025 declined to $35.8 million from $50.6 million in Q3, primarily due to reduced Bitcoin production. The company recorded a GAAP net loss of $661.4 million for the full year, driven largely by non-cash fair-value adjustments and depreciation linked to its rapid expansion.
3. Rising Operating and Interest Expenses
Operating expenses jumped to $8.8 million in Q4 from $4.5 million in Q3, reflecting scaling of AI infrastructure and site development. Interest expense soared to $62.4 million versus $9.8 million in the prior quarter following significant capital raises to fund expansion.
4. Site Strategy and Customer Outlook
TeraWulf is engaging major hyperscalers and AI compute firms for long-term leases at its Kentucky site, leveraging immediate power availability and a partnership with contractor Fluor. The Maryland campus, repurposed from coal generation, is designed to contribute net power to the grid under progressive brownfield programs, positioning the company to address regional power shortfalls.