CoreWeave Reports Strong First Quarter 2025 Results

Rhea-AI Summary

CoreWeave (NASDAQ: CRWV) reported its Q1 2025 financial results, showing substantial growth. Revenue surged 420% to $981.6 million compared to Q1 2024. The company's revenue backlog reached $25.9 billion, including $14.7 billion in RPO. Despite strong top-line growth, CoreWeave posted an operating loss of $27.5 million and a net loss of $314.6 million. Key Q1 highlights include a strategic partnership with OpenAI adding $11.2 billion to backlog, collaboration with IBM for compute capacity, and expansion of infrastructure to ~420 MW of active power. The company completed its IPO, raising $1.4 billion in net proceeds. Adjusted EBITDA grew 480% to $606.1 million with a 62% margin, while Adjusted Operating Income increased 550% to $162.6 million.

Positive

• Revenue grew 420% YoY to $981.6 million
• Massive revenue backlog of $25.9 billion, including $11.2B OpenAI deal
• Adjusted EBITDA increased 480% to $606.1M with 62% margin
• Infrastructure expansion to 420 MW active power and 1.6 GW contracted power
• Successfully raised $1.4B through IPO

Negative

• Operating loss of $27.5M compared to $16.8M profit in Q1 2024
• Net loss widened 143% to $314.6M
• Interest expense increased 549% to $263.8M
• Operating expenses grew 487% to $1.01B

Insights

Financial Analyst

CoreWeave's Q1 shows massive 420% revenue growth to $982M, but operates at a loss with substantial debt expenses hampering profitability.

CoreWeave's Q1 2025 results reveal extraordinary revenue growth of 420% year-over-year, reaching $981.6 million compared to $188.7 million in Q1 2024. This dramatic expansion reflects surging demand for their specialized AI infrastructure services.

However, beneath the impressive top-line growth lies a more complex financial reality. The company posted an operating loss of $27.5 million, a concerning shift from the $16.8 million operating profit in the same period last year. This represents a 263% negative swing, with operating margin deteriorating from 9% to -3%.

A major contributor to CoreWeave's financial challenges is its substantial interest expense of $263.8 million – more than five times higher than last year's $40.7 million. This reflects the significant debt the company has taken on to fund its rapid infrastructure expansion, with total debt and equity raised reaching $17.2 billion.

The company's net loss widened to $314.6 million, though as a percentage of revenue, the net loss margin actually improved from -68% to -32%. On a non-GAAP basis, Adjusted EBITDA showed strong growth, increasing 480% to $606.1 million with margins expanding from 55% to 62%.

Perhaps the most striking metric is CoreWeave's revenue backlog of $25.9 billion, including a strategic deal with OpenAI contributing $11.2 billion. This suggests strong future revenue visibility, though executing on this backlog will require continued rapid scaling of infrastructure.

The company now operates approximately 420 MW of active power capacity with 1.6 GW of contracted power, highlighting the massive infrastructure investments required to service the AI computing market. The recent IPO raised $1.4 billion in net proceeds, providing additional capital for this expansion.

CoreWeave's Q1 results illustrate the high-stakes nature of the AI infrastructure race – enormous growth potential balanced against significant capital requirements and financial strain from rapid scaling.

Growth Driven by Accelerating Demand for CoreWeave's Purpose-built AI Platform

LIVINGSTON, N.J., May 14, 2025 /PRNewswire/ -- CoreWeave, Inc. (Nasdaq: CRWV), the AI Hyperscaler™, today reported financial results for the first quarter ended March 31, 2025.

"We've delivered an outstanding start to 2025 on multiple fronts. Our strong first quarter financial performance caps a string of milestones including our IPO, our major strategic deal with OpenAI as well as other customer wins, our acquisition of Weights & Biases and many technical achievements," said Michael Intrator, CoreWeave's co-founder and Chief Executive Officer. "Demand for our platform is robust and accelerating as AI leaders seek the highly performant AI cloud infrastructure required for the most advanced applications. We are scaling as fast as possible to capture that demand. The future runs on CoreWeave."

"CoreWeave's strong financial performance in Q1 highlights the large and rapidly growing opportunity," said Nitin Agrawal, CoreWeave's Chief Financial Officer. "We are focused on executing, while effectively managing our capital structure to support accelerating investments in growth and maintaining flexibility to capitalize on strategic opportunities."

First Quarter 2025 Financial Highlights

(In thousands, except percentages and per share amounts)	Three Months Ended March 31,
	2025		2024		% Change
Revenue	$          981,632		$          188,684		420 %
Operating expenses*	1,009,102		171,837		487 %
Operating income (loss)*	$           (27,470)		$            16,847		(263) %
Operating income (loss) margin*	(3) %		9 %
Interest expense, net	$         (263,835)		$           (40,656)		549 %
Net loss*	$         (314,641)		$         (129,248)		143 %
Net loss margin*	(32) %		(68) %
Basic net loss per share*	$               (1.40)		$               (0.62)		126 %
Diluted net loss per share*	$               (1.49)		$               (0.62)		140 %

*Includes $177 million of stock-based compensation expense for awards with a liquidity-event performance-based vesting condition which was satisfied at IPO and for which the service-based vesting condition had also been satisfied as of that date.

Non-GAAP Measures

(In thousands, except percentages)	Three Months Ended March 31,
	2025		2024		% Change
Adjusted EBITDA	$          606,131		$          104,546		480 %
Adjusted EBITDA margin	62 %		55 %
Adjusted operating income	$          162,634		$            25,036		550 %
Adjusted operating income margin	17 %		13 %
Adjusted net loss	$         (149,555)		$           (23,559)		535 %
Adjusted net loss margin	(15) %		(12) %

(See "Non-GAAP Financial Measures" below for the definitions of Adjusted EBITDA, Adjusted Operating Income, and Adjusted Net Loss)

Additional First Quarter 2025 Financial Highlights

Revenue backlog was $25.9 billion as of March 31, 2025. Revenue backlog includes RPO of $14.7 billion, plus, subject to the satisfaction of delivery and availability of service requirements, other amounts we estimate will be recognized as revenue in future periods under committed customer contracts of $11.2 billion.

First Quarter 2025 Highlights 

• Key customer wins across AI labs, hyperscalers and enterprises including
  • Strategic deal with OpenAI, adding $11.2 billion in revenue backlog
  • Announced partnership with IBM to deliver compute capacity for IBM's Granite models
• Continued rapid scaling of our purpose-built AI Infrastructure, including the addition of new compute capacity which totaled approximately 420 MW of active power and approximately 1.6 GW of contracted power at quarter end
• Continued to drive our AI Hyperscaler™ leadership position
  • MLPerf Inference v5.0 results set a new industry benchmark in AI inference with NVIDIA GB200 Grace Blackwell Superchips
  • The only AI cloud provider to receive the highest Platinum rating based on SemiAnalysis's ClusterMAX™ Rating System
• New product launches to extend our cloud platform capabilities
  • General availability of CoreWeave AI Object Storage (CAIOS) for high-performance data access
  • Support for GB200 based instances throughout our Cloud Platform Stack (CKS, SUNK, Observability, Fleet LifeCycle Controller)
  • On-Demand Cluster Scaling via CoreWeave Kubernetes Service
  • General availability of detailed billing and usage metrics
  • Support for NVIDIA AI Enterprise software and NVIDIA Cloud Functions to help enterprises quickly ramp up their AI applications
• Raised $1.4 billion in net proceeds through our IPO, increasing to $17.2 billion of total debt and equity raised to support the company's strategy to drive the next generation of cloud computing for the future of AI

Business Outlook

CoreWeave will provide forward-looking guidance in connection with this quarterly earnings announcement on its earnings conference call and webcast.

Webcast and Conference Call Information

CoreWeave will host an audio webcast to discuss the results for the first quarter of 2025, provide a business update, and forward-looking guidance at 2:00 pm PT / 5:00 pm ET today. The live webcast of CoreWeave's earnings conference call can be accessed at the CoreWeave Investor Relations website at investors.coreweave.com, along with the earnings press release and earnings presentation.

Following the call, a replay will be available at the same website. A transcript of the conference call will be posted to the investors.coreweave.com website.

Disclosure Information

CoreWeave uses our investor relations page (investors.coreweave.com), our X account (@CoreWeave), and our LinkedIn page to disclose material non-public information and for complying with our disclosure obligations under Regulation FD. Accordingly, investors should monitor these websites, in addition to following our press releases, Securities and Exchange Commission (SEC) filings, public conference calls and public webcasts.

About CoreWeave  

CoreWeave, the AI Hyperscaler™, delivers a cloud platform of cutting-edge software powering the next wave of AI. The company's technology provides enterprises and leading AI labs with cloud solutions for accelerated computing. Since 2017, CoreWeave has operated a growing footprint of data centers across the US and Europe. CoreWeave was ranked as one of the TIME100 most influential companies and featured on Forbes Cloud 100 ranking in 2024. Learn more at www.coreweave.com.

Investor Relations contact:
Investor-Relations@coreweave.com / https://investors.coreweave.com/ 

Media contact:
Press@coreweave.com / https://www.coreweave.com/about-us 

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of applicable securities laws. Such statements are based on our current expectations, forecasts and assumptions and involve risks and uncertainties. These statements include, but are not limited to, statements related to our business; our strategy; our capital structure; our market opportunity and future growth; market trends; demand for our platform; capital structure; our plans to scale our platform; and strategic opportunities. In some cases, you can identify forward-looking statements by terms such as "anticipate," "believe," "estimate," "expect," "intend," "may," "might," "plan," "project," "will," "would," "should," "could," "can," "predict," "potential," "target," "explore," "continue," "outlook," "guidance," or the negative of these terms, where applicable, and similar expressions intended to identify forward-looking statements.

Our expectations and beliefs regarding these matters may not materialize, and actual results in future periods are subject to risks and uncertainties that could cause actual results to differ materially from those projected. These risks include but are not limited to our ability to execute our business strategies and manage our growth, our ability to maintain and grow our customer base, any disruption in our strategic relationships or disruptions with our third-party providers, including our suppliers and data center partners, our ability to develop and maintain our corporate infrastructure and internal controls, our financial performance, capital requirements and ability to raise additional capital and the impact of global political and macroeconomic conditions, including the effects of global geopolitical conflicts, inflation, tariffs, interest rates, any instability in the global banking sector and foreign currency exchange rates. More information about factors that could affect our operating results is included under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in our most recent filings with the SEC, including in our final prospectus filed with the SEC pursuant to Rule 424(b), dated March 27, 2025 and our Quarterly Report on Form 10-Q for the quarter ended March 31, 2025, copies of which may be obtained by visiting our Investor Relations website at https://investors.coreweave.com or the SEC's website at www.sec.gov. Forward-looking statements speak only as of the date the statements are made and are based on information available to us at the time those statements are made and/or management's good faith belief as of that time with respect to future events. Additionally, the forward-looking statements in this press release do not include the potential impact of any acquisitions that may be announced and/or completed after the date hereof. We assume no obligation to update forward-looking statements to reflect events or circumstances after the date they were made, except as required by law.

Non-GAAP Financial Measures

To supplement our consolidated financial statements, which are prepared and presented in accordance with generally accepted accounting principles in the United States ("GAAP"), we use adjusted EBITDA and adjusted EBITDA margin, adjusted operating income (loss) and adjusted operating income (loss) margin, adjusted net income (loss) and adjusted net income (loss) margin, collectively, to help us evaluate our business. We use such non-GAAP financial measures to make strategic decisions, establish business plans and forecasts, identify trends affecting our business, and evaluate operating performance. We believe that these non-GAAP financial measures, when taken collectively, may be helpful to investors because they allow for greater transparency into what measures we use in operating our business and measuring our performance and enable comparison of financial trends and results between periods where items may vary independent of business performance. These non-GAAP financial measures are presented for supplemental informational purposes only, should not be considered a substitute for financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies.

A reconciliation is provided below for each historical non-GAAP financial measure to the most directly comparable financial measure stated in accordance with U.S. GAAP. CoreWeave encourages investors to review the related U.S. GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable U.S. GAAP financial measures, and not to rely on any single financial measure to evaluate CoreWeave's business.

 

COREWEAVE, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except per share data)
	Three Months Ended March 31,
	2025		2024
Revenue	$        981,632		$        188,684
Operating expenses:
Cost of revenue	262,394		59,220
Technology and infrastructure	561,402		92,881
Sales and marketing	10,549		4,050
General and administrative	174,757		15,686
Total operating expenses	1,009,102		171,837
Operating income (loss)	(27,470)		16,847
Gain (loss) on fair value adjustments	26,837		(97,500)
Interest expense, net	(263,835)		(40,656)
Other income (expense), net	(4,137)		7,460
Loss before provision for (benefit from) income taxes	(268,605)		(113,849)
Provision for (benefit from) income taxes	46,036		15,399
Net loss	$      (314,641)		$      (129,248)
Net loss attributable to common stockholders, basic	$      (343,363)		$      (129,248)
Net loss attributable to common stockholders, diluted	$      (370,208)		$      (129,248)
Net loss per share attributable to common stockholders, basic	$            (1.40)		$            (0.62)
Net loss per share attributable to common stockholders, diluted	$            (1.49)		$            (0.62)
Weighted-average shares used in computing net loss per share    attributable to common stockholders, basic	245,608		209,228
Weighted-average shares used in computing net loss per share    attributable to common stockholders, diluted	249,293		209,228

 

COREWEAVE, INC. CONSOLIDATED BALANCE SHEETS (in thousands, except per share data)
	March 31, 2025		December 31, 2024
Assets
Current assets
Cash and cash equivalents	$     1,276,456		$     1,361,083
Restricted cash and cash equivalents, current	624,250		37,394
Accounts receivable, net	1,055,208		416,526
Prepaid expenses and other current assets	146,733		101,246
Total current assets	3,102,647		1,916,249
Restricted cash and cash equivalents, non-current	617,110		637,356
Restricted marketable securities, non-current	—		29,308
Property and equipment, net	14,210,992		11,914,774
Operating lease right-of-use assets	3,063,220		2,589,547
Intangible assets, net	4,395		4,909
Goodwill	19,544		19,544
Other non-current assets	842,475		720,912
Total assets	$   21,860,383		$   17,832,599
Liabilities, Redeemable Convertible Preferred Stock, Redeemable Common Stock, and Stockholders' Equity (Deficit)
Current liabilities
Accounts payable	$     1,242,100		$        868,259
Accrued liabilities	1,377,013		355,821
Debt, current	3,776,595		2,468,425
Deferred revenue, current	436,530		768,927
Operating lease liabilities, current	239,549		213,104
Finance lease liabilities, current	59,010		57,801
Other current liabilities	—		230,244
Total current liabilities	7,130,797		4,962,581
Debt, non-current	4,935,071		5,457,915
Derivative and warrant liabilities	491		200,089
Deferred revenue, non-current	3,611,469		3,294,977
Operating lease liabilities, non-current	2,867,838		2,388,912
Finance lease liabilities, non-current	18,814		34,120
Deferred tax liabilities, non-current	193,849		149,232
Other non-current liabilities	32,772		36,260
Total liabilities	18,791,101		16,524,086
Commitments and contingencies
Redeemable convertible preferred stock and redeemable common stock
Redeemable convertible preferred stock	—		1,722,111
Redeemable Class A common stock	1,163,159		—
Stockholders' equity (deficit)
Preferred stock	—		—
Class A common stock	2		1
Class B common stock	0		0
Class C common stock	—		—
Treasury stock	(33,524)		(33,524)
Additional paid-in capital	3,730,521		1,096,160
Accumulated deficit	(1,790,876)		(1,476,235)
Total stockholders' equity (deficit)	1,906,123		(413,598)
Total liabilities, redeemable convertible preferred stock, redeemable common stock, and stockholders' equity (deficit)	$   21,860,383		$   17,832,599

 

COREWEAVE, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands)
	Three Months Ended March 31,
	2025		2024
Cash flows from operating activities:
Net loss	$      (314,641)		$      (129,248)
Adjustments to reconcile net loss to net cash provided by operating activities
Depreciation and amortization	443,497		79,510
Non-cash lease expense	66,869		15,090
Amortization of debt discounts and issuance costs and accretion of redemption premiums	37,691		8,058
Loss (gain) on fair value adjustments	(26,837)		97,500
Stock-based compensation	183,973		8,189
Deferred income taxes	44,617		14,686
Other non-cash reconciling items	22,723		(886)
Changes in operating assets and liabilities, net of effect of business acquisition:
Accounts receivable	(638,750)		54,328
Prepaid expenses and other current assets	(9,929)		23,228
Accounts payable and accrued expenses	62,327		515,295
Deferred revenue	(15,904)		1,439,571
Lease liabilities	(51,109)		(5,819)
Other non-current assets	256,641		(80,464)
Net cash provided by (used in) operating activities	$          61,168		$     2,039,038
Cash flows from investing activities:
Purchase of property and equipment, including capitalized internal-use software	(1,407,359)		(1,741,935)
Maturities of marketable securities	29,308		—
Purchase of restricted marketable securities	—		(29,308)
Issuance of notes receivable	(55,000)		—
Net cash provided by (used in) investing activities	$    (1,433,051)		$    (1,771,243)
Cash flows from financing activities:
Proceeds from issuance of debt	784,956		931,647
Repayments of debt	(271,104)		(4,956)
Issuance of redeemable convertible preferred stock, net of issuance costs	—		25,000
Redeemable convertible preferred stock cash dividends paid	(26,101)		—
Proceeds from exercise of stock options	2,794		45
Proceeds from initial public offering, net of underwriting discounts and commissions	1,422,619		—
Payment of tax withholdings on settlement of RSUs	(15,685)		—
Deferred offering costs paid	(16,870)		—
Other financing activities	(26,743)		(32,241)
Net cash provided by (used in) financing activities	1,853,866		919,495
Net increase in cash, cash equivalents, and restricted cash	481,983		1,187,290
Cash, cash equivalents, and restricted cash—beginning of period	2,035,833		480,075
Cash, cash equivalents, and restricted cash—end of period	$     2,517,816		$     1,667,365
Supplemental disclosures of cash flow information:
Cash paid for interest, net of capitalized amounts	142,193		1,971
Non-cash investing and financing activities:
Capitalized interest not yet paid	10,776		48,215
Operating lease right-of-use assets acquired through lease liability	535,524		431,838
Accounts payable and accrued expenses related to property and equipment additions	2,008,056		287,795
Issuance of common stock for contract incentive	350,000		—
Conversion of redeemable convertible preferred stock in connection with initial public offering	1,722,140		—
Reclassification of warrant liabilities to equity	172,808		—
Settlement of Series B tranche liability	—		69,598
Reclassification of customer deposit to debt	230,244		—
Deferred offering costs not yet paid	11,899		—
Reconciliation of cash, cash equivalents, and restricted cash to condensed consolidated balance sheets:
Cash and cash equivalents	1,276,456		1,306,872
Restricted cash and cash equivalents, current	624,250		35,493
Restricted cash and cash equivalents, non-current	617,110		325,000
Total cash, cash equivalents, and restricted cash	$     2,517,816		$     1,667,365

 

Reconciliation of GAAP to Non-GAAP Results Reconciliation of Net Loss to Adjusted EBITDA (in thousands, except percentages)
	Three Months Ended March 31,
	2025		2024
Net loss	$   (314,641)		$   (129,248)
Depreciation and amortization	443,497		79,510
Interest expense, net	263,835		40,656
Stock-based compensation	183,974		8,189
Provision for (benefit from) income taxes	46,036		15,399
Acquisition related costs	6,130		—
Other expense (income), net	4,137		(7,460)
(Gain) loss on fair value adjustments(1)	(26,837)		97,500
Adjusted EBITDA	$     606,131		$     104,546
Revenue	$     981,632		$     188,684
Net loss margin	(32) %		(68) %
Adjusted EBITDA margin	62 %		55 %

(1)

Represents adjustments related to recording our derivative liabilities at fair value at the end of each reporting period for our 2021 Convertible Senior Secured Notes, warrant liabilities related to our 2022 Senior Secured Notes, and the fair value remeasurement of the option liability in connection with our Series B financing. Refer to Note 3. Fair Value Measurements to our consolidated financial statements for additional information.

 

Reconciliation of Operating Income to Adjusted Operating Income (in thousands, except percentages)
	Three Months Ended March 31,
	2025		2024
Operating income (loss)	$     (27,470)		$       16,847
Stock-based compensation	183,974		8,189
Acquisition related costs	6,130		—
Adjusted operating income	$     162,634		$       25,036
Revenue	$     981,632		$     188,684
Operating income (loss) margin	(3) %		9 %
Adjusted operating income margin	17 %		13 %

 

Reconciliation of Net Loss to Adjusted Net Loss (in thousands, except percentages)
	Three Months Ended March 31,
	2025		2024
Net loss	$   (314,641)		$   (129,248)
Stock-based compensation	183,974		8,189
Acquisition related costs	6,130		—
Other adjustments(1)	1,819		—
(Gain) loss on fair value adjustments(2)	(26,837)		97,500
Adjusted net loss(3)	$   (149,555)		$     (23,559)
Revenue	981,632		188,684
Net loss margin	(32) %		(68) %
Adjusted net loss margin(3)	(15) %		(12) %

(1)	Primarily relates to accelerated amortization of debt discount and debt issuance costs related to our 2024 Term Loan, which was repaid in connection with the IPO.
(2)	Represents adjustments related to recording our derivative liabilities at fair value at the end of each reporting period for our 2021 Convertible Senior Secured Notes, warrant liabilities related to our 2022 Senior Secured Notes, and the fair value remeasurement of the option liability in connection with our Series B financing. Refer to Note 3. Fair Value Measurements to our consolidated financial statements for additional information.
(3)	There were no material income tax effects on our non-GAAP adjustments for all periods presented.

 

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SOURCE CoreWeave

FAQ

What was CoreWeave's (CRWV) revenue growth in Q1 2025?

CoreWeave's revenue grew 420% year-over-year to $981.6 million in Q1 2025, compared to $188.7 million in Q1 2024.

How much did CoreWeave (CRWV) raise in their IPO?

CoreWeave raised $1.4 billion in net proceeds through their IPO.

What is CoreWeave's (CRWV) revenue backlog as of Q1 2025?

CoreWeave's revenue backlog was $25.9 billion as of March 31, 2025, including $14.7 billion in RPO and $11.2 billion in committed customer contracts.

What was CoreWeave's (CRWV) net loss in Q1 2025?

CoreWeave reported a net loss of $314.6 million in Q1 2025, compared to a net loss of $129.2 million in Q1 2024.

What major partnerships did CoreWeave (CRWV) announce in Q1 2025?

CoreWeave announced a strategic deal with OpenAI adding $11.2 billion in revenue backlog, and a partnership with IBM to deliver compute capacity for IBM's Granite models.