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Digi Power X Reports Second Quarter 2026 Financial Results and Provides Operational Update and 2027 Outlook

(Positive)
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Digi Power X (NASDAQ:DGXX) reported Q2 2026 revenue of approximately $6.6 million, including $3.6 million from colocation and legacy mining, $1.9 million from energy sales and $1.1 million from GPU rentals, its first AI compute revenue. Net loss was about $14.4 million, while Adjusted EBITDA turned positive at roughly $3.3 million, versus $0.1 million a year earlier.

The company highlighted around $1.1 billion of contracted AI data center revenue under a 10-year agreement, with an option that could bring total potential contract value to about $2.5 billion. As of June 30, 2026, Digi Power X held $142.4 million in cash and cash equivalents, rising to approximately $150 million by August 14, 2026, and reported total assets of $279.6 million and shareholders’ equity of $265.0 million. It invested about $30 million into GPU infrastructure (0.6 MW deployed) and around $110 million year-to-date in capital investments and equipment deposits. The company is developing a 40 MW Alabama AI data center for phased delivery in December 2026 and March 2027, plans up to 10 MW of additional GPU bare-metal capacity in 2027, and is targeting a $250–$300 million annualized revenue run-rate by Q3 2027, subject to execution and other factors.

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Positive

  • Q2 2026 revenue approximately $6.6 million, including $1.1 million from first AI GPU rentals
  • Adjusted EBITDA approximately $3.3 million in Q2 2026, up from about $0.1 million year-ago
  • Contracted AI data center revenue about $1.1 billion over 10 years, with optional expansion to roughly $2.5 billion total potential value
  • Cash and cash equivalents $142.4 million at June 30, 2026, increasing to about $150 million by August 14, 2026, and no debt noted
  • Capital deployed to AI infrastructure roughly $30 million in GPU infrastructure (0.6 MW) and about $110 million year-to-date in capital investments and deposits
  • US Data Centers Inc. financing subsidiary raised outside capital at a $125 million pre-money valuation; Digi Power X holds approximately 48% ownership

Negative

  • Net loss approximately $14.4 million in Q2 2026 despite positive Adjusted EBITDA
  • Non-GAAP adjustments significant in Q2 2026: $5.8 million share-based compensation, $2.8 million crypto revaluation loss, and $5.0 million warrant fair value loss
  • High capital intensity approximately $110 million year-to-date capital investment and equipment deposits, contributing to cash usage ahead of future revenue ramps

News Explained

Parent-level proceeds and ownership dilution from the subsidiary raise are unestablished; Alabama debt financing remains unfinished.

The new structural item is at subsidiary level: US Data Centers Inc. raised outside capital at a pre-money valuation of approximately $125 million, while Digi Power X reported an approximately 48% ownership interest.

The complete release does not disclose proceeds to Digi Power X, dilution terms, or whether its stated ownership interest changed, so the parent-level cash and ownership effect cannot be established from this disclosure.

Separately, management says it is in advanced discussions with lenders to finalize debt financing for the Alabama data center and has engaged Goldman Sachs to syndicate it; the financing is not reported as finalized.

The named resolution point is whether that financing is finalized before Phase 1, which the company expects to deliver in December 2026.

Market reaction after 2Q26 earnings report: DGXX -3.87% in the Aug 14 session

-3.87% 32.7x vol
25 alerts
-3.87% Session close to close
+3.2% Peak Tracked
-17.2% Trough Tracked
$444.90M Market Cap
32.7x Rel. Volume

In the Aug 14 session, DGXX declined 3.87%, reflecting a moderate negative market reaction. Argus tracked a peak move of +3.2% during that session. Argus tracked a trough of -17.2% from its starting point during tracking. Our momentum scanner triggered 25 alerts that day, indicating elevated trading interest and price volatility. Trading volume was exceptionally heavy at 32.7x the daily average, suggesting significant selling pressure.

Data tracked by StockTitan Argus on the day of publication.

Market Context

The earnings-tag record showed an average move of 2.83%. Against that history, this report combined ...
Analysis

The earnings-tag record showed an average move of 2.83%. Against that history, this report combined positive Adjusted EBITDA with a GAAP net loss and execution-dependent targets. The active S-3 was a resale registration, not company-issued shares.

Key Figures

Q2 revenue: $6.6 million Net loss: $14.4 million AI compute revenue: $1.1 million +5 more
8 metrics
Q2 revenue $6.6 million Q2 2026
Net loss $14.4 million Q2 2026
AI compute revenue $1.1 million Approximately five weeks of GPU bare-metal operations
Contracted AI revenue $1.1 billion 10-year AI data center agreement
Potential contract value $2.5 billion Including the stated expansion option
Cash and equivalents $142.4 million As at June 30, 2026
Adjusted EBITDA $3.3 million Q2 2026 versus $0.1 million in the prior-year period
2027 revenue run-rate target $250 million to $300 million Annualized run-rate targeted by Q3 2027

Previous Earnings Reports

5 past events · Latest: May 15 (Positive)
Same Type Pattern 5 events
Date Event Sentiment 24h Move Catalyst
May 15 Q1 earnings report Positive +4.4% Adjusted EBITDA turned positive while the company launched initial AI revenue operations.
Mar 31 FY2025 earnings Positive +6.4% The company reported zero debt, liquidity and a completed pivot toward AI infrastructure.
May 15 Q1 earnings report Positive +0.0% Revenue growth and positive EBITDA were reported alongside stronger colocation and energy sales.
Apr 01 Q1 earnings report Positive -5.3% Quarterly revenue growth and debt-free operations were reported with expanded power capacity plans.
Mar 31 FY2024 earnings Positive +8.6% Revenue and EBITDA improved while colocation services expanded and long-term debt was eliminated.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Earnings-tag events were mostly positive, with three positive reactions, one flat reaction and one negative reaction.

Key Terms

adjusted ebitda, gpu bare-metal, tier iii, non-gaap financial measure
4 terms
adjusted ebitda financial
"Positive Adjusted EBITDA[1] of approximately $3.3 million"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
gpu bare-metal technical
"GPU bare-metal rental revenue from approximately five weeks of operations"
Physical servers that include one or more graphics processing units (GPUs) and are leased or operated without a virtualization layer, giving users direct, dedicated access to the hardware. Like renting a private car instead of sharing a bus, bare-metal GPU access delivers consistent high performance, low latency, and predictable resource use for compute-heavy tasks such as AI training, rendering, or simulations. Investors watch this because it affects costs, scalability, service performance, and capital needs for companies offering or using high-performance computing.
tier iii technical
"purpose-built Tier III AI data center in Columbiana, Alabama"
Tier III is a label for the third level in a multi‑level ranking system used across industries to mark relative standing — often indicating lower priority, capacity, or quality compared with Tier I or II. Investors use it as a quick signal about expected revenue, cost, risk or regulatory demands for an asset, facility or customer segment; think of it like choosing a mid- or economy‑class option when comparing service levels or risk profiles.
non-gaap financial measure financial
"Adjusted EBITDA is a non-GAAP financial measure"
A non-GAAP financial measure is a way companies present their financial results that excludes certain expenses or income to show how they believe their core business is performing. It matters because it can give a clearer picture of how the company is really doing, but it can also be used to make results look better than they actually are.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Highlights $1.1 Billion of Contracted AI Infrastructure Revenue, First AI Compute Revenue, Positive Adjusted EBITDA and Strong Balance Sheet

MIAMI, FL / ACCESS Newswire / August 14, 2026 / Digi Power X Inc. (NASDAQ:DGXX)(Cboe Canada:DGX) ("Digi Power X" or the "Company"), an AI data center infrastructure operator, today reported its financial and operating results for the second quarter ended June 30, 2026 (all amounts in U.S. dollars, unless otherwise indicated). The Company's quarterly report on Form 10-Q, which includes unaudited consolidated financial statements and management's discussion and analysis ("MD&A") for the quarter ended June 30, 2026, has been filed and made accessible under the Company's continuous disclosure profile on SEDAR+ at www.sedarplus.ca and is also available on EDGAR at www.sec.gov/edgar.

Second Quarter 2026 Highlights

All amounts in U.S. dollars (millions)

  • Revenue of approximately $6.6 million for the second quarter of 2026;

  • Net loss of approximately $14.4 million for Q2 2026;

  • Generated the Company's first AI compute revenue, with approximately $1.1 million of GPU bare-metal rental revenue from approximately five weeks of operations;

  • Approximately $30 million invested in GPU infrastructure, representing approximately 0.6 MW of deployed AI compute capacity;

  • $1.1 billion of contracted AI data center future revenue, with an option to expand the relationship that could increase the total potential contract value to approximately $2.5 billion;

  • $142.4 million of cash and cash equivalents as at June 30, 2026;

  • Combined total of $127.5 million of property, plant and equipment, net, and long-term amounts assets;

  • $279.6 million of total assets and $265.0 million of shareholders' equity as at June 30, 2026;

  • Positive Adjusted EBITDA[1] of approximately $3.3 million, compared with approximately $0.1 million in the prior-year period.

For Q2 2026, the Company reported revenue of approximately $6.6 million, including:

  • approximately $3.6 million from colocation services and legacy mining;

  • $1.9 million from energy sales; and

  • $1.1 million from GPU rental.

CEO Commentary

"Q2 represents an important inflection point in Digi Power X's transformation into an AI infrastructure company. We generated our first AI compute revenue, with approximately $1.1 million generated from approximately five weeks of GPU bare-metal operations. Our initial approximately $30 million investment in GPU infrastructure represents approximately 0.6 MW of deployed capacity, demonstrating what we believe is the significant revenue density and scalability of this business.

At the same time, we have approximately $1.1 billion of contracted AI data center future revenue, with an opportunity to increase the total potential contract value to approximately $2.5 billion. With approximately $150 million of cash today, no debt and a growing portfolio of AI infrastructure and power assets, we believe we have established a strong financial foundation from which to execute our growth strategy.

Our priority remains execution - delivering Alabama on schedule, scaling our GPU compute platform and developing the power-secured sites that can drive our growth in 2027 and beyond. The Company is pleased to announce that it also in advanced discussions with lenders to finalize debt financing for the Alabama data center and has engaged Goldman Sachs to assist in syndicating the financing."

- Michel Amar, Chairman & Chief Executive Officer, Digi Power X Inc.

Strong Balance Sheet and Capital Position

Amounts in U.S. dollars (millions)

  • The Company's cash and cash equivalents position subsequently increased to approximately $150 million as of August 14, 2026;

  • Approximately $110 million of year-to-date capital investment and equipment deposits.

Operational Updates

Alabama - Tier III AI Data Center

Construction of Digi Power X's purpose-built Tier III AI data center in Columbiana, Alabama continues to progress on schedule. The Company expects Phase 1, representing 15 MW of IT load, to be delivered in December 2026, followed by Phase 2, representing an additional 25 MW, in March 2027, for up to 40 MW of IT load.

The Company's 10-year AI data center agreement represents approximately $1.1 billion of contracted revenue, with an option to expand the relationship that could increase the total potential contract value to approximately $2.5 billion.

NeoCloudz - GPU Bare-Metal AI Compute

Digi Power X has invested approximately $30 million in GPU infrastructure, representing approximately 0.6 MW of deployed AI compute capacity. The platform generated approximately $1.1 million of revenue during Q2 2026 from approximately five weeks of operations, marking Digi Power X's first AI compute revenue.

The Company's B300 GPU bare-metal infrastructure has operated at 100% uptime since May 2026. Based on the performance of the initial deployment and current market opportunities, Digi Power X plans to expand its GPU bare-metal platform by approximately 10 MW during 2027. The Company is also actively evaluating additional power sites to support future expansion.

President Commentary

"In this business, you are underwritten on what you have delivered, not what you have announced," said Alec Amar, Co-Founder and President. "Columbiana is our flagship and delivering it on schedule establishes the operating track record that hyperscale customers and project lenders require. Everything in our development pipeline is easier the day Phase 1 energizes."

- Alec Amar, President, Digi Power X Inc.

New York - AI Conversion

Digi Power X continues to prepare its New York infrastructure assets for conversion to AI data center operations. The Company is targeting the transition of these sites beginning in Q3 and Q4 2027.

The Company has received reassurance regarding the grandfathered status of its existing operations and continues to advance engineering and development planning for the AI transition.

North Carolina - Future AI Campus

Digi Power X owns approximately 40 acres adjacent to one of North Carolina's largest electrical switchyards and is advancing development planning for a large-scale AI data center campus.

The current development plan contemplates approximately 75 MW in 2029 and an additional 75 MW in 2030. The North Carolina site represents an important component of Digi Power X's longer-term strategy to develop a geographically diversified portfolio of power-secured AI infrastructure assets.

West Virginia - 1.3 GW Power Opportunity

The Company continues to assess opportunities associated with its previously announced LOI involving a 1.3 GW power generation asset in West Virginia. Digi Power X is evaluating potential structures for participating in the asset and how its available power could support the Company's longer-term AI infrastructure strategy.

Silicon Valley Office

The Company is pleased to announce that it will be opening its Silicon Valley office in Q3 2026 to house its dedicated engineering team for its GPU-as-a-Service business.

CTO Commentary

"The platform we built in Alabama demonstrated modular AI data centers and AI Factories at scale. Our Silicon Valley Lab will build on that foundation to advance GPU as a Service and power the next generation of AI Inference Clouds. We are bringing together top talent in MLOps, AI kernels, and GPU networking to build it."

- Jagan Jeyapaul, Chief Technology Officer, Digi Power X Inc.

US Data Centers Inc.

During Q2 2026, US Data Centers Inc., a subsidiary of the Company ("USDC"), raised outside capital at a $125 million pre-money valuation. Digi Power X believes its approximate 48% ownership interest in USDC provides shareholders with additional exposure to the potential growth and commercialization of USDC's modular AI data center platform.

2027 Outlook

Based on its contracted business, available power and planned AI infrastructure deployments, the Company is targeting an annualized revenue run-rate of approximately $250 million to $300 million by Q3 2027. The Company's 2027 outlook consists of two principal components:

Contracted Revenue

Based on existing customer contracts and scheduled deployments, Digi Power X expects to reach approximately $140 million of annualized contracted revenue run-rate during 2027.

The Company's existing AI data center agreement represents approximately $1.1 billion of total contracted revenue, with an option to expand the relationship that could increase the total potential contract value to approximately $2.5 billion.

Expected Revenue Based on Available Power

In addition to its contracted revenue base, Digi Power X expects to have additional power and infrastructure available during 2027 to support further AI deployments. The Company is targeting approximately 40 MW of additional colocation capacity and approximately 10 MW of additional GPU bare-metal compute capacity.

Based on its available power, planned capacity and current market opportunities, management expects these additional deployments to provide the incremental revenue required to achieve the Company's targeted $250 million to $300 million annualized revenue run-rate by Q3 2027, subject to customer contracting, deployment schedules and utilization.

The Company expects the transition toward this higher revenue profile to become increasingly visible during the second half of 2026, with Q3 2026 revenue expected to increase significantly compared with Q2 2026. These targets are subject to execution, customer ramp, financing availability and the other factors described under "Forward-Looking Statements" below.

Conference Call Details

The Company will host a conference call to discuss its second quarter 2026 results on August 14, 2026 at 8:30 AM ET. The conference call can be accessed by dialing the numbers below, or guests can utilize the Call Me link.

1-877-407-9039 or 1-201-689-8470.

Call Me: https://callme.viavid.com/viavid/?callme=true&passcode=13750233&h=true&info=company&r=true&B=6

A live webcast and replay will be available at investors.digipowerx.com.

Adjusted EBITDA - GAAP Reconciliation

The following table reconciles GAAP net loss to EBITDA and Adjusted EBITDA. Adjusted EBITDA is a non-GAAP financial measure presented as a supplement to GAAP results. See "Non-GAAP Financial Measures" below.

Amounts in U.S. dollars (millions)

Line Item

Q2 2026 ($M)

Net Loss (GAAP)

$(14.4)

Add: Depreciation & Amortization

4.1

EBITDA

$(10.2)

Add: Share-based Compensation

5.8

Add: Crypto Revaluation Loss

2.8

Add: Warrant FV Loss

5.0

Adjusted EBITDA - Q2 2026

$3.3

EBITDA and Adjusted EBITDA exclude share-based compensation, digital currency revaluation, changes in fair value of financial instruments, and capitalized AI infrastructure payroll costs. These non-GAAP measures are not substitutes for GAAP results.

Non-GAAP Financial Measures

Adjusted EBITDA is a non-GAAP financial measure. The Company defines Adjusted EBITDA as net income (loss) before interest, taxes, depreciation and amortization, and further adjusted to exclude share-based compensation, digital currency revaluation, changes in fair value of financial instruments (including warrant liabilities), gain/loss on settlement of debt, and gains or losses on sale of property and equipment. Management believes that providing this non-GAAP financial measure that excludes these items allows for meaningful comparisons between the Company's core business operating results and those of other companies and provides the Company with an important tool for financial and operational decision making and for evaluating its own core business operating results over different periods of time. In addition to management's internal use of non-GAAP Adjusted EBITDA, management believes that Adjusted EBITDA is also useful to investors and analysts in comparing our performance across reporting periods on a consistent basis. The Company's Adjusted EBITDA measure may not be directly comparable to similar measures provided by other companies in our industry, as other companies in our industry may calculate non-GAAP financial results differently. The Company's Adjusted EBITDA is not a measurement of financial performance under GAAP and should not be considered as a substitute for, or superior to, net loss or any other measure of performance calculated in accordance with GAAP.

About Digi Power X

Digi Power X is an AI infrastructure company, operating a vertically integrated portfolio of power assets and data center capacity across Alabama, New York, and North Carolina. The Company's NeoCloudz platform delivers GPU-as-a-Service on dedicated, bare metal NVIDIA infrastructure. For more information, visit www.digipowerx.com.

Investor Relations

For further information, please contact:
Michel Amar, Chief Executive Officer
Digi Power X Inc.
www.digipowerx.com
Investor Relations: T: 888-474-9222 | Email: IR@digihostpower.com

Cautionary Statement

Trading in the securities of the Company should be considered highly speculative. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. Cboe Canada does not accept responsibility for the adequacy or accuracy of this release.

Cautionary Note and Forward-Looking Statements

Except for the statements of historical fact, this news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") that are based on expectations, estimates and projections as at the date of this news release and are covered by safe harbors under Canadian and United States securities laws. Forward-looking information in this news release includes the statements under "2027 Outlook" and other statements regarding goals, expectations and targets for the business of Digi Power X, including through USDC. In some cases, you can identify forward-looking statements by terms such as "may," "will," "should," "expects," "plans," "anticipates," "could," "intends," "targets," "goals," "projects," "contemplates," "believes," "estimates," "forecasts," "predicts," "potential" or "continue" or the negative of these terms or other similar expressions. The forward-looking information is subject to a variety of known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to: the Company's ability to maintain and obtain new customers; that any additional commercial agreements under discussion will be entered into, or that the West Virginia or upstate New York opportunities will be realized; the Company's ability to fulfill its obligations pursuant to its colocation agreements; counterparty performance; the Company's ability to execute its evolving business model and strategy, including as it relates to its expansion into the data center market; future capital needs and uncertainty regarding the Company's and USDC's ability to raise additional capital or obtain financing; Phase 2 deployment of the Company's purpose-built AI data center campus is conditioned on the Company securing adequate financing, and there can be no assurance that financing will be completed on the terms contemplated or at all; costs associated with the development, manufacturing and deployment of AI infrastructure; risks relating to construction and equipment delivery; delivery of deployment of equipment may not occur on the timelines anticipated by the Company, or at all; global demand for AI computing infrastructure; further improvements to profitability and efficiency may not be realized; permitting and interconnection, regulatory matters, and general economic and market conditions; and other related risks, some of which are more fully set out in the Annual Information Form of the Company and other documents disclosed under the Company's filings at www.sedarplus.ca and in the Company's annual, quarterly and current reports filed with the SEC. The forward-looking information in this news release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available to the Company. Forward-looking information is not a guarantee of future performance, and accordingly undue reliance should not be put on such information due to the inherent uncertainties therein. The Company undertakes no obligation to revise or update any forward-looking information other than as required by applicable law.

[1] Adjusted EBITDA is a non-GAAP financial measure presented as a supplement to GAAP results. See "Adjusted EBITDA-GAAP Reconciliation" and "Non-GAAP Financial Measures" below."

SOURCE: Digi Power X Inc.



View the original press release on ACCESS Newswire

FAQ

What were Digi Power X (NASDAQ:DGXX) Q2 2026 financial results?

Digi Power X reported about $6.6 million Q2 2026 revenue and a net loss of roughly $14.4 million. According to Digi Power X, segment revenue included $3.6 million from colocation and legacy mining, $1.9 million from energy sales, and $1.1 million from GPU rentals, with Adjusted EBITDA of $3.3 million.

How much contracted AI data center revenue does Digi Power X (DGXX) have as of Q2 2026?

Digi Power X has about $1.1 billion of contracted AI data center future revenue under a 10-year agreement. According to Digi Power X, the agreement includes an option that could raise the total potential contract value to approximately $2.5 billion, depending on expansion of the relationship.

What is Digi Power X’s 2027 revenue outlook and AI capacity target for DGXX shareholders?

Digi Power X targets a $250–$300 million annualized revenue run-rate by Q3 2027, not formal guidance. According to Digi Power X, this outlook combines about $140 million annualized contracted revenue with additional deployments, including roughly 40 MW of extra colocation capacity and 10 MW of GPU bare-metal capacity in 2027.

What AI infrastructure investments and GPU capacity has Digi Power X (DGXX) deployed?

Digi Power X has invested around $30 million in GPU infrastructure, representing about 0.6 MW of deployed AI compute capacity. According to Digi Power X, this NeoCloudz platform generated roughly $1.1 million in GPU rental revenue in Q2 2026 from approximately five weeks of operations and has operated at 100% uptime since May 2026.

What is Digi Power X’s balance sheet position as of June 30, 2026?

Digi Power X reported $142.4 million in cash and cash equivalents on June 30, 2026, rising to about $150 million by August 14. According to Digi Power X, total assets were $279.6 million and shareholders’ equity was $265.0 million, reflecting substantial invested AI infrastructure and power assets.

What are Digi Power X’s major AI data center projects in Alabama and North Carolina?

Digi Power X is building a 40 MW Tier III AI data center in Columbiana, Alabama, with 15 MW due December 2026 and 25 MW March 2027. According to Digi Power X, its North Carolina campus plan contemplates 75 MW in 2029 and another 75 MW in 2030 as part of a diversified AI infrastructure portfolio.

How does US Data Centers Inc. impact Digi Power X (DGXX) investors?

US Data Centers Inc., a Digi Power X subsidiary, raised outside capital at a $125 million pre-money valuation in Q2 2026. According to Digi Power X, it owns approximately 48% of USDC, giving shareholders additional exposure to potential growth of USDC’s modular AI data center platform.