Soluna Holdings (SLNH) posts 145% Q2 revenue growth and expands 6.3 GW AI pipeline
Rhea-AI Filing Summary
Soluna Holdings, Inc., a developer of green data centers for Bitcoin mining and AI, reported strong top-line growth but continued losses for the quarter ended June 30, 2026. Q2 2026 revenue was $15,060 thousand, a 145% year-over-year increase, driven mainly by data hosting and new wind energy generation revenue. This marked the company’s fifth consecutive quarter of sequential revenue growth.
Despite the revenue expansion, profitability remained negative. Soluna recorded an operating loss of $16,943 thousand and a net loss attributable to Soluna of $20,709 thousand in Q2, with significant general and administrative expenses and interest costs. EBITDA and Adjusted EBITDA were also negative, though Adjusted EBITDA improved relative to EBITDA after adding back non-cash items such as stock-based compensation.
Operationally, management highlighted a development pipeline of approximately 6.3 gigawatts, including the Dorothy 3 campus at 300 megawatts and 583 megawatts of additional AI-focused sites. Soluna completed vertical integration at its flagship Dorothy 1 project and formed a Kati 2 AI joint venture with Metrobloks. On the balance sheet, cash was $113,364 thousand and total assets were $293,514 thousand as of June 30, 2026, supported by substantial equity and debt financing activity.
Positive
- Revenue grew 145% year-over-year in Q2 2026 to $15,060 thousand, marking the company’s fifth straight quarter of sequential revenue growth and demonstrating strong expansion in data hosting and new wind energy generation revenue.
- The development pipeline expanded to approximately 6.3 gigawatts, including 300 megawatts at the Dorothy 3 campus and 583 megawatts of new AI-focused sites, indicating substantial future capacity for AI and high-performance computing workloads.
Negative
- Despite revenue growth, Soluna reported a larger net loss attributable to the company of $20,709 thousand in Q2 2026 and an operating loss of $16,943 thousand, reflecting high operating and financing costs.
- For the first six months of 2026, net cash used in operating activities was $11,555 thousand and net cash used in investing activities was $65,064 thousand, indicating significant cash outflows that were offset only by substantial external financing.
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
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If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02. Results of Operations and Financial Condition.
On August 13, 2026, Soluna Holdings, Inc. (the “Company”) issued a press release announcing its financial results for the three months and six months ended June 30, 2026.
A copy of such press release is attached as Exhibit 99.1 hereto and incorporated herein by reference.
Item 7.01 Regulation FD Disclosure.
On August 13, 2026, the Company posted an updated investor presentation to its investor relations website, which can be found at https://www.solunacomputing.com/investors/updates/. The information on our web site is not incorporated by reference into this Form 8-K and should not be considered to be a part of this Form 8-K. The Company’s web site address is included in this document as an inactive textual reference only.
The information in this Current Report on Form 8-K under Items 2.02 and 7.01, including the information contained in Exhibit 99.1, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, and shall not be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.
Item 9.01. Financial Statements and Exhibits.
EXHIBIT INDEX
| Exhibit No. | Description | |
| 99.1 | Press Release, dated August 13, 2026. | |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| SOLUNA HOLDINGS, INC. | ||
| Date: August 13, 2026 | By: | /s/ Michael Picchi |
| Michael Picchi | ||
| Chief Financial Officer | ||
| (principal financial officer) | ||
Exhibit 99.1
Soluna Reports Q2’26 Results; Revenue Grows 145% Year-Over-Year
Completes Vertical Integration at Project Dorothy 1; Pipeline expands to 6.3 GW; Over 583 MW of AI projects added to development pipeline. Signs Kati 2 AI Joint Venture with Metrobloks
ALBANY, NY, August 13, 2026 - Soluna Holdings, Inc. (“Soluna” or the “Company”) (NASDAQ: SLNH), a developer of green data centers for intensive computing applications, including Bitcoin mining and AI, announced its financial results for the second quarter ended June 30, 2026.
“This is Soluna’s fifth consecutive quarter of sequential revenue growth, and a 145% year-over-year increase that reflects the operating leverage we are building across the portfolio,” said John Belizaire, CEO of Soluna Holdings. “Kati 1 delivered its first positive gross profit, and Dorothy 1A had its strongest quarter to date. That operating base is the foundation for the much larger AI build-out now taking shape across our pipeline. And with Ryan Carver joining as Chief Development Officer, we’ve added hyperscale AI delivery experience to lead that build.”
“This quarter, we expanded our development pipeline to approximately 6.3 gigawatts, with major capacity growth across our AI sites,” Belizaire continued. “The Dorothy 3 campus grew to 300 megawatts, and our joint venture with Metrobloks gives Kati 2 a defined path from an initial 100 megawatts of critical IT capacity toward 350 megawatts. We also dedicated three additional development sites to AI capacity, with Projects Hedy, Ellen, and Fei advancing through power term sheets to a combined 583 megawatts of behind-the-meter power aimed at AI and HPC workloads. With Briscoe and full ownership of Dorothy 1 in hand, we control the generation-to-compute chain at our flagship campus, and we are moving quickly to convert existing sites to AI and advance Dorothy 3.”
Recent Operational and Corporate Highlights:
| ● | Completed Vertical Integration at Project Dorothy - Consolidated ownership of Project Dorothy 1: |
| ◌ | Acquired 150 MW Briscoe Wind Farm on April 1 for a $53.0 million base price. |
| ◌ | Acquired Spring Lane Capital’s 85.4% Class B interest in Dorothy 1A on April 15 for $16.5 million. |
| ◌ | Acquired Navitas’ 49% interest in Dorothy 1B on May 19 for approximately $8.8 million. |
| ◌ | Soluna now owns both the generation and the compute across all 50 MW of Project Dorothy 1. |
| ● | Signed Kati 2 AI Joint Venture with Metrobloks - On June 3, 2026, Soluna entered into a joint venture agreement with Metrobloks to develop Project Kati 2. Phase I is a 100 MW critical IT data center development, with Phase II adding a further 250 MW. Soluna holds all Class A interests and serves as manager of the joint venture. |
| ● | Project Kati 1 Reached 48 MW, and Delivered First Gross Profit - Kati 1 completed 48 MW of construction on April 1, filled by Galaxy Digital. Site revenue grew 938% sequentially to $2.3 million1 and the site delivered its first positive gross profit of $82 thousand. |
| ● | Project Dorothy 1A Delivered Its Strongest Quarter — Dorothy 1A revenue grew 31% sequentially to $2.9 million on the Blockware and Canaan fleet ramps, producing $795 thousand of gross profit at a 28% gross margin - the highest of any site in the portfolio. |
| ● | Development Pipeline of ~6.3 GW — As of August 1, 2026, Soluna operated approximately 192 MW across three fully energized sites, with an additional 14 MW under construction at Project Kati 1. Beyond operating and construction-stage capacity, the Company’s development pipeline includes approximately 1.6 GW in planning and development, with PPA negotiations, ERCOT planning, AI feasibility, and land acquisition underway, and approximately 4.5 GW in assessment with power partners. |
| ● | Major Expansions of Development Project Capacity and Transition to AI — During the quarter, Soluna’s development pipeline expanded across several sites. New term sheets increased, and Soluna redesignated power for AI workloads at Project Rosa (187 MW to 242 MW), Project Hedy (120 MW to 198 MW), Project Ellen (100 MW to 145 MW), and Project Fei (120 MW to 240 MW). In addition, Soluna allocated Project Grace, its 2 MW AI/HPC technical validation effort with the Siemens PTI team, to Dorothy 3 capacity. |
| ● | Added to the Russell 3000 and Russell 2000 Value indices - in the latest reconstitution, with new sell-side research coverage initiated on the company in recent weeks. |
| ● | Appointed Ryan Carver as Chief Development Officer - On July 16, 2026, Soluna appointed Ryan Carver as Chief Development Officer. |
1Includes $1.5 million attributed to reclassification of revenue from net to gross of electricity chargebacks.
Second Quarter Financial Highlights:
| ● | Effective Q2, pass-through electricity costs are presented on a gross basis in revenue and cost of revenue. This presentation change adds $4.4M to each, with no effect on gross profit, operating loss, or net loss. |
| ● | Revenue grew for a fifth consecutive quarter to $15.1 million, up 60% sequentially compared to Q1 and 145% year over year (73% excluding the presentation change), driven by Dorothy 2’s contributions, the Kati 1A ramp, and Briscoe’s first quarter under ownership, partially offset by hashprice compression. |
| ● | Gross profit was $766 thousand in Q2, compared to $1.9M in Q1, primarily impacted by $1.5M of Briscoe maintenance costs, Kati 1 ramp costs, and depreciation coming online ahead of full revenue contribution. |
| ● | Net loss was ($22.6M), compared with ($17.9M) in Q1, driven primarily by a $4.2M loss on debt extinguishment and the new Briscoe overhead and depreciation base, partially offset by lower SG&A. |
| ● | Adjusted EBITDA Loss of ($1.6M) improved 25% compared with ($2.1M) in Q1, driven by lower legal and consulting fees following the close of the Briscoe acquisition and lower compensation, alongside continued gross-profit contribution from Dorothy 2. |
Reconciliations of EBITDA and Adjusted EBITDA to net loss, the most comparable GAAP financial metric, are in the Appendix.
| ● | Ended the quarter with $113.4M of unrestricted cash and $33.1M of total debt. Subsequent to quarter-end, the Company raised approximately $23.6 million under its at-the-market (ATM) program, with approximately 244,590,575 shares outstanding as of the filing date of the Company’s Quarterly Report on Form 10-Q. |
Business Update Call and Webcast:
Management will host a webcast today, August 13, 2026, at 5:00 p.m. ET to review results and provide a business update. The live webcast and accompanying presentation will be available in the Investor Relations section of solunacomputing.com, where a replay will also be available following the call
The unaudited financial statements and Quarterly Report on Form 10-Q for the three months ended June 30, 2026, filed with the U.S. Securities and Exchange Commission (“SEC”) on August 13, 2026, are available online.
Our current Investor Presentation is available here.
Soluna’s glossary of terms is available here.
Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident,” and similar statements. Other examples of forward-looking statements may include, but are not limited to, (i) statements of the Company’s plans and objectives, including with respect to our development pipeline, the joint venture with Metrobloks at Project Kati 2, the development at Project Dorothy, (ii) statements of future economic performance, (iii) statements regarding financial projections of the Company, and (iv) statements of assumptions underlying other statements about the Company or its business. Soluna may also make written or oral forward-looking statements in its periodic reports to the SEC, in its annual report to shareholders, in press releases and other written materials, and in oral statements made by its officers, directors, or employees to third parties. Statements that are not historical facts, including but not limited to statements about Soluna’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, further information regarding which is included in the Company’s filings with the SEC. All information provided in this press release is as of the date of the press release, and Soluna undertakes no duty to update such information, except as required under applicable law.
Non-GAAP Measures
In addition to figures prepared in accordance with generally accepted accounting principles (“GAAP”), Soluna from time to time may present alternative non-GAAP performance measures, e.g., EBITDA, adjusted EBITDA, adjusted net profit/loss, adjusted earnings per share, free cash flow, both on a company basis and on a project-level basis, among others. EBITDA is defined as earnings before interest, taxes, and depreciation and amortization. Adjusted EBITDA is defined as EBITDA adjusted for stock-based compensation costs, loss on sale of fixed assets and deposits on equipment; ROFR amortization gain; accretion of asset retirement obligation; gain on transformer settlement; SEPA commitment fee; fair value adjustment (loss) gain; impairment on fixed assets and intangibles; and loss (gain) on debt extinguishment and revaluation. Project-level measures may not take into account a full allocation of corporate expenses. These measures should be considered in addition to, but not as a substitute for, the information prepared in accordance with GAAP. Alternative performance measures are not subject to GAAP or any other generally accepted accounting principles. Other companies may define these terms in different ways. See our quarterly report on Form 10-Q for the quarter ended June 30, 2026, for an explanation of how management uses these measures in evaluating its operations. Investors should review the non-GAAP reconciliations provided above and not rely on any single financial measure to evaluate the Company’s business.
About Soluna Holdings, Inc. (Nasdaq: SLNH)
Soluna is on a mission to make renewable energy a global superpower using computing as a catalyst. The company designs, develops, and operates digital infrastructure that transforms surplus renewable energy into global computing resources. Soluna’s pioneering data centers are strategically co-located with wind, solar, or hydroelectric power plants to support high-performance computing applications, including Bitcoin Mining, Generative AI, and other compute-intensive applications. Soluna’s proprietary software MaestroOS(™) helps energize a greener grid while delivering cost-effective and sustainable computing solutions and superior returns. To learn more, visit solunacomputing.com and follow us on:
LinkedIn: https://www.linkedin.com/company/solunaholdings/
X (formerly Twitter): x.com/solunaholdings
YouTube: youtube.com/c/solunacomputing
Newsletter: bit.ly/solunasubscribe
Resource Center: solunacomputing.com/resources
Soluna regularly posts important information on its website and encourages investors and potential investors to consult the Soluna investor relations and investor resources sections of its website regularly.
Contact Information
Investor Relations
Soluna Holdings, Inc.
ir@soluna.io
Soluna Holdings, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
As of June 30, 2026 (Unaudited) and December 31, 2025
| (Dollars in thousands, except per share) | June 30, 2026 | December 31, 2025 | ||||||
| Assets | ||||||||
| Current Assets: | ||||||||
| Cash | $ | 113,364 | $ | 76,423 | ||||
| Restricted cash | 10,005 | 4,500 | ||||||
| Accounts receivable, net (allowance for expected credit losses of $0 at June 30, 2026 and $244 at December 31, 2025) | 6,737 | 5,522 | ||||||
| Prepaid expenses and other current assets | 4,513 | 2,664 | ||||||
| Loan commitment assets | — | 3,018 | ||||||
| Total Current Assets | 134,619 | 92,127 | ||||||
| Restricted cash, noncurrent | 7,920 | 7,920 | ||||||
| Other assets | 973 | 978 | ||||||
| Deposits and credits on equipment | 208 | 1,377 | ||||||
| Property, plant and equipment, net | 137,801 | 74,783 | ||||||
| Intangible assets, net | 6,068 | 8,261 | ||||||
| Operating lease right-of-use assets | 4,152 | 252 | ||||||
| Financing lease right-of-use assets | 1,773 | 2,246 | ||||||
| Total Assets | $ | 293,514 | $ | 187,944 | ||||
| Liabilities and Equity | ||||||||
| Current Liabilities: | ||||||||
| Accounts payable | $ | 3,785 | $ | 4,859 | ||||
| Accrued liabilities | 7,549 | 13,182 | ||||||
| Accrued interest payable | 59 | 303 | ||||||
| Contract termination liability | 19,348 | 19,348 | ||||||
| Current portion of debt | 30,103 | 8,858 | ||||||
| Income tax payable | 147 | 123 | ||||||
| Deferred revenue | 558 | 518 | ||||||
| Customer deposits- current | 3,020 | 1,913 | ||||||
| Operating lease liability | 108 | 65 | ||||||
| Financing lease liability | 23 | 20 | ||||||
| Other current liabilities | 742 | — | ||||||
| Total Current Liabilities | 65,442 | 49,189 | ||||||
| Other liabilities | 414 | 743 | ||||||
| Customer deposits- long-term | 1,503 | 2533 | ||||||
| Long-term debt | 3,016 | 17899 | ||||||
| Asset retirement obligation | 3,664 | — | ||||||
| Operating lease liability | 4,276 | 187 | ||||||
| Financing lease liability | 1,769 | 2,236 | ||||||
| Deferred tax liability, net | 1,732 | 2,911 | ||||||
| Total Liabilities | 81,816 | 75,698 | ||||||
| Commitments and Contingencies (Note 12) | ||||||||
| Mezzanine Equity: | ||||||||
| Placement agent warrants | 1,313 | 1,313 | ||||||
| Equity: | ||||||||
| 9.0% Series A Cumulative Perpetual Preferred Stock, par value $0.001 per share, $25.00 liquidation preference; authorized 6,040,000; 4,920,045 and 4,928,545 shares issued and outstanding as of June 30, 2026 and December 31, 2025 | 5 | 5 | ||||||
| Series B Preferred Stock, par value $0.0001 per share, authorized 187,500; 0 shares issued and outstanding as of June 30, 2026 and 62,500 shares issued and outstanding at December 31, 2025 | — | — | ||||||
| Common stock, par value $0.001 per share, authorized 375,000,000; 225,986,784 shares issued and 225,821,479 shares outstanding as of June 30, 2026 and 102,617,684 shares issued and 102,531,089 shares outstanding as of December 31, 2025 | 226 | 103 | ||||||
| Additional paid-in capital | 575,594 | 435,030 | ||||||
| Accumulated deficit | (405,890 | ) | (367,715 | ) | ||||
| Common stock in treasury, at cost, 165,305 shares at June 30, 2026 and 86,595 shares December 31, 2025 | (14,004 | ) | (13,873 | ) | ||||
| Total Soluna Holdings, Inc. Stockholders’ Equity (Deficit) | 155,931 | 53,550 | ||||||
| Non-Controlling Interest | 54,454 | 57383 | ||||||
| Total Equity | 210,385 | 110,933 | ||||||
| Total Liabilities, Mezzanine Equity, and Equity | $ | 293,514 | $ | 187,944 | ||||
The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.
Soluna Holdings, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations (Unaudited)
For the Three and Six Months Ended June 30, 2026 and 2025
| (Dollars in thousands, except per share) | Three
Months Ended June 30, | Six
Months Ended June 30, | ||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Cryptocurrency mining revenue | $ | 1,720 | $ | 2,861 | $ | 3,889 | $ | 5,860 | ||||||||
| Data hosting revenue | 12,653 | 3,136 | 19,341 | 5,538 | ||||||||||||
| Wind energy generation revenue | 366 | — | 366 | — | ||||||||||||
| Demand response service revenue | 321 | 161 | 858 | 668 | ||||||||||||
| High-performance computing service revenue | — | — | — | 28 | ||||||||||||
| Total revenue | 15,060 | 6,158 | 24,454 | 12,094 | ||||||||||||
| Operating costs: | ||||||||||||||||
| Cost of cryptocurrency mining revenue, exclusive of depreciation | 958 | 1,767 | 2,616 | 3,721 | ||||||||||||
| Cost of data hosting revenue, exclusive of depreciation | 7,672 | 1,617 | 11,291 | 2,945 | ||||||||||||
| Cost of wind energy generation revenue, exclusive of depreciation | 2,253 | — | 2,253 | — | ||||||||||||
| Cost of high-performance computing services | — | — | — | 7 | ||||||||||||
| Cost of cryptocurrency mining revenue- depreciation | 992 | 1,074 | 2,047 | 2,147 | ||||||||||||
| Cost of data hosting revenue- depreciation | 1,366 | 512 | 2,513 | 913 | ||||||||||||
| Cost of wind energy generation revenue- depreciation and accretion expense | 1,053 | — | 1,053 | — | ||||||||||||
| Total costs of revenue | 14,294 | 4,970 | 21,773 | 9,733 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| General and administrative expenses, exclusive of depreciation and amortization | 15,239 | 5,397 | 31,379 | 11,344 | ||||||||||||
| Depreciation and amortization associated with general and administrative expenses | 2,400 | 2,403 | 4,801 | 4,807 | ||||||||||||
| Total general and administrative expenses | 17,639 | 7,800 | 36,180 | 16,151 | ||||||||||||
| Impairment on intangibles | 70 | — | 70 | — | ||||||||||||
| Impairment on fixed assets | — | 12 | — | 12 | ||||||||||||
| Operating loss | (16,943 | ) | (6,624 | ) | (33,569 | ) | (13,802 | ) | ||||||||
| Interest expense | (3,167 | ) | (1,196 | ) | (4,648 | ) | (2,034 | ) | ||||||||
| (Loss) gain on debt extinguishment and revaluation, net | (4,197 | ) | — | (4,197 | ) | 551 | ||||||||||
| Loss on sale of fixed assets and deposits on equipment | (585 | ) | (22 | ) | (553 | ) | (22 | ) | ||||||||
| Fair value adjustment gain (loss) | 246 | — | 246 | (118 | ) | |||||||||||
| Other financing expense | (5 | ) | (255 | ) | (569 | ) | (456 | ) | ||||||||
| Other income (expense), net | 1,480 | (291 | ) | 1593 | (286 | ) | ||||||||||
| Loss before income taxes | (23,171 | ) | (8,388 | ) | (41,697 | ) | (16,167 | ) | ||||||||
| Income tax benefit, net | 547 | 608 | 1,171 | 1,033 | ||||||||||||
| Net loss | (22,624 | ) | (7,780 | ) | (40,526 | ) | (15,134 | ) | ||||||||
| (Less) Net loss (income) attributable to non-controlling interest | 1,915 | 398 | 2,351 | 196 | ||||||||||||
| Net loss attributable to Soluna Holdings, Inc. | $ | (20,709 | ) | $ | (7,382 | ) | $ | (38,175 | ) | $ | (14,938 | ) | ||||
| Basic and Diluted loss per common share: | ||||||||||||||||
| Basic & Diluted loss per share | $ | (0.18 | ) | $ | (0.93 | ) | $ | (0.41 | ) | $ | (2.10 | ) | ||||
| Weighted average shares outstanding (Basic and Diluted) | 130,975,761 | 11,146,141 | 107,668,028 | 9,939,450 | ||||||||||||
The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.
Soluna Holdings, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows (Unaudited)
For the Six Months Ended June 30, 2026 and 2025
Six Months Ended June 30, | ||||||||
| (Dollars in thousands) | 2026 | 2025 | ||||||
| Operating Activities | ||||||||
| Net loss | $ | (40,526 | ) | $ | (15,134 | ) | ||
| Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
| Depreciation expense | 5,494 | 3,121 | ||||||
| Amortization expense | 4,841 | 4,746 | ||||||
| Stock-based compensation | 19,702 | 3,789 | ||||||
| Deferred income taxes | (1,179 | ) | (1,051 | ) | ||||
| Right of first refusal amortization gain | (135 | ) | — | |||||
| Impairment on fixed assets and intangibles | 70 | 12 | ||||||
| Amortization of operating and finance lease asset | 155 | 30 | ||||||
| Loss (gain) on debt extinguishment and revaluation, net | 4,197 | (551 | ) | |||||
| Amortization of deferred financing costs and discount on notes | 2,209 | 338 | ||||||
| Fair value adjustments, including SEPA | (246 | ) | 118 | |||||
| SEPA commitment cost | 250 | — | ||||||
| Accretion of asset retirement obligation | 79 | — | ||||||
| Loss on sale of fixed assets and deposit on equipment, net | 553 | 22 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable | 277 | 44 | ||||||
| Prepaid expenses and other current assets | (1,847 | ) | (455 | ) | ||||
| Other long-term assets | — | 1,607 | ||||||
| Accounts payable | (2,528 | ) | 1,102 | |||||
| Contract termination liability | — | (667 | ) | |||||
| Deferred revenue | (249 | ) | — | |||||
| Operating lease liabilities | 123 | (30 | ) | |||||
| Other liabilities and customer deposits | 914 | 644 | ||||||
| Accrued liabilities and interest payable | (3,709 | ) | 1,042 | |||||
| Net cash used in operating activities | (11,555 | ) | (1,273 | ) | ||||
| Investing Activities | ||||||||
| Purchases of property, plant, and equipment | (9,483 | ) | (7,790 | ) | ||||
| Purchases of intangible assets | (68 | ) | (83 | ) | ||||
| Proceeds from sale of property, plant, and equipment | 32 | — | ||||||
| Briscoe acquisition purchase, net of cash acquired | (51,415 | ) | — | |||||
| Deposits on equipment | (4,130 | ) | (476 | ) | ||||
| Net cash used in investing activities | (65,064 | ) | (8,349 | ) | ||||
| Financing Activities | ||||||||
| Proceeds from common stock warrant exercises | 2,553 | — | ||||||
| Proceeds from sale of common stock on SEPA | 18,928 | 2,005 | ||||||
| Proceeds from notes | 24,500 | 5,269 | ||||||
| Proceeds from sale of common stock on ATM | 113,465 | 2,046 | ||||||
| Payments on notes and deferred financing costs | (18,026 | ) | (3,275 | ) | ||||
| Payments on Series B dividends | (2,058 | ) | — | |||||
| Costs on treasury stock | (131 | ) | — | |||||
| Payments on financing lease liabilities | (113 | ) | — | |||||
| Purchase of membership interest of Dorothy 1A and Dorothy 1B | (25,266 | ) | — | |||||
| Contributions from non-controlling interest | 10,918 | 11,852 | ||||||
| Distributions to non-controlling interest | (5,705 | ) | (3,575 | ) | ||||
| Net cash provided by financing activities | 119,065 | 14,322 | ||||||
| (Decrease) increase in cash & restricted cash | 42,446 | 4,700 | ||||||
| Cash & restricted cash – beginning of period | 88,843 | 10,453 | ||||||
| Cash & restricted cash – end of period | $ | 131,289 | $ | 15,153 | ||||
| Supplemental Disclosure of Cash Flow Information | ||||||||
| Interest paid on debt | 2,248 | 685 | ||||||
| Fair value consideration for Green Cloud issuance of shares | — | 810 | ||||||
| Construction in progress included in accounts payable and accrued liabilities | 2,743 | — | ||||||
| Warrant consideration in relation to Generate and Yorkville Warrants | 3,249 | — | ||||||
| Noncash membership distribution accrual | — | 323 | ||||||
| Warrant adjustment | 682 | — | ||||||
| Noncash activity right-of-use assets adjustment | 430 | — | ||||||
The accompanying notes are an integral part of these unaudited condensed consolidated financial statements
Reconciliations of EBITDA and Adjusted EBITDA to net loss, the most comparable GAAP financial metric, for each three-month period from January 1, 2026 through June 30, 2026 are presented in the table below:
| (Dollars in thousands) | Three
months ended March 31, 2026 | Three
months ended June 30, 2026 | ||||||
| Net loss | $ | (17,902 | ) | $ | (22,624 | ) | ||
| Interest expense | 1,481 | 3,167 | ||||||
| Income tax benefit | (624 | ) | (547 | ) | ||||
| Depreciation and amortization | 4,603 | 5,732 | ||||||
| EBITDA | (12,442 | ) | (14,272 | ) | ||||
| Adjustments: Non-cash or Non-recurring items | ||||||||
| Stock-based compensation costs | 10,222 | 9,480 | ||||||
| (Gain) loss on sale of fixed assets and deposits on equipment | (32 | ) | 585 | |||||
| Right of first refusal amortization gain | (90 | ) | (45 | ) | ||||
| Accretion of asset retirement obligation | — | 79 | ||||||
| Gain on transformer settlement | — | (1,409 | ) | |||||
| SEPA commitment fee | 250 | — | ||||||
| Fair value adjustment, net | — | (246 | ) | |||||
| Impairment on fixed assets and intangibles | — | 70 | ||||||
| Gain on debt extinguishment and revaluation, net | — | 4,197 | ||||||
| Adjusted EBITDA | $ | (2,092 | ) | $ | (1,561 | ) | ||