IREN (NASDAQ: IREN) secures $9.7B Microsoft deal, targets $3.4B AI cloud ARR by 2026

IREN (NASDAQ: IREN) reported Q1 FY26 results on November 6, 2025, announcing a $9.7bn multi‑year contract with Microsoft and targeting $3.4bn AI Cloud ARR by end of 2026 with expansion to 140k GPUs.

Q1 revenue reached a record $240.3m (+355% vs Q1 FY25), net income was $384.6m, adjusted EBITDA was $91.7m, and EBITDA was $662.7m (includes unrealized gains). Cash was $1.8bn as of Oct 31, 2025; financing included $1.0bn zero‑coupon convertible notes and incremental GPU financing bringing GPU financing to $400m.

Operational milestones include Childress acceleration, British Columbia GPU transition by end 2026, and Sweetwater substation energizations targeted April 2026 and late 2027.

IREN (NASDAQ: IREN) ha pubblicato i risultati del Q1 FY26 il 6 novembre 2025, annunciando un contratto multi‑annale da $9.7bn con Microsoft e l’obiettivo di $3.4bn di ARR AI Cloud entro la fine del 2026 con espansione a 140k GPUs.

I ricavi del Q1 hanno raggiunto un record di $240.3m (+355% rispetto al Q1 FY25), l’utile netto è stato di $384.6m, l’EBITDA rettificato è stato di $91.7m, e l’EBITDA è stato di $662.7m (inclusi guadagni non realizzati). La cassa ammontava a $1.8bn al 31 ottobre 2025; il finanziamento comprendeva note convertibili zerocoupon da $1.0bn e un ulteriore finanziamento per GPU portando il finanziamento alle GPU a $400m.

Le milestone operative includono l’accelerazione di Childress, la transizione delle GPU in British Columbia entro la fine del 2026 e le energizzazioni della sottostazione Sweetwater previste per aprile 2026 e la fine del 2027.

IREN (NASDAQ: IREN) reportó resultados del 1T FY26 el 6 de noviembre de 2025, anunciando un contrato multianual de $9.7bn con Microsoft y apuntando a $3.4bn de ARR de AI Cloud para finales de 2026, con expansión a 140k GPUs.

Los ingresos del 1T alcanzaron un récord de $240.3m (+355% frente al 1T FY25); el beneficio neto fue de $384.6m, el EBITDA ajustado fue de $91.7m y el EBITDA fue de $662.7m (incluye ganancias no realizadas). La caja fue de $1.8bn al 31 de oct de 2025; el financiamiento incluyó notas convertibles cero cupón por $1.0bn y financiamiento incremental para GPUs llevando el financiamiento de GPUs a $400m.

Los hitos operativos incluyen la aceleración de Childress, la transición de GPUs en British Columbia para finales de 2026 y las energizaciones de la subestación Sweetwater previstas para abril de 2026 y para finales de 2027.

IREN (NASDAQ: IREN)는 2025년 11월 6일 1분기 FY26 실적을 발표하며 Microsoft와의 $9.7bn 다년 계약과 2026년 말까지 $3.4bn의 AI Cloud ARR 목표 및 140k GPUs로의 확장을 발표했다.

1분기 매출은 기록적인 $240.3m를 기록했고(+355% vs 1Q FY25), 순이익은 $384.6m, 조정 EBITDA는 $91.7m, EBITDA는 $662.7m로(실현되지 않은 이익 포함) 집계되었다. 현금은 2025년 10월 31일 기준 $1.8bn; 금융은 $1.0bn의 제로쿠폰 전환사채와 GPU 금융 추가로 GPU 금융이 $400m에 이르렀다.

운영 이정표로는 차일드리스 가속화, 2026년 말까지 British Columbia GPU 전환, Sweetwater 변전소의 에너지화가 2026년 4월과 2027년 말에 목표로 제시되었다.

IREN (NASDAQ: IREN) a publié les résultats du 1er trimestre FY26 le 6 novembre 2025, en annonçant un contrat pluriannuel de $9.7bn avec Microsoft et en visant $3.4bn d’ARR AI Cloud d’ici fin 2026, avec une expansion à 140k GPUs.

Le chiffre d’affaires du 1er trimestre a atteint $240.3m (+355% par rapport au 1er trimestre FY25), le bénéfice net s’est élevé à $384.6m, l’EBITDA ajusté à $91.7m, et l’EBITDA à $662.7m (incluant des gains non réalisés). La trésorerie était de $1.8bn au 31 octobre 2025; le financement comprenait des notes convertibles zéro coupon de $1.0bn et un financement GPU additionnel portant le financement GPU à $400m.

Les jalons opérationnels incluent l’accélération de Childress, la transition GPU en Colombie-Britannique d’ici fin 2026, et les energisations de la sous-station Sweetwater prévues en avril 2026 et fin 2027.

IREN (NASDAQ: IREN) veröffentlichte am 6. November 2025 die Q1 FY26-Ergebnisse und kündigte einen $9.7bn Multi-Jahres-Vertrag mit Microsoft sowie das Ziel von $3.4bn AI Cloud ARR bis Ende 2026 mit einer Erweiterung auf 140k GPUs an.

Der Q1-Umsatz erreichte mit $240.3m ein Rekordniveau (+355% gegenüber Q1 FY25), der Reingewinn betrug $384.6m, das bereinigte EBITDA $91.7m, und das EBITDA $662.7m (einschließlich unrealisierten Gewinnen). Die Liquidität belief sich am 31. Okt. 2025 auf $1.8bn; die Finanzierung umfasste $1.0bn Null-Coupon-Wandelschuldverschreibungen und zusätzliche GPU-Finanzierung, die die GPU-Finanzierung auf $400m brachte.

Zu den operativen Meilensteinen gehören die Beschleunigung von Childress, die GPU-Umstellung in British Columbia bis Ende 2026 sowie die Inbetriebnahme der Sweetwater-Umspannstationen, geplant für April 2026 und Ende 2027.

IREN (NASDAQ: IREN) أعلنت عن نتائج الربع الأول من السنة المالية 26 FY في 6 نوفمبر 2025، مع عقد متعدد السنوات بقيمة $9.7bn مع مايكروسوفت واستهداف $3.4bn من ARR لـ AI Cloud بحلول نهاية 2026 مع التوسع إلى 140k GPUs.

وصلت إيرادات الربع الأول إلى مستوى قياسي قدره $240.3m (+355% مقارنةً بالربع الأول FY25)، وصافي الدخل كان $384.6m، EBITDA المعدّل كان $91.7m، وEBITDA كان $662.7m (يشمل أرباح غير محققة). كانت السيولة $1.8bn حتى 31 أكتوبر 2025؛ وشمل التمويل سندات قابلة للتحويل بدون كوبون بقيمة $1.0bn وتمويل GPU إضافي ليصل تمويل GPUs إلى $400m.

تشمل المعالم التشغيلية تسريع تشيليدريس، وانتقال GPU في كولومبيا البريطانية بحلول نهاية 2026، وت energizations لمحطة Sweetwater الفرعية المستهدفة لأبريل 2026 ونهاية 2027.

Positive

• $9.7bn Microsoft contract with phased deployments through 2026
• Targeting $3.4bn AI Cloud ARR by end of 2026
• Q1 revenue $240.3m (+355% vs Q1 FY25)
• Cash and equivalents $1.8bn as of Oct 31, 2025
• $400m total GPU financing secured

Negative

• $1.0bn zero‑coupon convertible notes outstanding (potential dilution)
• Relies on 20% Microsoft prepayment and future financing for capex
• Major near‑term capital projects with April 2026 and late 2027 delivery targets

Insights

Record Q1 revenue and a $9.7bn Microsoft contract materially strengthen near‑term revenue visibility and liquidity.

IREN reported record total revenue of $240.3m and record net income of $384.6m for Q1 FY26, with Adjusted EBITDA of $91.7m and EBITDA of $662.7m. The company cites cash and cash equivalents of $1.8bn as of October 31, 2025 and issued $1.0bn of zero‑coupon convertible notes on October 14, 2025. These are concrete balance‑sheet and P&L figures that increase near‑term financial flexibility.

The headline commercial milestone is a $9.7bn contract with Microsoft, with phased deployments through 2026, a 5‑year average term, and 20% customer prepayment, which the company says will contribute $1.9bn of expected ARR toward its AI Cloud target. Also notable: management expects AI Cloud ARR of $3.4bn by end of 2026 driven by expansion to 140k GPUs. Monitor realized cash collections from the 20% prepayment and how much of the announced ARR converts to recurring recognized revenue within the stated timelines.

Large GPU expansion and multi‑GW campus plans materially increase operational scale and execution risk simultaneously.

The company plans expansion to 140k GPUs, operation of Childress horizons with 100MW superclusters, and Sweetwater Hub energizations targeting April 2026 and late 2027. It reports a transition from ASICs to GPUs at British Columbia (160MW) targeting completion by end of 2026. These are explicit capacity and schedule commitments that drive future revenue potential tied to AI workloads.

Execution dependencies include completing liquid‑cooled designs, energizing substations on the stated dates, sourcing large GPU volumes (partly financed by $400m total GPU financing) and delivering Tier 3‑equivalent concurrent maintainability at scale. Watch progress on Childress construction milestones, Sweetwater substation energizations and the stated conversion of Microsoft prepayments into deployed capacity over the next 12 months. Delivery on these operational milestones will determine whether the revenue targets and ARR figures are achievable.

11/06/2025 – 04:00 PM

Secured $9.7bn AI Cloud Contract with Microsoft 

Targeting $3.4bn AI Cloud ARR by End of 2026, Expansion to 140k GPUs 1

NEW YORK, Nov. 06, 2025 (GLOBE NEWSWIRE) — IREN Limited (NASDAQ: IREN) (“IREN” or “the Company”) today reported its financial results for the three months ended September 30, 2025.

Highlights

• Targeting $3.4bn in AI Cloud annualized run-rate revenue (ARR) by the end of 2026 (expansion to 140k GPUs)1
• Secured $9.7bn contract with Microsoft:
  • Phased deployments at Childress through 2026
  • 5-year average term
  • 20% customer prepayment
  • $1.9bn expected ARR contribution2
• New multi-year contracts including Together AI, Fluidstack and Fireworks AI, supporting growth to target AI Cloud ARR of >$500m by end of Q1 20263

Q1 FY26 Financial Results

• Total revenue increased to record $240.3m (+355% vs. Q1 FY25 $52.8m)
• Net income increased to record $384.6m* (vs. Q1 FY25 net loss $(51.7)m)
• Adj. EBITDA increased to $91.7m (+3,568% vs. Q1 FY25 $2.5m)4
• EBITDA increased to record $662.7m* (vs. Q1 FY25 $(18.8)m)4

* Includes unrealized gains, primarily on prepaid forwards and capped calls in connection with convertible notes

Project Update

British Columbia (160MW)

• Transition of data centers from ASICs to GPUs ongoing, targeting completion by end of 2026

Childress (750MW)

• Accelerating construction of Horizon 1-4 (200MW critical IT load) liquid-cooled data centers for Microsoft
• Significant enhancements to original Horizon design, including Tier 3-equivalent concurrent maintainability, 100MW superclusters for high-performance training, and flexible rack densities (130-200kW)
• Design work advancing for potential conversion of entire campus to liquid-cooled AI deployments

Sweetwater Hub (2GW)

• Sweetwater 1 (1,400MW) substation energization targeting April 2026
• Sweetwater 2 (600MW) substation energization targeting late 2027

Financing

IREN continues to strengthen its capital structure and fund growth through diversified sources:

• Cash and cash equivalents were $1.8bn as of October 31, 20255
  • $1.0bn zero-coupon convertible notes issued on October 14, 2025
  • $200m incremental GPU financing secured, bringing total to $400m
• Near-term capex expected to be funded through combination of existing cash, operating cashflows, Microsoft prepayments and additional financing initiatives

Management Commentary

“IREN continues to execute with discipline, delivering record results this quarter and meaningful progress in our AI Cloud expansion,” said Daniel Roberts, Co-Founder and Co-CEO of IREN.

“We secured several new multi-year contracts, including a landmark partnership with Microsoft, which solidifies IREN’s position as a leading AI Cloud Service Provider and expands our reach into new hyperscale customer segments.

Looking ahead, our announced expansion to 140k GPUs represents only 16% of our 3GW grid-connected power portfolio, providing ample capacity to continue scaling IREN’s AI Cloud platform and drive long-term value creation.”

Q1 FY26 Results Webcast & Conference Call

IREN will host its Q1 FY26 results webcast and conference call at the following time:

Time & Date:5:00 p.m. Eastern Time, Thursday, November 6, 2025 ParticipantRegistration Link Live WebcastUse this link Phone Dial-In with Live Q&AUse this link   

The webcast will be recorded, and the replay will be accessible shortly after the event at https://iren.com/investor/events-and-presentations

About IREN

IREN is a leading AI Cloud Service Provider, delivering large-scale GPU clusters for AI training and inference. IREN’s vertically integrated platform is underpinned by its expansive portfolio of grid-connected land and data centers in renewable-rich regions across the U.S. and Canada.

Contacts

Investors
Mike Power
mike.power@iren.com

Media
Matt Epting
matt.epting@iren.com 

To keep updated on IREN’s news releases and SEC filings, please subscribe to email alerts at https://iren.com/investor/ir-resources/email-alerts.

Assumptions and Notes

1. Represents expected $1.94bn average annual revenue under Microsoft contract plus estimated $1.5bn ARR from ~63k GPU deployment at British Columbia sites, based on internal company assumptions regarding GPU models, utilization and pricing. It is not fully contracted, there can be no assurance that it will be achieved, and actual revenue may differ materially. Assumes on time delivery and commissioning of GPUs.
2. ARR represents expected average annual revenue under the contract, assuming on-time delivery and commissioning of GPUs.
3. Represents potential ARR from ~23k GPU deployment at British Columbia sites, based on internal company assumptions regarding GPU models, utilization and pricing. It is not fully contracted, there can be no assurance that it will be achieved, and actual revenue may differ materially. Assumes on time delivery and commissioning of GPUs.
4. EBITDA and Adjusted EBITDA are non-GAAP financial measures. Refer to page 10 for a reconciliation to the nearest comparable GAAP financial measure.
5. Reflects USD equivalent, unaudited preliminary cash and cash equivalents as of October 31, 2025.

Forward-Looking Statements

This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (“Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (“Exchange Act”), that involve substantial risks and uncertainties. Forward-looking statements include information concerning possible or assumed future results of operations, including descriptions of our business plan and strategies and trends we expect to affect our business. These statements often include words such as “anticipate,” “expect,” “suggest,” “plan,” “believe,” “intend,” “estimate,” “target,” “project,” “should,” “potential,” “could,” “would,” “may,” “will,” “forecast,” and other similar expressions. Forward-looking statements may also be made, verbally or in writing, by members of our Board or management team. Such statements are subject to the same limitations, uncertainties, assumptions and disclaimers set out in this press release.

We base these forward-looking statements or projections on our current expectations, plans and assumptions that we have made in light of our experience in the industry, as well as our perceptions of historical trends, current conditions, expected future developments and other factors we believe are appropriate under the circumstances and at such time. The forward-looking statements are subject to and involve risks, uncertainties and assumptions and you should not place undue reliance on these forward-looking statements. Although we believe that these forward-looking statements are based on reasonable assumptions at the time they are made, you should be aware that many factors could affect our actual financial results or results of operations, and could cause actual results to differ materially from those expressed in the forward-looking statements. Factors that may materially affect such forward-looking statements include, but are not limited to: Bitcoin price and foreign currency exchange rate fluctuations; our ability to obtain additional capital on commercially reasonable terms and in a timely manner to meet our capital needs and facilitate our expansion plans; the terms of any future financing or any refinancing, restructuring or modification to the terms of any future financing, which could require us to comply with onerous covenants or restrictions, and our ability to service our debt obligations, any of which could restrict our business operations and adversely impact our financial condition, cash flows and results of operations; our ability to successfully execute on our growth strategies and operating plans, including our ability to continue to develop our existing data center sites, design and deploy direct-to-chip liquid cooling systems, and diversify and expand into the market for high-performance computing (“HPC”) solutions (including the market for AI Cloud Services and potential colocation services such as powered shell, build-to-suit and turnkey data centers (“Colocation Services”) (collectively “HPC and AI services”)); our limited experience with respect to new markets we have entered or may seek to enter, including the market for HPC and AI services); our ability to remain competitive in dynamic and rapidly evolving industries; expectations with respect to the ongoing profitability, viability, operability, security, popularity and public perceptions of the Bitcoin network; expectations with respect to the useful life and obsolescence of hardware (including hardware for Bitcoin mining and any current or future HPC and AI services we offer); delays, increases in costs or reductions in the supply of equipment used in our operations including as a result of tariffs and duties, and certain equipment being in high demand due to global supply chain constraints; expectations with respect to the profitability, viability, operability, security, popularity and public perceptions of any current and future HPC and AI services we offer; our ability to secure and retain customers on commercially reasonable terms or at all, particularly as it relates to our strategy to expand into markets for HPC and AI services; our ability to establish and maintain a customer base for our HPC and AI services business and customer concentration; our ability to manage counterparty risk (including credit risk) associated with any current or future customers, including customers of our HPC and AI services and other counterparties; the risk that any current or future customers, including customers of our HPC and AI services or other counterparties, may terminate, default on or underperform their contractual obligations; changing political and geopolitical conditions, including changing international trade policies and the implementation of wide-ranging, reciprocal and retaliatory tariffs, surtaxes and other similar import or export duties, or trade restrictions; Bitcoin global hashrate fluctuations; our ability to secure renewable energy, renewable energy certificates, power capacity, facilities and sites on commercially reasonable terms or at all; delays associated with, or failure to obtain or complete, permitting approvals, grid connections and other development activities customary for greenfield or brownfield infrastructure projects; our reliance on power and utilities providers, third party mining pools, exchanges, banks, insurance providers and our ability to maintain relationships with such parties; expectations regarding availability and pricing of electricity; our participation and ability to successfully participate in demand response products and services and other load management programs run, operated or offered by electricity network operators, regulators or electricity market operators; the availability, reliability and/or cost of electricity supply, hardware and electrical and data center infrastructure, including with respect to any electricity outages and any laws and regulations that may restrict the electricity supply available to us; any variance between the actual operating performance of our miner hardware achieved compared to the nameplate performance including hashrate; electricity market risks relating to changes in regulations and requirements of market operators and regulatory bodies, including with respect to grid stability, interconnection and curtailment obligations; our ability to curtail our electricity consumption and/or monetize electricity depending on market conditions, including changes in Bitcoin mining economics and prevailing electricity prices; actions undertaken by electricity network and market operators, regulators, governments or communities in the regions in which we operate; the availability, suitability, reliability and cost of internet connections at our facilities; our ability to secure additional hardware, including hardware for Bitcoin mining and any current or future HPC and AI services we offer, on commercially reasonable terms or at all, and any delays or reductions in the supply of such hardware or increases in the cost of procuring such hardware; our ability to operate in an evolving regulatory environment; our ability to successfully operate and maintain our property and infrastructure; reliability and performance of our infrastructure compared to expectations; malicious attacks on our property, infrastructure or IT systems; our ability to maintain in good standing the operating and other permits and licenses required for our operations and business; our ability to obtain, maintain, protect and enforce our intellectual property rights and confidential information; any intellectual property infringement and product liability claims; whether the secular trends we expect to drive growth in our business materialize to the degree we expect them to, or at all; any pending or future acquisitions, dispositions, joint ventures or other strategic transactions; the occurrence of any environmental, health and safety incidents at our sites, and any material costs relating to environmental, health and safety requirements or liabilities; damage to our property and infrastructure and the risk that any insurance we maintain may not fully cover all potential exposures; ongoing proceedings relating to the default under certain equipment financing facilities, ongoing securities litigation, and any future litigation, claims and/or regulatory investigations, and the costs, expenses, use of resources, diversion of management time and efforts, liability and damages that may result therefrom]; our failure to comply with any laws including the anti-corruption laws of the United States and various international jurisdictions; any failure of our compliance and risk management methods; any laws, regulations and ethical standards that may relate to our business, including those that relate to Bitcoin and the Bitcoin mining industry and those that relate to any other services we offer, including laws and regulations related to data privacy, cybersecurity and the storage, use or processing of information and consumer laws; our ability to attract, motivate and retain senior management and qualified employees; increased risks to our global operations including, but not limited to, political instability, acts of terrorism, theft and vandalism, cyberattacks and other cybersecurity incidents and unexpected regulatory and economic sanctions changes, among other things; climate change, severe weather conditions and natural and man-made disasters that may materially adversely affect our business, financial condition and results of operations; public health crises, including an outbreak of an infectious disease and any governmental or industry measures taken in response; damage to our brand and reputation; evolving stakeholder expectations and requirements relating to environmental, social or governance (“ESG”) issues or reporting, including actual or perceived failure to comply with such expectations and requirements; the market price of our ordinary shares (“Ordinary shares”) may be highly volatile; that we do not currently pay any cash dividends on our Ordinary shares, and may not in the foreseeable future and, accordingly, your ability to achieve a return on your investment in our Ordinary shares will depend on appreciation, if any, in the price of our Ordinary shares; and other important factors discussed under the caption “Risk Factors” in IREN’s annual report on Form 10-K filed with the SEC on August 28, 2024 as such factors may be updated from time to time in its other filings with the SEC, accessible on the SEC’s website at www.sec.gov and the Investor Relations section of IREN’s website at https://investors.iren.com.

These and other important factors could cause actual results to differ materially by the forward-looking statements made in this press release. Any forward-looking statement that IREN makes in this press release speaks only as of the date of such statement. Except as required by law, IREN disclaims any obligation to update or revise, or to publicly announce any update or revision to, any of the forward-looking statements, whether as a result of new information, future events or otherwise.

Non-GAAP Financial Measures

This press release refers to certain measures that are not recognized under GAAP and do not have a standardized meaning prescribed by GAAP. IREN uses non-GAAP measures including “EBITDA” and “Adjusted EBITDA,” and “Adjusted EBITDA margin,” (each as defined below) as additional information to complement GAAP measures by providing further understanding of the Company’s operations from management’s perspective.

EBITDA is defined as net income (loss), excluding income tax (expense) benefit, finance expense, interest income and depreciation and amortization, which are important components of our net income (loss). Further, “Adjusted EBITDA” also excludes stock based compensation, foreign exchange gain (loss), impairment of assets, certain other non-recurring income, gain (loss) on disposal of property, plant and equipment, unrealized fair value gain (loss) on financial instruments, gain (loss) on partial extinguishment of financial liabilities, increase (decrease) in fair value of assets held for sale and certain other expense items. “Adjusted EBITDA margin” is defined as Adjusted EBITDA divided by revenue.

The reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are shown in the Appendix hereto.

 Consolidated Balance Sheet   US$m1
As at 30 September 2025As at 30 June 2025Assets  Cash and cash equivalents1,032.3564.5Accounts receivable, net24.11.6Deposits and prepaid expenses53.345.9Derivative assets2.95.8Income taxes receivable-2.6Other receivables11.420.8Total current assets1,123.9641.2Property, plant and equipment, net2,115.41,930.6Operating lease right-of-use asset, net1.41.5Deposits and prepaid expenses30.532.9Financial assets681.4211.6Derivative assets314.4122.1Other non-current assets0.30.5Total non-current assets3,143.42,299.1Total assets4,267.42,940.3Liabilities  Accounts payable and accrued expenses151.9144.1Operating lease liability, current portion0.40.4Income taxes payable0.1-Deferred revenue1.10.9Other liabilities, current portion50.23.9Total current liabilities203.7149.3Operating lease liability, less current portion1.01.1Convertible notes payable964.2962.8Deferred revenue, less current portion22.2-Deferred tax liabilities195.48.0Income taxes payable, less current portion2.01.5Other liabilities, less current portion2.60.2Total non-current liabilities1,187.5973.5Total liabilities1,391.21,122.8Stockholders’ equity2,876.21,817.5Total stockholders’ equity2,876.21,817.5   Total liabilities and stockholders’ equity4,267.42,940.3   

1) For further detail, see our unaudited condensed consolidated financial statements for the quarter ended September 30, 2025, included in our Form 10-Q filed with the SEC on November 6, 2025

 Consolidated Statement of Operations
   US$m
Quarter endedQuarter endedSeptember 30, 20251June 30, 2025Revenue  Bitcoin Mining Revenue232.9180.3AI Cloud Services Revenue7.37.0Total Revenue240.3187.3Cost of revenue (exclusive of depreciation and amortization)  Bitcoin Mining(79.9)(52.4)AI Cloud Services(0.7)(0.5)Total cost of revenue(80.7)(52.9)Operating (expenses) income  Selling, general and administrative expenses(138.4)(53.3)Depreciation and amortization(85.2)(63.8)Impairment of assets(16.3)2.4Gain (loss) on disposal of property, plant and equipment(0.0)2.3Other operating expenses-(3.0)Other operating income3.81.6Total operating (expenses) income(236.0)(113.8)Operating (loss) income(76.4)20.6Other (expense) income:  Finance expense(9.3)(5.2)Interest income7.11.7Increase (decrease) in fair value of assets held for sale-(2.7)Realized gain (loss) on financial assets(5.8)-Unrealized gain (loss) on financial instruments665.0147.7Gain on partial extinguishment of financial liabilities-9.1Foreign exchange gain (loss)(5.4)2.4Other non-operating income-0.5Total other (expense) income651.7153.5Income (loss) before taxes575.3174.1Income tax (expense) benefit(190.7)2.8Net income (loss)384.6176.9   

1) For further detail, see our unaudited condensed consolidated financial statements for the quarter ended September 30, 2025, included in our Form 10-Q filed with the SEC on November 6, 2025

 Consolidated Statement of Cashflows    US$m
Quarter endedQuarter endedSeptember 30, 2025September 30, 2024Operating activities  Net income (loss)384.6(51.7)Adjustments to reconcile net income (loss) to net cash from (used in) operating activities:  Depreciation and amortization85.233.9Impairment of assets16.36.9Change in fair value of assets held for sale-2.6Realized (gain) loss on financial instruments5.84.2Unrealized (gain) loss on financial instruments(665.0)-Other (income) expense-1.7(Gain) loss on disposal of property, plant and equipment0.0(0.8)Foreign exchange loss (gain)2.2(1.2)Stock-based compensation expense72.48.2Amortization of debt issuance costs1.3-Changes in assets and liabilities:   Accounts receivable and other receivables(13.1)(11.1)Other asset0.2(0.2)Financial asset, current-6.5Tax related receivables2.6-Tax related liabilities187.91.3Accounts payable and accrued expenses3.545.0Other liabilities48.72.4Deferred revenue22.5(0.2)Prepayments and deposits(12.6)(52.5)Operating lease liabilities(0)0.9Net cash from (used in) operating activities142.4(3.9)Investing activities  Payments for property, plant and equipment net of hardware prepayments(180.3)(105.8)Payments for computer hardware prepayments(100.3)(277.6)Payments for other prepayments and other assets(0.3)(4.3)Proceeds from disposal of property, plant and equipment-0.5Net cash from (used in) investing activities(280.9)(387.1)Financing activities  Payment of offering costs for the issuance of Ordinary shares- at-the-market offering(18.5)(0.1)Proceeds from loan funded shares0.60.8Proceeds from exercise of options6.6-Payment of borrowing transaction costs(0.9)-Proceeds from the issuance of Ordinary shares – at-the-market offering618.484.0Net cash from (used in) financing activities606.184.7Net increase (decrease) in cash and cash equivalents467.6(306.4)Cash and cash equivalents at the beginning of the financial year564.5404.6Effects of exchange rate changes on cash and cash equivalents0.10.4Cash and cash equivalents at the end of the financial year1,032.398.6

1) For further detail, see our unaudited condensed consolidated financial statements for the quarter ended September 30, 2025, included in our Form 10-Q filed with the SEC on November 6, 2025

 Non-GAAP Metric Reconciliation   Adjusted EBITDA Reconciliation
(USD$m)Quarter ended
September 30, 2025Quarter ended
June 30, 2025Net income (loss)384.6176.9Net income (loss) Margin1160%94%Income tax expense (benefit)190.7(2.8)Income (loss) before tax575.3174.1Finance expense9.35.2Interest income(7.1)(1.7)Depreciation and amortization85.263.8EBITDA662.7241.4   Reconciliation to consolidated statement of operations  Add/(deduct):  Unrealized (gain) loss on financial instruments(665.0)(147.7)Stock-based payment expense72.418.7Impairment of assets16.3(2.4)(Gain) loss on disposal of property, plant and equipment0.0(2.3)(Increase) decrease in fair value of assets held for sale-2.7Gain on partial extinguishment of financial liabilities-(9.1)Foreign exchange (gain) loss5.4(2.4)Other one-off expense items2-23.1Adjusted EBITDA91.7121.9Adjusted EBITDA Margin338%65%   

1) Net Income Margin is calculated as Net Income divided by Total Revenue
2) Other one-off expense items for FY25 includes a one-time liquidation payment incurred in August 2024 resulting from the transition to spot pricing at the Group’s site at Childress, the reversal of the unrealized loss recorded on fixed price contracted amounts outstanding at June 30, 2024, a litigation related settlement provision, loss on mining hardware in transit, transaction costs incurred in December 2024 and June 2025 on entering the Capped Call Transactions in conjunction with the issuance of the 2030 Convertible Notes and 2029 Convertible Notes, one-off professional fees incurred in relation to litigation matters and the securities class action
3) Adjusted EBITDA Margin is calculated as Adjusted EBITDA divided by Total Revenue

FAQ

What does IREN’s $9.7bn Microsoft contract mean for IREN (IREN) growth?

The contract supports phased deployments through 2026 and helps target $3.4bn AI Cloud ARR by end of 2026.

How much revenue did IREN (IREN) report in Q1 FY26 and what was the growth rate?

IREN reported Q1 FY26 revenue of $240.3m, an increase of +355% versus Q1 FY25.

What GPU capacity and ARR targets did IREN announce for end of 2026?

IREN announced expansion to 140k GPUs and a target of $3.4bn AI Cloud ARR by end of 2026.

How is IREN funding near‑term capex for AI Cloud expansion?

Funding sources include $1.8bn cash, Microsoft prepayments, operating cash flow, and additional financings.

What financing did IREN complete in October 2025 that affects shareholders?

IREN issued $1.0bn zero‑coupon convertible notes on October 14, 2025, and secured incremental GPU financing to reach $400m.

When will IREN energize Sweetwater substations and what capacity is involved?

Sweetwater 1 substation energization is targeted for April 2026 (1,400MW) and Sweetwater 2 for late 2027 (600MW).