IREN posts $228M revenue as AI Cloud sales jump 182%

IREN, the Nasdaq-listed company once known mainly as a Bitcoin miner, reported $228 million in quarterly revenue. Most of that came from a business that has nothing to do with hashing blocks.

Its AI Cloud segment brought in $200 million, up 182% from the prior quarter. Bitcoin mining, the company’s original identity, contributed $28 million. The miner has become a landlord for AI workloads, and the rent is very good.

The numbers behind the pivot

The results cover IREN’s first quarter of fiscal 2027, reported on November 5, 2026. Total revenue rose 66% quarter-over-quarter, and the research findings note it beat revenue consensus estimates.

The AI Cloud segment did the heavy lifting. It posted an 86% gross margin, which means the company keeps most of every dollar after the direct costs of delivering the service.

Bitcoin mining moved the other way. Revenue from that segment fell sharply to $28 million, now a small slice of the company’s top line.

Profitability is still a work in progress. IREN narrowed its net loss to $263 million, while adjusted EBITDA came in at $66 million.

Those two figures tell different stories. Adjusted EBITDA strips out items such as depreciation, which matters a lot for a company spending heavily on hardware and facilities. The net loss captures the full cost of that buildout.

A bigger backlog and a delayed target

IREN’s revenue backlog climbed 22% to $20.3 billion.

Roughly two-thirds of that backlog is tied to investment-grade counterparties.

Operating annualized recurring revenue, or ARR, doubled to $1 billion.

The headline ARR goal is much larger. IREN is targeting more than $4 billion, which the company describes as fully contracted and funded.

The timing has slipped, though. The target was pushed from year-end 2026 to January, or potentially February, 2027.

The reason is a customer-mandated network reconfiguration tied to frontier AI models, specifically involving Microsoft. Microsoft is a major customer, with multi-year agreements contributing to IREN’s revenue.

Co-CEO Daniel Roberts also pointed to new business signed after the quarter closed. Those deals include five-year commitments priced at approximately $22 million per megawatt and short-term contracts at $40 million per megawatt.