Key Takeaways
- Galaxy Digital recorded a first-quarter net loss of $216 million, equivalent to $0.49 per share, surpassing analyst projections of $0.59
- Quarterly revenue declined to $10.2 billion compared to $12.9 billion in the same period last year
- The firm completed its inaugural data hall delivery at its Texas-based Helios campus to CoreWeave (CRWV)
- Helios facility received regulatory clearance to expand beyond 1.6 gigawatts, more than doubling previous capacity
- Early Q2 data suggests approximately $90 million in adjusted EBITDA
Galaxy Digital disclosed a first-quarter 2026 net loss totaling $216 million, though the crypto-focused firm exceeded analyst projections while pivoting aggressively toward artificial intelligence infrastructure.
Wall Street analysts anticipated a per-share loss of $0.59. Galaxy delivered $0.49 instead. While the quarter wasn’t strong, it outperformed expectations.
Quarterly revenue contracted to $10.2 billion from the prior year’s $12.9 billion. Total company assets decreased to $10 billion by quarter’s conclusion, sliding from $11 billion at 2025 year-end. Digital asset holdings on the balance sheet declined 19% sequentially to $1.4 billion.
The cryptocurrency sector offered little support. Overall crypto market capitalization tumbled approximately 20% throughout the quarter, weighing heavily on Galaxy’s digital holdings.
Cash positions and stablecoin reserves remained steady at $2.6 billion. Quarterly operating costs totaled $147 million, representing a 7% decrease from the previous period. The firm also repurchased 3.2 million shares totaling $65 million as part of a $200 million buyback program.
Helios Campus Milestone Achieved
The quarter’s most significant development may extend beyond the financial loss — it’s what transpired following the period’s close. Galaxy completed delivery of its initial data hall at the West Texas Helios campus to CoreWeave, initiating revenue generation under an extended AI computing lease agreement.
The Helios infrastructure is projected to supply 133 megawatts of processing capacity before Q2 concludes. Galaxy additionally obtained regulatory authorization for an extra 830 megawatts at the location, elevating total approved capacity above 1.6 gigawatts.
That represents substantial growth. The organization previously held approval for approximately 800 megawatts. Doubling that threshold positions Helios as a major AI infrastructure player.
CEO Mike Novogratz identified the data center expansion and GalaxyOne platform as the organization’s primary growth catalysts moving ahead.
Second Quarter Preview Shows Promise
Early second-quarter indicators appear more encouraging. Galaxy is projecting approximately $90 million in adjusted EBITDA, representing notable improvement from Q1’s adjusted EBITDA deficit.
Executive leadership credited rising digital asset valuations and heightened market participation as contributing factors. Bitcoin and the wider cryptocurrency ecosystem have regained momentum following Q1 lows.
Adjusted gross profitability remained essentially unchanged in Q1, which management attributed to transitioning toward recurring subscription fees and transactional revenue streams — business segments demonstrating greater resilience during cryptocurrency price declines.
“Disciplined expense management during the quarter helped narrow the adjusted EBITDA loss,” the company said in its statement.
GLXY declined 0.84% to close at $24.84 on Monday. Shares had dropped 1.76% during premarket activity following the earnings announcement before staging a partial recovery.
Across the previous six months, GLXY has fallen approximately 37%. Over a twelve-month period, it has gained roughly 90%. With a beta coefficient of 3.64, the stock exhibits substantial volatility in both directions.
Galaxy’s digital asset division produced $49 million in adjusted gross profit during Q1, matching Q4 2025 levels despite challenging market conditions.
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