Key Highlights
- High-performance computing lease income climbed 52% to reach $31.9 million, driving overall revenue expansion.
- A 20-year Anthropic lease agreement is expected to generate approximately $19 billion in baseline revenue.
- Lake Mariner site capacity expanded to 102 MW following the completion of the CB-3 building.
- Cash and restricted cash holdings totaled approximately $3 billion at quarter end.
- Annual capacity addition target remains between 250 MW and 500 MW of new contracted infrastructure.
Shares of TeraWulf (WULF) declined 1.91% to close at $18.52 following choppy trading and an afternoon selloff. Despite the price weakness, the firm posted robust high-performance computing revenue growth and significantly expanded its long-term infrastructure commitments. The quarterly performance underscored the company’s strategic transition away from bitcoin mining operations toward stable, contracted data center services.
High-Performance Computing Leasing Leads Q2 Results
TeraWulf posted total second-quarter revenues of $44.8 million, with high-performance computing lease arrangements accounting for $31.9 million of that amount. This segment increased 52% sequentially and made up approximately 71% of consolidated revenue. In contrast, digital asset mining income remained around $12.8 million but declined significantly year-over-year.
The firm recorded a net loss attributable to shareholders approaching $940 million for the period. The majority of this deficit stemmed from a $755.7 million non-cash adjustment related to Google warrants. As TeraWulf’s stock price appreciated, the fair value of these outstanding equity instruments increased, resulting in a substantial accounting expense.
By the end of June, TeraWulf held roughly $3 billion in cash and restricted cash balances. This substantial liquidity position provides runway for ongoing construction commitments, project-level financing arrangements, and multi-site expansion initiatives. The company continues to secure access to project-specific capital for its staged development strategy.
Lake Mariner Site Reaches New Milestone
As of June 30, TeraWulf had 81 megawatts of revenue-producing capacity operational at its Lake Mariner facility. Early in July, the company brought the CB-3 structure online, pushing total operating capacity to 102 megawatts. This milestone also triggered $600 million in Google credit backing for Fluidstack’s lease commitments.
Development work advanced on CB-4 and CB-5 buildings, which will collectively contribute an additional 336 megawatts. The initial CB-4 data hall has entered the commissioning phase and is projected to start generating lease revenue in 2026. TeraWulf anticipates beginning phased deliveries for CB-5 in the first quarter of 2027.
Development expenses at Lake Mariner rose to approximately $9.1 million per critical megawatt. This represents an increase from the $8.6 million per megawatt financing basis established last October. Nevertheless, the company maintained its overall WULF Compute cost guidance in the $8 million to $10 million range per megawatt.
Anthropic Partnership Strengthens Future Pipeline
Following the close of the quarter, TeraWulf executed a 20-year lease arrangement with Anthropic at its Justified facility. The contract encompasses roughly 401 megawatts and represents approximately $19 billion in base contracted revenue. Optional extension provisions could potentially elevate the total agreement value to around $33 billion.
In May, the company completed the acquisition of the Muskie Data Campus located in Kentucky. Electric supply agreements with Kentucky Power provide access to as much as one gigawatt of contracted power delivery. Initial service availability from the utility is anticipated in the fourth quarter of 2028, with subsequent phased buildout to follow.
TeraWulf has also entered into an agreement to divest its 50.1% ownership stake in the Abernathy facility for approximately $530 million. Meanwhile, in Maryland, federal authorities approved the company’s proposed acquisition of the Morgantown power generation facility. Management reaffirmed its annual goal of securing between 250 and 500 megawatts of new contracted capacity.
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