CleanSpark (CleanSpark (CLSK)) shares are taking a hit this morning after the Bitcoin miner reported fiscal second-quarter results that came in well below Wall Street's expectations.
The company posted an EPS loss of $1.52, missing the analyst consensus of a 50-cent loss. Revenue landed at $136.4 million, also short of the $145.4 million analysts were looking for. The numbers sent shares down nearly 9% in premarket trading Tuesday, with the stock changing hands at $13.03.
Gross margin came in above 40%, down from 47% in the previous quarter. The company reported a net loss of about $378 million, which includes $263 million in non-cash mark-to-market charges. Adjusted EBITDA loss widened to $241.2 million from a loss of $57.8 million in the year-ago quarter.
As of March 31, the company had $260.3 million in cash on hand.
"This quarter, we accelerated our digital infrastructure evolution across four key areas: land and power development, with ERCOT approval of 300 MW in Brazoria; leasing, with further progress in Georgia and beyond; financing, as market conditions remain constructive; and construction, as we continue developing the new parcel in Sandersville," said Matt Schultz, CEO and Chairman of CleanSpark.
Gary Vecchiarelli, President and CFO, added: "We ended the quarter in a strong liquidity position that not only supports our near-term execution pipeline but also preserves meaningful optionality as the AI/HPC and digital infrastructure landscape continues to evolve."
On the Bitcoin production front, CleanSpark mined 1,799 Bitcoin in the quarter, only slightly below the prior quarter's output. But the average Bitcoin price fell about 24% quarter over quarter to roughly $76,000, dragging revenue down 25% to $136 million.
The company is in the midst of a strategic shift, positioning itself as a digital infrastructure and AI data center developer. Management highlighted that AI compute demand is rising rapidly but is constrained by limited energy and data center capacity, creating a structural supply bottleneck in power markets.
CleanSpark currently has 1.8 GW of contracted power capacity as the foundation of its development strategy, alongside a pipeline of more than 5 GW of additional potential opportunities that remain uncontracted.
Looking ahead, the company expects AI data center buildouts to take roughly 14–18 months from lease signing to delivery, depending on project size. Management pointed to strong demand from tenants, including requests for 60+ MW blocks available through 2027. Some prospective customers are discussing total capacity needs of up to 8 GW, underscoring significant long-term demand visibility.
