Galaxy Digital posts $85M Q2 loss; $80M AI leases expected

Galaxy Digital reported an $85 million net loss for the second quarter and said it expects roughly $80 million in quarterly revenue from AI data-center leases as it funds a $3.507 billion Phase II financing.

The company’s SEC filing attributes the quarter’s loss mainly to lower digital-asset prices. Diluted earnings per share were negative $0.09, and adjusted EPS, a non-GAAP measure, matched that figure. On a consolidated basis Galaxy reported $43 million of adjusted gross profit and a $77 million adjusted EBITDA loss.

The AI infrastructure segment produced $20 million of adjusted gross profit and $11 million of adjusted EBITDA as capacity came online. Treasury and Corporate recorded a $42 million adjusted gross loss and a $78 million adjusted EBITDA loss, driven largely by unrealized losses on digital assets and other investment positions.

All 133 megawatts of critical IT load from CoreWeave Phase I were in service by quarter end under a 15-year lease. During the Q2 build and ramp the Data Centers segment contributed $11 million of adjusted EBITDA. Galaxy expects about $80 million of quarterly leasing revenue and a project-level adjusted EBITDA margin above 90% beginning in Q3. The company notes that the $80 million is a top-line project figure that excludes corporate overhead and will not map directly to consolidated GAAP earnings.

Phase II is planned to add roughly 260 MW of capacity and carries financing obligations. A Helios project subsidiary, Galaxy Helios Data Centers II LLC, completed a $3.507 billion offering of 9.875% senior secured notes due 2031, with Galaxy Helios II LLC providing a guarantee. The notes are secured by project assets and pledged equity in the issuer, and financing documents limit disclosed credit support to the project entities.

Galaxy’s filing points to construction progress and tenant performance, principally CoreWeave’s execution, as the main factors for achieving the projected lease revenue and margins. The company says Q3 will be the first full quarter at the guided run rate for data-center lease income and will provide a clearer view of how contracted AI infrastructure revenue affects consolidated results influenced by crypto market swings.