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IREN plans AI cloud expansion while Bitcoin mining still drives revenue

In its fiscal 2026 filings, the Bitcoin miner reported $578.2 million of revenue from mining, about 81.8% of total annual revenue, as it decommissions capacity to support AI infrastructure.

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IREN said it is continuing an AI cloud transition while Bitcoin mining remains the biggest revenue source. In its fiscal 2026 results filed Aug. 27, the company reported annual revenue of $707 million, with Bitcoin mining generating $578.2 million, or about 81.8%, and AI Cloud Services contributing $128.8 million.

The shift to AI infrastructure included a $638.8 million non-cash impairment tied primarily to decommissioning mining equipment as data center sites are converted for AI workloads. IREN also reported a $702.6 million net loss, which was affected by the impairment and other items.

As of Aug. 26, IREN had $1 billion in annualized run-rate revenue, or ARR, against $4 billion of contracted ARR for its 2026 capacity. The company said recognized revenue depends on delivery and acceptance, including building and energizing data centers, installing and commissioning equipment, completing performance testing, and obtaining customer acceptance.

IREN said Microsoft accepted Horizon 1 in August, while Horizons 2 through 4 were targeted for phased delivery in calendar Q4 2026, with contractual grace periods extending into early calendar Q2 2027. The company also reported installed Bitcoin mining capacity of about 23.2 EH/s across roughly 380MW at June 30, and it outlined financing to support the Microsoft contract, including a delayed-draw loan priced at one-month SOFR plus 2.25% and senior notes at 5.96%, plus separate Mackenzie financing up to $2.4 billion with a 9% fixed rate.

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