IREN Stock Falls 8% After Q4 Miss; AI Cloud Shift Gains Momentum

IREN Ltd. shares tumbled more than 8% in overnight trading late Thursday after the bitcoin miner and AI infrastructure company reported quarterly earnings and revenue below Wall Street expectations, underscoring the costs of its ongoing transition toward AI cloud services.

IREN reported fiscal fourth-quarter revenue of $137.2 million, below the $157.14 million analyst consensus, while adjusted loss came in at $0.41 per share, wider than expectations of a $0.34 per share loss.

The results also showed a sharp shift in IREN’s business mix as the company continues to move away from bitcoin mining and toward AI infrastructure. AI Cloud Services revenue rose to $70.5 million in the quarter from $33.6 million in the sequentially prior quarter, while bitcoin mining revenue fell to $66.7 million from $111.2 million.

IREN’s Q4 Breakdown

The company said it signed a new “multi-year AI cloud contract with a leading frontier AI lab” without disclosing details. Other recent signings include Cohere, Prometheus, Perplexity, Figure AI, Fal AI, and Higgsfield AI, it said.

For the full fiscal year, AI Cloud Services revenue surged nearly eightfold to $128.8 million, with total revenue rising 41% to $707 million.