.png){kind=logo}
Ionic Digital reported second-quarter revenue of $48.6 million on August 19, up 31% from a year earlier, as digital infrastructure leasing supplied 90% of total revenue. The results marked its first quarterly report since the July NASDAQ direct listing. A year earlier, leasing contributed no revenue.
The company reported a $35.3 million net loss for the quarter. This figure included a $28.2 million non-cash fair-value loss on Bitcoin holdings and a $27.2 million income tax provision.
Bitcoin fell from about $68,200 at the end of March to approximately $58,500 by June 30. Meanwhile, adjusted EBITDA rose to $37.6 million from $3.8 million. Adjusted gross profit increased to $45.4 million from $14.9 million.
Ionic’s Ward County campus in Texas now has 234 megawatts under contract and generating revenue after the first data center reached energization. The company plans to expand the site to 700 megawatts by the end of 2027.
This expansion still depends on ERCOT approval and two utility infrastructure projects. Management said another $24 million would support the full 700-megawatt utility capacity after $40 million in total capital spending.
The company’s investor presentation listed 822 megawatts in its utility power pipeline. Of that amount, Nscale has contracted 323 megawatts, supporting about $2.6 billion in long-term contracted revenue.
Nscale’s agreement runs for 10 years under a triple-net lease and includes extension options. Nscale also granted Microsoft a right of first refusal on another 377 megawatts at Ward County.
Cash rent under the lease began in August 2026 after Ionic delivered the initial 234 megawatts. An additional 89-megawatt expansion should come online during the second half of 2027, according to management.
Ionic also controls 112 megawatts of energized capacity across four nearby Midland sites covering 60 acres. Those facilities continue to generate Bitcoin mining revenue while the company prepares them for AI and HPC use.
Management said it is holding discussions with multiple parties about converting the Midland portfolio. The presentation also outlined distributed data centers aimed at enterprise AI inference as another part of its growth framework.
Can Ionic turn its contracted power pipeline and Texas expansion into sustained leasing revenue as more capacity comes online? The next milestones include ERCOT approval, Ward County utility work and progress on Midland conversions. Ionic ended the quarter with $415.7 million in cash and 2,882 Bitcoin worth $168.7 million. Total liquidity reached about $585 million, while the company reported no outstanding debt.
Also Read: Ethereum’s Next Phase: How the Blockchain is Preparing for the Next 10 Years
Capital expenditures totaled $5.8 million during the quarter. Ionic also reaffirmed full-year 2026 guidance of $190 million to $195 million in revenue and $137.5 million to $142.5 million in adjusted EBITDA. Ionic shares opened at a $50 reference price during the July 28 direct listing. They later traded near $65 to $68 before slipping about 3% in after-hours trading following the earnings report.
Ionic Digital’s second-quarter results showed that AI and HPC leasing now supplies most of its revenue, while Bitcoin mining remains active at Midland. The company ended the quarter debt-free, kept its 2026 outlook, and continued work toward additional contracted capacity at Ward County and future AI conversions in Midland.
