Companies /Technology

Applied Digital Corporation

NASDAQ: APLD Information Technology Services
$25.91
▲ $1.00 (+4.01%) today
Markets open · 9:42am ET

Q1 2026 Earnings

Reported Oct 9, 2025, 4:05pm ET · SEC source
$-0.11
Beat +29.03%
EPS · est. $-0.16
$64.2M
Beat +41.24%
Revenue · est. $45.5M
−20.5%
Trailing market
APLD vs S&P since report
5 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
0+20%Oct 9Oct 10report 4:05pm ETearnings−2.8%+14.5%
0+20%Oct 9Oct 10earnings−2.8%+14.5%
APLD +14.5%S&P 500 −2.8%
0+20%Oct 9Oct 10report 4:05pm ETearnings−3.4%+14.5%
0+20%Oct 9Oct 10earnings−3.4%+14.5%
APLD +14.5%NASDAQ −3.4%
0+20%Oct 8Oct 17report 4:05pm ETearnings−0.9%+17.8%
0+20%Oct 8Oct 17earnings−0.9%+17.8%
APLD +17.8%S&P 500 −0.9%
0+20%Oct 8Oct 17report 4:05pm ETearnings−1.0%+17.8%
0+20%Oct 8Oct 17earnings−1.0%+17.8%
APLD +17.8%NASDAQ −1.0%
+16.05%
Day of report
+0.74%
Next session
+0.74%
One week
−15.95%
30 days

S&P 500 over the same 30 days: +4.59%.

Did APLD Beat Earnings? Q1 2026 Results

Applied Digital delivered a decisive beat across the board in its <a href="https://247wallst.com/ai-portfolio/2025/10/09/live-earnings-coverage-applied-digital-reports-earnings-after-the-bell/">fiscal first quarter</a>, reporting a loss of $0.11 per share against a consensus estimate of $0.155 — a 29.03% positive surprise — while revenue of $64.22 million cleared Wall Street's $45.46 million expectation by 41.24%, rising 5.8% year over year. The headline driver was a surge in HPC Hosting Business activity, including $26.30 million in one-time tenant fit-out services for CoreWeave at the fully contracted 400 MW Polaris Forge 1 campus, which carries roughly $11 billion in anticipated lease revenue over approximately 15-year terms. Those installation revenues came with thin margins, keeping Adjusted EBITDA at a slim $537,000, but management is focused on the ramp ahead: the first 100 MW building at Polaris Forge 1 is on track for Q4 2025 operational readiness, with lease revenues expected to follow. Post-quarter, Applied Digital also announced a $5 billion lease agreement with an investment-grade hyperscaler at its planned Polaris Forge 2 campus, underscoring a buildout trajectory management believes can deliver a $1 billion NOI run rate within five years.

Key Takeaways
  • $26.3 million in one-time tenant fit-out revenue from HPC Hosting Business drove majority of revenue growth
  • Data Center Hosting revenue grew 9% YoY driven by increased capacity online
  • Bitcoin prices hitting all-time highs supporting demand for hosting services
  • $16.6 million increase in stock-based compensation from accelerated vesting drove SG&A surge

“We feel this third lease validates our platform and execution, positioning Applied Digital as a trusted strategic partner to the world's largest technology companies.”

Applied Digital CEO, on the earnings call

Forward Guidance & Outlook

Applied Digital projects an annualized NOI run rate of approximately $500 million once Polaris Forge 1 is fully operational, with a $1 billion NOI target within the next five years. The first 100 MW facility at Polaris Forge 1 remains on track to be operational in calendar Q4 2025, with lease revenues expected to ramp later in 2025 as equipment installation is completed. The second 150 MW facility is scheduled for mid-2026 and the third 150 MW for 2027. At Polaris Forge 2, the initial 200 MW is expected to begin coming online in 2026 and reach full capacity in 2027. The company is in advanced discussions with an investment-grade hyperscaler for Polaris Forge 2, with potential to expand capacity to 1 GW. Management believes capacity beyond 1 GW at Polaris Forge 1 is possible starting 2028-2030 with additional power allocations. The company continues to evaluate expansion opportunities across new states and regions.

APLD YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$-40,000,000$0$40.0M$60.7M$64.2MRevenue$328,809$8.6MGross Profit$-46,136,175$-22,293,000Operating Income
$-40,000,000$0$40.0MRevenueGross ProfitOperating Income

APLD Revenue by Segment

HPC Hosting$26.3M
Data Center Hosting
Data Center Hosting (Bitcoin/Crypto Mining)$37.9M+9.0%
Cloud Services

Figures from SEC filings and company reports. Not investment advice.