Core Scientific sold $208 million of bitcoin in Q1 as AI pivot continues
The firm’s AI pivot relies on a 590 MW contract expansion with CoreWeave, projected for $10.2 billion in revenue over 12 years.
What to know:
- Core Scientific (CORZ) reported a $347.2 million Q1 loss. It sold $208.3 million in BTC and closed a $3.3 billion note offering to fund its shift to AI data center operations.
- Colocation revenue for AI data centers surged to $77.5 million, becoming the largest business line. Meanwhile, crypto mining revenue dropped significantly to $30.1 million.
- The firm’s AI pivot relies on a 590 MW contract expansion with CoreWeave, projected for $10.2 billion in revenue over 12 years.
The company also closed a $3.3 billion offering of 7.75% senior secured notes, proceeds it plans to use for data center development and to repay a $1 billion term loan facility. The bond sale was aimed at funding its shift from crypto mining to AI-focused data center operations.
Colocation revenue, the company revealed, rose to $77.5 million from $8.6 million a year earlier, making it Core Scientific’s largest business line, according to the company’s earnings release.
Crypto mining revenue fell to $30.1 million from $67.2 million, driven by a 45% drop in bitcoin mined and an 18% drop in the average bitcoin price, CORZ said.
The company operated 10 data centers across seven U.S. states at the end of March, representing about 1.9 GW of gross utility power capacity and 1.3 GW of leasable customer power capacity, according to its latest 10-Q.
