Shares of Bitcoin mining firm Core Scientific fell roughly 7% in after-hours trading on May 6, 2026, after the company reported a massive net loss of $347.2 million for the first quarter, even as total revenue climbed 45% year-over-year.
Revenue for Q1 2026 reached $115.2 million, up from $79.5 million in the same period last year, and gross profit improved to $30.1 million from $8.2 million. The top-line growth was overwhelmingly driven by the company’s pivot toward colocation services, which generated $77.5 million in revenue compared to just $8.6 million a year ago.
However, the sharp net loss—a stark reversal from net income of $576.3 million in Q1 2025—was primarily caused by $266.5 million in non-cash impairment charges and an additional $30.8 million non-cash loss from adjustments to warrant and contingent value rights. Self-mining revenue dropped to $30.1 million from $67.2 million, with the company citing a 45% reduction in Bitcoin mined and an 18% decline in the average Bitcoin price.
CEO Adam Sullivan emphasized the strategic shift: “Core Scientific is differentiated by our ability to combine capital readiness with speed to delivery. We are investing ahead of contracts, advancing ready-for-service dates and moving development forward across multiple sites.”
Before the earnings release, Core Scientific’s stock had surged as much as 11% during regular trading to close at $24.63, buoyed by the announcement of a $421 million acquisition of Polaris DS LLC in Oklahoma, which brings 440 megawatts of contracted power. The company now has a gross power capacity pipeline of 4.5 gigawatts and recently completed a $233 million Texas acquisition to support roughly 430 megawatts of additional capacity.
The mixed results and after-hours decline reflect ongoing investor uncertainty around Bitcoin miners as they balance legacy self-mining operations with rapidly expanding AI and high-performance computing infrastructure.
