TeraWulf’s AI-based computing revenue exceeds Bitcoin mining amid loss of $427 million

Publicly traded shares Bitcoin Mining company TeraWulf (WULF) ended the trading day down 2.6% after the company reported a quarterly net loss of more than $427 million in the first quarter of 2026, compared to a loss of just $61.4 million in the first quarter of 2025.

During the quarter, the company reported revenue of $34 million — 60% of which, or $21 million, came from the shift to AI computing — an increase of 117% from the previous quarter. On the other hand, Bitcoin mining revenues shrank by 50% during the same period to approximately $13 million.

“The first quarter of 2026 is set for execution,” Paul Prager, CEO and chairman of TeraWulf, said in a statement. “We entered the year with a fully established platform, including locations, contracts and capital, and are now turning that foundation into operational performance and recurring revenue.”

The company’s commitment to High Performance Computing (HPC) is It was highlighted by a Google-backed deal in Octoberwhich has expanded its previously announced 10-year, multi-billion-dollar commitment with FluidStack to a 25-year lease deal worth approximately $9.5 billion in contracted revenue.

Going forward, TeraWulf expects more consistent and structured revenue from its AI computing deals, contrasting its future with a historical focus and reliance on the less consistent pursuit of Bitcoin mining.

“The first quarter reflects a more stable and contracting revenue model,” CFO Patrick Fleury said in a statement. “As we continue to scale, we expect the business to be increasingly driven by recurring and contract revenue, reducing exposure to volatility historically associated with Bitcoin mining.”

The company, which noted that it would continue to repurpose elements of its bitcoin mining business “to support high-value computing workloads,” ended the quarter with about $3.1 billion in cash and cash equivalents.

Despite their intraday decline, WULF shares are up more than 30% in the last month of trading, most recently trading around $23.51. WULF has gained more than 105% since the beginning of the year.