Digi Power X Reports First Quarter 2026 Financial Results
Rhea-AI Summary
Digi Power X (Nasdaq:DGXX) reported Q1 2026 results with a net loss of $4.7M versus $1.6M in Q1 2025, while Adjusted EBITDA improved to $1.1M from $(1.3)M. Revenue was $6.8M, down from $9.3M, reflecting the planned wind-down of legacy operations.
The company ended the quarter with $73M cash, zero long-term debt and $67.2M working capital, and now reports about $125M cash and $15M digital assets. It signed a $1.1B, 10-year AI colocation agreement, launched NeoCloudz GPU cloud with initial AI revenues, deployed about $45M YTD capex at its Columbiana facility, and uplisted to Cboe Canada (DGX). Digi Power X targets $250–$300M total revenue in 2027 across AI colocation, GPU-as-a-Service and energy sales.
AI-generated analysis. Not financial advice.
Positive
- Adjusted EBITDA improved to $1.1M in Q1 2026 from $(1.3)M in Q1 2025
- Working capital rose to $67.2M from $(0.8)M year-over-year
- Quarter-end cash was $73M with zero long-term debt
- Approximately $125M cash and $15M digital assets as of May 15, 2026
- Signed $1.1B, 10-year AI colocation agreement securing long-term contracted revenue
- About $45M YTD capex deployed toward GPUs and Columbiana data center buildout
- Launched NeoCloudz GPU-as-a-Service and recorded first AI revenues in May 2026
- 2027 revenue target of approximately $250–$300M across three segments
- Uplisted to Cboe Canada under symbol DGX, complementing Nasdaq listing DGXX
Negative
- Net loss widened to $4.7M from $1.6M year-over-year in Q1
- Revenue declined to $6.8M from $9.3M in Q1 2025
- Grant of 650,000 stock options and 1,730,000 RSUs introduces potential future share dilution
News Market Reaction – DGXX
On the day this news was published, DGXX gained 4.43%, reflecting a moderate positive market reaction. Argus tracked a peak move of +15.9% during that session. Argus tracked a trough of -6.1% from its starting point during tracking. Our momentum scanner triggered 42 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $25M to the company's valuation, bringing the market cap to $590.15M at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
DGXX fell 14.66% while sector peers like TAC and SUUN in momentum screening moved up, and broader peers (STEM, VGAS, SAFX, TAC, PAM) also showed gains or flat moves, pointing to a stock-specific reaction.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Mar 31 | Fiscal 2025 results | Positive | +6.4% | Reported 2025 pivot to AI infrastructure with zero debt and strong liquidity. |
| May 15 | Q1 2025 earnings | Positive | +0.0% | Q1 2025 revenue up 65% QoQ with positive EBITDA and reduced net loss. |
| Apr 01 | Q1 2025 update | Positive | -5.3% | Reported 115% quarterly revenue growth and maintained debt-free status. |
| Mar 31 | Record 2024 results | Positive | +8.6% | Delivered 42% revenue growth and 228% EBITDA improvement for 2024. |
Past earnings have often been received positively, but there are instances where strong results were met with flat or negative price reactions.
Over the past year, Digi Power X used earnings updates to highlight a pivot from mining toward AI data centers, consistent zero long‑term debt, and rising liquidity. Prior reports showed $37.0M 2024 revenue with a major EBITDA turnaround, followed by strong Q1 2025 growth and expanding cash balances. The March 2025 and March 2026 results emphasized AI infrastructure build‑out, multi‑hundred‑MW targets, and expectations for first AI revenues. Today’s Q1 2026 release continues that narrative with positive Adjusted EBITDA and early AI revenue traction.
Historical Comparison
In the past, DGXX earnings headlines averaged a 2.43% move. Today’s -14.66% reaction to Q1 2026 results marks a notably more negative response than prior earnings updates.
Earnings releases trace a shift from debt-free Bitcoin mining and energy revenues toward AI-focused Tier 3 data centers, culminating in 2025’s 400MW pipeline target and now early AI revenues and Adjusted EBITDA improvement.
Regulatory & Risk Context
An effective Form S-3 shelf filed on 2026-04-09 allows Digi Power X to issue up to $750,000,000 in securities, including an at-the-market program. A 424B5 supplement on 2026-05-08 increased the ATM capacity to $175,000,000, of which a large portion has already been used, indicating meaningful capacity for future equity issuance alongside other potential security types.
Market Pulse Summary
This announcement underscores Digi Power X’s transition from legacy operations to AI data centers. Q1 2026 delivered positive Adjusted EBITDA of $1.1M, strong working capital of $67.2M, and quarter-end cash of $73M with no long-term debt. A $1.1B colocation contract and continued capex of $45M at Columbiana frame the growth path. Investors may watch upcoming quarters for revenue mix shifts toward AI, execution on capacity buildout, and any further use of the $750M shelf and $175M ATM program.
Key Terms
adjusted ebitda financial
non-gaap financial measures financial
gpu-as-a-service technical
at-the-market equity offering financial
stock options financial
master services agreement financial
AI-generated analysis. Not financial advice.
NeoCloudz GPU Cloud Live with First AI Revenues; Approximately
MIAMI, FL / ACCESS Newswire / May 15, 2026 / Digi Power X Inc. (Nasdaq:DGXX)(Cboe Canada:DGX) ("Digi Power X" or the "Company"), an AI data center infrastructure operator, today reported its financial and operating results for the first quarter ended March 31, 2026 (all amounts in U.S. dollars, unless otherwise indicated). The Company's quarterly report on Form 10-Q, which includes unaudited consolidated financial statements and management's discussion and analysis ("MD&A") for the quarter ended March 31, 2026, has been filed and made accessible under the Company's continuous disclosure profile on SEDAR+ at www.sedarplus.ca and is also available on EDGAR at www.sec.gov/edgar.
First Quarter 2026 Financial Highlights (three months ended March 31, 2026)
Amounts in U.S. dollars (millions)
Net loss of
$(4.7) million , compared to$(1.6) million in Q1 2025, primarily reflecting pre-revenue investment in AI infrastructure capacity, Phase 1 commissioning activity at Columbiana, and growth in corporate headcount supporting the AI build program.Adjusted EBITDA1 of
$1.1 million , a$2.4 million year-over-year improvement from$(1.3) million in Q1 2025;Working capital of
$67.2 million , a$68.0 million year-over-year increase from$(0.8) million as at March 31, 2025;Cash and cash equivalents of
$73 million at quarter-end, with zero long-term debt;Net fixed assets of
$26.4 million , up29% year-over-year from March 31, 2025, reflecting capitalized investment at the Columbiana, Alabama facility;Revenue of
$6.8 million , compared to$9.3 million in Q1 2025, reflecting the planned wind-down of legacy operations as the Company transitions to AI compute and colocation revenue.
Operational and Post-Quarter Highlights
NeoCloudz GPU-as-a-Service is live: recognized first revenues in May 2026 from its initial fleet of NVIDIA B200 and B300 GPUs deployed at the Columbiana, Alabama facility;
Signed a
$1.1 billion , 10-year AI colocation agreement (the "Colocation Agreement") with a leading AI infrastructure company, securing long-term contracted revenue;Approximately
$125 million in cash and cash equivalents and$15 million in digital assets as of the date of this release (fair market value of digital assets per Gemini Exchange);Approximately
$45 million in year-to-date capital expenditures deployed toward GPU equipment and data center buildout, principally at the Columbiana, Alabama facility;Uplist to Cboe Canada completed under the symbol "DGX," complementing the NASDAQ listing under the symbol "DGXX".
1 Adjusted EBITDA is a non-GAAP financial measure presented as a supplement to GAAP results. See "Adjusted EBITDA-GAAP Reconciliation" and "Non-GAAP Financial Measures" below.
Management Statement
"Q1 marks an inflection point for Digi Power X. Adjusted EBITDA turned positive, even as we deliberately ran down legacy revenue to make room for a much larger AI compute business, and our NeoCloudz GPU cloud is now revenue-generating. The balance sheet is the strongest in the Company's history - approximately |
"Releasing our first NVIDIA Blackwell GPU cluster with high performance AI storage is a defining moment for Digi Power X as we transition from building AI infrastructure to powering real AI workloads at scale through NeoCloudz. With our Silicon Valley office opening in June, we are expanding into the center of AI innovation to recruit top engineering talent to accelerate our expansion." |
2027 Outlook
For fiscal 2027, Digi Power X is targeting total revenue of approximately
AI colocation revenue from the Colocation Agreement is expected to contribute approximately
$80 -$100 million , reflecting a full year of Phase 1 operations and a partial year of Phase 2 following its targeted commissioning (40 MW), and the Company is targeting an aggregate of 90 MW of AI colocation for fiscal 2027 (50 MW in addition to the Colocation Agreement) for aggregate colocation revenues of up to$200 million ;GPU-as-a-Service revenue through NeoCloudz is expected to scale over the course of the year to approximately 10 MW, as additional GPU capacity is deployed and contracted (assuming similar utilization rates and $/kW to the Company's current contracts), with the Company targeting a year-end annualized run rate of up to
$100 million , noting that recognized segment revenue will depend on the timing of capacity deployment and customer offtake;Energy sales are anticipated to be comparable to current levels and are expected to contribute approximately
$12 million .
Conference Call Details
The Company will host a conference call to discuss its first quarter 2026 results on May 15, 2026 at 8:30 AM ET. The conference call can be accessed by dialing the numbers below, or guests can utilize the Call Me link.
1-877-407-9039 or 1-201-689-8470.
Call Me: https://callme.viavid.com/viavid/?callme=true&passcode=13750233&h=true&info=company&r=true&B=6
A live webcast and replay will be available at digipowerx.com/investor-relations.
Option and RSU Grants
The Company also announces the grant of a total of 650,000 stock options (the "Stock Options") and 1,730,000 restricted share units (the "RSUs") to certain officers, directors, management, key consultants and employees of the Company in accordance with the Company's stock option plan and restricted share unit plan, respectively.
Each Stock Option is exercisable for a subordinate voting share of the Company at a price of C
Adjusted EBITDA - GAAP Reconciliation
The following table reconciles GAAP net loss to EBITDA and Adjusted EBITDA. Adjusted EBITDA is a non-GAAP financial measure presented as a supplement to GAAP results. See "Non-GAAP Financial Measures" below.
Amounts in U.S. dollars (millions)
Line Item | Q1 2026 ($M) | |||
Net Loss (GAAP) | $ | (4.7 | ) | |
Add: Depreciation & Amortization | 1.5 | |||
EBITDA | $ | (3.2 | ) | |
Add: Share-based Compensation | 1.3 | |||
Add: Crypto Revaluation Loss | 3.8 | |||
Less: Warrant FV Gain | (0.8 | ) | ||
Less: Gain on sale of digital currencies | 0.0 | |||
Adjusted EBITDA - Q1 2026 | $ | 1.1 | ||
EBITDA and Adjusted EBITDA exclude share-based compensation, digital currency revaluation, changes in fair value of financial instruments, and capitalized AI infrastructure payroll costs. These non-GAAP measures are not substitutes for GAAP results.
Non-GAAP Financial Measures
Adjusted EBITDA is a non-GAAP financial measure. The Company defines Adjusted EBITDA as net income (loss) before interest, taxes, depreciation and amortization, and further adjusted to exclude share-based compensation, digital currency revaluation, changes in fair value of financial instruments (including warrant liabilities), gain/loss on settlement of debt, and gains or losses on sale of property and equipment. Management believes that providing this non-GAAP financial measure that excludes these items allows for meaningful comparisons between the Company's core business operating results and those of other companies and provides the Company with an important tool for financial and operational decision making and for evaluating its own core business operating results over different periods of time. In addition to management's internal use of non-GAAP Adjusted EBITDA, management believes that Adjusted EBITDA is also useful to investors and analysts in comparing our performance across reporting periods on a consistent basis. The Company's Adjusted EBITDA measure may not be directly comparable to similar measures provided by other companies in our industry, as other companies in our industry may calculate non-GAAP financial results differently. The Company's Adjusted EBITDA is not a measurement of financial performance under GAAP and should not be considered as a substitute for, or superior to, net loss or any other measure of performance calculated in accordance with GAAP.
About Digi Power X
Digi Power X Inc. (NASDAQ:DGXX | Cboe Canada:DGX) is a vertically integrated AI infrastructure company developing and operating purpose-built data centers, GPU cloud capacity, and modular and mobile compute platforms. The Company holds approximately
Investor Relations
For further information, please contact:
Michel Amar, Chief Executive Officer
Digi Power X Inc.
www.digipowerx.com
Investor Relations: T: 888-474-9222 | Email: IR@digihostpower.com
Cautionary Statement
Trading in the securities of the Company should be considered highly speculative. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. Cboe Canada does not accept responsibility for the adequacy or accuracy of this release.
Cautionary Note and Forward-Looking Statements
Except for the statements of historical fact, this news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") that are based on expectations, estimates and projections as at the date of this news release and are covered by safe harbors under Canadian and United States securities laws. Forward-looking information in this news release includes the statements under "2027 Outlook" and other statements regarding goals, expectations and targets for the business of Digi Power X, including through USDC. In some cases, you can identify forward-looking statements by terms such as "may," "will," "should," "expects," "plans," "anticipates," "could," "intends," "targets," "goals,' "projects," "contemplates," "believes," "estimates," "forecasts," "predicts," "potential" or "continue" or the negative of these terms or other similar expressions. The forward-looking information is subject to a variety of known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to: the Company's ability to maintain and obtain new customers; the Company's ability to fulfill its obligations pursuant to the Colocation Agreement; the Company's ability to execute its evolving business model and strategy, including as it relates to its expansion into the data center market; future capital needs and uncertainty regarding the Company's and USDC's ability to raise additional capital; costs associated with the development, manufacturing and deployment of AI infrastructure; global demand for AI computing infrastructure; further improvements to profitability and efficiency may not be realized; and other related risks, some of which are more fully set out in the Annual Information Form of the Company and other documents disclosed under the Company's filings at www.sedarplus.ca and in the Company's annual, quarterly and current reports filed with the SEC. The forward-looking information in this news release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available to the Company. Forward-looking information is not a guarantee of future performance, and accordingly undue reliance should not be put on such information due to the inherent uncertainties therein. The Company undertakes no obligation to revise or update any forward-looking information other than as required by applicable law.
SOURCE: Digi Power X Inc.
View the original press release on ACCESS Newswire