Overview
Since the Report − 34.4%
Revenue grew 112.0% year over year, EPS beat the estimate by 8.0%; the stock rose 15.7% in its first reaction.
- RevenueQ2
- $2.58B
- ▲ 112% YoY
- EPSGAAP
- −$1.14
- ~8% Above Est.
Verdict
BUYCoreWeave grew Q2 revenue 112% year-over-year to $2.58 billion, pushed its revenue backlog past $104 billion, and raised full-year guidance. A record $9.4 billion in capex and interest on $35 billion-plus of debt widened the GAAP net loss to $626 million, yet the stock jumped roughly 16% after hours. The focus now shifts to when rising capital intensity converts into free cash flow.
Close on Report DayAug 11
$90.32▲ 15.7%Report-Day Move
- Market Cap(Today)
- ≈ $32.7 B
- 1Y Return(At Report)
- − 25%
- Net Margin(Trailing 12M)
- − 25.4%
Earnings Summary
In 30 Seconds- Revenue rose 112% year over year to $2.58B; the GAAP loss of $1.14 per share was about 8% better than expected.
- Backlog jumped 246% year over year to $104B, and full-year revenue guidance was raised.
- The stock jumped about 16% after hours as backlog and guidance outweighed the loss line.
The Numbers
Adjusted EBITDA
$1.51B
59% Margin
Revenue Backlog
$104.2B
▲ 246% YoY
Net Loss (GAAP)
−$626M
Interest Weighed
Capex
$9.4B
Record Quarterly
Quarterly Revenue ($ Billion)
1.21
Q2 25 · $1.21 B
1.37
Q3 25 · $1.37 B · QoQ + 12.5%
1.57
Q4 25 · $1.57 B · QoQ + 15.2%
2.08
Q1 26 · $2.08 B · QoQ + 32.2%
2.58
Q2 26 · $2.58 B · QoQ + 23.9% · YoY + 112.3%
3.45–3.60
Q3 26E · 3.45–3.60 · QoQ + 36.9% · YoY + 158.2%
- Q2 25
- Q3 25
- Q4 25
- Q1 26
- Q2 26
- Q3 26E
Q3 2026 Company Guidance
- Q3 Revenue3.45 – 3.60 B3.45 B3.60 B
Midpoint $3.53B · ~158% YoYAccelerating Growth · 158% YoY ▲
- Full-Year Revenue12.4 – 13.2 B12.4 B13.2 B
Midpoint $12.8B · Above Prior RangeRaised 2.4% ▲
- Q3 Adj. Operating Income200 – 260 M200 M260 M
Midpoint $230MTurned Positive ▲
- Exit ARR (2026)18.5 – 19.5 B18.5 B19.5 B
Year-End Annualized RevenueStrong Visibility ✓
How to Read the Chart
The blue band is the company's low-high range; its length shows how much room the company left itself. The black triangle and the line beneath it mark where the market expected, and the notch in the band is the range's midpoint. The triangle appears only where a market expectation is known. When the company gave a single number rather than a range and no market expectation is known, that row gets no band at all: there is no length to measure and no position to compare. Axis is ±15% around the midpoint.
Company-Specific Metrics
Active Power
1.50 K MW
Press Release
Contracted Power
3.70 K MW
Press Release
Adjusted Operating Income
$128 M
▼ 36.0% YoYPress Release
Metrics come only from the company's own filings; each one names the document it was taken from.
“CoreWeave reached an important inflection point this quarter as our scale began to translate into expanding operating leverage.”
- Inflection Point at Scale
- Expanding Operating Leverage
- Unprecedented Demand
Summary and Review
Summary
CoreWeave's April–June revenue came in at $2.58 billion. Growth was 112% year-over-year and 24% sequentially. The backlog reached $104.2 billion, up 246%. Another $25 billion-plus in customer commitments arrived in early August. Adjusted EBITDA was $1.51 billion at a 59% margin. The operating loss narrowed to $49 million. The GAAP net loss widened to $626 million, or −$1.14 per share. Heavy interest expense and record depreciation created that gap. The per-share loss was still about 8% better than expected.
Market reaction was positive. The stock jumped roughly 16% after hours, from $90.32 to above $104. Investors looked past the loss line to the backlog. The raised full-year outlook and the $18.5–19.5 billion exit-ARR target helped too. Lifting the 2026 capex outlook to roughly $37 billion stirred capital-intensity concerns. That revision sits far above the 2.4% increase in the revenue outlook. The stock had lost about 25% over the past year, so the jump partly repaired broken momentum.
The picture is strong but not one-dimensional. CoreWeave is scaling capacity aggressively while demand outstrips supply. The growth is largely debt-financed, raising balance-sheet risk and dilution potential. Profitability is real at the EBITDA level; interest still pressures the net line. The quarter itself beat expectations on growth, backlog and guidance. Our assessment is positive. Still, this is a scorecard for the quarter, not a stock recommendation. The real question is when the rising investment turns into free cash flow.
Full Review
Revenue momentum accelerates, backlog sets records.
Second-quarter revenue grew 112% year-over-year to $2.58 billion and rose 24% sequentially. More striking is the revenue backlog reaching $104.2 billion, a 246% jump. Of that, $103.7 billion is remaining performance obligations (RPO) — contractually committed revenue to be recognized later. Momentum continued even after the quarter closed, with more than $25 billion in new commitments added in early August. The midpoint of Q3 revenue guidance is $3.53 billion, implying roughly 158% year-over-year acceleration. In a picture where demand outstrips supply, the growth engine is long-term GPU capacity contracts signed with hyperscale customers.
EBITDA is strong, but debt crushes the net line.
Adjusted EBITDA of $1.51 billion at a 59% margin is very solid, and at the operating level the company came near breakeven (a $49 million operating loss). But the GAAP net loss widened to $626 million, or −$1.14 per share. The main culprit for the gap is interest on more than $35 billion of debt and depreciation on a rapidly growing asset base. Management acknowledges that interest and depreciation reached about 79% of quarterly revenue. So CoreWeave is proving its cash-generation capacity, but much of that cash goes to funding debt and capex. The profitability story is real at the EBITDA level, but still distant on the net line.
Capex hit a record, capital intensity rose.
Second-quarter capex of $9.4 billion was the highest in company history; first-half capex totaled $16.1 billion. Management raised full-year 2026 capex guidance to roughly $37 billion — a revision far above the 2.4% increase in the revenue outlook. Where the money goes is visible: active power rose to 1.5 gigawatts, contracted power reached 4.2 gigawatts, and the company runs 51 data centers. This is a natural consequence of building capacity ahead of demand, but it also keeps free cash flow negative in the near term. Because most of the spending is funded with debt and equity, balance-sheet leverage and dilution risk are growing. The critical question for investors is whether the return on this capital — utilization and pricing of the power being built — arrives as expected. For now utilization is contracted; the risk emerges if financing conditions tighten.
Guidance raised, ARR visibility sharpened.
The company raised full-year revenue guidance to $12.4–13.2 billion; the midpoint of $12.8 billion is above the prior range. For Q3 it expects $3.45–3.60 billion in revenue and $200–260 million in adjusted operating income — the operating income turning positive is notable. The strongest signal is the year-end exit-ARR target of $18.5–19.5 billion, pointing to nearly double the current revenue run-rate. The year-end active-power target was also lifted above 1.85 gigawatts. These revisions show management's confidence in how fast the backlog converts into tangible revenue. Meeting the outlook depends on data-center and power deliveries arriving on time.
Risks: leverage, customer concentration, dilution.
The biggest risk is on the balance sheet: more than $35 billion of debt makes the company fragile to interest rates and refinancing conditions. The second risk is customer concentration; much of the revenue comes from a small number of hyperscale customers, and one trimming its budget could have a serious impact. Third, as long as aggressive capex is funded with equity and debt, dilution and interest burden can rise. In addition, competition in AI infrastructure — both cloud giants and new entrants — could pressure pricing. Even though demand outstrips supply now, a reversal of this cycle could leave the expensive capacity idle. For this reason, a strong quarter comes bundled with a high-risk story.
Looking Ahead
Strengths and Risks
6 Strengths · 6 RisksStrengths
6- Revenue up 112% YoY, 24% sequential growth
- Revenue backlog $104.2B, up 246% YoY
- Adjusted EBITDA $1.51B at a 59% margin
- Full-year guidance and exit-ARR target raised
- Active power up to 1.5 GW, contracted power 4.2 GW
- Per-share loss ~8% better than expected
Risks
6- More than $35B of debt and heavy interest expense
- GAAP net loss widened to $626M
- 2026 capex raised to ~$37B, free cash flow negative
- High customer concentration in revenue
- Ongoing equity/debt financing carries dilution risk
- Rising competition and pricing pressure in AI infrastructure
What to Watch
4- Q3 2026 earnings ~November 2026
- Tracking year-end active-power target of 1.85 GW+
- Verifying 2026 exit-ARR target of $18.5–19.5B
- Announcements of new hyperscale customer commitments
Upcoming Earnings
To Understand This