Cipher Digital reported total revenue of $26.7 million for the third quarter of 2026, falling short of consensus estimates as the company continues its transition from Bitcoin mining toward high-performance computing (HPC) infrastructure. The reporting period was highlighted by the first realized rental income from its AI-focused data center portfolio, alongside a massive expansion of its long-term contracted revenue backlog.
Key Highlights
- Recognized the first HPC lease revenue of $5.85 million following rent commencement at the Black Pearl facility.
- Expanded the Barber Lake lease to a 20-year term with a leading AI lab, adding approximately $5.2 billion in incremental rent and bringing the site's total contracted revenue to $9.1 billion.
- Total contracted portfolio revenue increased to $16.6 billion across 700 MW of capacity, with a weighted average lease term (WALT) of 17.3 years.
- Completed an $850 million convertible notes offering to fund the Barber Lake expansion while equitizing $165.9 million of existing debt.