IREN's upward trend continues – it's transitioning to a new stage.

crypthub

1 day ago

Company Transformation and Financial Growth

IREN has undergone a significant shift from a Bitcoin miner to a vertically integrated AI infrastructure utility, leading to substantial financial growth. Fiscal 2025 revenue grew 168% to $501 million, with adjusted EBITDA up nearly 400% to $270 million, driven by expansion of its AI Cloud fleet and low-cost power. This turnaround has led to a substantial increase in the company’s stock price, signifying a re-evaluation of its core business.

AI Cloud Expansion and Infrastructure

IREN is rapidly expanding its AI Cloud fleet, increasing its GPU capacity from 1,900 to 23,000 and targeting over $500 million in annualized AI Cloud revenue by 2026. Its strategy includes owning its facilities and securing low-cost power at $0.035/kWh, giving it a competitive advantage and allowing for high EBITDA margins. The company aims to deploy over 60,000 GPUs.

Capital Efficiency and Future Outlook

IREN’s unique capital structure, including zero-coupon convertible notes, promotes organic growth and shareholder value. The company's valuation is currently high, but expected to rationalize as revenue and EBITDA compound and AI deals mature. Risks remain, primarily tied to execution and customer concentration, but IREN is positioned to be a long-term compounder in the AI power economy.