By cryptoadmin Galaxy Digital (GLXY) shares are lower by a bit more than 5% in pre-market action after reporting quarterly results.
Galaxy’s $85 million net loss narrowed from $216 million in the first quarter, while its diluted and adjusted loss narrowed to $0.09 per share from $0.49. Street forecasts had been for a loss of $0.28 per share.
Its digital assets operation generated $66 million in adjusted gross profit, up 34% quarter-on-quarter, despite a 7% decline in trading volume.
Galaxy’s data center business generated revenue for the first time in the quarter as the company completed the initial phase of its Helios campus in West Texas.
The segment generated $20 million in adjusted gross profit and $11 million in adjusted EBITDA, reversing a $900,000 adjusted EBITDA loss in the first quarter. Galaxy delivered 200 megawatts of gross power, representing 133 megawatts of critical IT capacity, to CoreWeave under a 15-year lease.
The firm’s results, however, could have disappointed as they did not include a new>
The firm’s CEO Mike Novogratz said earlier in the year that he expected the remaining capacity of the 1.6-gigawatt Texas site to be leased by the end of the summer. While no tenants were unveiled, Galaxy said it acquired three new sites in Texas for new data centers.
Galaxy Digital closed a $3.5 billion private offering of senior secured notes due 2031 on July 28, through its subsidiary Galaxy Helios Data Centers II LLC, to fund construction of Helios Phase II. This pushed total debt to over $6 billion.