Applied Digital revenue jumps 322% on AI data center growth

Applied Digital Corporation reported a significant surge in revenue for its fiscal first quarter ended August 31, 2026, driven by the expansion of its AI data center business. The company recorded revenue of $341.9 million, representing a 322% increase compared to the same period last year. This growth is largely attributed to the company’s shift toward providing infrastructure for high-performance computing, including servers, power, and cooling for AI workloads.

Despite the revenue spike, the company reported a widening net loss of $221 million, compared to $18.5 million in the prior year's quarter. This loss is linked to aggressive capital expenditures for AI infrastructure and increased interest expenses. The company has invested heavily in real estate and equipment, including a 210 MW long-term lease agreement with a major cloud customer.

Looking ahead, Applied Digital aims to increase its delivered load across its North Dakota campuses to 300 megawatts by the end of 2026. The company continues to transition from its origins in cryptocurrency mining toward large-scale AI and machine learning cloud computing services.