Earnings Recap — Q2 FY2026
CY Q3 2026 · Reported August 10, 2026 · Beat 3 of last 7 quarters
The Buildout is a website built on agentic AI tools, currently in beta, and could have factual errors.
Riot's execution of a 191 MW lease with a leading frontier AI lab, alongside AMD, validates the demand for large-scale, fully approved power in the AI infrastructure buildout. The company's ability to secure $9.8 billion in contracted revenue and advance a 1 GW LOI at Corsicana underscores the strategic value of in-place power and derisked execution. This positions Riot as a key player in the power-constrained AI data center market.
Riot reported Q2 2026 revenue of $174 million, up 14% year-over-year, with a GAAP net loss of $237 million and adjusted EBITDA loss of $70 million, driven by non-cash items including a $75 million Bitcoin mark-to-market loss and $98 million depreciation. The company delivered the full 25 MW to AMD in May, generating $4.9 million in operating lease revenue at an 84% gross margin, and announced a new 191 MW lease with a leading frontier AI lab at Rockdale, expected to generate $9.1 billion in total contract revenue. Corsicana is under a nonbinding LOI with a single tenant for the entire 1 GW site. Bitcoin mining produced 1,587 BTC at a direct cost of $49,912 per BTC, with net power cost of $0.036/kWh.
Management guided to continued execution on the data center pipeline, with AMD's 25 MW expansion delivering in phases (10 MW in November 2026, 15 MW in May 2027) and the Frontier AI lab lease delivering 96 MW in December 2027 and the remaining 95 MW in June 2028. They expect to convert the Corsicana LOI into a definitive lease, with the site potentially generating over $1 billion in annual rent at full deployment. Financing is expected to close on the AMD term loan before the end of Q3 2026, and the Morgan Stanley interim facility will be taken out by an investment-grade backstop. Management reiterated a disciplined capital allocation approach, funding equity requirements through Bitcoin sales and project-level debt, with no common equity issuance planned.
“The AI era has 2 binding constraints, power and execution. This quarter demonstrated Riot's answer to both.”
on Strategic positioning
“In the last 7 months, Riot has gone from 0 contracted data center revenue to 241 megawatts of executed capacity with 2 of the highest quality counterparties in the AI ecosystem, AMD and now a leading frontier AI lab.”
on Execution progress
“Having a frontier partner of this caliber entrusting Riot with 191 megawatts of mission-critical infrastructure on a 20-year commitment is a definitive validation of our team, our sites, and our ability to execute at the highest level.”
on Frontier AI lab lease
Congratulations on the deal and the LOI. I wanted to just start on the economics of the deal. And I wondered if you could just maybe speak to the CapEx range, sort of how you arrived at that range for CapEx.
Jason Les explained that the CapEx range benefits from finalized design work with the tenant, procurement progress on long-lead items, and collaboration with a general contractor who has worked with the tenant before, providing clarity on labor and pricing. He noted the range includes a healthy contingency reserve and reflects strong return on cost.
I wanted to ask on Corsicana. Nice to see the LOIs for the full site, and it's going to be with one tenant. That is something you guys have talked quite a bit about in the past that the full site would go to potentially one tenant. I would think that suggests hyperscaler, but any additional color on that and then also how the discussions on Corsicana have evolved over time?
Jason Les said they are under LOI for the entire site with a single tenant, but cautioned that LOIs are subject to uncertainty. He explained that Corsicana is their most valuable asset and they deliberately began marketing it only after acquiring all necessary acreage and having a comprehensive plan. The process involves deep technical, legal, and commercial discussions, and they will update the market as progress is made.
Could you remind us of the structure of the remaining AMD options? I know you mentioned, Jason, that you still have 150 megawatts of options outstanding. But maybe in addition to sort of talking through how those are structured, if you could also give some color around whether this incremental AI Frontier lab lease for 191 megawatts impacts those options or the dynamics with AMD at all.
Jason Les clarified AMD has two options: a 50 MW expansion option (bringing total to 100 MW) and a second 100 MW option that becomes available only if they fully lease the first 100 MW. He noted that AMD's public statements suggest even the full 200 MW would not meet their power demand, and Riot's primary objective is to lease up the full 700 MW at Rockdale.