Overview
- Galaxy reported an $85 million net loss for the second quarter on Wednesday, a sharp improvement from a $216 million loss in Q1 but short of revenue expectations and enough to push the stock down sharply.
- Helios Phase I generated commercial revenue for the first time after Galaxy delivered 200 megawatts gross (133 megawatts of critical IT capacity) to CoreWeave under a 15‑year lease.
- Management guided that Phase I should produce roughly $80 million in quarterly leasing revenue beginning in Q3 and said project-level margins would be high once ramped.
- Galaxy closed a roughly $3.5 billion private offering of senior secured notes on July 28 to fund Helios Phase II, and after the quarter the company bought a 500‑acre McGregor site and other Texas parcels to lift its pipeline past 5.7 gigawatts.
- Investors and analysts warn of concentrated risk because near-term data center revenue depends heavily on CoreWeave, and the company still faces multi‑year execution, grid hookup, permitting and tenant-commitment challenges before pipeline capacity converts to stable cash flows.