Kneat.com, Inc.

Riot reported Q2 2026 total revenue of $174 million, up 14% year over year. GAAP net loss was $237 million, or $0.68 per diluted share, and adjusted EBITDA was a loss of $70 million. Data Center segment revenue was $23.2 million with $6.5 million of gross profit, including $4.9 million of operating lease revenue at an 84% operating lease gross margin. Bitcoin Mining revenue was $113.7 million, Riot produced 1,587 Bitcoin, and direct cost to mine was $49,912 per Bitcoin. Engineering revenue was $37.3 million and gross margin expanded to over 27%. Management ended the quarter with $1.2 billion of total liquidity, including $666 million in Bitcoin and $549 million in cash. For the new Rockdale lease, management said it expects $9.1 billion of total contract revenue, $7.3 billion to $8.2 billion of NOI, and illustrative CapEx of $11 million to $12 million per IT megawatt. Forwardly, Riot said it expects the AMD financing process to close before the end of Q3, the Frontier AI lab’s first 96 megawatts to be delivered in December 2027, and full deployment in June 2028.

Jason Les framed the quarter as a proof point that Riot can secure power, execute quickly, and convert sites into long-term contracted AI infrastructure. He emphasized the company has moved from 0 contracted data center revenue to 241 megawatts of executed capacity with AMD and the new frontier AI customer, while Corsicana is now under LOI for the full site. His tone was confident and strategic, repeatedly describing 2026 as the “year of execution” and highlighting Riot’s balance sheet, in-house engineering, and site control as competitive advantages.

Jason Chung focused on funding the build-out without common equity and on recycling capital from completed assets into new development. He said Riot ended the quarter with over $1.2 billion in liquidity, including $666 million in Bitcoin and $549 million in cash, and noted the company sold all monthly Bitcoin production and had not issued common equity during the quarter. He also detailed the AMD recapitalization path: about $180 million of term-loan proceeds on the first 25 megawatts, a $70 million delayed-draw term loan on the second 25 megawatts, and an interim $573 million Morgan Stanley facility to fund the Frontier AI lab lease while the takeout financing is finalized.

Analysts pressed on the economics and CapEx of the new 191-megawatt lease, and management said the estimate reflects detailed design work, procurement visibility, and contractor collaboration, with a contingency reserve built in. Questions also focused on the interim bridge financing and how it becomes investment-grade takeout financing; management said the Morgan Stanley facility covers near-term build costs, is secured by tenant support, and that diligence is well advanced on the long-term financing. On Corsicana, management said the full site is under LOI to a single tenant but stressed the deal remains subject to uncertainty, while on AMD they clarified the remaining options and said the new lease does not change their goal of leasing out the rest of Rockdale based on best economics and credit support.