Applied Digital Corporation (NASDAQ:APLD) shares are trading higher after the company reported second-quarter adjusted earnings and revenue above estimates.
What To Know: Applied reported adjusted earnings per share of 0 cents, beating the consensus estimate of a 10 cent-loss. In addition, the company reported sales of $126.58 million, beating the consensus estimate of $89.75 million.
Revenue rose 250% year over year, driven primarily by growth in the company's HPC Hosting Business. During the quarter, Applied achieved Ready-for-Service at its Polaris Forge 1 campus, delivering 100 megawatts on schedule and fully energizing its first building. This milestone resulted in approximately $85 million in payments from CoreWeave, including $73 million related to tenant fit-out services and $12 million in partial-quarter lease revenue.
Applied also reported continued strength in its Data Center Hosting Business, which generated $41.6 million in revenue during the quarter, reflecting performance improvements across its facilities.
Adjusted EBITDA totaled $20.2 million, up from $6.1 million in the prior-year period, while the net loss attributable to common stockholders narrowed to $31.2 million from $129 million a year earlier.
During the quarter, Applied completed a $2.35 billion private offering of senior secured notes and drew additional capital under its preferred equity financing facility, contributing to a strong liquidity position. As of quarter-end, the company reported approximately $2.3 billion in cash, cash equivalents, and restricted cash.
APLD Price Action: At the time of writing, Applied shares are trading 10.42% higher at $32.56, according to data from Benzinga Pro.
Image via Shutterstock
