IREN's Bitcoin Mining Revenue Falls as AI Cloud Sales Nearly Triple

What happened

IREN reported $200 million in AI Cloud revenue for the quarter ended September 30, 2026, up from $71 million in the prior quarter. Bitcoin mining revenue fell to $28 million from $67 million, while total revenue rose to $228 million from $137 million.

Confirmed

Global impact / market context

AI Cloud is now driving IREN’s reported revenue growth as mining contributes less. More data-centre capacity and customer contracts supported the increase, but the reported 86% segment gross margin excludes financing, corporate costs, depreciation and the spending needed to build infrastructure; IREN also reported a net loss.

Analyst inference

The results show a sharp revenue mix change within IREN: quarterly AI Cloud revenue rose while Bitcoin mining revenue declined. This indicates that growth increasingly depends on providing computing infrastructure to customers, rather than mining Bitcoin, while infrastructure investment remains costly.

Analyst inference

What to watch

1. Whether AI Cloud revenue continues growing in later quarters, since the latest increase reflects capacity coming online and customer contracts, and one quarter alone does not establish a lasting trend. Analyst inference
2. How much capital spending is required to bring additional data-centre capacity online, because building infrastructure can absorb cash even when reported segment gross margin is high. Analyst inference
3. Whether Bitcoin mining revenue remains below the prior quarter’s $67 million level, as further declines could make IREN’s total revenue more dependent on AI Cloud. Analyst inference

Affected assets

• BTC — Bitcoin

Evidence

• newsbtc.com