Hut 8 shares dropped 5% Tuesday after the Bitcoin miner-turned-AI infrastructure developer posted second quarter revenue of $74.9 million, missing analyst expectations of around $80 million. The stock had slipped as much as 8% earlier before recovering to roughly $107.

Revenue climbed 81% year-over-year from $41.3 million, but that growth wasn't enough to satisfy the market. Compute operations brought in $72.5 million, while power and digital infrastructure contributed $1.2 million and $1.3 million respectively.

The earnings picture looks messy beneath the surface. Hut 8 swung to a net loss of $177.1 million from a $137.5 million profit last year, largely because digital asset values tanked. The company recorded $138.6 million in unrealized losses on crypto holdings compared with $217.6 million in gains during the same quarter a year ago. Adjusted EBITDA excluding those swings improved to $10.4 million from $4.2 million, but including them it turned negative at $94.6 million.

The AI pivot accelerates

Where Hut 8 is trying to move the conversation is its shift away from Bitcoin mining toward large-scale AI and energy infrastructure. The company now controls 949 MW of contracted AI data center capacity with roughly $26.6 billion in expected contract value over the base term. Once fully operational, that portfolio should generate more than $1.75 billion in average annual net operating income.

The Beacon Point campus represents the centerpiece. Hut 8 completed commercialization of the one gigawatt facility after inking a second 352 MW lease agreement. Combined, the two Beacon Point deals are worth about $19.6 billion in expected contract value. CEO Asher Genoot said the company is evaluating 11 exclusive sites averaging over 650 MW each, signaling aggressive expansion plans. Total development pipeline hit approximately 8.7 GW by the end of June, up 300 MW from the prior quarter, with 1.88 GW under exclusivity and 1.33 GW already under construction.

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