Cloud infrastructure provider CoreWeave beat estimates on revenue last quarter, though shares dropped by 16.3% as a delay at a data centre partner weighed on its guidance.
Revenue was US$1.36 billion, up from $583.94 million year-over-year and passing LSEG estimates of $1.29 billion. Its net loss was $110.12 million, improving from a loss of $359.81 million.
“We delivered an exceptional third quarter, setting new records for revenue and almost doubling our revenue backlog to more than $55 billion,” said CoreWeave CEO Michael Intrator.
“Our performance reflects disciplined execution across every part of our business, from scaling infrastructure and expanding capacity to deepening customer relationships and advancing our software and services. CoreWeave’s position as the essential cloud for AI has never been stronger as we drive growth through focus and innovation to power the next generation of AI.”
While CoreWeave added eight new data centres in the U.S. last quarter, Intrator said a third party developer was currently behind schedule due to supply chain issues, leading to lower fourth quarter expectations.
It projects full-year revenue will be $5.05-5.15 billion, below estimates of $5.29 billion.
CoreWeave’s revenue backlog, including remaining performance obligations, was $55.6 billion at the end of the quarter. It has 2.9 gigawatts in contracted power.
Operating income was $51.85 million, sinking from $117.12 million. Its operating margin was 4%, down from 20%.
The company’s operating expenses increased to $1.31 billion, from $466.83 million.
CoreWeave’s (NASDAQ: CRWV) share price closed at $88.39, down from its previous close at $105.61. Its market capitalisation is $44.28 billion.
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