10-Q · May 15, 2026
For the quarterly period ended March 31, 2026, Digi Power X Inc. (DGXX) reported significant financial distress, with revenues declining to $6,791,346, representing a decrease of 26.9% year-over-year. Notably, the…
Earnings analysis · 10-Q
DGXX earnings analysis
Filed August 14, 2026 · Our reading of the company's report
The latest report
Digi Power X reported approximately $6.6 million of Q2 revenue, well below the $12.0414 million consensus estimate, while generating its first $1.1 million of GPU rental revenue and $3.3 million of positive adjusted…
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Digi Power X reported approximately $6.6 million of Q2 revenue, well below the $12.0414 million consensus estimate, while generating its first $1.1 million of GPU rental revenue and $3.3 million of positive adjusted EBITDA. The $14.4 million GAAP net loss highlights continued earnings pressure, and reported gross margin, operating margin, EPS, balance-sheet detail, and cash-flow metrics were not available in the extracted filing text. Management maintained its $250 million-$300 million annualized revenue run-rate target by Q3 2027, but execution remains dependent on financing for the 40 MW Phase 2 buildout, a roughly $35 million NVIDIA equipment commitment, and evolving data-center regulation.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
What stood out
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AI Compute Revenue Began
Q2 revenue was approximately $6.6 million, including the company’s first $1.1 million of GPU rental revenue. Revenue was below the $12.0414 million consensus estimate, but the quarter marked initial commercialization of the AI compute offering.
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Adjusted EBITDA Turned Positive
Adjusted EBITDA was positive at $3.3 million in Q2 2026, despite a GAAP net loss of $14.4 million, indicating improving non-GAAP operating performance alongside substantial reported losses.
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Revenue Run-Rate Target Maintained
Management maintained its target of approximately $250 million to $300 million in annualized revenue run-rate by Q3 2027 and stated that Q3 2026 revenue is expected to increase significantly from Q2 2026.
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40 MW Expansion Planned
Phase 2 of the AI data center campus represents 40 MW of planned capacity, and the company is pursuing project-level debt financing to fund the buildout while seeking to limit shareholder dilution.
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Long-Term Cerebras Agreement
The company entered a 10-year data center colocation and master services agreement with Cerebras Systems on May 4, 2026, supporting its planned AI infrastructure expansion.
What to watch
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Expansion Depends on Financing
The company expects to require additional financing, including project-level debt, to complete its AI data center campus. Full deployment of the 40 MW Phase 2 is conditioned on securing adequate financing; failure to do so could delay, curtail, or abandon development plans.
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NVIDIA Supply Concentration
Digi Power X committed to purchase approximately $35 million of NVIDIA’s next-generation Vera Rubin systems on June 3, 2026. Dependence on NVIDIA and a limited supplier base creates exposure to shortages, price increases, delays, specification changes, and quality issues.
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Growing Data Center Regulation
Data center regulation is becoming more restrictive: on July 14, 2026, New York adopted a one-year bar on new hyperscale data centers using 50 megawatts or more of power. Similar regulatory scrutiny in Texas and other operating states could raise capital costs, delay projects, or restrict expansion.
Management's outlook
The company maintained its target of approximately $250 million to $300 million in annualized revenue run-rate by Q3 2027. Management also stated that Q3 2026 revenue is expected to increase significantly from Q2 2026; no additional numeric quarterly guidance was provided.
Earlier filings 3
10-K · April 30, 2026
Digi Power X Inc. (DGXX) reported a challenging fiscal 2025 with a notable revenue decline of approximately 7.6% compared to the previous year. The company continues to pursue its strategy of expanding data center…
10-K · March 31, 2026
Digi Power X positions itself as an energy-infrastructure company pivoting from pure bitcoin mining toward data center and AI/GPU hosting, while retaining vertically integrated power generation. The 10-K discloses…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.