Galaxy Digital (NASDAQ:GLXY) reported a first-quarter net loss of $216 million, or $(0.49) per diluted adjusted share, as the firm navigates a period of significant structural transformation amid a volatile backdrop for digital assets.
The quarterly loss was primarily driven by a 20% decline in broader cryptocurrency market capitalization, which triggered $140 million in unrealized losses within the firm's Treasury & Corporate segment.
Despite the headwinds in its legacy crypto business, the quarter marked a fundamental shift for the New York-based firm into the high-growth artificial intelligence infrastructure sector.
Galaxy announced the commencement of revenue recognition for its Data Centers segment in April 2026, following the delivery of the first data hall to CoreWeave at its Helios campus in Texas.
The campus also received ERCOT approval for an additional 830 megawatts, bringing its total approved capacity to over 1.6 gigawatts—positioning Galaxy as a major player in North American high-performance computing (HPC) infrastructure.
Liquidity remains a pillar of the firm’s balance sheet, with cash and stablecoin holdings totaling $2.6 billion as of March 31, 2026.
Total equity stood at $2.8 billion, a 46% increase year-over-year.
Galaxy’s Asset Management division proved resilient, ending the quarter with $5 billion in assets under management (AUM) and maintaining positive net inflows despite the decline in asset prices.
On the corporate front, Galaxy completed its voluntary delisting from the Toronto Stock Exchange, successfully consolidating its public listing onto the Nasdaq.
The company also demonstrated confidence in its long-term valuation by repurchasing 3.2 million shares for $65 million, a move that effectively offset dilution from 2025 employee stock-based compensation.
While net digital assets and investments declined 19% quarter-over-quarter to $1.36 billion, the ramp-up of the Helios Phase I project—which is on schedule to deliver 133 megawatts by the end of Q2—is expected to provide a steady, non-correlated revenue stream starting in the second quarter.