Hut 8 swings to FY loss as digital asset volatility offsets surging compute revenue

Hut 8 Corp. (NASDAQ:HUT) reported on Wednesday a full-year net loss of $248 million for 2025, a sharp reversal from the prior year's profit, as substantial unrealized losses on digital assets overshadowed a major strategic pivot into AI infrastructure.

The Miami-based company posted total revenue of $235.1 million for the year, up from $162.4 million in 2024, driven by the rapid scaling of its Compute segment.

The fourth quarter underscored the company's "power-first" transition, highlighted by the signing of a landmark 15-year, 245-megawatt (MW) IT lease with Fluidstack at its River Bend campus.

The agreement carries a base-term contract value of $7 billion and is supported by a financial backstop from Google.

Management noted that the lease could generate up to $17.7 million if all renewal options are exercised, positioning Hut 8 as a major player in the high-performance computing (HPC) space.

Despite the commercial momentum, the bottom line was pressured by a $301.8 million net loss in the fourth quarter alone, primarily due to $401.9 million in unrealized losses on its Bitcoin holdings as market prices fluctuated.

Adjusted EBITDA for the full year turned negative at $(135.4) million, compared to a positive $555.7 million in 2024.

Hut 8 enters 2026 with a significantly altered portfolio and a strengthened balance sheet.

The company held approximately $1.4 billion in cash and Bitcoin reserves as of year-end and recently closed the sale of a 310 MW natural gas-fired power portfolio to TransAlta in February 2026.

This divestiture, combined with a newly established $400 million revolving credit facility at a weighted average cost of capital of 8.5%, is intended to fund an 8,500 MW development pipeline.