Hut 8 Stock Drops After Revenue Miss Despite Growing AI Business

Shares of Hut 8, a bitcoin miner turned AI infrastructure developer, fell as much as 8% in early Tuesday trading after second quarter revenue landed slightly below Wall Street forecasts, overshadowing progress on its data center expansion.

The company reported revenue of $74.9 million, nearly double last year’s $41.3 million but under the roughly $80 million analysts expected. Hut 8 also posted a net loss of $177.1 million, mostly tied to $138.6 million in unrealized losses on its digital asset holdings.

AI Pipeline Keeps Growing

The company’s AI data center development pipeline expanded to about 8.7 gigawatts, up 300 megawatts from the prior quarter. Its contracted AI infrastructure portfolio now totals 949 megawatts with an expected contract value of $26.6 billion. Management said eleven potential sites, averaging more than 650 megawatts each, are currently under evaluation.

Bitcoin Strategy Shifts

The CEO said demand for AI capacity remains strong, dismissing concerns about a slowdown. He also confirmed future bitcoin exposure will shift primarily to Hut 8’s majority-owned subsidiary, American Bitcoin, rather than the parent company’s own balance sheet.