IREN moved its goal for more than $4 billion in annual recurring revenue (ARR) from 2026 to January 2027 or later after a customer-requested network change and supplier timing delayed the expected revenue.
IREN attributed the shift to the customer request and supplier timing. On the earnings call, co-CEO Daniel Roberts said Microsoft sought network upgrades so IREN could support 200 megawatts of capacity for the latest-generation frontier models. IREN said the ARR target is contracted and funded. It said payment timing could extend into February.
In the fiscal 2027 first quarter, IREN's revenue rose 66% from the preceding quarter to $228 million. AI Cloud generated $200 million, more than twice its previous-quarter revenue, while IREN's net loss fell to $263 million from $684 million in the preceding quarter. The backlog of contracted revenue stood at $20.3 billion, 22% above the preceding period, IREN said. It put the investment-grade share at roughly two-thirds.
CNBC reported that IREN's stock was down 55% over the month before results, then moved higher in extended trading. The outlet also reported investor concern that neocloud companies reliant on borrowing may struggle to fund expansion as interest rates rise and lenders step back. Those concerns echo earlier EconoTimes coverage of neocloud share declines and debt-funded expansion.
IREN plans $15 billion in capital expenditures for the rest of its fiscal year. The company said $9 billion is backed by cash and committed financing; the remaining $6 billion is expected through target financing that depends on market conditions. IREN also said it has left some of next year's GPU purchases unfinished to limit risk.
CNBC reported that CoreWeave is scheduled to report earnings Tuesday, Nov. 10, and Nebius on Thursday, Nov. 12.
