Q2 2026 results
| Metric | Result | Change |
|---|---|---|
| Revenue | $2.6 billion | up 112% year-over-year |
| Revenue Backlog | $104.2 billion | up 246% year-over-year |
| Adjusted EBITDA | $1.5 billion | doubled year-over-year |
| Adjusted Operating Income | $128 million | up from $21 million last quarter |
| Active Power | 1.5 gigawatts | added nearly 500 megawatts |
Guidance and outlook
- Q3 revenue is expected to be in the range of $3.45 billion to $3.6 billion.
- Q3 adjusted operating income is expected to be $200 million to $260 million.
- Full year 2026 revenue guidance is $12.4 billion to $13.2 billion.
- Full year 2026 adjusted operating income is expected to be $960 million to $1.15 billion.
- 2026 CapEx is expected to be in the range of $35 billion to $39 billion.
- Expected end of year annualized run rate revenue is $18.5 billion to $19.5 billion.
How management sounded
Confident (+8 on our -10 to +10 scale). Management reported record financial results, raised full-year guidance, and emphasized that demand continues to exceed supply across all sectors. Management sounded more upbeat than on 92% of the 190 calls we cover; most companies sound positive on their own calls, so the comparison says more than the label.
Q&A summary
Contract Renewals
Asked: Samik Chatterjee with JPMorgan asked about the strategy for renewing older contracts and customer intent regarding contract duration.
Answer: Management explained that older infrastructure remains valuable for many use cases, and they are using shorter-term contracts to extract higher margins while diversifying their customer base.
Supply Chain
Asked: Samik Chatterjee with JPMorgan asked about supply chain management and long-term agreements like the one with Solidigm.
Answer: Management emphasized their deep, long-standing relationships with OEMs, ODMs, and NVIDIA, noting that the value of their cloud output is outpacing input cost increases.
Managed Inference
Asked: Brad Zelnick with Deutsche Bank asked about learnings from the managed inference offering and how capacity is allocated.
Answer: Management noted the rapid growth of the service and explained that it allows them to utilize older GPU fleets to extract maximum value while meeting customer needs for flexibility.
Power and Regulatory Environment
Asked: Irvin Liu with Evercore ISI asked about the impact of data center regulatory pushback on the 8 gigawatt goal.
Answer: Management stated they are confident in their expansion plans, noting they engage collaboratively with local communities and that their current guidance remains unaffected by regulatory headwinds.
What to watch before the next call
- The ability to maintain sequential margin expansion through Q3 and Q4 as promised.
- The progress of the first self-build data center site expected to come online later this year.
- The actual realization of the $250 million managed inference ARR target by year-end.
