Cipher Digital Q1 loss surges, stock rises on AI shift

Cipher Digital posted a $114M Q1 loss as bitcoin mining revenue fell, but shares rose nearly 10% on AI data center progress and ongoing project development.

Cipher Digital reported a net loss of $114 million in the first quarter, more than double its loss from the previous year. This decline was driven by a drop in bitcoin mining revenue, which fell to $35 million from $49 million. The company also reduced its bitcoin holdings to $76 million, down from $125 million, as it continued shifting focus toward AI and cloud infrastructure. Cipher signed its third AI data center campus lease with an investment-grade Hyperscale tenant, marking significant progress in its infrastructure transition. To support ongoing development, the company secured a revolving credit facility of up to $200 million. Despite the wider loss and lower revenue, Cipher Mining's stock rose 9.78% to $19.64. Market optimism was fueled by advancements in AI data center projects and the company's infrastructure pivot, with key initiatives like Barber Lake and Black Pearl remaining on schedule.