WhiteFiber, Inc. (NASDAQ:WYFI) shares are surging on Wednesday after the company reported strong second-quarter results.

The company reported a loss of $0.39 per share, narrower than the $0.41 analyst estimate. Also, revenue reached $28.84 million, topping the $19.34 million consensus.

Earnings Snapshot

Revenue rose 54% year over year, driven by a 43% increase in Cloud Services revenue to $23.8 million and a 173% jump in Colocation revenue to $4.7 million.

Cloud Services revenue included approximately $12.3 million related to a previously disclosed customer termination. Gross profit excluding D&A was $17.1 million, with a 59.4% margin, in the quarter.

Operating loss stood at $9.3 million versus a loss of $9.2 million a year earlier. Adjusted EBITDA rose 69% year over year to $5.5 million in the quarter.

Colocation remaining performance obligations stood at approximately $932.9 million as of June 30, 2026, primarily tied to the NC-1 agreement. Cash and restricted cash totaled $60.4 million at the end of the quarter.

Contracts

New multi-year cloud agreements signed since the previous earnings call exceed $540 million in aggregate contract value, with the portfolio expected to generate more than $200 million in annualized revenue once fully deployed.

This includes a $165 million Base 10 agreement for 1,392 NVIDIA B300 GPUs in Ontario, a $108 million Prime Intellect agreement for 576 NVIDIA Vera Rubin 200 GPUs in Canada, a Paris deployment worth more than $160 million and an $87.5 million Iceland agreement for 576 NVIDIA B300 GPUs.

WhiteFiber is expanding its capital-light managed-services model and has secured exclusive access to 100 MW of liquid-cooled colocation capacity from 2027 through Cranboo.

Its networking technology achieved 111.2 Tbps of bandwidth and sub-millisecond latency across 83 km, with commercial launch targeted for September 2026.

Key Updates

WhiteFiber invested approximately $83.2 million in project-level equipment and bridge financing to support infrastructure growth. NC1 has entered customer deployment, with 20 MW available for installation and testing. Initial billing has begun, with full run-rate billing for the contracted 40 MW expected by the end of August following the resolution of switchgear and commissioning issues.

Read Also: WhiteFiber Stock Gains Monday Following Executive Leadership Transition

NC1’s 10-year contract represents approximately $865 million in revenue. WhiteFiber expects an additional 45 MW from Duke Energy and is evaluating another 200 MW, potentially expanding the site to about 300 MW. MTL2 targets roughly 5 MW by year-end 2026, with colocation and integrated cloud-service options under review.

The company is seeking secured financing for NC1 to recycle capital into future projects. Its next opportunity could deliver 60 MW in 2027 and scale beyond 250 MW. Management continues to pursue a "retrofit-first" strategy focused on reliable power, long-term contracts, investment-grade customers, rapid deployment and financeable projects.

WYFI Price Action: Whitefiber shares were up 16.60% to $28.24 at the time of publication on Wednesday, according to Benzinga Pro data.

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