Nebius Q3 Revenue Jumps 571% to $980.8M as Capex Guidance Rises

Nebius Group (NBIS) reported third-quarter revenue of $980.8 million on Thursday, up 571% from $146.1 million a year earlier and 68% from the second quarter, beating the LSEG consensus estimate of $907.5 million, according to CNBC.

The Amsterdam-based AI cloud company posted a net loss from continuing operations of $37.5 million, or 13 cents a share, against a loss of $119.6 million, or 50 cents a share, a year earlier, CNBC said. Adjusted EBITDA rose to $465.8 million, a 47% margin, from a loss of $5.2 million a year earlier, according to MLQ.ai.

About $325 million of the quarter's revenue was non-recurring, recognized from the first phase of an asset-light model in which partners fund capacity that runs Nebius's architecture and cloud platform, MLQ.ai said. Without it, revenue would have been roughly $656 million, still about 13% above the second quarter's $582.3 million.

Nebius lowered its 2026 outlook: revenue is now expected at the low end of the $3.0 billion to $3.4 billion range, and annualized run-rate revenue of $7 billion to $9 billion originally targeted for December is now expected to be above $7 billion in February, about two months later. The company attributed the shift to colocation sites run by third parties, where delivery dates at several sites moved into the first half of 2027, including a New Jersey campus built for Microsoft (MSFT). Nebius said it now expects to have delivered more than half the contracted capacity there by year-end, with the rest scheduled for the second quarter of 2027 after the site operator, DataOne, began retiring temporary generation.

Capital spending rose sharply. Purchases of property, equipment and intangibles reached $7.3 billion in the quarter, bringing nine-month capex to $15.4 billion. Nebius now expects 2026 capex of about $27 billion, above its previous $20 billion to $25 billion range and the FactSet expectation of $23.85 billion, and 2027 capex of $40 billion to $45 billion.

For 2027, Nebius guided to revenue of $12 billion to $13 billion and said it expects to reach pre-tax breakeven by the end of that year. Customer prepayments on third-quarter deals covered more than 100% of the associated capex, up from 50% to 60% in the second quarter, and customers committed more than $12 billion of contract value since the start of the third quarter, according to the company's shareholder letter.

Nebius ended September with $7.4 billion of cash and about $14.2 billion of debt, and had $9.4 billion of deferred revenue on its balance sheet, MLQ.ai said. It raised $5.75 billion of convertible notes in August and about $1.0 billion from its at-the-market share program in the third quarter, plus a $3.5 billion secured facility from Citi in October.

In delayed trading, Nebius (NBIS) was at $154.69, up 15.44%. CoreWeave (CRWV), a fellow neocloud, reported third-quarter revenue of $3.66 billion a week earlier and raised its 2026 outlook.

The next dated event is the company's webcast with analysts at 8 a.m. ET on Thursday to discuss the results and guidance.