$CIFR · Cipher Digital Inc.
Cipher Digital filed an 8-K reporting Q3 2026 results: $26.7M in revenue, its first HPC lease revenue, and Adjusted EBITDA of negative $10M. The Barber Lake lease was expanded to a 20-year term with total contracted revenue now at approximately $9.1 billion. The company also completed an $850M convertible notes offering and equitized ~$165.9M of older notes.
- Q3 2026 revenue of $26.7M with first-ever HPC lease revenue recognized following rent commencement at Black Pearl.
- Barber Lake lease amended to 20-year term, increasing total contracted revenue to approximately $9.1 billion.
- Adjusted EBITDA was negative $10M for Q3 2026, compared to positive $40.8M in Q3 2025.
- Completed $850M offering of 0.000% convertible senior notes due 2032; equitized ~$165.9M of 1.750% notes due 2030.
- Development pipeline totals ~5.9 GW; received conditional base load classification for 1 GW at Colchis via ERCOT Batch Zero.
Markets closed — no regular-session reaction yet; extended-hours move not captured here. Stock closed at $7.29, down 10% on the day before the filing, suggesting pre-release positioning or sector-wide pressure.
Cipher's $9.1B Barber Lake contract and first HPC revenue mark a pivotal transition from bitcoin miner to hyperscale data center platform, but negative Adjusted EBITDA and heavy convertible debt issuance raise execution-risk questions.
Cipher's pivot from bitcoin mining to HPC data center development mirrors peers like CoreWeave and Crusoe, but the $9.1B contracted revenue figure and 5.9 GW pipeline place it among the most ambitious hyperscale buildouts in the sector.
Adjusted EBITDA swung from +$40.8M in Q3 2025 to -$10M in Q3 2026, driven by surging interest expense ($59M vs $1.3M YoY) and share-based compensation ($26.6M vs $9.1M). The $9.1B Barber Lake contract is contingent on phased delivery milestones and tenant compute deployment schedules.