TeraWulf: AI leasing now makes up 83% of revenue as mining recedes

what happened

According to NewsBTC, TeraWulf's third-quarter report, published on November 6, shows $63 million of revenue from high-performance computing leases. That is roughly 83% of the company's $76.2 million total, so the Nasdaq-listed firm now looks more like an AI infrastructure operator than a bitcoin miner.

The company still runs mining equipment at its Lake Mariner site, but part of the campus is being converted to host contracted computing workloads. At quarter-end, 102 megawatts of revenue-generating IT capacity were operating there, and another 336 megawatts were under construction. Reported net income of about $709.9 million reflects a significant gain tied to warrant valuations, while adjusted EBITDA was a loss of roughly $12.8 million.

Larger projects are also in the pipeline: a 20-year lease with Anthropic for about 401 megawatts in Kentucky, worth roughly $19 billion over the initial term, with phased service expected from late 2027.

why it matters

For miners, profitability depends on difficulty, the coin price and power costs. Moving part of a site to leases reduces exposure to those factors, but it turns the company into a construction and financing story. The source flags completed megawatts, rent commencement, capex against guidance and cash generation as the milestones to watch.

market impact

TeraWulf and other miners: revenue shifting to AI leases lowers exposure to bitcoin price and difficulty

tags

instruments