NBIS · Nebius Group N.V.

Nebius Group N.V. delivered explosive Q1 2026 results with revenues surging 684% year-over-year to $399.0 million, driven primarily by its core AI cloud business which grew 841% YoY and 82% QoQ to $390 million. This acceleration reflects robust demand for AI infrastructure, evidenced by record pipeline generation up ~3.5x QoQ and deepening customer relationships with major partners like Meta and NVIDIA. Profitability metrics showed significant improvement: Adjusted EBITDA flipped to a $129.5 million profit from a $53.7 million loss, achieving nearly 45% margins in the AI cloud segment, demonstrating strong operating leverage as cost of revenues declined to 26% of revenues from 49%. GAAP net income from continuing operations swung to $621.2 million, boosted by robust execution across Nebius AI cloud, Avride, and TripleTen, while Toloka was reclassified to discontinued operations post Q2 2025 deconsolidation. Operating expenses scaled but as a percentage of revenues dropped sharply, with total operating costs at 132% of revenues versus 336% prior year, highlighting efficiency gains. Cash generation was exceptional at $2.258 billion from operations, funding $2.473 billion in property and equipment purchases to support capacity expansion. Balance sheet strengthened with cash and equivalents at $9.3 billion as of March 31, 2026, bolstered by $6.3 billion raised including NVIDIA's $2 billion equity investment. Management raised 2026 guidance to $3.0-3.4 billion revenue and $7-9 billion ARR, with contracted power exceeding 4 GW by year-end, including a new 1.2 GW owned AI factory in Pennsylvania. Strategic acquisitions of Eigen AI, Clarifai, and Tavily enhance inference and agentic capabilities, positioning Nebius for full-stack AI leadership amid unprecedented market demand.