IREN Ltd. (IREN) has emerged as one of the year’s most talked-about technology and infrastructure stocks, after reporting record revenue and profits while making bold moves into artificial intelligence.
Once known almost exclusively as a Bitcoin miner, the Sydney-based company is rapidly transforming into a dual-powered business: securing its place as both a leader in large-scale mining and a growing force in AI cloud computing.
For fiscal year 2025, IREN posted $501 million in revenue, nearly triple last year’s figure. Net income reached $86.9 million, a sharp turnaround from the prior year’s $28.9 million loss. Shares surged more than 15% following the announcement, adding to a gain of over 120% year-to-date.
Bitcoin Mining Still the Backbone
Despite its diversification, Bitcoin mining continues to account for the vast majority of IREN’s revenue. In the fourth quarter alone, mining generated $180 million, powered by the company’s 50 exahash (EH/s) fleet—an industry-leading scale.
Efficiency remains a standout advantage. IREN operates at just $0.035 per kilowatt hour, with machines running at 15 joules per terahash, positioning it among the most profitable miners in the public markets. Annualized, the mining unit is producing more than $1 billion in revenue, providing a strong base of cash flow to fund expansion elsewhere.
However, management has paused major new mining buildouts. With Bitcoin mining capacity now largely stabilized, IREN is signaling that future growth will depend on its newer business lines.
Despite its diversification, Bitcoin mining continues to account for the vast majority of IREN’s revenue. In the fourth quarter alone, mining generated $180 million, powered by the company’s 50 exahash (EH/s) fleet—an industry-leading scale.
Efficiency remains a standout advantage. IREN operates at just $0.035 per kilowatt hour, with machines running at 15 joules per terahash, positioning it among the most profitable miners in the public markets. Annualized, the mining unit is producing more than $1 billion in revenue, providing a strong base of cash flow to fund expansion elsewhere.
However, management has paused major new mining buildouts. With Bitcoin mining capacity now largely stabilized, IREN is signaling that future growth will depend on its newer business lines.
Betting Big on Artificial Intelligence
The most dramatic shift comes from IREN’s aggressive push into AI infrastructure. The company reported $7 million in AI cloud revenue in Q4, still modest compared with mining, but it has set an ambitious target: $200–$250 million in annualized AI cloud revenue by December 2025.
That goal is underpinned by a spree of Nvidia GPU purchases totaling more than $360 million in recent weeks, bringing IREN’s AI fleet to 10,900 GPUs. Importantly, IREN also achieved “Preferred Partner” status with Nvidia (NVDA), which not only ensures a steady supply of chips but also enhances technical and sales support.
The most dramatic shift comes from IREN’s aggressive push into AI infrastructure. The company reported $7 million in AI cloud revenue in Q4, still modest compared with mining, but it has set an ambitious target: $200–$250 million in annualized AI cloud revenue by December 2025.
That goal is underpinned by a spree of Nvidia GPU purchases totaling more than $360 million in recent weeks, bringing IREN’s AI fleet to 10,900 GPUs. Importantly, IREN also achieved “Preferred Partner” status with Nvidia (NVDA), which not only ensures a steady supply of chips but also enhances technical and sales support.
New data center projects—such as Horizon 1 in Childress, Texas—are being built to host these GPUs, with the first phase expected online by late 2025. The infrastructure is designed for flexibility, accommodating both air-cooled and liquid-cooled systems, with the ability to scale up to 200 kilowatts per rack for future high-density chips.
High Potential, High Stakes
IREN’s transformation offers investors both excitement and risk. On one hand, the company now boasts a robust balance sheet, with $565 million in cash and $2.9 billion in assets, plus secured financing that covers 100% of GPU capital expenditures. Its ability to finance expansion without diluting shareholders is a clear positive.
On the other hand, the AI infrastructure market is intensely competitive, and success hinges on flawless execution of large-scale projects. Rising operating costs, which reached $114 million last quarter, highlight the challenges of scaling.
Conclusion
With Bitcoin mining delivering reliable cash flow and AI cloud computing poised for explosive growth, IREN is quickly becoming a hybrid story that straddles two of the most dynamic industries today. If management delivers on its AI targets, the company could move from being one of the largest Bitcoin miners to a formidable player in the fast-growing AI infrastructure space. For investors, IREN is no longer just a crypto stock—it’s a high-growth data infrastructure story with both promise and pressure riding on execution.
With Bitcoin mining delivering reliable cash flow and AI cloud computing poised for explosive growth, IREN is quickly becoming a hybrid story that straddles two of the most dynamic industries today. If management delivers on its AI targets, the company could move from being one of the largest Bitcoin miners to a formidable player in the fast-growing AI infrastructure space. For investors, IREN is no longer just a crypto stock—it’s a high-growth data infrastructure story with both promise and pressure riding on execution.
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