Key Takeaways
- First quarter revenue reached $2.08 billion, representing 112% year-over-year growth and exceeding the $1.97 billion forecast
- Second quarter revenue projection of $2.45B–$2.60B fell short of the Street’s $2.69 billion expectation
- Net loss expanded to $740 million compared to $315 million in the prior-year period
- Total revenue backlog climbed to approximately $100 billion, gaining $33 billion quarter-over-quarter
- Shares declined more than 5% during Friday’s premarket session
CoreWeave delivered yet another period of explosive revenue expansion, but the market reaction told a different story. Shares tumbled more than 5% in premarket activity Friday following the company’s disappointing second quarter revenue projections.
CoreWeave, Inc. Class A Common Stock, CRWV
First quarter revenue totaled $2.08 billion, marking a 112% increase from the year-ago quarter and surpassing the Street’s $1.97 billion projection. However, the strong top-line performance couldn’t offset concerns about profitability and the underwhelming outlook for the current quarter.
Management issued second quarter revenue guidance in the range of $2.45 billion to $2.60 billion. Wall Street analysts had been modeling $2.69 billion. The shortfall triggered an immediate selloff when the forecast was announced during Thursday afternoon’s earnings conference call.
The quarterly net loss ballooned to $740 million versus $315 million in the comparable quarter last year. Interest expenses alone reached $536 million — representing 26% of total quarterly revenue.
Per-share loss stood at $1.40. Though this represents an improvement from the $1.49 recorded twelve months earlier, it still fell short of the analyst consensus of $0.91.
Capital Investment Continues to Escalate
Full-year capital expenditure projections were increased by approximately $500 million at the midpoint, now ranging from $31 billion to $35 billion. Company leadership attributed the adjustment to rising component costs. The first quarter alone saw $7 billion in capital spending, with an additional $7 billion to $9 billion projected for the second quarter.
The company closed Q1 carrying $25 billion in outstanding debt alongside $10 billion in lease obligations. Additionally, CoreWeave has committed to $38.5 billion in future lease payments. During 2026, the company has secured over $21 billion through various financing mechanisms including equity offerings, credit facilities, and debt instruments.
The company’s newest major loan features a floating rate near 6%, representing favorable terms. The weighted average interest rate has decreased by 0.8 percentage points year-to-date, following a three-point reduction throughout 2025.
Order Book Continues Expanding
A particularly noteworthy metric: the revenue backlog now approaches $100 billion, having increased by $33 billion during the three-month period. CEO Michael Intrator characterized it as the company’s most successful bookings quarter to date.
Microsoft continues as the primary customer, representing approximately two-thirds of 2025 revenue. However, expanding partnerships with Meta Platforms and OpenAI are expected to diversify the customer concentration in coming periods.
Jefferies analysts highlighted the second-half profitability trajectory as a critical factor to monitor — management projects only $81 million in adjusted operating profit during the first half versus $919 million in the second half. This represents a significant acceleration that will require flawless execution.
The company also crossed the 1 gigawatt threshold for active power capacity and has established a target exceeding 8 GW by 2030.
Full-year revenue and profitability guidance remained intact, with only capital expenditure projections being modified. Analyst consensus anticipates annual revenue of $12.5 billion for the current fiscal year.
