The earnings miss and swing to loss underscore the company's exposure to Bitcoin price volatility and the early stage of its HPC/AI pivot. Monitor the next quarter for signs of HPC revenue generation and the renewal terms of the Arch Lending facility, which is short-dated and collateralized by Bitcoin.
Price Chart
Executive Summary
PowerCompute (PWCM) reported Q2 2026 revenue of $2.1M (+9.8% YoY) but missed consensus of $2.3M, and EPS of -$5.26 missed the -$3.50 estimate by 50%. The company swung to a net loss of $4.6M from a $0.1M profit a year ago, driven by $3M in fair value losses on Bitcoin and digital assets receivable. The strategic pivot to HPC/AI infrastructure is early-stage and not yet material, while the post-quarter refinancing of $18M debt at ~2% APR improves the capital structure but adds near-term liquidity risk.
Key Financial Metrics
Key Facts
- Q2 2026 revenue $2.12M vs consensus $2.3M (miss of 8%)
- EPS -$5.26 vs consensus -$3.50 (miss of 50%)
- Net loss of $4.6M vs net income of $0.1M in Q2 2025
- Mining margin contracted to 29% from 41% a year ago
- Bitcoin holdings of 318.6 BTC valued at ~$18.6M at June 30, 2026
- Post-quarter refinancing of $18M debt at ~2% APR (30-day revolving facility)
Financial Impact
Net loss of $4.6M; EPS -$5.26 vs consensus -$3.50; revenue $2.12M vs consensus $2.3M
Risk Factors
- Bitcoin price decline could trigger margin calls on the Arch Lending facility
- Short-term 30-day revolving debt facility creates liquidity risk
- HPC/AI pivot is proof-of-concept and not yet material to revenue
- Cash balance of $0.9M is low relative to operating losses
Market Snapshot
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3345233 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 6, 2026 21d ago | 8-K | $1.06 | awaiting T+20 | — | $0.6160 (−41.89%) |
Oct 6, 2026 21d ago | Press Release | $1.06 | awaiting T+20 | — | $0.6160 (−41.89%) |
Sep 30, 2026 27d ago | 8-K | $1.13 | awaiting T+20 | — | $0.6160 (−45.49%) |
Sep 23, 2026 4w ago | 8-K | $1.10 $0.6364 | ▼ −42.15% | ▼ −42.83% | $0.6160 (−44.00%) |
Sep 9, 2026 6w ago | 8-K | $1.19 $1.01 | ▼ −15.13% | ▼ −17.07% | $0.6160 (−48.24%) |
Aug 20, 2026 9w ago | 8-K | $1.34 $0.9800 | ▼ −26.87% | ▼ −26.87% | $0.6160 (−54.03%) |
Aug 14, 2026 10w ago | Press Release | $1.26 $1.02 | ▲ +19.05% | ▲ +17.06% | $0.6160 (+51.11%) |
Aug 14, 2026 10w ago | 8-K | $1.26 $1.02 | ▲ +19.05% | ▲ +17.06% | $0.6160 (+51.11%) |
Aug 7, 2026 11w ago | Press Release | $1.48 $1.18 | ▼ −20.27% | ▼ −19.87% | $0.6160 (−58.38%) |
Aug 5, 2026 11w ago | 8-K | $1.55 $1.11 | ▼ −28.39% | ▼ −27.79% | $0.6160 (−60.26%) |
US Market Status
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