Bitcoin News Today: Bitcoin Miners Turn to AI as IREN Diversifies to $1 Billion

Bitcoin miner IREN, formerly known as Iris Energy, has made significant strides toward achieving $1 billion in annualized revenue from Bitcoin mining under current economic conditions. In its latest quarterly report, the firm posted revenue of $187.3 million, net income of $176.9 million, and EBITDA of $241.4 million, reflecting strong operational and financial performance [1]. Co-CEO Daniel Roberts highlighted FY25 as a breakthrough year, emphasizing record results that included over tenfold EBITDA growth [1]. The firm is now on track to surpass $1 billion in annualized Bitcoin mining revenue, a threshold that positions IREN as a key player in the cryptocurrency sector.

The company has also been repositioning itself within the digital infrastructure landscape by expanding its AI cloud services. In addition to $1 billion in Bitcoin mining revenue, IREN reported approximately $250 million in annualized revenue from its AI cloud business [1]. A notable development is the firm's ongoing shift from using ASICs for Bitcoin mining to deploying GPUs for AI-related operations across multiple mining centers, including in British Columbia [1]. This strategic pivot is part of a broader plan to diversify revenue streams and align with growing demand for high-performance computing.

To support its AI expansion, IREN announced the procurement of 4,200 additional Nvidia Blackwell B200 GPUs, bringing the total GPU count at its Prince George site in British Columbia to 8,500. The GPU fleet now includes a mix of H100, H200, B200, and B300 models [3]. The company is currently finalizing financing for these new purchases, with the initial investment drawn from existing cash reserves. IREN also secured $102 million in 36-month leases for its previous GPU fleet, with lease terms structured at a "high single-digit interest rate" [3]. These arrangements reflect the company’s strategy to scale its AI infrastructure without diluting equity.

IREN’s focus on AI has contributed to a dramatic stock price surge of 304 percent since April, reversing a 62 percent decline in 2024 [3]. The firm’s share price closed at $23.02 in recent trading, with a market capitalization of $5.4 billion [1]. Institutional investor activity has also reflected heightened interest in IREN, with several major hedge funds adjusting their positions in the company’s stock during the most recent quarter [2]. Notably, FMR LLC and Jane Street Group increased their holdings significantly, while others, including D.E. Shaw & Co., reduced their stakes [2].

The company’s Bitcoin production in July reached 728 BTC, surpassing rival MARA, which reported 703 BTC [1]. IREN has also continued to improve its fleet utilization, with over 90 percent of its mining equipment currently active. Analysts have responded positively to the company’s trajectory, with multiple firms issuing “Buy” or “Outperform” ratings in recent months [2]. Price targets for the stock have varied, with estimates ranging from $16 to $23 [2]. As IREN advances in its AI cloud initiatives and Bitcoin mining operations, the company remains in a strong position to capitalize on both sectors' growth potential.

Source:

[1] IREN on track to $1 billion in annualized bitcoin mining revenue (https://www.theblock.co/post/368718/iren-on-track-to-1-billion-in-annualized-bitcoin-mining-revenue)

[2] Iris Energy Limited Stock (IREN) Opinions on Revenue Growth and Expansion Plans (https://www.quiverquant.com/news/Iris+Energy+Limited+Stock+%28IREN%29+Opinions+on+Revenue+Growth+and+Expansion+Plans)

[3] IREN doubles GPU fleet as AI cloud expansion continues (https://www.datacenterdynamics.com/en/news/iren-doubles-gpu-fleet-as-ai-cloud-expansion-continues/)