CoreWeave stock surged the most in 17 months after the AI computing infrastructure provider allayed concerns over its debt-heavy business model and indicated that revenue growth remains robust despite several challenges confronting the data centre industry.
The stock rallied 25% to close at $60.77 on Wednesday in New York, marking its biggest single-day gain since June 2025. However, the shares reversed some of those gains in after-hours trading, declining 6.37% to $56.90.
CoreWeave's consolidated revenue surged 168% year-on-year to $3.66 billion, surpassing the $3.55 billion estimate from LSEG analysts cited by Reuters by 3.1%. The revenue also exceeded the upper end of the company's guidance range of $3.60 billion. Its adjusted net loss per share narrowed to $0.95, better than the consensus estimate of a $1.16 loss.
Adjusted operating income stood at $379 million, exceeding the upper end of management's guidance by $119 million. Meanwhile, the company's total contracted revenue backlog increased to approximately $132.5 billion. CEO Michael Intrator described the quarter as a "breakout quarter" for the business.
Adjusted operating income nearly tripled to $379 million, translating into an…