AI Cloud Nearly Tripled; Bitcoin Kept Shrinking
IREN's investor relations release put total revenue at $228 million for the quarter ended September 30, 2026, up 66% from $137 million in the prior quarter. AI Cloud revenue was $200 million, up 182% from $71 million, split between $135 million of AI Cloud services and $65 million of AI Cloud lease revenue. Bitcoin mining revenue fell to $28 million from $67 million. Adjusted EBITDA was $66 million, up from $19 million. Net loss narrowed to $263 million from $684 million. CNBC cited a LSEG consensus near $221 million of revenue, so the top line cleared the Street on a sequential rebound that was almost entirely an AI Cloud story.
Co-founder and co-CEO Daniel Roberts said Horizon 1 went into service for Microsoft with NVIDIA Exemplar status and that operating ARR doubled to a billion. Revenue backlog rose 22% sequentially to $20.3 billion, with about two-thirds tied to investment-grade counterparties. The release also flagged post-quarter contracts at about $22 million per IT-megawatt on a five-year deal with 90% of associated GPU capex prepaid by the customer, and a short-term contract at $40 million per IT-megawatt.
Microsoft Moved the $4 Billion ARR Clock
The line that mattered most for the narrative was timing, not the quarter just reported. IREN said its more-than-$4 billion ARR target, previously year-end 2026, is now targeted for January 2027 after a customer-requested design change and supplier timing, and may extend to the end of February 2027. The company said that ARR target is fully contracted and fully funded. On the earnings call, CNBC reported, Roberts identified Microsoft as the customer and said the request was to reconfigure and upgrade network infrastructure so about 200 megawatts of capacity could service latest-generation frontier models. ARR is an operating metric, not GAAP revenue, and recognized revenue may be materially lower.
The same release sketched $15 billion of remaining planned fiscal 2027 capex from September 30, with $9 billion covered by cash and committed GPU financing and prepayments and $6 billion described as target financing subject to market conditions. In a week when AI infrastructure stocks were already under pressure on financing and delivery questions, a customer-driven delay of a headline ARR date is the kind of print that can dominate the tape even when sequential revenue beats.
Ten Percent After Hours Inside a Fifteen-to-Eighteen-Percent Weekly Range
Delayed Cboe quotes Thursday evening showed the November 6 $18 call near a $1.42 midpoint and the $18 put near a $1.36 midpoint, a straddle near $2.78, or about 15.4% of the $18.03 close. Break-evens on that midpoint sit near $15.25 and $20.81. An after-hours print near $19.93 is still inside the upper break-even. EarningsMoves had tracked an implied move near 18.0% on the November 6 chain into the report when the stock was still near $24 in late October, and TipRanks listed IREN's prepaid move near ±16.4% among Thursday's after-close names. Both are consistent with a mid-teens to high-teens event range that Thursday's after-hours bounce has not cleared.
IREN's path into the print mattered as much as the rebound. From Wednesday's $21.71 close to Thursday's $18.03 cash close, the stock fell about 17% before the after-hours bounce toward $20. From Wednesday's close to an after-hours print near $19.93, the cumulative decline is still about 8%. Those are post-selloff reference quotes, not the pre-earnings chain at $24: spreads are wide, after-hours stock prints can fade or extend before Friday's open, and equity options do not trade until 9:30 AM ET.
Neocloud Event Premium After a Session Rout
Names tied to AI cloud build-outs carried rich event premium into this week, and Thursday's tape showed how that premium can be spent across both the cash session and the print. Short puts written into the report faced gap risk on the way into the close; long puts that paid on the cash-session drop can still lose time value once implied volatility resets after the event, especially if the after-hours bounce holds into Friday. Short straddles that collected the mid-teens weekly premium are less stressed while the after-hours print stays inside the prepaid range, but they remain exposed if Friday's open retests either the cash-session low or pushes through the upper break-even. Our implied volatility guide covers post-event IV behavior, and the OCC options disclosure document explains the risks of standardized options, including assignment.
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*By the OptionsPilot Editorial Team. Published November 5, 2026, 5:23 PM PT. This article is for education only and is not investment advice. Options involve risk and are not suitable for all investors.*
