HIVE will retain ownership of the GPU infrastructure after the five-year agreement expires, creating a potential long-lived asset base that could generate revenue beyond the initial contract term. Once fully deployed in Q4, the company projects its HPC and AI business will generate approximately $500,000 in daily revenue.
This marks HIVE's second large NVIDIA cluster deal in two months. In June, BUZZ HPC secured a three-year, $220 million agreement with Bell Canada and Cohere involving 4,608 NVIDIA GB200 GPUs. Together, the two contracts represent a rapid acceleration of HIVE's pivot from pure Bitcoin mining toward dual-revenue operations combining digital currency and AI infrastructure services.
The company's first quarter of fiscal 2027, ended June 30, 2026, showed total revenue of $79.1 million, up 73.5% year-over-year. Digital currency operations contributed $72.1 million, driven by 1,004 Bitcoin produced as the average operational hashrate expanded to 24.0 EH/s from 8.7 EH/s a year earlier. BUZZ HPC revenue reached $7.1 million, up 52.1% sequentially, while contracted GPU cloud annual run-rate revenue stood at approximately $110 million as of the quarter end.
A GAAP net loss of $142.9 million was reported, driven primarily by non-cash charges including an $84.7 million provision for regulatory liabilities related to a Swedish VAT dispute, $53.7 million in depreciation, and $7.1 million in share-based compensation. Gross operating margin improved to 30.6% from 24.4% in the prior quarter.