Core Scientific, as soon as the biggest Bitcoin [BTC] miner, has launched its Q3 2026 report, however on the similar time it has additionally introduced its plans to fully exit Bitcoin mining by the top of 2026.
During its Q3 2026 earnings name, Chief Financial Officer Jim Nygaard stated the corporate expects to full the mining wind-down within the fourth quarter and enter 2027 as a high-density colocation supplier.
This determination got here because the agency’s Q3 outcomes had been primarily pushed by the enlargement of its high-density colocation (HDC) enterprise, which helps AI and high-performance computing (HPC) workloads.
Core Scientific’s AI shift
Remarking on the same, CEO Adam Sullivan stated,
We are nearing full supply underneath our first colocation settlement whereas building underneath our second is underway throughout 5 campuses.
According to the studies, the corporate’s colocation revenue surged practically 60% quarter-over-quarter to $215.4 million, in contrast to $136.7 million in Q2 2026 and $15 million in Q3 2025.
In truth, its whole revenue additionally elevated to $232.9 million, up from $164.2 million within the earlier quarter and $81.1 million a yr earlier.
As of the thirtieth of September, Core Scientific was billing for 485 megawatts (MW) of capability, up from 395 MW within the earlier quarter, representing greater than $700 million in common annualized colocation revenue.
Core Scientific’s Q3 2026 outcomes
That stated, the corporate additionally reported internet revenue of $1.178 billion, in contrast to a internet lack of $1.15 billion in Q2 2026 and $144 million in Q3 2025.
Meanwhile, adjusted EBITDA greater than tripled quarter-over-quarter to $133.6 million, with its margin increasing to 57% from 25% within the earlier quarter. Core Scientific’s gross revenue additionally climbed to $123.3 million, in contrast to $70 million in Q2.
However, on the mining facet, self-mining revenue declined to $12.3 million from $21.5 million within the earlier quarter, whereas hosted mining revenue stood at $5.17 million. At the identical time, revenue from internet hosting gear for different Bitcoin miners additionally declined to $5.2 million from $8.7 million.
How all of it started?
For these unaware, Core Scientific started its AI infrastructure transition in 2024 via internet hosting agreements with CoreWeave, protecting 590 MW of capability, of which 485 MW was billable by September 2026. However, the transition additionally comes with challenges.
Core Scientific recorded $266.5 million in mining-related asset impairments in Q1 2026 amid weaker Bitcoin costs, low mining profitability, and declining gear values. It additionally recorded a $41.9 million loss after terminating mining gear agreements with Block and Proto in Q2.
That stated, Core Scientific is just not the one one, as, in accordance to AMBCrypto’s recent report, Bitcoin miners are more and more promoting BTC to fund operations whereas shifting their infrastructure in the direction of AI and HPC.
Miner’s November efficiency evaluation
This comes as miners swung from an enormous influx spike of about +7K BTC in early 2026 to an outflow of about -5.7K BTC in early November, whereas the worth slid from round $95K to $75.5K.
However, the most recent netflow has settled again to a small optimistic studying of about 179.4 BTC, which suggests the miner promoting strain has cooled.
Final Summary
- Q3 outcomes had been primarily pushed by the enlargement of its high-density colocation (HDC) enterprise.
- Core Scientific started its AI infrastructure transition in 2024 via internet hosting agreements with CoreWeave.
