"CoreWeave had a third quarter that underscored its standing as one of the fastest-growing companies in AI infrastructure. Revenue surged 134% year-over-year to $1.36 billion, beating estimates by nearly 10%. Backlog nearly doubled to $55 billion - a milestone CEO Michael Intrator called "faster than any cloud in history." Yet, below the top line, profitability remains the weak spot. Operating income dropped 56% to $51.9 million, while adjusted operating margin slipped to 16%."
"CoreWeave's balance sheet is powering its rapid scale-up - at a price. Interest expense hit $311 million last quarter, triple last year's level, as the company leaned on new facilities and a $1.75 billion senior note offering to finance capital spending. Year-to-date, CoreWeave has raised roughly $14 billion through debt and equity, with no major maturities until 2028. Management said it expects 2025 CapEx of $12 - 14 billion."
CoreWeave posted Q3 revenue of $1.36 billion, a 134% year-over-year increase that beat estimates, while EPS was negative $0.22. Backlog nearly doubled to $55 billion, and the company positioned itself as a rapidly scaling AI infrastructure provider. Operating income fell 56% to $51.9 million and adjusted operating margin declined to 16% amid rising infrastructure costs and deployment delays. Interest expense rose to $311 million as CoreWeave financed expansion with debt and a $1.75 billion senior note, raising roughly $14 billion year-to-date. Management plans very large CapEx in 2025-26, leaving the company heavily leveraged and dependent on sustained AI demand and capital access.
Read at 24/7 Wall St.
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