Nebius Revenue Jumps 454% to $582 Million as GPU Contract Prices Reach $40 Million per MW
Updated
Updated · Morningstar · Aug 12
Nebius Revenue Jumps 454% to $582 Million as GPU Contract Prices Reach $40 Million per MW
3 articles · Updated · Morningstar · Aug 12
Summary
$582 million in second-quarter revenue marked 454% growth for Nebius, as average GPU contract value per megawatt climbed from $12 million early this year to $20 million in Q2.
Some third-quarter contracts are already being signed at $40 million per MW, with management favoring three-to-six-month deals to capture rising spot rates amid tight AI infrastructure supply.
Nebius still posted a negative 30% operating margin, but Morningstar said higher-priced contracts should lift profitability in late 2026 and 2027 and raised its fair value estimate to $150 from $120.
$30 billion in projected free-cash-flow burn over five years means Nebius will likely need more debt and equity funding, leaving its expansion highly sensitive to AI spending and investor sentiment.