CoreWeave surges on Q2 results as analysts highlight strengthening AI demand outlook

CoreWeave (NASDAQ:CRWV) shares jumped 19% to about $108 on Wednesday after the AI infrastructure provider reported second quarter results that topped Wall Street expectations, with analysts at Wedbush and Jefferies highlighting strong demand and the company's expanding backlog.

CoreWeave reported revenue of $2.575 billion for the quarter ended June 30, up from $1.212 billion a year earlier and slightly above the roughly $2.56 billion consensus estimate.

The company posted an adjusted loss of $1.03 per share, narrower than the expected loss of $1.13 to $1.20 per share.

The company reported a GAAP net loss of $626 million, or $1.14 per share, compared with a net loss of $290 million, or $0.60 per share, in the year-ago period.

Operating expenses increased to $2.624 billion from $1.193 billion, resulting in an operating loss of $49 million versus operating income of $19 million a year earlier.

CoreWeave said its revenue backlog stood at approximately $104 billion as of June 30, up from $99.4 billion at the end of the prior quarter.

The company also said it expanded active power by nearly 500 megawatts during the quarter to reach 1.5 gigawatts, while total contracted power grew to approximately 3.7 gigawatts.

"CoreWeave reached an important inflection point this quarter as our scale began to translate into expanding operating leverage,” CoreWeave CEO Michael Intrator said in a statement.

Wedbush analysts viewed the backlog growth as evidence that demand for AI infrastructure remains strong despite concerns about the industry's financing needs, datacenter capacity and cash flow.