AI Takeaway
RIOT reported a modest 3.6% revenue increase to $167.2M in Q1 FY2026, but operating losses deepened sharply to -$499.9M (down 113.7% YoY), driven by surging costs and impairments, resulting in a net loss of -$500.5M and EPS of -$1.44.
Revenue
$167.22M
++3.61% YoY
EPS (Basic)
$-1.44
-60.00% YoY
Operating Income
$-499.87M
-113.73% YoY
Filed · Analysis updated · Source: SEC EDGAR 10-Q filing
Total revenue grew 3.6% YoY to $167.2M in Q1 FY2026 from $161.4M in the prior-year period, suggesting limited top-line momentum despite ongoing Bitcoin mining operations and data center hosting activities.
Source: Source: 10-Q Income Statement
Operating loss widened dramatically to -$499.9M from -$233.9M in Q1 FY2025, a 113.7% deterioration YoY, with operating margin collapsing to -298.9% from -144.9%, indicating significant cost pressures or non-cash charges such as impairments overwhelming revenue.
Source: Source: 10-Q Income Statement
Selling, General & Administrative expenses increased 6.6% YoY to $76.2M from $71.4M, reflecting ongoing overhead growth that outpaced revenue expansion and contributed to margin compression.
Source: Source: 10-Q Income Statement
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Upgrade to unlockRIOT's operating cash outflow worsened to -$182.7M in Q1 FY2026 from -$122.1M a year ago, a 49.6% deterioration. With an operating margin of nearly -299%, the company is consuming cash at a rate that significantly exceeds its revenue generation, raising sustainability concerns if Bitcoin prices or mining economics deteriorate further.
Source: Source: 10-Q Cash Flow Statement & Income Statement
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Upgrade to unlockReported EPS of $-1.44 versus the $-0.60 analyst consensus — a -138.2% miss for Q1 FY2026.
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue | $167.22M | $161.39M | +3.61% |
Operating Income | $-499.87M | $-233.87M | -113.73% |
Net Income | $-500.48M | $-296.37M | -68.87% |
EPS (Basic) | $-1.44 | $-0.90 | -60.00% |
EPS (Diluted) | $-1.44 | $-0.90 | -60.00% |
SG&A Expense | $76.18M | $71.45M | +6.62% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $3.44B | $3.72B | -7.56% |
Current Assets | $462.67M | $449.56M | +2.92% |
Total Liabilities | $1.04B | $774.18M | +34.76% |
Current Liabilities | $429.32M | $139.3M | +208.19% |
Stockholders' Equity | $2.39B | $2.94B | -18.68% |
Cash & Equivalents | $205.67M | $163.72M | +25.62% |
Long-Term Debt | $5.01M | $5.32M | -5.90% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash Flow | $-182.65M | $-122.06M | -49.64% |
Investing Cash Flow | $157.79M | $-59.23M | +366.42% |
Financing Cash Flow | $-2.39M | $67.86M | -103.53% |
Share Buybacks | $2.02M | $484,000 | +317.36% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Margin | -298.9% | -144.9% | -154.02% |
Net Margin | -299.3% | — | — |
ROE | -20.9% | — | — |
ROA | -14.6% | — | — |
Current Ratio | $1.078 | — | — |
Debt to Equity | $0.436 | — | — |
RIOT reported Q1 FY2026 revenue of $167.2M, up just 3.6% YoY, but posted a massive net loss of -$500.5M, nearly double the -$296.4M loss from a year ago. Operating losses widened to -$499.9M with an operating margin of -299%, suggesting large non-cash charges such as impairments significantly impacted results. EPS came in at -$1.44, worsening from -$0.90 in Q1 FY2025.
Despite modest revenue growth of 3.6% to $167.2M, RIOT's operating loss more than doubled YoY to -$499.9M, implying that costs — likely including non-cash impairments or write-downs on mining equipment or digital assets — surged dramatically. Operating cash burn also worsened 49.6% to -$182.7M, indicating real cash costs also increased. SG&A alone rose 6.6% to $76.2M, adding to the pressure.
RIOT's financial health shows signs of stress: its current ratio is a thin 1.08x after current liabilities tripled YoY to $429.3M, and stockholders' equity declined 18.7% to $2.39B. However, the company holds $205.7M in cash (up 25.6% YoY) and long-term debt remains very low at just $5.0M, providing some near-term buffer. Sustained operating losses of this magnitude will require ongoing monitoring of liquidity.
RIOT's cash and equivalents increased 25.6% YoY to $205.7M, supported by strong investing cash inflows of +$157.8M (compared to -$59.2M a year ago), likely from asset sales. However, operating cash flow remained deeply negative at -$182.7M, meaning the company is not generating cash from its core mining operations and is relying on asset monetization to maintain its cash balance.
Based on the financial data, RIOT faces significant risks including deepening operating losses with a -299% operating margin, a sharp 208% surge in current liabilities that has compressed the current ratio to just 1.08x, and heavy exposure to Bitcoin price and mining difficulty fluctuations. The dramatic widening of losses relative to modest revenue growth also suggests potential large non-cash impairments on its $3.44B asset base, which could continue to erode equity.