Iren's Bitcoin Business Still Dominates Despite Shift to AI

Iren's shift to AI services is still heavily reliant on its Bitcoin mining business. According to the company's fiscal 2026 results, 82% of its revenue came from hashing Bitcoin.

The results show that Iren generated $707 million in revenue for the year, with $578.2 million coming from mining Bitcoin. In contrast, AI Cloud Services accounted for just $128.8 million. This is despite the company's efforts to pivot towards AI and away from its traditional Bitcoin mining business.

Iren has written down $638.8 million worth of mining rigs as part of its transition to AI. However, this write-down is non-cash and represents an accounting charge rather than a real loss. The company still has 380MW of installed Bitcoin mining capacity, which it aims to convert to AI workloads by the end of the year.

Iren's revenue growth is tied to its ability to deploy new data centers and get customers to sign off on their deployments. The company has contracted $4 billion in annualized run-rate revenue from customers including Microsoft and NVIDIA, but it still needs to deliver on this capacity by December 31. If Iren fails to meet its targets, it could face significant financial risks.