Highlights

  • Core Scientific secured USD 600 million of committed facilities and expects them to release restricted cash balances.
  • Colocation generated most second-quarter revenue as the company expanded billed power capacity and its contracted infrastructure portfolio.
  • A large warrant-related accounting charge drove the reported net loss, while gross profit and adjusted EBITDA remained positive.
  • Core Scientific completed its Polaris DS acquisition as capital expenditure and long-term debt increased during infrastructure expansion.

New credit facilities are intended to free restricted cash at Core Scientific (NASDAQ:CORZ), where colocation growth is accompanied by substantial infrastructure spending. On 27 August 2026, the company announced USD 600 million of committed senior secured facilities. It expects the arrangements to release approximately USD 300 million of restricted cash, improving access to funds during its expansion.

Facilities Carry Broad Asset Security

The package comprises a USD 100 million revolving credit facility and a USD 500 million letter of credit facility. Chief financial officer Jim Nygaard said the arrangements would improve capital efficiency and financial flexibility.

The revolver has a three-year maturity and bears interest at Adjusted Term SOFR plus 1.75%, or an alternate base rate plus 0.75%. Letters of credit carry a 1.75% annual fee and a 0.125% fronting fee.

The obligations are secured by a first-priority lien over substantially all assets of the company and guarantors. The expected release of restricted cash remains distinct from cash already available at the reporting date.

Colocation Changes the Revenue Base

Second-quarter results, released on 28 July, showed revenue of USD 164.2 million, compared with USD 115.2 million in the first quarter and USD 78.6 million a year earlier.

Colocation revenue accounted for USD 136.7 million of the total. Gross profit was USD 70.0 million, and adjusted EBITDA reached USD 41.1 million.

The net loss was USD 1,155.3 million. A USD 1,045.5 million charge relating to warrants and contingent value rights, associated with fair-value movements as the share price rose, accounted for most of that loss. The accounting charge differs from an equivalent operating cash outflow.

Capital expenditure totalled USD 797.5 million during the quarter, showing the scale of spending alongside the expanding revenue base.

Contracted Capacity Exceeds Current Billing

Core Scientific reported approximately 1.1 GW of leased customer power capacity, associated with more than USD 24 billion of potential contracted revenue. It was billing for 395 MW at quarter-end and 437 MW by mid-July.

A partnership with AMD could support up to 2.5 GW of leasable capacity. It includes 15-year agreements for about 530 MW across five sites and more than USD 14 billion of potential base contracted revenue.

Those contract values describe possible revenue over future periods. They are separate from recognised quarterly revenue, while the difference between leased capacity and billing capacity shows that delivery remains ongoing.

Acquisition and Debt Extend the Programme

On 14 August, Core Scientific completed the approximately USD 444 million cash acquisition of Polaris DS, which holds about 440 MW of gross grid-connected capacity. The company plans to scale its Muskogee campus to approximately 1.5 GW of gross power.

Reported liquidity was USD 1,819.4 million, including USD 1,769.7 million of cash. Long-term debt increased to USD 4,298.0 million from USD 1,061.7 million at 31 March.

First-half debt proceeds were USD 4,275.3 million, against USD 1,000 million of debt extinguishment payments. No financial guidance was provided with the results. Capacity delivery, financing obligations and the conversion of contracts into billed operations remain separate stages of the expansion.