AI cloud firm Nebius posts surge in capex on GPU, data center expenses

Feb 12 (Reuters) - Nebius Group reported a crisp emergence successful quarterly superior spending connected Thursday, driven by purchases of artificial quality processors and ‌growing information halfway investments, arsenic the AI unreality steadfast rushes to unafraid ‌capacity to conscionable soaring demand.

The Amsterdam-based company, which counts tech giants Microsoft and Meta among its customers, ​said it would proceed to grow its information halfway footprint with 9 caller sites crossed the U.S., France, Israel and the UK.

Shares of the company, which surged much than 200% past year, were volatile successful premarket trading. They were past up astir 2%.

Nebius ‌is 1 of the large ⁠so-called neocloud companies that connection hardware and unreality capableness arsenic services to different tech firms. Its halfway concern involves providing Nvidia ⁠processors and AI unreality infrastructure.

Along with its larger rival CoreWeave, Nebius has benefited from the relentless endeavor spending connected AI implicit the past respective years.

"Demand from enterprises and AI ​native customers ​continues to outpace supply, allowing america to ​sell aboriginal capableness good successful beforehand ... ‌We are precise focused connected investing resources to proceed expanding our capabilities successful 2026 some organically and done targeted acquisitions," Nebius CEO Arkady Volozh said successful a missive to shareholders.

Capital expenditures ballooned to astir $2.1 cardinal successful the December quarter, compared with conscionable $416 cardinal successful the anterior twelvemonth period.

The investments person helped Nebius unafraid much than ‌2 gigawatts (GW) of contracted power, good up of ​its projections. It present expects to person much ​than 3 GW of contracted ​power by year-end, up from its anterior outlook of implicit 2.5 ‌GW.

Nebius reported a much than six-fold ​surge successful gross to $227.7 ​million for the 4th quarter, but it inactive missed estimates of $246.1 million, according to information compiled by LSEG. Net nonaccomplishment widened to $249.6 cardinal from $133.2 cardinal ​a twelvemonth earlier.

The institution expects ‌to extremity 2026 with an annualized gross run-rate of $7 cardinal to $9 ​billion, compared with the $1.25 cardinal astatine the extremity of 2025.

(Reporting by Deborah ​Sophia successful Bengaluru; Editing by Maju Samuel)