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    CORZ
    Earnings call· Jun 2026(Q2 FY26)

    Core Scientific, Inc./tx Q2 FY26 earnings call CORZ

    Jul 28, 2026 Source

    Executive summary

    Core Scientific Q2 FY26 — Transformational AMD Partnership and Capacity Expansion

    Core Scientific announced a transformational partnership with AMD, securing significant long-term contracted revenue and validating its strategy of building capacity ahead of demand. The company demonstrated strong execution by delivering 437 megawatts ahead of schedule and is now focused on the AMD build-out and expanding its power portfolio for future growth. This positions Core Scientific as a key infrastructure provider in the rapidly expanding AI ecosystem.

    Highlights

    5

    • Secured a commercial partnership with AMD for up to 2.5 gigawatts of data center capacity, including an initial 530 megawatts of contracted capacity.

    • The initial AMD agreement represents over $14 billion of base contracted revenue across 15-year agreements with 2.5% annual escalators.

    • Total contracted billable capacity now stands at approximately 1.1 gigawatts, representing over $24 billion of base contracted revenue.

    • Achieved 437 billable megawatts ahead of schedule, demonstrating strong execution capabilities.

    • Ended Q2 FY26 with approximately $1.8 billion of liquidity, providing a strong foundation for future growth.

    Concerns

    3

    • Cash SG&A increased sequentially to $36 million in Q2 FY26, primarily due to one-time professional fees.

    • Build costs for high-density AI infrastructure are estimated at $11 million to $12 million per megawatt, driven by equipment and labor cost increases.

    • Uncertainty related to timing of on-grid power for Pecos (300 MW) means behind-the-meter strategy will drive next megawatts.

    Guidance & targets

    9
    CategoryTargetConfidence
    Build cost per megawatt
    $11 million to $12 million
    medium materiality
    High
    Capital required for initial AMD build-out
    $6 billion
    high materiality
    High
    Investment for future capacity build-outs
    up to approximately $1 billion
    medium materiality
    High
    AMD initial megawatt delivery
    first half of 2027
    high materiality
    High
    AMD contract delivery schedule
    about half the contract will be delivered in 2027 and the other half will be delivered in 2028
    high materiality
    High
    New site pipeline availability
    late 2028 through 2030
    medium materiality
    Medium
    Optimal megawatts delivery per year
    about 600 megawatts
    medium materiality
    Medium
    Core Weave Dalton Phase II completion
    end of this year and be completed in early 2027
    medium materiality
    High
    Cash SG&A baseline
    low $30 million range
    low materiality
    Medium

    Operational metrics

    17
    Total contracted billable capacity
    1.1 gigawatts
    Q2 FY26

    This includes the new AMD partnership and represents the company's total contracted capacity.

    Total base contracted revenue
    $24 billion
    Q2 FY26

    This represents the total base contracted revenue across all customers, including the new AMD partnership, over the full contract terms.

    Core Weave billable capacity
    437 megawattsahead of expectations
    Q2 FY26

    This capacity was achieved ahead of schedule, demonstrating execution capabilities.

    AMD initial contracted capacity
    530 megawatts
    Q2 FY26

    This is the initial phase of the commercial partnership with AMD across 5 sites.

    AMD base contracted revenue (initial phase)
    $14 billion
    Q2 FY26

    This revenue is from the initial 530 megawatts contracted with AMD.

    AMD direct lease capacity
    380 megawatts
    Q2 FY26

    This capacity will be delivered directly to AMD.

    AMD modified gross lease capacity (Neo Cloud)
    150 megawatts
    Q2 FY26

    This capacity will support a Neo Cloud customer, with AMD providing full credit support for the 15-year lease term.

    Pecos potential capacity
    up to 1 gigawatt
    future

    Pecos has the potential to support up to 1 GW of leasable capacity through trade connected power and behind-the-meter solutions.

    Muskogee potential capacity
    up to 1 gigawatt
    future

    Muskogee has the potential to support up to 1 GW of leasable capacity through trade connected power and behind-the-meter solutions.

    Cash and investments balance
    $1.8 billion
    Q2 FY26

    This represents the company's liquidity at the end of the second quarter.

    Cash SG&A
    $36 millionsequential increase of $4 million
    Q2 FY26

    The sequential increase was primarily driven by one-time professional fees associated with recent debt financing.

    Bitcoin miners online reduction
    30%fewer than at the end of Q1
    Q2 FY26

    The company is winding down its Bitcoin mining activity.

    Bitcoin self-mining sites
    2
    Q2 FY26

    The company expects Bitcoin mining activity to continue winding down over the remainder of the year.

    Pre-spend on development
    $2 million
    past year

    This is the amount deployed per megawatt across the portfolio for development ahead of demand.

    Total pre-spend commitment
    $1 billion
    past year

    This represents the total capital committed for pre-spending on projects.

    New site pipeline
    more than 2 gigawatts
    future

    This pipeline represents potential incremental power capacity for future growth.

    AMD additional capacity reservation right
    up to 2 gigawatts
    future

    AMD has the exclusive reservation right to lease this additional capacity under specific conditions.

    Industry KPIs

    6
    MetricValueDetails
    Capacity CAPEX$11 million to $12 millionUSD per megawatt
    Revenue growth$137 millionUSD
    Arr net new arr$24 billionUSD
    Rpo current rpo$24 billionUSD
    Bookings billings$24 billionUSD
    Large deal new logo metrics530 megawattsMW

    Orderbook & backlog

    2
    Total contracted billable capacity1.1 gigawattsQ2 FY26

    Represents total contracted capacity across all customers, including the new AMD partnership.

    Total base contracted revenue$24 billionQ2 FY26

    Represents base contracted revenue across all customers, including the new AMD partnership, over the full contract terms.

    Deals & partnerships

    2
    AMDCommercial partnership for data center capacity$14 billion15-year agreements

    Initial agreement for 530 megawatts across 5 sites, including 380 megawatts directly to AMD (triple-net lease) and 150 megawatts for a Neo Cloud customer with AMD credit support (modified gross lease). Includes exclusive reservation rights for up to 2 additional gigawatts.

    Neo Cloud customer (with AMD credit support)Lease agreement for data center capacityfull 15-year lease term

    This lease is part of the broader AMD partnership, with AMD providing full credit support, protecting Core Scientific's equity investment by not including equity step-in rights.

    Capital programs

    2
    AMD Initial 530 MW Build-out Programunderway$6 billion
    Spent to date: $1 billion
    Funding: project-level bonds
    Start: Q2 FY26

    Benefit: 530 megawatts

    This program covers the initial 530 megawatts of contracted capacity for AMD across 5 sites. The company has already pre-spent approximately $1 billion to advance development and secure long-lead equipment for future capacity, including these projects.

    New Site Development Pipelineidentified
    Period spend: up to approximately $1 billion
    Start: Q2 FY26

    Benefit: more than 2 gigawatts of potential incremental power

    This pipeline represents potential incremental power capacity, with initial capacity potentially available from late 2028 through 2030. The company is prepared to invest up to $1 billion to advance roughly 500 megawatts of initial build-outs.

    Risks & headwinds

    4
    Increased build costs for AI infrastructurecurrent market conditions

    $11 million to $12 million per megawatt

    Mitigation: applying that experience to a standardized multisite deployment platform for AMD with determined focus on schedule, capital delisting and repeatable execution.

    Labor scarcity and cost inflationtoday

    Labor is very scarce in a number of markets across the U.S.

    Mitigation: securing labor and GCs on site and sort of progressing through GMPs

    Supply chain constraints for equipmentover the past year

    increases in equipment cost, some of that driven by tariffs over the past year, some of it just driven by supply chain constraints and availability

    Mitigation: already secured long-lead equipment for a large quantum of those megawatts.

    Uncertainty in on-grid power timing for Pecosnext few weeks

    uncertainty related to timing of that next 300 megawatts from on grid power.

    Mitigation: behind-the-meter strategy will drive the next megawatts at Pecos

    What to watch in Q3 FY26

    5

    Dalton Phase II completion

    early 2027
    Currenton track for full completion in early 2027
    Targetcompleted

    Why it matters

    Completion of this final Core Weave campus will finalize the transition of existing power capacity to high-density colocation.

    Dalton Phase II, the fifth and final campus remains on track for full completion in early 2027.

    Q&A highlights

    6

    Asked for color on the timeline for the 1.5 GW behind-the-meter expansion with AMD and the duration of AMD's exclusivity period.

    Adam Sullivan stated that speculating on AMD's actions for additional megawatts is inappropriate, but confirmed the 2 GW is an exclusive reservation agreement. He noted that behind-the-meter solutions are becoming common and Core Scientific is well-positioned to deliver.

    “it is up to nearly 2 gigawatts of additional capacity under the agreement. And that is an exclusive reservation agreement that we have with AMD”

    asked by John Todaro · answered by Adam Sullivan

    2 min read5 chapters

    Detailed Narrative

    01

    Transformational AMD Partnership

    Core Scientific announced a commercial partnership with AMD for up to 2.5 gigawatts of data center capacity, with an initial agreement for 530 megawatts across five sites. This initial phase represents over $14 billion of base contracted revenue over 15 years, with 2.5% annual escalators. The deal includes 380 megawatts directly to AMD under a triple-net lease and 150 megawatts supporting a Neo Cloud customer with full credit support from AMD, without equity step-in rights.

    02

    Strategic Capacity Expansion

    The AMD agreement includes exclusive reservation rights for up to an additional 2 gigawatts, which Core Scientific plans to make available through incremental connected power and behind-the-meter solutions across Pecos, Hunt, and Muskogee. This strategy aims to align with AMD's infrastructure requirements and leverage Core Scientific's existing portfolio and development capabilities. The company is also developing a new site pipeline of over 2 gigawatts for potential incremental power from late 2028 through 2030.

    03

    Demonstrated Execution and Delivery

    Core Scientific achieved 437 billable megawatts ahead of schedule, demonstrating its ability to deliver complex infrastructure efficiently and at scale. This execution capability was a key factor in AMD's decision to partner with Core Scientific. The company is now applying this experience to a standardized multi-site deployment platform for AMD, with Pecos on track for initial megawatt delivery in the first half of 2027.

    04

    Capital Allocation and Financing Strategy

    The initial 530 megawatts for AMD will require approximately $6 billion of capital, expected to be financed through project-level bonds. Core Scientific ended Q2 FY26 with $1.8 billion in liquidity and plans to invest up to $1 billion to advance approximately 500 megawatts of initial build-outs for future capacity, securing long-lead equipment and development ahead of customer contracts.

    05

    Market Dynamics and Cost Structure

    Management highlighted continued strong demand from hyperscalers and AI labs, with data center capacity remaining in short supply. The cost per megawatt for high-density AI infrastructure is estimated at $11 million to $12 million, driven by increases in equipment and labor costs. The company emphasized its unique position to invest ahead of customer demand when economics are compelling, leveraging its balance sheet and operating experience.

    AI-generated summary of the company’s earnings call. Not investment advice.