Nebius Reports Rapid Q1 Revenue Growth and Capacity Expansion

Nebius Group N.V. announced unaudited first quarter 2026 results for the period ended March 31, 2026 (Nebius press release, May 13, 2026). The company reported Q1 revenue of $399.0 million, a 6.8x (684%) increase year-over-year from $50.9 million, with the AI Cloud business accounting for about 98% of revenue and posting an adjusted EBITDA margin of 45% for the quarter, nearly double the prior quarter's level (Nebius press release; Futurum Group). Adjusted EBITDA swung to a profit of $129.5 million from a loss of $53.7 million a year earlier (Nebius press release).

CEO Arkady Volozh stated in the company's shareholder letter: "We continue to see unprecedented demand across the market. Compute and cloud needs are vastly exceeding capacity as more industries embrace AI and companies move beyond experimentation to real-world applications" (Nebius press release).

Nebius has broken ground on a gigawatt-scale AI factory in Independence, Missouri, its first U.S. gigawatt-scale facility, and secured land and up to 1.2 GW of power capacity for a second owned U.S. site in Pennsylvania (w.media; Nebius press release). The company's total contracted power capacity now exceeds 3.5 GW, above its prior year-end target of 3 GW, with guidance raised to over 4 GW by end of 2026 (Nebius press release).

On May 20, 2026, Nebius and Bloom Energy announced a $2.6 billion, 10-year master agreement to deploy Bloom's fuel cell systems across Nebius AI factory sites in Missouri and Pennsylvania, providing behind-the-meter power for high-density AI compute workloads (Business Wire; businesswire.com).

Nebius announced deals for Tavily, Eigen AI, and Clarifai, aimed at strengthening its managed inference platform and orchestration capabilities for agentic AI workloads (Nebius press release; w.media). The company has also previously announced a long-term $27 billion AI infrastructure supply agreement with Meta and a $2 billion NVIDIA partnership (w.media).

Independent coverage frames the quarter as a demonstration of how AI-dedicated cloud operators can generate rapid revenue growth when demand is strong, while also highlighting trade-offs. Seeking Alpha notes the company trades at a high valuation and that the investment case depends on continued AI demand, successful infrastructure execution, and avoiding overcapacity or demand slowdown (Seeking Alpha). The 247wallst.com AI infrastructure scorecard from June 2026 compares Nebius against CoreWeave and IREN on growth delivery (247wallst.com).

Key signals for practitioners and investors: booked ARR figures and multi-quarter contract structures; GPU pricing and supply trends; construction milestones on the Missouri and Pennsylvania sites; and margin trends such as adjusted EBITDA and operating cost per compute unit in subsequent quarters (Futurum Group; Seeking Alpha).