CLEANSPARK, INC. (CLSK): Results of Operations and Financial Condition
CLEANSPARK, INC. (CLSK) filed an SEC Form 8-K — Results of Operations and Financial Condition. EXHIBIT 99.1 CleanSpark Reports Third Fiscal Quarter 2026 Results Signed 20-year $6.6 billion triple-net lease at Sandersville with high investment-grade tenant Ordered and pre-paid all long-lead items to meet Sandersville RFS date Anticipated equity portion of Sandersville proje
How this was made
The 30-second read
Why it matters
The filing updates quarterly performance and highlights execution steps for a 20-year $6.6B triple-net lease at Sandersville, including fully funding anticipated equity and pre-paying long-lead items to meet the RFS schedule.
Market read
Fresh quarterly numbers and balance sheet details can drive repricing, while the Sandersville execution update may support longer-duration cash-flow expectations.
What to watch
Traders may focus on balance sheet resilience (cash $202.6M, HODL $814.9M, $1.8B long-term debt) and the working capital figure ($761M) when assessing downside risk from mining-cycle volatility.
CleanSpark Reports Third Fiscal Quarter 2026 Results; signed 20-year $6.6 billion triple-net lease at Sandersville and reported quarterly revenues of $138.0 million.
Quarterly revenues declined 30.5% year over year, while the Company reported a net loss of ($239.8 million) and Adjusted EBITDA of ($113.0 million).
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Quarterly revenuesGAAP | $138.0 million | – | decrease of $60.6 million, or 30.5% |
| Net lossGAAP | ($239.8 million) | – | – |
| Net loss per basic shareGAAP | ($0.89) per basic share | – | – |
| Adjusted EBITDAnon-GAAP | ($113.0 million) | – | decreased to ($113.0 million) from ($377.7 million) |
| CashGAAP | $202.6 million | – | – |
| BitcoinGAAP | $814.9 million | – | – |
| Total current assetsGAAP | $920.8 million | – | – |
| Total assetsGAAP | $2.7 billion | – | – |
| Current liabilitiesGAAP | $155.8 million | – | – |
| Total long-term debt, net of debt discount and issuance costsGAAP | $1.8 billion | – | – |
| Total liabilitiesGAAP | $1.9 billion | – | – |
| Total stockholders' equityGAAP | $0.8 billion | – | – |
| Working capitalGAAP | $761 million | – | – |
What drove it
- The Company signed a 20-year $6.6 billion triple-net lease at Sandersville with a high investment-grade tenant.
- The Company ordered and pre-paid all long-lead items to meet the Sandersville ready-for-service schedule.
- The anticipated equity portion of the Sandersville project has been fully funded.
- Management cited currently challenging bitcoin mining economics.
- The Company stated that it controls a portfolio of more than 1.8 GW of power, land, and data centers across the United States.
Concerns
- Quarterly revenues were $138.0 million, a year-over-year decrease of $60.6 million, or 30.5%, from $198.6 million.
- Net loss for the three months ended June 30, 2026, was ($239.8 million).
- Adjusted EBITDA decreased to ($113.0 million) from ($377.7 million) from the same period a year ago.
- The Company reported Total Long-Term Debt, Net of Debt Discount and Issuance Costs of $1.8 billion.
- Forward-looking risks cited include data center construction and operations, permitting and utility constraints, construction delays, cost overruns, financing and supply-chain challenges, tenant performance, BTC price volatility, and increasing difficulty rates for bitcoin mining.
What to watch
- Commercialization of existing bitcoin mining sites and other power and land assets as data centers having operations other than bitcoin mining.
- Execution against the Sandersville project ready-for-service schedule after the Company ordered and pre-paid long-lead equipment.
- Performance under the 20-year $6.6 billion triple-net lease at Sandersville.
- Bitcoin mining economics, including BTC price volatility and increasing difficulty rates.
- The Company's ability to identify and acquire new sites and power capacity capable of supporting data centers.
Balance sheet and cash flow
- Cash: $202.6 million
- Bitcoin: $814.9 million
- Total Current Assets: $920.8 million
- Total Assets: $2.7 billion
- Current Liabilities: $155.8 million
- Total Long-Term Debt, Net of Debt Discount and Issuance Costs: $1.8 billion
- Total Liabilities: $1.9 billion
- Total Stockholders' Equity: $0.8 billion
- The Company had working capital of $761 million as of June 30, 2026.
- The Company’s total HODL value was $814.9 million, consisting of current bitcoin, non-current bitcoin, and bitcoin held by counterparties related to collateral arrangements.
Analysis
CleanSpark reported quarterly revenues of $138.0 million for the quarter ended June 30, 2026, a year-over-year decrease of $60.6 million, or 30.5%, from $198.6 million. The Company reported a net loss of ($239.8 million), or ($0.89) per basic share, and Adjusted EBITDA of ($113.0 million). Management explicitly described bitcoin mining economics as currently challenging.
The reported result is being framed alongside a strategic shift toward diversified digital infrastructure and data center development. CleanSpark announced a 20-year $6.6 billion triple-net lease at Sandersville with a high investment-grade tenant. Management also said it ordered and pre-paid all long-lead items needed to meet the project's ready-for-service schedule and that the anticipated equity portion of the project has been fully funded.
Liquidity and asset backing included cash of $202.6 million, bitcoin of $814.9 million, total current assets of $920.8 million, and working capital of $761 million as of June 30, 2026. The Company's total HODL value of $814.9 million includes current bitcoin, non-current bitcoin, and bitcoin held by counterparties related to collateral arrangements. The balance sheet also carried Total Long-Term Debt, Net of Debt Discount and Issuance Costs of $1.8 billion, alongside total liabilities of $1.9 billion and total stockholders' equity of $0.8 billion.
The central reported tension is between weaker current mining-related results and the planned conversion of power and land assets into longer-duration data center cash flows. Investors should focus on execution of the Sandersville ready-for-service schedule, commercialization of existing assets, and the risk factors identified by the Company, including permitting, utility constraints, construction delays, cost overruns, financing and supply-chain challenges, tenant performance, BTC price volatility, and mining difficulty. The filing did not provide forward financial guidance.
Management, verbatim
We continue to successfully execute on our strategic evolution to a diversified digital infrastructure platform. Our recently announced Sandersville lease offers an ideal combination of long-term, durable cash flows and de-risked economic returns for our shareholders. We remain focused on the commercialization of our existing assets and the acquisition of scalable infrastructure to further bolster our portfolio.
Matt Schultz, CEO and Chairman
By fully funding our anticipated equity commitment for Sandersville and securing the long-lead equipment required to meet the project ready-for-service schedule, we have materially de-risked execution while preserving balance sheet flexibility. Despite currently challenging bitcoin mining economics, we have a portfolio of scarce, grid-connected power assets and multiple pathways to commercialization, and we are positioned to convert infrastructure optionality into durable cash flows and long-term shareholder value.
Gary Vecchiarelli, President and CFO
Not in the filing
stated, not guessed- Segment revenue, segment growth rates, and segment drivers were not reported in the provided filing text.
- GAAP gross profit, gross margin, operating income or loss, net income or loss per diluted share, and non-GAAP EPS were not reported in the provided filing text.
- Operating cash flow, capital expenditures, free cash flow, and full cash-flow-statement details were not reported in the provided filing text.
- Share repurchases, dividends declared or paid, and other capital-return activity were not reported in the provided filing text.
- Forward revenue guidance, gross-margin guidance, operating-expense guidance, tax-rate guidance, and other forward financial guidance were not reported in the provided filing text.
- Previous-period outlook was not provided.
- The provided filing text is truncated during the condensed consolidated balance sheets, so additional financial-statement line items and reconciliations may not be available in the supplied document text.
- Prior-quarter comparisons were not reported for the reported quarterly revenue, net loss, basic EPS, or Adjusted EBITDA metrics.
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
This is an SEC 8-K (Item 2.02) with CleanSpark’s Q3 FY2026 results and an attached earnings release (Exhibit 99.1).
Ticker impact
CleanSpark reported Q3 FY2026 results, including $138.0M revenue, a $239.8M net loss, and Adjusted EBITDA of ($113.0M).
Likely near-term volatility, with downside risk if investors focus on large net loss and weaker Adjusted EBITDA, partially offset by the fully funded Sandersville equity and long-lead prepayment.
The filing discloses multiple new datapoints (revenue decline, net loss, Adjusted EBITDA decline, cash and HODL balances, and Sandersville execution steps). The direction depends on whether the market prioritizes current mining economics pressure versus the de-risked long-term lease cash flows.
Market effects
Reinforces the data-center and bitcoin-infrastructure playbook where power assets and long-term leases are used to offset volatile mining economics.
No specific regional demand shock beyond the Sandersville project update.
Limited direct global impact; the key macro driver remains BTC economics referenced as currently challenging.
Counterpoint
Investors may underweight the headline net loss because the company emphasizes de-risked project execution and long-term lease cash flows rather than near-term mining economics.
Key entities
- companyCleanSpark, Inc.
Nasdaq-listed data center developer and bitcoin infrastructure operator reporting Q3 FY2026 results and Sandersville lease execution steps.
- projectSandersville lease
20-year $6.6B triple-net lease referenced as de-risked via fully funded equity commitment and long-lead prepayment.
