ARTICLE:
A cryptocurrency and artificial intelligence company posted a dramatic revenue increase for its most recent quarter, but a massive tax dispute in Sweden swamped the gains and produced a nine-figure net loss.
HIVE Digital Technologies, which trades on the Nasdaq under the ticker HIVE, reported total revenue of $79.1 million for the quarter ended June 30, 2026, according to Yahoo Finance. That figure represents a 73.5 percent increase from the same period a year earlier. Despite that growth, the company reported a net loss of $142.9 million for the quarter.
The company said the loss was driven mainly by non-cash charges. The largest single item was an $84.7 million provision connected to a contested value-added tax assessment from Swedish tax authorities. HIVE said it is appealing that assessment.
Strip out those non-cash items and the picture looks different. The company reported adjusted EBITDA of $13.4 million and ended the quarter with $208 million in cash on hand.
HIVE was founded in 2017 and mines Bitcoin using renewable energy. It has also been building a high-performance computing business aimed at artificial intelligence applications. Both sides of the business grew during the quarter.
Bitcoin mining brought in $72.1 million, nearly 77 percent more than a year earlier. HIVE said it earned 1,004 bitcoin during the quarter, up 147 percent from a year ago, after expanding its average operational hash rate to 24.0 EH/s from 8.7 EH/s. Hash rate is a measure of mining computing power.
The company's AI-focused unit, called BUZZ, brought in $7.1 million during the quarter, up 52 percent from the prior quarter. HIVE credited a new NVIDIA GPU cluster at its site in Manitoba, Canada, for helping drive that growth.
CFO Darcy Daubaras said the results showed "the increasing scale and underlying operating strength" of the business, while noting the reported loss was "significantly impacted by non-cash items."
HIVE is pushing further into AI computing. The company said its contracted GPU cloud annual run-rate revenue has grown to roughly $110 million, supported in part by a three-year agreement worth approximately $225 million with Bell AI Fabric. That deal supports Canadian AI firm Cohere. HIVE is targeting about $200 million in GPU cloud revenue by the end of 2026.
Executive Chairman Frank Holmes said HIVE's move into AI "was not a recent pivot," pointing to years of building GPU expertise. He described the company as positioned to help power what he called "Canada's emerging sovereign AI ecosystem."
The company has previously raised $100 million to fund GPU purchases and data center expansion. Its next set of quarterly results will show whether the AI revenue ramp continues on the timeline Holmes and Daubaras have outlined.
