Soluna Reports Q1'26 Results; Revenue Grows 58% Year-Over-Year and 4th Consecutive Quarter Sequentially
SLNH
Completes Kati 1A Ahead of Schedule, Advances Kati 2 AI JV
Published on 05/18/2026 at 07:31 am EDT
Soluna Holdings, Inc. (“Soluna” or the “Company”) (NASDAQ: SLNH), a developer of green data centers for intensive computing applications, including Bitcoin mining and AI, announced its financial results for the first quarter ended March 31, 2026.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260518023353/en/
Soluna Holdings, Inc. Reports Q1 2026 Revenue by Quarter
“Our fourth consecutive quarter of sequential revenue growth and 58% year-over-year increase reflects the operating leverage we're building across the portfolio. With Kati 1 now contributing, Dorothy 1A back at full capacity, and Dorothy 2 fully ramped, we're entering the next phase of Soluna's growth from a position of operational strength,” said John Belizaire, CEO of Soluna Holdings.
“Our AI expansion at Kati 2 is well underway, while Briscoe Wind now vertically integrates the power layer supporting Dorothy 3. Together with the full acquisition of Dorothy 1A, these milestones position Soluna for sustained growth and accelerating momentum,” Belizaire continued.
Q1 2026 Operational and Corporate Highlights:
First Quarter Financial Highlights:
(Dollars in thousands)
Three Months Ended March 31,
2026
2025
Net loss
$
(17,902
)
$
(7,354
)
Interest expense
1,481
838
Income tax benefit
(624
)
(425
)
Depreciation and amortization
4,603
3,879
EBITDA
(12,442
)
(3,062
)
Adjustments: Non-cash items
Stock-based compensation costs
10,222
1,847
Gain on sale of fixed assets
(32
)
—
Right of first refusal amortization gain
(90
)
—
SEPA commitment fee
250
—
Fair value adjustment loss
—
118
Gain on debt extinguishment and revaluation, net
—
(551
)
Adjusted EBITDA
$
(2,092
)
$
(1,648
)
Q1 2026 Revenue & Cost of Revenue by Project Site
Soluna Digital
(Dollars in thousands)
Project
Dorothy 1B
Project
Dorothy 1A
Project
Dorothy 2
Project
Sophie
Project Kati 1
Other
Total
Cryptocurrency mining revenue
$
2,169
$
—
$
—
$
—
$
—
$
—
$
2,169
Data hosting revenue
11
2,044
3,171
1,237
225
—
6,688
Demand response services
144
130
263
—
—
—
537
Total revenue
2,324
2,174
3,434
1,237
225
—
9,394
Cost of cryptocurrency mining, exclusive of depreciation
1,658
—
—
—
—
—
1,658
Cost of data hosting revenue, exclusive of depreciation
4
1,107
1,423
581
394
110
3,619
Cost of cryptocurrency mining revenue- depreciation
1,011
—
—
—
—
—
1,011
Cost of data hosting revenue- depreciation
—
288
606
204
93
—
1,191
Total cost of revenue
2,673
1,395
2,029
785
487
110
7,479
Gross profit
$
(349
)
$
779
$
1,405
$
452
$
(262
)
$
(110
)
$
1,915
Q1 2025 Revenue & Cost of Revenue by Project Site
Soluna Digital
Soluna Cloud
(Dollars in thousands)
Project Dorothy 1B
Project Dorothy 1A
Project Sophie
Other
Soluna
Digital Subtotal
Project
Ada
Total
Cryptocurrency mining revenue
$
2,999
$
—
$
—
$
—
$
2,999
$
—
$
2,999
Data hosting revenue
—
1,371
1,031
—
2,402
—
2,402
Demand response services
269
238
—
—
507
—
507
High-performance computing services
—
—
—
—
—
28
28
Total revenue
3,268
1,609
1,031
—
5,908
28
5,936
Cost of cryptocurrency mining, exclusive of depreciation
1,954
—
—
—
1,954
—
1,954
Cost of data hosting revenue, exclusive of depreciation
—
885
372
70
1,327
—
1,327
Cost of high-performance computing service revenue
—
—
—
—
—
7
7
Cost of cryptocurrency mining revenue- depreciation
1,074
—
—
—
1,074
—
1,074
Cost of data hosting revenue- depreciation
—
295
106
—
401
—
401
Total cost of revenue
3,028
1,180
478
70
4,756
7
4,763
Gross (loss) profit
$
240
$
429
$
553
$
(70
)
$
1,152
$
21
$
1,173
Subsequent Events:
The unaudited financial statements and Quarterly Report on Form 10-Q for the three months ended March 31, 2026, filed with the U.S. Securities and Exchange Commission (“SEC”) on May 15, 2026, are available online.
Our current Investor Presentation is available here.
Soluna’s glossary of terms is available here.
Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident," and similar statements. Other examples of forward-looking statements may include, but are not limited to, (i) statements of Company's plans and objectives, including the deployment at Kati 2, (ii) statements of future economic performance, (iii) statements regarding financial projections of the Company, and (iv) statements of assumptions underlying other statements about the Company or its business. Soluna may also make written or oral forward-looking statements in its periodic reports to the SEC, in its annual report to shareholders, in press releases and other written materials, and in oral statements made by its officers, directors, or employees to third parties. Statements that are not historical facts, including but not limited to statements about Soluna’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, further information regarding which is included in the Company's filings with the SEC. All information provided in this press release is as of the date of the press release, and Soluna undertakes no duty to update such information, except as required under applicable law.
Non-GAAP Measures
In addition to figures prepared in accordance with generally accepted accounting principles (“GAAP”), Soluna from time to time may present alternative non-GAAP performance measures, e.g., EBITDA, adjusted EBITDA, adjusted net profit/loss, adjusted earnings per share, free cash flow, both on a company basis and on a project-level basis, among others. EBITDA is defined as earnings before interest, taxes, and depreciation and amortization. Adjusted EBITDA is defined as EBITDA adjusted for stock-based compensation costs, gain on sale of fixed assets and right of first refusal amortization, SEPA commitment fee, fair value adjustment loss, and gain on debt extinguishment and revaluation, net. Project-level measures may not take into account a full allocation of corporate expenses. These measures should be considered in addition to, but not as a substitute for, the information prepared in accordance with GAAP. Alternative performance measures are not subject to GAAP or any other generally accepted accounting principles. Other companies may define these terms in different ways. See our annual report on Form 10-K for the year ended December 31, 2025, for an explanation of how management uses these measures in evaluating its operations. Investors should review the non-GAAP reconciliations provided above and not rely on any single financial measure to evaluate the Company’s business.
About Soluna Holdings, Inc. (Nasdaq: SLNH)
Soluna is on a mission to make renewable energy a global superpower using computing as a catalyst. The company designs, develops, and operates digital infrastructure that transforms surplus renewable energy into global computing resources. Soluna’s pioneering data centers are strategically co-located with wind, solar, or hydroelectric power plants to support high-performance computing applications, including Bitcoin Mining, Generative AI, and other compute-intensive applications. Soluna’s proprietary software MaestroOS(™) helps energize a greener grid while delivering cost-effective and sustainable computing solutions and superior returns. To learn more, visit solunacomputing.com and follow us on:
LinkedIn: https://www.linkedin.com/company/solunaholdings/ X (formerly Twitter): x.com/solunaholdings YouTube: youtube.com/c/solunacomputing Newsletter: bit.ly/solunasubscribe Resource Center: solunacomputing.com/resources
Soluna regularly posts important information on its website and encourages investors and potential investors to consult the Soluna investor relations and investor resources sections of its website regularly.
Soluna Holdings, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
As of March 31, 2026 (Unaudited) and December 31, 2025
(Dollars in thousands, except per share)
March 31, 2026
December 31, 2025
Assets
Current Assets:
Cash
$
68,572
$
76,423
Restricted cash
9,493
4,500
Accounts receivable, net (allowance for expected credit losses of $0 at March 31, 2026 and $244 at December 31, 2025)
5,456
5,522
Prepaid expenses and other current assets
4,178
2,664
Loan commitment assets
3,018
3,018
Total Current Assets
90,717
92,127
Restricted cash, noncurrent
7,920
7,920
Other assets
963
978
Deposits and credits on equipment
3,333
1,377
Property, plant and equipment, net
79,516
74,783
Intangible assets, net
5,932
8,261
Operating lease right-of-use assets
244
252
Financing lease right-of-use assets
1,795
2,246
Total Assets
$
190,420
$
187,944
Liabilities and Equity
Current Liabilities:
Accounts payable
$
4,218
$
4,859
Accrued liabilities
15,568
13,182
Accrued interest payable
346
303
Contract termination liability
19,348
19,348
Current portion of debt
10,041
8,858
Income tax payable
129
123
Deferred revenue
537
518
Customer deposits- current
1,640
1,913
Operating lease liability
62
65
Financing lease liability
22
20
Total Current Liabilities
51,911
49,189
Other liabilities
946
743
Customer deposits- long-term
3,061
2,533
Long-term debt
15,910
17,899
Operating lease liability
182
187
Financing lease liability
1,775
2,236
Deferred tax liability, net
2,279
2,911
Total Liabilities
76,064
75,698
Commitments and Contingencies (Note 10)
Mezzanine Equity:
Placement agent warrants
1,313
1,313
Equity:
9.0% Series A Cumulative Perpetual Preferred Stock, par value $0.001 per share, $25.00 liquidation preference; authorized 6,040,000; 4,920,045 shares issued and outstanding as of March 31, 2026 and 4,928,545 shares issued and outstanding as of December 31, 2025
5
5
Series B Preferred Stock, par value $0.0001 per share, authorized 187,500; 57,190 shares issued and outstanding as of March 31, 2026 and 62,500 shares issued and outstanding as of December 31, 2025
—
—
Common stock, par value $0.001 per share, authorized 375,000,000; 111,803,635 shares issued and 111,717,040 shares outstanding as of March 31, 2026 and 102,617,684 shares issued and 102,531,089 shares outstanding as of December 31, 2025
112
103
Additional paid-in capital
446,183
435,030
Accumulated deficit
(385,181
)
(367,715
)
Common stock in treasury, at cost, 86,595 shares at March 31, 2026 and December 31, 2025
(13,873
)
(13,873
)
Total Soluna Holdings, Inc. Stockholders’ Equity (Deficit)
47,246
53,550
Non-Controlling Interest
65,797
57,383
Total Equity
113,043
110,933
Total Liabilities, Mezzanine Equity, and Equity
$
190,420
$
187,944
The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.
Soluna Holdings, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations (Unaudited)
For the Three Months Ended March 31, 2026 and 2025
(Dollars in thousands, except per share)
Three Months Ended March 31,
2026
2025
Cryptocurrency mining revenue
$
2,169
$
2,999
Data hosting revenue
6,688
2,402
Demand response service revenue
537
507
High-performance computing service revenue
—
28
Total revenue
9,394
5,936
Operating costs:
Cost of cryptocurrency mining revenue, exclusive of depreciation
1,658
1,954
Cost of data hosting revenue, exclusive of depreciation
3,619
1,327
Cost of high-performance computing services
—
7
Cost of cryptocurrency mining revenue- depreciation
1,011
1,074
Cost of data hosting revenue- depreciation
1,191
401
Total costs of revenue
7,479
4,763
Operating expenses:
General and administrative expenses, exclusive of depreciation and amortization
16,140
5,946
Depreciation and amortization associated with general and administrative expenses
2,401
2,404
Total general and administrative expenses
18,541
8,350
Operating loss
(16,626
)
(7,177
)
Interest expense
(1,481
)
(838
)
Gain on debt extinguishment and revaluation, net
—
551
Gain on sale of fixed assets
32
—
Fair value adjustment loss
—
(118
)
Other financing expense
(564
)
(201
)
Other income, net
113
4
Loss before income taxes
(18,526
)
(7,779
)
Income tax benefit, net
624
425
Net loss
(17,902
)
(7,354
)
(Less) Net loss (income) attributable to non-controlling interest
436
(202
)
Net loss attributable to Soluna Holdings, Inc.
$
(17,466
)
$
(7,556
)
Basic and Diluted loss per common share:
Basic & Diluted loss per share
$
(0.24
)
$
(1.21
)
Weighted average shares outstanding (Basic and Diluted)
84,101,320
8,719,351
The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.
Soluna Holdings, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows (Unaudited)
For the Three Months Ended March 31, 2026 and 2025
Three Months Ended
March 31,
(Dollars in thousands)
2026
2025
Operating Activities
Net loss
$
(17,902
)
$
(7,354
)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation expense
2,229
1,506
Amortization expense
2,374
2,373
Stock-based compensation
10,222
1,847
Deferred income taxes
(632
)
(437
)
Right of first refusal amortization gain
(90
)
—
Amortization of operating and finance lease asset
56
15
Gain on debt extinguishment and revaluation, net
—
(551
)
Amortization of deferred financing costs and discount on notes
436
153
Fair value adjustments, including SEPA
—
118
SEPA commitment cost
250
—
Gain on sale of fixed assets
(32
)
—
Changes in operating assets and liabilities:
Accounts receivable
66
329
Prepaid expenses and other current assets
(1,514
)
(197
)
Other long-term assets
—
1,606
Accounts payable
(2,085
)
481
Contract termination liability
—
(667
)
Deferred revenue
161
—
Operating lease liabilities
(8
)
(15
)
Other liabilities and customer deposits
406
374
Accrued liabilities and interest payable
(309
)
242
Net cash used in operating activities
(6,372
)
(177
)
Investing Activities
Purchases of property, plant, and equipment
(2,565
)
(3,534
)
Purchases of intangible assets
(45
)
(45
)
Proceeds from sale of property, plant, and equipment
32
—
Deposits on equipment
(3,646
)
(61
)
Net cash used in investing activities
(6,224
)
(3,640
)
Financing Activities
Proceeds from common stock warrant exercises
8
—
Proceeds from sale of common stock on SEPA
—
2,005
Proceeds from notes
—
5,000
Payments on notes and deferred financing costs
(1,001
)
(1,978
)
Payments on financing lease liabilities
(56
)
—
Contributions from non-controlling interest
10,918
4,310
Distributions to non-controlling interest
(131
)
(1,525
)
Net cash provided by financing activities
9,738
7,812
(Decrease) increase in cash & restricted cash
(2,858
)
3,995
Cash & restricted cash – beginning of period
88,843
10,453
Cash & restricted cash – end of period
$
85,985
$
14,448
Supplemental Disclosure of Cash Flow Information
Interest paid on debt
892
285
Construction in progress included in accounts payable and accrued liabilities
2,707
—
Noncash deferred financing cost accrual
—
97
Noncash membership distribution accrual
1,937
949
Warrant adjustment
682
—
Noncash activity right-of-use assets adjustment
430
—
The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.
Segments:
The following table details revenue, cost of revenues, and other operating costs for the Company’s reportable segments for three months ended March 31, 2026 and 2025, and reconciles to net loss on the consolidated statements of operations:
For the three months ended March 31, 2026
Cryptocurrency
Mining
Data Center Hosting
High- Performance Computing Services
Total
Segment Revenue: Revenue from external customers
$
2,169
$
6,688
$
—
$
8,857
Reconciliation of revenue
Demand response service revenue (a)
537
Total consolidated revenue
9,394
Less: Segment cost of revenue
Utility costs
1,132
1,792
—
2,924
Wages, benefits, and employee related costs
243
962
—
1,205
Facilities and Equipment costs
228
674
—
902
Cost of revenue- depreciation
1,011
1,191
—
2,202
Other cost of revenue*
119
508
—
627
Total segment cost of revenue
2,733
5,127
—
7,860
General and administrative expenses
44
462
506
Segment operating (loss) income
$
(608
)
$
1,099
$
—
$
491
For the three months ended March 31, 2025
Cryptocurrency
Mining
Data Center Hosting
High- Performance
Computing Services
Total
Segment Revenue: Revenue from external customers
$
2,999
2,402
$
28
$
5,429
Reconciliation of revenue
Demand response service revenue (a)
507
5,936
Less: Segment cost of revenue
Utility costs
1,412
389
—
1,801
Wages, benefits, and employee related costs
219
470
7
696
Facilities and Equipment costs
207
365
—
572
Cost of revenue- depreciation
1,074
401
—
1,475
Other cost of revenue*
140
144
—
284
Total segment cost of revenue
3,052
1,769
7
4,828
General and administrative expenses
14
90
159
263
Segment operating (loss) income
$
(67
)
$
543
$
(138
)
$
338
(a)
Demand response service revenue is included as a reconciling item of total revenue and not included as part of segment gross profit or loss.
*
Other cost of revenue includes insurance, outside service costs and margins, and general costs.
The following table presents the reconciliation of segment operating income to net loss before taxes:
For the three months ended March 31,
2026
2025
Segment operating income (loss)
$
491
$
338
Reconciling Items:
Elimination of intercompany costs
381
65
Other revenue (a)
537
507
General and administrative, exclusive of depreciation and amortization (b)
(15,634
)
(5,683
)
General and administrative, depreciation and amortization
(2,401
)
(2,404
)
Interest expense
(1,481
)
(838
)
Gain on debt extinguishment and revaluation, net
—
551
Other financing expense
(564
)
(201
)
Gain on sale of fixed assets
32
—
Fair value adjustment loss
—
(118
)
Other income, net
113
4
Net loss before taxes
$
(18,526
)
$
(7,779
)
(a)
Demand response service revenue is included as a reconciling item of total revenue and not included as part of segment gross profit or loss.
(b)
The reconciling general and administrative expense, exclusive of depreciation and amortization represent corporate and unallocated general and administrative expenses for the three months ended March 31, 2026 and 2025.
Gross Profit breakout:
The following table summarizes the balances for the project sites for cryptocurrency mining revenue, data hosting revenue, high-performance computing service revenue, demand response revenue, cost of cryptocurrency mining revenue, exclusive of depreciation, cost of data hosting revenue, exclusive of depreciation, cost of high-performance computing services, and cost of depreciation during the three months ended March 31, 2026:
Soluna Digital
(Dollars in thousands)
Project
Dorothy 1B
Project
Dorothy 1A
Project
Dorothy 2
Project
Sophie
Project Kati 1
Other
Total
Cryptocurrency mining revenue
$
2,169
$
—
$
—
$
—
$
—
$
—
$
2,169
Data hosting revenue
11
2,044
3,171
1,237
225
—
6,688
Demand response services
144
130
263
—
—
—
537
Total revenue
2,324
2,174
3,434
1,237
225
—
9,394
Cost of cryptocurrency mining, exclusive of depreciation
1,658
—
—
—
—
—
1,658
Cost of data hosting revenue, exclusive of depreciation
4
1,107
1,423
581
394
110
3,619
Cost of cryptocurrency mining revenue- depreciation
1,011
—
—
—
—
—
1,011
Cost of data hosting revenue- depreciation
—
288
606
204
93
—
1,191
Total cost of revenue
2,673
1,395
2,029
785
487
110
7,479
Gross profit
$
(349
)
$
779
$
1,405
$
452
$
(262
)
$
(110
)
$
1,915
The following table summarizes the balances for the project sites for cryptocurrency mining revenue, data hosting revenue, high-performance computing service revenue, demand response revenue, cost of cryptocurrency mining revenue, exclusive of depreciation, cost of data hosting revenue, exclusive of depreciation, cost of high-performance computing services, and cost of depreciation during the three months ended March 31, 2025:
Soluna Digital
Soluna Cloud
(Dollars in thousands)
Project Dorothy 1B
Project Dorothy 1A
Project Sophie
Other
Soluna
Digital Subtotal
Project
Ada
Total
Cryptocurrency mining revenue
$
2,999
$
—
$
—
$
—
$
2,999
$
—
$
2,999
Data hosting revenue
—
1,371
1,031
—
2,402
—
2,402
Demand response services
269
238
—
—
507
—
507
High-performance computing services
—
—
—
—
—
28
28
Total revenue
3,268
1,609
1,031
—
5,908
28
5,936
Cost of cryptocurrency mining, exclusive of depreciation
1,954
—
—
—
1,954
—
1,954
Cost of data hosting revenue, exclusive of depreciation
—
885
372
70
1,327
—
1,327
Cost of high-performance computing service revenue
—
—
—
—
—
7
7
Cost of cryptocurrency mining revenue- depreciation
1,074
—
—
—
1,074
—
1,074
Cost of data hosting revenue- depreciation
—
295
106
—
401
—
401
Total cost of revenue
3,028
1,180
478
70
4,756
7
4,763
Gross (loss) profit
$
240
$
429
$
553
$
(70
)
$
1,152
$
21
$
1,173
EBITDA and Adjusted EBITDA Tables:
Reconciliations of EBITDA and Adjusted EBITDA to net loss, the most comparable GAAP financial metric, for historical periods are presented in the table below:
(Dollars in thousands)
Three Months Ended March 31,
2026
2025
Net loss
$
(17,902
)
$
(7,354
)
Interest expense
1,481
838
Income tax benefit
(624
)
(425
)
Depreciation and amortization
4,603
3,879
EBITDA
(12,442
)
(3,062
)
Adjustments: Non-cash items
Stock-based compensation costs
10,222
1,847
Gain on sale of fixed assets
(32
)
—
Right of first refusal amortization gain
(90
)
—
SEPA commitment fee
250
—
Fair value adjustment loss
—
118
Gain on debt extinguishment and revaluation, net
—
(551
)
Adjusted EBITDA
$
(2,092
)
$
(1,648
)
The following table represents the Adjusted EBITDA activity between each three-month period from January 1, 2025 through December 31, 2025.
(Dollars in thousands)
Three months ended March 31, 2025
Three months ended June 30, 2025
Three months ended September 30, 2025
Three months ended December 31, 2025
Net loss
$
(7,354
)
$
(7,780
)
$
(25,787
)
$
(16,070
)
Interest expense, net
838
1,196
1,212
1,589
Income tax benefit
(425
)
(608
)
(666
)
(617
)
Depreciation and amortization
3,879
3,989
4,119
4,358
EBITDA
(3,062
)
(3,203
)
(21,122
)
(10,740
)
Adjustments: Non-cash items
Stock-based compensation costs
1,847
1,942
1,882
4,895
Loss on sale of fixed assets and credit on equipment deposits
—
22
780
349
Fair value on placement agent warrant and financing fees
—
—
146
—
Fair value adjustment loss
118
—
22,047
1,516
Impairment on fixed assets
—
12
—
—
Gain on debt extinguishment and revaluation, net
(551
)
—
(10,107
)
—
Adjusted EBITDA
$
(1,648
)
$
(1,227
)
$
(6,374
)
$
(3,980
)
View source version on businesswire.com: https://www.businesswire.com/news/home/20260518023353/en/