Key Takeaways
- • Galaxy Digital (GLXY) swung to a third-quarter net profit of $323 million, reversing a $85 million loss in the second quarter, according to the company's earnings report.
- • Adjusted earnings of $0.83 per share beat the $0.20 analyst estimate, roughly 315% above expectations, per Koyfin data.
- • Data center adjusted EBITDA climbed 498% to $69 million, as the Helios I, Phase I lease with CoreWeave (CRWV) delivered its first full quarter of revenue-generating operations.
- • The board approved a new $200 million share buyback on Monday, with no fixed end date, after completing the prior $200 million program.
- • Assets under management and staked assets rose 46% to over $10 billion, and the company signed a multi-year staking deal with BNY Mellon.
Summary
Galaxy Digital Inc. (GLXY) reported third-quarter results on October 27, 2026 that returned the firm to profitability, with net income of $323 million compared with an $85 million loss in the second quarter. Revenue and gains from operations totaled $8.69 billion, slightly ahead of the $8.68 billion analysts had expected, according to Koyfin. Total adjusted EBITDA reached $455 million. Founder and CEO Mike Novogratz attributed the quarter to "the strength of our established Digital Assets franchise, significant appreciation across our investments portfolio, and the growing contribution from our Data Centers business." The treasury and corporate unit, which holds the company's crypto and investment positions, generated $395 million of adjusted EBITDA.
The data center segment was a key driver. Adjusted EBITDA rose 498% to $69 million from $11 million in the second quarter, and the unit recorded $79 million in adjusted gross profit. The results reflect the first full quarter of revenue-generating operations under the Helios I, Phase I lease, with all 133 megawatts of critical IT load delivered to CoreWeave by the end of the second quarter. The company said Helios I, Phase II is fully funded through a $3.5 billion bond sale and is expected to begin delivering in the second quarter of 2027. Galaxy is still in discussions with potential tenants for 830 megawatts of approved capacity at Helios II, and its gross power pipeline now exceeds 5.7 gigawatts.
In digital assets, trading volumes grew 12% from the prior quarter even as volumes across the broader spot crypto market declined. The average loan book rose 27% to $1.8 billion, and assets under management and assets staked rose 46% to more than $10 billion. Galaxy also signed a multi-year agreement with BNY Mellon to support staking on the bank's digital asset custody platform.
On capital returns, Galaxy completed its earlier $200 million buyback, repurchasing about 9.8 million shares, and its board approved a new $200 million program on Monday. Adjusted earnings of $0.83 per share were reported against the $0.20 analyst estimate. Shares rose over 3% in early morning trading on Tuesday, trimming gains from 6%, according to Stocktwits, where GLXY was among the top trending tickers and retail sentiment moved to 'extremely bullish' from 'neutral.'
The data center segment was a key driver. Adjusted EBITDA rose 498% to $69 million from $11 million in the second quarter, and the unit recorded $79 million in adjusted gross profit. The results reflect the first full quarter of revenue-generating operations under the Helios I, Phase I lease, with all 133 megawatts of critical IT load delivered to CoreWeave by the end of the second quarter. The company said Helios I, Phase II is fully funded through a $3.5 billion bond sale and is expected to begin delivering in the second quarter of 2027. Galaxy is still in discussions with potential tenants for 830 megawatts of approved capacity at Helios II, and its gross power pipeline now exceeds 5.7 gigawatts.
In digital assets, trading volumes grew 12% from the prior quarter even as volumes across the broader spot crypto market declined. The average loan book rose 27% to $1.8 billion, and assets under management and assets staked rose 46% to more than $10 billion. Galaxy also signed a multi-year agreement with BNY Mellon to support staking on the bank's digital asset custody platform.
On capital returns, Galaxy completed its earlier $200 million buyback, repurchasing about 9.8 million shares, and its board approved a new $200 million program on Monday. Adjusted earnings of $0.83 per share were reported against the $0.20 analyst estimate. Shares rose over 3% in early morning trading on Tuesday, trimming gains from 6%, according to Stocktwits, where GLXY was among the top trending tickers and retail sentiment moved to 'extremely bullish' from 'neutral.'
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