Galaxy Digital Posts $216M Q1 2026 Net Loss as Digital Asset Prices Slide

Galaxy Digital reported a net loss of $216 million in the first quarter of 2026, largely driven by an approximately 20% drop in digital asset prices during the period. On earnings, consensus had been looking for a loss of $1.06 per share. Galaxy posted a $0.49 loss per share, beating expectations by more than 50%. Total assets were about $10 billion at quarter-end. Equity stood at $2.8 billion, down 8% from the prior quarter. The company held $2.6 billion in cash and stablecoins, providing a sizable liquidity cushion despite challenging market conditions. Digital asset holdings declined 19% quarter over quarter to $1.36 billion, broadly in line with the market move. Helios data center progress Galaxy's Helios data center in Texas delivered its first data hall to CoreWeave in April 2026, shifting the project from construction to revenue-generating operations. Management expects data center revenue to begin ramping meaningfully in the second quarter. The company outlined a sizable buildout plan: 133 megawatts targeted for Q2 delivery, an additional 830 megawatts secured through ERCOT, and a total pipeline exceeding 1.6 gigawatts. For a firm best known for crypto financial services, the expansion underscores a push to diversify into AI infrastructure as global compute demand accelerates. Assets under management held at roughly $5 billion through the quarter. Capital management During the quarter, Galaxy repurchased 3.2 million shares for $65 million, signaling management's view that the current valuation understates the business. The company also completed its delisting from the Toronto Stock Exchange, consolidating its public listing footprint. Heading into Q2, the investment case hinges on two factors: a rebound in digital asset prices from Q1 lows and the start of recurring data center revenue tied to the CoreWeave partnership. A sustained crypto recovery is uncertain, and the data center ramp may take time to appear in reported results. Tags: Crypto news