Galaxy Digital posts $216M Q1 loss, advances Helios

Galaxy Digital reported a $216 million net loss for the quarter ended March 31 after a roughly 20% decline in total crypto market capitalization lowered the value of its investment portfolio. After the quarter ended, the company delivered one data hall at its Helios campus to CoreWeave and obtained regulatory approval for an additional 830 megawatts of power.

The Q1 loss was smaller than the $482 million loss in the prior quarter. Adjusted EBITDA was negative $188 million and adjusted gross loss totaled $88 million. Total assets fell about 12% quarter-over-quarter to just under $10 billion, and shareholders’ equity declined to $2.8 billion. Galaxy held $2.6 billion in cash and stablecoins at quarter end.

The firm’s core digital assets business reported an adjusted gross profit of $49 million, supported by fee income and transaction revenue, while trading volumes were roughly flat. The average loan book decreased about 20% to $1.4 billion as clients reduced leverage. The Treasury and corporate unit recorded a $140 million adjusted gross loss driven mainly by unrealized losses on digital assets and investments.

The company noted the Helios site now has more than 1.6 gigawatts of approved power capacity after the new 830-megawatt approval. Galaxy expects the Helios campus to host high-performance computing workloads, including artificial intelligence applications, and the CoreWeave agreement is expected to contribute to second-quarter revenue.

Assets under management were roughly $5 billion, down from the prior quarter due to market depreciation, while the asset management business recorded $69 million in net inflows. Galaxy disclosed a role supporting staking infrastructure for a BlackRock Ethereum exchange-traded product. Corporate actions in the quarter included $65 million in share repurchases and completion of a delisting from the Toronto Stock Exchange, with trading consolidated on Nasdaq. The company described its balance sheet as liquid.