Galaxy Posts $85M Net Loss as Q2 Slumps Across Crypto Markets

Galaxy Digital reported a second-quarter 2026 net loss of $85 million, citing lower cryptocurrency valuations across the quarter. The company also posted a $0.09 loss per share, a figure it linked to mark-downs from declines in digital asset prices.

While the headline loss reflects a tough market backdrop, Galaxy’s operating metrics showed signs of stabilization. The firm reported revenue of $8.7 billion, down 15% from $10.2 billion in the first quarter of 2026, and below the $12.7 billion consensus compiled by Yahoo Finance.

Key takeaways

• Galaxy’s Q2 net loss totaled $85 million, with the company attributing results to depreciation in digital asset prices.
• Revenue fell to $8.7 billion, down 15% quarter-over-quarter and short of the $12.7 billion estimate cited by Yahoo Finance.
• Adjusted gross profit reached $66 million, up 34% quarter-over-quarter, suggesting earnings are not moving 1:1 with token price direction.
• Adjusted EBITDA was $11 million, indicating profitability at the core operating level despite market weakness.
• AI data center activity contributed $20 million in adjusted gross profit, tied to capacity ramp-ups for CoreWeave.

Losses mirror a broader market correction

Galaxy’s quarterly results came as the broader crypto market contracted. CoinMarketCap data shows total cryptocurrency market capitalization declined to $2 trillion as of June 30, down from $2.35 trillion on April 1—a drop of nearly 15% over the period.

That environment helps explain why net results weakened: when asset prices fall, firms holding or trading crypto assets often face valuation pressure that flows through to earnings. In Galaxy’s case, the company explicitly pointed to depreciation of digital asset prices as the driver behind the quarter’s loss per share.

Revenue lagged expectations as crypto valuations fell

Galaxy reported $8.7 billion in revenue for Q2 2026, a significant sequential decline from $10.2 billion in Q1. Analysts’ expectations, as reflected in Yahoo Finance estimates referenced in the company’s reporting, had called for roughly $12.7 billion.

Shares reacted to the update: Galaxy’s stock fell 6.2% in premarket trading to $20.70, with the move extending a decline of nearly 10% over the past month.

Adjusted earnings improved even as prices slipped

Even with market turbulence affecting reported net figures, Galaxy highlighted improving operating profitability through non-GAAP measures. The company said it generated adjusted gross profit of $66 million during the quarter and adjusted EBITDA of $11 million.

More importantly for investors, Galaxy noted these measures rose even quarter-over-quarter: adjusted gross profit increased by 34% compared with the prior quarter. Galaxy also emphasized the logic behind its adjusted figures, explaining EBITDA as a measure of core operating profit that removes financing costs, taxes, asset value changes, and one-time expenses.

In its commentary, Galaxy framed the uptick as evidence that its earnings are becoming less dependent on the direction of crypto asset prices. That claim, if sustained, matters because it would suggest the firm is leaning more on segments with more stable cash generation than pure market exposure.

AI data centers become a more visible earnings contributor

A key part of Galaxy’s earnings narrative in Q2 was the performance of its AI-related data center business. The company reported $20 million in adjusted gross profit from AI data centers as it ramped up capacity delivery to CoreWeave.

Galaxy also reiterated expectations tied to its long-term relationship with CoreWeave. The company expects $1 billion in annual revenue from its 15-year partnership. Galaxy previously raised funding to support expansion efforts for its AI infrastructure, including the $1.4 billion it secured to expand its Texas Helios AI data center—coverage of which was noted earlier by Cointelegraph.

The integration of AI infrastructure into Galaxy’s financial picture is worth watching because it can change how investors interpret the firm’s results. If a growing portion of earnings comes from hosting, data center operations, or related infrastructure delivery—rather than from crypto price exposure—then future quarters may look less like a mirror of token markets.

Still, the company’s reported net loss underscores that valuation declines can continue to pressure headline performance. The question for the market is whether adjusted profitability gains can offset volatility enough to improve investor confidence over multiple quarters.

What investors should monitor next

With Q2 demonstrating both crypto-market pressure on net results and improvement in adjusted profitability, the next updates to watch are whether Galaxy sustains the quarter-over-quarter rise in adjusted gross profit and whether AI data center revenue scales as expected from its CoreWeave ramp-up. Investors may also focus on future disclosures that clarify how much of earnings remains tied to crypto valuations versus recurring infrastructure economics.