CoreWeave, an artificial intelligence company, reported quarterly financial results that exceeded analysts' expectations despite incurring losses.
Company Financial Results
CoreWeave reported revenue of $1.21 billion for the quarter, surpassing Wall Street's expectations of $1.08 billion. Revenue more than tripled compared to $395.4 million in the same period last year. However, the company posted a net loss of $290.5 million, which is slightly better than the $323 million loss reported a year earlier. The earnings per share were a loss of 21 cents.
Capacity Availability Challenges
Chief Financial Officer Nitin Agrawal indicated that growth continues to be limited by available capacity, with demand for CoreWeave’s GPU rental services still exceeding supply. The company competes with cloud providers such as Amazon Web Services for the same AI-focused customers, which remains a key challenge.
Future Projections and Plans
For the third quarter, CoreWeave expects revenue between $1.26 billion and $1.30 billion, slightly higher than the $1.25 billion analysts projected. The revenue guidance for the full year 2025 has been raised to between $5.15 billion and $5.35 billion, representing 174% growth from the current year. The company also announced a New Jersey data center project with up to 250 megawatts of capacity scheduled for delivery in 2026.
CoreWeave shows revenue growth but faces challenges in capacity availability. The company's future projections are positive, including expansion and the development of new services.
