TeraWulf (WULF) Q3 2026: HPC lease revenue doubles to $63M, 83% of revenue, CB-4 rent due this quarter

$WULF reported revenue of $76.2M for the third quarter, against $50.6M a year ago, and the mix has turned over: $63.0M came from high performance computing (HPC) leases at Lake Mariner, about 83% of the total, against $31.9M in the second quarter. Bitcoin mining brought in $13.2M. The headline net income of $709.9M is an accounting line: it rests on a $728.4M non-cash gain on the fair value of warrants, and diluted earnings per share were minus $0.03. This recap walks the print, the build, the balance sheet and the read across the Cooling / DC Infra bubble.

The print

$WULF reported the quarter ended September 30, 2026.

What moved the numbers:

• HPC leases. Fluidstack and Core42 capacity at Lake Mariner earning rent: HPC revenue roughly doubled from the second quarter's $31.9M.
• Mining. Down to $13.2M as mining infrastructure is repurposed for HPC, by design.
• Costs. Operating expenses and SG&A rose with the data center operations; interest expense rose with the $3.2B of secured notes and the convertibles.
• Warrants. A $728.4M gain on the fair value of the warrant liabilities, the reverse of the $424.6M loss a year ago. It moves with the share price and carries no cash.
• Abernathy. A $95.0M gain on the sale of the 50.1% stake in the Abernathy joint venture.

The build

• Growth target reaffirmed: 250 MW to 500 MW of new critical IT capacity contracted each year.

The balance sheet

• Capex. $2.23B spent on plant and equipment over nine months.
• Funding. $1.20B of new shares sold this year; outstanding shares up 19% since December.
• After the quarter. The revolver went from $250M to $400M, with a $150M uncommitted accordion. Abernathy still owes $150M by December 31, 2026 and about $130M by April 30, 2027.

Cooling / DC Infra read-through

The standing QA thesis on /stocks/wulf: a bitcoin miner turned AI data center landlord, about 840 MW of critical IT under lease, with concentration, leverage and dilution as the bear case.

• Revenue flip. Confirmed and faster: 83% HPC, up from about 71% in the second quarter.
• Delivery. On schedule per the company: CB-4 rent this quarter, CB-5 in early 2027, Justified financing structured.
• Leverage and dilution. Still the open side: interest expense of $53.6M against $63.0M of HPC rent, 19% more shares since December, and a warrant liability above $1B.

Net read: the lease book is turning into rent; the balance sheet still carries the cost of building it.

Peer reaction

$WULF's closest correlated names in the QA universe over 252 days are $CIFR (0.85), $CORZ (0.84), $APLD (0.79), $HUT (0.78) and $IREN (0.76). Core Scientific and IREN reported on November 5. The release came before the open on November 6; the session reaction was not established when this recap was written.

What worked

• HPC lease revenue of $63.0M, about double the second quarter.
• Justified financed and contracted: Google backstop, Fluor EPC, Anthropic lease.
• Muskie power doubled to 1 GW, pending state approval.

What broke

• Adjusted EBITDA of minus $12.8M, and an operating loss of $88.2M.
• Interest of $53.6M a quarter.
• Dilution. 501.4M shares outstanding, from 420.1M in December.
• The tape. A $10.08 close on November 5 before the release, down 26% over a month and 38% over three months in the data QA tracks.

What to watch

• CB-4 rent commencement in the fourth quarter, the next step up in HPC revenue.
• The Justified project financing closing under the Google backstop.
• The Kentucky Public Service Commission decision on Muskie.
• A new lease inside the 250 MW to 500 MW yearly target.
• Levels. The nearest auto Fibonacci retracement of the 52-week range sits at $13.86, above the November 5 close; there is no curated level on WULF.

The level map, the peer table and the standing thesis live on /stocks/wulf, where our TeraWulf teardown video is embedded, with the company primer in TeraWulf explained. The full $WULF dossier collects the filings and the numbers. To follow the AI data center builders as a group, see the Cooling / DC Infra bubble.

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Educational research on structural market dynamics. Not investment advice. QuantAbundance positions may change without notice.