Accelerating AI Data Center Expansion: APLD Continues to Post Losses Despite Revenue Surge

Applied Digital Corporation disclosed in its Form 8-K for the third quarter of fiscal 2026 that revenue rose 139% year-over-year to $126.6 million (approximately KRW 170 billion), while it recorded a GAAP net loss of about $100.9 million (around KRW 140 billion). The company stated that it has fully commissioned its 100 MW direct-chip immersion-cooled HPC data center at Polaris Forge 1 and is advancing an additional 150 MW, the 200 MW facility at Polaris Forge 2, and the 300 MW Delta Forge 1 AI Factory campus in the southern U.S. Concurrently, Applied Digital announced capital-raising and structural initiatives, including a $2.15 billion 6.75% senior secured note issuance due 2031 (roughly KRW 3 trillion), a $100 million development finance facility with Macquarie (about KRW 130 billion), and the provision of guarantees and letters of credit for its CoreWeave lease.

The company is also pursuing a spin-off transaction to combine its cloud services business with EKSO Bionics to form ChronoScale Corporation, appointing co-founder Jason Zhang as President. It further disclosed that, following RSU vesting by its CEO and CFO, executive shareholdings increased and certain shares were sold by the company to cover tax-withholding obligations.

In its April 8 earnings release, Applied Digital reaffirmed the commercial launch of its first 100 MW immersion-cooled AI data center and its plan to add several hundred megawatts at the Polaris and Delta Forge campuses. Immediately after the report, APLD shares on Nasdaq jumped more than 10% in one day, reflecting heightened short-term volatility.

Headquartered in Dallas, Texas, Applied Digital is a data center and colocation provider that designs, builds, and operates infrastructure across North America for AI, high-performance computing (HPC), cloud, networking, and blockchain workloads. Amid surging AI compute demand and ongoing GPU-based HPC data center investments, the company is spinning out its cloud services business into ChronoScale to become a pure-play data center and HPC hosting platform, thereby expanding its footprint in the infrastructure market.