| Schedule of Revenue and Segment Profit (Loss) by Reportable Segment |
The following table presents revenue and segment profit (loss) by reportable segment for the periods presented (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, | | Six Months Ended June 30, | | 2026 | | 2025 | | 2026 | | 2025 | | HPC Leasing Segment | | | | | | | | HPC lease revenue | $ | 31,932 | | | $ | — | | | $ | 52,954 | | | $ | — | | | Cost of revenue (exclusive of depreciation) | 4,452 | | | — | | | 6,903 | | | — | | | Operating expenses (including related party) | 18,473 | | | — | | | 26,805 | | | — | | | HPC leasing segment profit | $ | 9,007 | | | $ | — | | | $ | 19,246 | | | $ | — | | | | | | | | | | | Digital Asset Mining Segment | | | | | | | | | Digital asset mining revenue | $ | 12,835 | | | $ | 47,636 | | | $ | 25,825 | | | $ | 82,041 | | | Cost of revenue (exclusive of depreciation) | 7,948 | | | 22,094 | | | 7,858 | | | 46,647 | | | Operating expenses (including related party) | 4,965 | | | 3,514 | | | 7,835 | | | 6,406 | | | Digital asset mining segment (loss) profit | $ | (78) | | | $ | 22,028 | | | $ | 10,132 | | | $ | 28,988 | |
The following table presents a reconciliation of the reportable segment profit to loss before income taxes and equity in net loss of investee included in the Company’s condensed consolidated statements of operations for the three and six months ended June 30, 2026 and 2025 (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, | | Six Months Ended June 30, | | | | | | 2026 | | 2025 | | 2026 | | 2025 | | | | | | | | | | | | | | Reportable segment profit | | | | | $ | 8,929 | | | $ | 22,028 | | | $ | 29,378 | | | $ | 28,988 | | | Selling, general and administrative expenses | | | | | 112,411 | | | 9,996 | | | 240,016 | | | 56,569 | | | Selling, general and administrative expenses – related party | | | | | 14,529 | | | 4,292 | | | 14,688 | | | 7,863 | | | Depreciation | | | | | 21,241 | | | 18,786 | | | 49,718 | | | 34,360 | | | Loss (gain) on fair value of digital assets, net | | | | | 799 | | | (887) | | | 1,452 | | | (17) | | | Change in fair value of contingent consideration | | | | | — | | | 1,600 | | | — | | | 1,600 | | | Impairment of property, plant, and equipment | | | | | — | | | — | | | 25,697 | | | — | | | Loss on disposals of property, plant, and equipment | | | | | 399 | | | 3,831 | | | 399 | | | 3,831 | | | Operating loss | | | | | (140,450) | | | (15,590) | | | (302,592) | | | (75,218) | | | Interest expense | | | | | (56,389) | | — | | (4,012) | | — | | (123,460) | | — | | (8,061) | | Change in fair value of warrants | | | | | (755,667) | | — | | — | | — | | (971,992) | | — | | — | | | Loss on extinguishment of debt | | | | | (7,116) | | | — | | | (7,116) | | | — | | | Interest income | | | | | 28,956 | | — | | 1,232 | | — | | 58,367 | | — | | 3,491 | | Other income | | | | | 930 | | | — | | | 930 | | | — | | Loss before income tax and equity in net loss of investee | | | | | $ | (929,736) | | | $ | (18,370) | | | $ | (1,345,863) | | | $ | (79,788) | |
|