We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
CoreWeave's Q3 Loss Narrows Y/Y, Revenues Up, Stock Down
Read MoreHide Full Article
Key Takeaways
CoreWeave's Q3 revenue surged 134% year over year to a record $1.36B, topping estimates.
New multi-year deals with Meta and OpenAI totaled about $22.4B in commitments.
Revenue backlog hit $55.6B, up 271% year over year, driven by AI lab and hyperscaler contracts.
CoreWeave, Inc. (CRWV - Free Report) reported a third-quarter 2025 loss per share of 22 cents compared with a loss of $1.82 in the year-ago quarter.
Adjusted net loss for the quarter was $41 million against adjusted net income of $67 million a year ago.
The Zacks Consensus Estimate was pegged at a loss of 39 cents per share.
Revenues in the quarter were a record $1364.7 million, which beat the Zacks Consensus Estimate by 6.8%. Total revenues jumped 134% year over year. The top-line performance was driven by increasing demand for the AI-cloud platform.
The company’s strong performance showcases disciplined execution across all aspects of the business — from scaling infrastructure and increasing capacity to strengthening customer relationships and enhancing its software and services. CoreWeave’s role as the go-to cloud for AI is more solid than ever, as it continues to fuel growth through focus and innovation to enable the next generation of AI.
In the third quarter of 2025, CoreWeave achieved strong momentum, driven by major customer wins across AI labs, hyperscalers and enterprises. The company entered into a multi-year deal worth up to approximately $14.2 billion with Meta to power next-generation workloads. It expanded its partnership with OpenAI through a deal of up to $6.5 billion, bringing total commitments to about $22.4 billion. CoreWeave also deepened ties with a leading hyperscaler, marking their sixth contract, and continued to serve as the preferred partner for innovators, such as Inference.net, Mizuho Bank, NASA JPL and Poolside.
The company rapidly scaled its purpose-built AI infrastructure, adding around 120 MW of active power to reach approximately 590 MW in total and expanding contracted power to 2.9 GW. Key technology milestones included becoming the first to deploy NVIDIA GB300 NVL72 systems and offer NVIDIA RTX PRO 6000 Blackwell Server Edition instances, alongside the acquisition of OpenPipe to strengthen AI training capabilities.
Revenue backlog (inclusive of remaining performance obligation and other amounts the company estimates will be recognized as revenues in future periods under committed customer contracts) was $55.6 billion, rising 271% year over year. This growth was driven by major contracts with clients such as OpenAI, Meta and several hyperscalers. The revenue backlog nearly doubled quarter over quarter.
However, the company has lowered its 2025 outlook. CRWV expects full-year 2025 revenues to be between $5.05 billion and $5.15 billion compared with $5.15 billion to $5.35 billion projected earlier. Adjusted operating income is forecasted to be between $690 million and $720 million compared with $800 million-$830 million anticipated earlier. Capex is estimated to be $12 billion to $14 billion compared with $20 billion to $23 billion projected earlier.
Following the results, shares declined approximately 7% in the after-market trading session yesterday. CRWV’s shares have gained 164% in the past year, significantly outperforming the 11.9% rise of its Internet Software industry.
Image Source: Zacks Investment Research
CRWV’s Q3 Margin Performance
Total operating expenses were $1.3 billion compared with $466.8 million in the year-ago quarter.
Operating income was $51.9 million compared with $117.1 million in the prior-year quarter.
Adjusted operating income was $217.2 million, up 74% year over year, while adjusted operating margin was 16%, down from 21%.
Adjusted EBITDA was $838.1 million compared with $378.8 million in the prior-year quarter.
CRWV’s Q3 Cash Flow and Liquidity
As of Sept. 30, 2025, CRWV had $3 billion in cash, cash equivalents and restricted cash. The company exited the third quarter with cash provided in operating activities of $1.7 billion, while capex was $1.9 billion.
Recent Performance of Other Companies in the Same Space
Atlassian (TEAM - Free Report) came out with first-quarter fiscal 2026 earnings of $1.04 per share, which beat the Zacks Consensus Estimate of 83 cents. This compares to earnings of 77 cents per share a year ago.
Atlassian posted revenues of $1.43 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 2.40%. The company reported revenues of $1.19 billion in the year-ago quarter.
Freshworks Inc. (FRSH - Free Report) came out with quarterly earnings of 16 cents per share, beating the Zacks Consensus Estimate of 13 cents per share. This compares to earnings of 11 cents per share a year ago.
Freshworks posted revenues of $215.12 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 3.12%. This compares to year-ago revenues of $186.57 million.
BlackBerry Limited (BB - Free Report) reported second-quarter fiscal 2026 non-GAAP earnings per share (EPS) of 4 cents. The figure beat the company’s estimate of breakeven to EPS of 1 cent. In the year-ago quarter, it reported a non-GAAP EPS at breakeven. The Zacks Consensus Estimate was pegged at 1 cent. Quarterly total revenues of $129.6 million exceeded its guidance ($115-$125 million) and were up 3% year over year. Management reported that the Secure Communications division outperformed expectations on both top and bottom line, while achieving improvements across its key metrics.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
CoreWeave's Q3 Loss Narrows Y/Y, Revenues Up, Stock Down
Key Takeaways
CoreWeave, Inc. (CRWV - Free Report) reported a third-quarter 2025 loss per share of 22 cents compared with a loss of $1.82 in the year-ago quarter.
Adjusted net loss for the quarter was $41 million against adjusted net income of $67 million a year ago.
The Zacks Consensus Estimate was pegged at a loss of 39 cents per share.
Revenues in the quarter were a record $1364.7 million, which beat the Zacks Consensus Estimate by 6.8%. Total revenues jumped 134% year over year. The top-line performance was driven by increasing demand for the AI-cloud platform.
The company’s strong performance showcases disciplined execution across all aspects of the business — from scaling infrastructure and increasing capacity to strengthening customer relationships and enhancing its software and services. CoreWeave’s role as the go-to cloud for AI is more solid than ever, as it continues to fuel growth through focus and innovation to enable the next generation of AI.
CoreWeave Inc. Price, Consensus and EPS Surprise
CoreWeave Inc. price-consensus-eps-surprise-chart | CoreWeave Inc. Quote
In the third quarter of 2025, CoreWeave achieved strong momentum, driven by major customer wins across AI labs, hyperscalers and enterprises. The company entered into a multi-year deal worth up to approximately $14.2 billion with Meta to power next-generation workloads. It expanded its partnership with OpenAI through a deal of up to $6.5 billion, bringing total commitments to about $22.4 billion. CoreWeave also deepened ties with a leading hyperscaler, marking their sixth contract, and continued to serve as the preferred partner for innovators, such as Inference.net, Mizuho Bank, NASA JPL and Poolside.
The company rapidly scaled its purpose-built AI infrastructure, adding around 120 MW of active power to reach approximately 590 MW in total and expanding contracted power to 2.9 GW. Key technology milestones included becoming the first to deploy NVIDIA GB300 NVL72 systems and offer NVIDIA RTX PRO 6000 Blackwell Server Edition instances, alongside the acquisition of OpenPipe to strengthen AI training capabilities.
Revenue backlog (inclusive of remaining performance obligation and other amounts the company estimates will be recognized as revenues in future periods under committed customer contracts) was $55.6 billion, rising 271% year over year. This growth was driven by major contracts with clients such as OpenAI, Meta and several hyperscalers. The revenue backlog nearly doubled quarter over quarter.
However, the company has lowered its 2025 outlook. CRWV expects full-year 2025 revenues to be between $5.05 billion and $5.15 billion compared with $5.15 billion to $5.35 billion projected earlier. Adjusted operating income is forecasted to be between $690 million and $720 million compared with $800 million-$830 million anticipated earlier. Capex is estimated to be $12 billion to $14 billion compared with $20 billion to $23 billion projected earlier.
Following the results, shares declined approximately 7% in the after-market trading session yesterday. CRWV’s shares have gained 164% in the past year, significantly outperforming the 11.9% rise of its Internet Software industry.
Image Source: Zacks Investment Research
CRWV’s Q3 Margin Performance
Total operating expenses were $1.3 billion compared with $466.8 million in the year-ago quarter.
Operating income was $51.9 million compared with $117.1 million in the prior-year quarter.
Adjusted operating income was $217.2 million, up 74% year over year, while adjusted operating margin was 16%, down from 21%.
Adjusted EBITDA was $838.1 million compared with $378.8 million in the prior-year quarter.
CRWV’s Q3 Cash Flow and Liquidity
As of Sept. 30, 2025, CRWV had $3 billion in cash, cash equivalents and restricted cash. The company exited the third quarter with cash provided in operating activities of $1.7 billion, while capex was $1.9 billion.
CRWV’s Zacks Rank
CRWV currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
Recent Performance of Other Companies in the Same Space
Atlassian (TEAM - Free Report) came out with first-quarter fiscal 2026 earnings of $1.04 per share, which beat the Zacks Consensus Estimate of 83 cents. This compares to earnings of 77 cents per share a year ago.
Atlassian posted revenues of $1.43 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 2.40%. The company reported revenues of $1.19 billion in the year-ago quarter.
Freshworks Inc. (FRSH - Free Report) came out with quarterly earnings of 16 cents per share, beating the Zacks Consensus Estimate of 13 cents per share. This compares to earnings of 11 cents per share a year ago.
Freshworks posted revenues of $215.12 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 3.12%. This compares to year-ago revenues of $186.57 million.
BlackBerry Limited (BB - Free Report) reported second-quarter fiscal 2026 non-GAAP earnings per share (EPS) of 4 cents. The figure beat the company’s estimate of breakeven to EPS of 1 cent. In the year-ago quarter, it reported a non-GAAP EPS at breakeven. The Zacks Consensus Estimate was pegged at 1 cent.
Quarterly total revenues of $129.6 million exceeded its guidance ($115-$125 million) and were up 3% year over year. Management reported that the Secure Communications division outperformed expectations on both top and bottom line, while achieving improvements across its key metrics.