NBIS Reports Significant Revenue Increase in Q3 2025, Exceeding Analyst Estimates

NEBIUS GROUP N.V. (NBIS.US) announced its financial results for the third quarter ended September 30, 2025, reporting a substantial increase in revenue and a narrowed adjusted EBITDA loss. The company's revenue reached $146.1 million, marking a 355% year-over-year increase from $32.1 million in Q3 2024 and exceeding analyst estimates of $265.9 million. The adjusted EBITDA loss significantly narrowed to $5.2 million, an 89% improvement from a loss of $45.9 million in the same period last year.

Core AI Infrastructure Business Drives Growth

The core AI infrastructure business was the primary catalyst for the strong financial performance, contributing approximately 90% of the total group revenue in Q3 2025. This segment experienced a 400% year-over-year growth and a 40% quarter-over-quarter increase, reflecting robust demand and effective business strategies.

Nebius announced a new agreement to deliver AI infrastructure to Meta, valued at approximately $3 billion over five years, further solidifying its position in the AI market. This follows a previously announced deal with Microsoft, valued between $17.4 billion and $19.4 billion, demonstrating the company's ability to secure significant contracts with major tech firms.

Aggressive Capacity Expansion and Financing

Management highlighted aggressive plans to expand data center capacity, with expectations to secure over 2.5GW of contracted power by the end of 2026, up from a previous guidance of 1GW. Of this, 800MW to 1GW of connected power is anticipated by the end of 2026 to support growing demand.

To finance this expansion, Nebius raised $4.3 billion in convertible notes and an equity offering in September. The company plans to implement an at-the-market (ATM) equity program for up to 25 million Class A shares to access efficient ongoing equity funding, aiming for an annualized run-rate revenue of $7 billion to $9 billion by the end of 2026.

Product Innovation and Strategic Partnerships

Nebius launched Nebius AI Cloud 3.0 "Aether" and the Nebius Token Factory, an inference platform, to enhance its offerings for enterprise customers. These new products provide enterprise-grade security, compliance, and optimized model deployment for open-source AI models.

The company also expanded its partner ecosystem, notably through a partnership with TD Synnex for North American market reach and a strategic investment from Uber in Avride, its autonomous vehicle platform. These collaborations aim to strengthen brand awareness and accelerate customer acquisition in key sectors.