Nebius Group Q1 Earnings: Revenue Up 385%, 'Strong Momentum' In Core AI Infrastructure Business Drives FY Outlook

Nebius Group N.V NBIS reported first-quarter financial results before the market open on Tuesday. Here’s a rundown of the AI infrastructure company’s report.

Q1 Earnings: Nebius Group reported first-quarter revenue of $55.3 million, up 385% year-over-year, driven primarily by growth in the company’s core AI infrastructure business.

However, the company also reported a first-quarter adjusted net loss of $92.5 million, versus $77.6 million in the prior year’s quarter.

Nebius noted that it operates the Avride and TripleTen businesses and maintains equity stakes in ClickHouse and Toloka. The company also highlighted a strategic investment from Bezos Expeditions, with participation from a Shopify executive.

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Nebius said it ended the first quarter with approximately $1.45 billion in cash and cash equivalents.

“Nebius Group has had a very strong start to the year. Our core infrastructure business delivered annualized run-rate revenue (ARR) as of the end of Q1 of $249 million, up 684% year-over-year. We are continuing to see strong dynamics in Q2, with April ARR of approximately $310 million, and have maintained this strong momentum into May,” said Arkady Volozh, founder and CEO of Nebius Group.

“Given our mid-term growth prospects, fueled by our lower cost-of-capital funding opportunities, and coupled with our relatively stable cost structure, we see a clear path to building a high-growth business with a strong margin profile that can generate solid, sustainable free cash flows.”

Outlook: Nebius guided for full-year 2025 revenue of $500 million to $700 million. The company also expects to reach positive adjusted EBITDA during the second half of 2025. For comparison, Nebius reported an adjusted EBITDA loss of $62.6 million in the first quarter.

Nebius also noted that it has expanded its locations from one to five over the past three quarters. The company said it’s actively exploring new sites and expects to provide an update “soon.”

Nebius executives began discussing the quarter on a call with investors and analysts that started at 8 a.m. ET.

NBIS Price Action: Nebius Group shares were up 3.57% at $38.91 at the time of publication Tuesday, according to Benzinga Pro.

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