HIVE Digital Technologies Ltd (TSX:HIVE, NASDAQ:HIVE, FRA:YO0, BVC:HIVECO) reported a 158% jump in revenue from the year prior as the company pushes toward an ambitious $660 million annual recurring revenue target anchored by a major Canadian AI infrastructure buildout.
The Vancouver-based Bitcoin miner and data centre operator posted fiscal year 2026 revenue of $297.8 million, driven by a 164% jump in digital currency revenue to $278.3 million and a record $19.5 million from its BUZZ high-performance computing business, up 94% year-over-year.
Bitcoin production more than doubled to 2,885 coins mined during the fiscal year, as HIVE expanded its installed hashrate to 25.1 exahashes per second, materially outpacing a 42% rise in average network difficulty.
The company's gross operating margin expanded 14 percentage points to 36%, generating $107.9 million compared with $25.1 million a year earlier.
Adjusted EBITDA reached $72.9 million for the full year, while cash from operations rose to $62.3 million.
The fourth quarter was softer, with revenue of $71.8 million and an adjusted EBITDA loss of $9 million, as Bitcoin prices fell roughly 27% from their October all-time high through quarter-end and average network difficulty climbed to a record 140.7 terahashes.
Bitcoin mining revenue declined 23.9% sequentially to $67.2 million, though production held broadly steady at 876 coins as record operational hashrate from the completion of Paraguay Phase 3 offset the difficulty headwinds. HPC revenue of $4.6 million was marginally below the prior quarter after the deployment of HIVE's 504 NVIDIA B200 GPU cluster shifted from March to May, but rose 54% from the same period a year earlier.
The results come as HIVE pivots aggressively toward AI infrastructure. The company's BUZZ HPC unit grew contracted ARR to $35 million at fiscal year-end following the live deployment of its first 504 NVIDIA B200 GPU cluster at Bell Canada's AI Fabric facility in Manitoba, which is generating revenue at $2.90 per GPU-hour, 32% above the initial planning rate.
The company's most significant growth catalyst is the 320 MW AI Gigafactory it announced in the Greater Toronto Area in May 2026. The industrial-scale facility, designed to host more than 100,000 GPUs, is targeted to come online in the second half of 2027 and is expected to generate approximately $360 million in annualized recurring revenue at full operation. HIVE acquired a 25-acre site in the Toronto-Waterloo corridor for C$58 million and has outlined roughly C$3.5 billion in capital investment for the project.
"With a clear pathway to $660 million of ARR by year-end 2028, anchored by our planned 320 MW AI Gigafactory in the Greater Toronto Area, the largest planned Canadian AI infrastructure project under private ownership, we believe we are well positioned to capitalize on the growing demand for AI infrastructure," said co-founder and executive chairman Frank Holmes.
HIVE plans to roughly double its GPU fleet to approximately 11,000 NVIDIA GPUs under management by the end of calendar 2026, a scale the company says is expected to generate over $200 million in AI Cloud ARR.
"We are data-center builders and operators with a strong pedigree in orchestrating compute, whether GPU- or ASIC-based,” CEO Aydin Kilic told investors. “Our network, firmware and high-voltage engineering skill sets cover the core competencies required to excel in this rapidly evolving sector.”
The company also up-listed its shares from the TSX Venture Exchange to the senior Toronto Stock Exchange board in May, and closed a $115 million private placement of 0% Exchangeable Senior Notes in April, generating approximately $109.5 million in net proceeds to fund further expansion.
HIVE's 440 MW of global power capacity spans Canada, Sweden, and Paraguay and is powered entirely by green energy. The company's Paraguay buildout, completed in three phases through November 2025, delivered 300 MW of hydro-powered data centre capacity in under six months.