(Reuters) – Nebius Group on Thursday reported a jump in quarterly revenue on strong demand for AI infrastructure, in its first earnings report since shares resumed trading last week after a more than two-year pause.
Trading was suspended in the Nasdaq-listed shares of the company – formerly held by Yandex – soon after Russia’s invasion of Ukraine. In July, Nebius emerged following a $5.4 billion deal to split Yandex’s Russian and international assets.
Nebius is aiming to grab to a slice of the lucrative market for artificial intelligence and cloud infrastructure.
The Amsterdam-based company’s quarterly revenue surged to $43.3 million in the third quarter, compared with $5 million a year earlier.
Excluding items, it reported a net loss of $47.3 million, compared with a loss of $86.5 million a year earlier.
Nebius anticipates capital expenditure in the fourth quarter to exceed $387.6 million, which is the amount spent in the first nine months of this year. This is due to investments related to procurement of graphics processing units (GPUs) and data center capacity expansion.
The company’s core business involves providing Nvidia GPUs and AI cloud as services. Nebius gives AI developers with the computing, storage, managed services, and tools they need to build, tune, and run their AI models, with the help of its cloud software architecture and in-house designed hardware.
(Reporting by Harshita Mary Varghese in Bengaluru; Editing by Shounak Dasgupta)
