Nebius Group N.V. NBIS delivered a robust second-quarter 2026 performance, marked by triple-digit revenue growth, expanding profitability and substantial customer commitments that provide visibility into its future growth trajectory.

Revenues surged 454% year over year to $582 million and increased 46% sequentially. The performance was driven by capacity additions and high-margin revenues from a new asset-light business model and Token Factory, and contributions from recent acquisitions. Nebius AI business revenues climbed 514% to $575 million, representing 98% of total revenues. Following the second-quarter results, shares of Nebius surged 34.1% and closed the trading session at $259.20 yesterday.

Annualized run-rate revenues reached $3 billion, up 58% from $1.9 billion in the first quarter of 2026.

More importantly, profitability improved alongside growth. Adjusted EBITDA was $236 million in contrast to a loss of $21 million in the prior year quarter. Adjusted EBITDA margin expanded to 41% from 32% in the previous quarter. Nebius AI business delivered a 50% adjusted EBITDA margin.

Nebius Group N.V. Price, Consensus and EPS Surprise

Nebius Group N.V. price-consensus-eps-surprise-chart | Nebius Group N.V. Quote

Nebius reaffirmed its 2026 outlook for revenues of $3-$3.4 billion and annualized run-rate revenues of $7-$9 billion.

However, the highlight was the company's expanding committed backlog, which stood at more than $40 billion, bolstering multi-year visibility. Management added that it closed four "landmark" deals averaging $1 billion each. These deals are significant, represent yields of $20-$25 million per megawatt and have upfront payments covering 50-60% of the associated capex spend.

Nebius mentioned it is deliberately not selling the entire 2027 capacity on such terms to retain some capacity for shorter-term and immediate client needs.

The company also raised its year-end contracted power target to 5 gigawatts and plans to deploy more than 1 gigawatt of new capacity in 2027. With committed demand already supporting its capacity investments, execution on infrastructure deployment and backlog conversion should remain central to Nebius' 2027 growth story.

Challenges for NBIS remain significant amid intense competition from rivals such as pure-play CoreWeave CRWV and tech behemoths like Microsoft MSFT, Amazon and others, which are also aggressively ramping up capacity.

Mapping Competitive Terrain

CoreWeave is another rapidly growing AI infrastructure company. Its second-quarter revenues of $2.6 billion jumped 112% year over year, while revenue backlog reached $104.2 billion. The backlog figure does not include more than $25 billion of net new customer commitments secured in the early third quarter.