RUM Group Inc.

Good afternoon, ladies and gentlemen, and welcome to Ram Group's second quarter 2026 earnings conference call. At this time, all lines are in a listen-only mode. Following the presentation, we will conduct a question-and-answer session. If at any time during this call you require immediate assistance, please press the star zero for the operator. This call is being recorded on Monday, August 10, 2026. I would now like to turn the conference over to Shannon Devine, Investor Relations for Ram Group. Please go ahead.

Thank you, operator. I'm here today with Chris Pavlovski, founder, chairman, and CEO of Rum Group, and Mike Masci, CFO. A press release detailing our second quarter 2026 results was released today and available on our investor relations website. Before we begin the formal presentation, I'd like to remind everyone that statements made on this call include predictions, estimates, or other information that may be considered forward-looking. All forward-looking statements are made only as of the date of this call and should be considered in conjunction with the company's cautionary statements in our earnings release and the factors included in our filings with the SEC. Future company updates will be available via press release and the company's identified social media channels. I will now turn the call over to Rum Group's founder, chairman and CEO, Chris Pavlovski.

Good afternoon everyone and thank you for joining us. Last quarter, I told you this would be the last call before Rumble meaningfully entered the cloud and agentic AI era. Today, I'm glad to say that transformation is complete. On June 17th, we closed our acquisition of Northern Data, securing approximately 85.2% of its outstanding shares And with the deal closed, we renamed our parent company Rum Group Inc. We now operate two distinct synergistic business units, Rumble, our video platform, and Quake AI, our new cloud and AI infrastructure business. Combining Rumble Cloud with Northern Data is a state of roughly 22,000 NVIDIA H100 and H200 GPUs. To kick off our first earnings call as a combined company, I'm thrilled to announce that our revenue for the second quarter was $40.4 million, up 61% from $25.1 million in the second quarter of 2025. I'm proud to say it's been nearly five years since we announced going public and we are still posting all-time records for our company and we anticipate that we'll post another all-time record in the next upcoming quarter. I want to spend a minute on the strategic logic here because I think it's important for everyone on this call to understand where we are headed. Rumble spent years building its own rails as a free speech platform. Our own bare metal compute, our own CDN, and the network to deliver low latency streaming at scale. Combine that now with an AI compute as a service business like Northern Data and you get a compelling end-to-end AI infrastructure company. That's Quake AI and it's going to be the financial engine of RUM Group going forward. On execution, Quake AI's existing GPU estate is running at more than 85% utilization today, up sharply from where it stood not long ago. That improvement reflects a deliberate focus on customer support, software, and infrastructure as a service execution. And it's what gave us the credibility to win the next stage of growth. In June, we signed a multi-year agreement with Together AI to deploy NVIDIA HGX B300 GPU capacity, establishing Rum Group as a credible, independent provider of large-scale AI infrastructure outside the traditional hyperscaler ecosystem. It validates that our customers trust our execution enough to partner with us, and that NVIDIA is willing to support us with this supply allocation to keep growing. The next stage for this team is monetizing our 250 megawatts of power targeted for 2027, the grid connections and agreements that put us in position for real deployment next year. That capacity spans our marquee 180 megawatt powered site near Atlanta, Georgia, one of the most important internet points of presence in the country. We continue to see strong customer momentum as well as meaningful progress on the site development where the substation is already built and the transformers are on site. In addition, we also have a smaller site in Pittsburgh and two European sites, roughly 50 megawatts in Sweden and roughly 20 megawatts in Norway. We continue to see encouraging and unprecedented growth in demand for AI compute as a service and our customer and demand pipeline remains strong. Simply monetizing 250 megawatts of currently unmonetized capacity represents what we believe is a 3 billion plus annual run rate opportunity for Rum Group.