SharonAI Holdings, Inc.

Good day, everyone, and welcome to the Sharon AI second quarter 2026 conference call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Please note this conference is being recorded. It is now my pleasure to hand the floor over to your host, Ross Barrows, Head of Capital Strategy and Investor Relations. Sir, the floor is yours.

Good afternoon. Welcome to our earnings call to discuss Sharon AI's operating results for the quarter ended June 30, 2026. Joining me today is James Manning, Sharon AI's Chief Executive Officer, and Tim Broadfoot, Sharon AI's Chief Financial Officer. I'll now take a moment to read the safe harbor statement. During the course of this conference call, we may make certain forward-looking statements within the meaning of the federal securities laws, including statements regarding our expectations, plans, prospects, strategies, future operating results and financial performance. Although they may reflect our current expectations and are based on our current view of the industry and our business, they are not guarantees of future performance. These statements are subject to risks and uncertainties that could cause our actual results to be materially different from those expressed in these statements and speak only as of the date of this call. For more details on factors that could affect these expectations and cause these differences, please see our most recent Form 10-K and Form 10-Q and other SEC reports filed with the Securities and Exchange Commission and available on the SEC's website and in the investor relations section of our website. Sharon Iyer undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information or future events. In addition, during this call, we may discuss certain non-GAAP financial measures. Reconciliations to the most directly comparable GAAP measures and related disclosures are available in today's earnings release and or on our investor relations website. I'll now turn the call over to James.

Hello, everyone, and welcome to Sharon Iyer's second quarter 2026 earnings call. I'm James Manning, CEO and co-founder of Sharon AI. I'll begin with the highlights from the quarter and an overview of our market position. I'll then cover some of our recent customer wins and I'll talk about some of the additional capacity and our capital strategy moving forward. The central message from the quarter is that we have materially increased each of the three inputs required to scale this business. AI factory capacity, contracted customer demand and capital. Let me give you the headline numbers first, then I'll unpack them. As of today, we have 212 megawatts of total secured AI factory capacity across Australia and New Zealand, which is an upgrade of 80 megawatts from our last guidance of 132 megawatts. 120 megawatts are contracted through multi-year table pay agreements, and I'll expand further on the updated capacity shortly. We expect to have more than 64,000 NVIDIA GPUs deployed by mid-2027. We've raised approximately 2.2 billion US dollars of capital since December 25 and we've executed roughly 8.8 billion of total contract value year-to-date. Three months ago, our portfolio was comprised of 100 megawatts capacity and 2.2 billion dollars of TCV. So the contracted book has grown by roughly four times and our secured capacity has more than doubled since. That demonstrates both the strength of demand and our ability to expand our supply to meet it. On customers, the standout is a six-year strategic compute collaboration with Nvidia worth $4.9 billion in total contract value. Alongside that, we've signed a five-year table pay agreement with a global AI lab worth $1.32 billion and a five-year table pay agreement with a global technology company worth $950 million. A few days ago, we secured a five-year take-home pay agreement with a global AI platform worth $373 million in TCV. Notably, this is a B300 deployment with a record price of over $4 per GPU hour. On platform, we have a growing pipeline beyond our announced capacity, and we've expanded our partnership with Vast Data to 600 petabytes of storage commitment. provided sufficient back-end infrastructure to support continued growth of up to 100,000 GPUs. On capital and governance, we completed a $1.6 billion oversubscribed financing round in June, which followed a $350 million convertible note in April. We've made three significant leadership appointments, Anuj Gul, formerly of Macquarie Group, joins as our CFO, Melissa Anastasia joins as our chief legal officer and Andrew Penn has been appointed as the non-executive chairman of the board. Bringing in CEE the leadership of Andrew, Anuj and Melissa's calibre strengthens our government's ability to execute shared AI as shared AI enters its next phase of growth. I'm delighted to welcome the multiple new team members we have added across the organisation, including technical, operations and sales to the team. Sharon AI is a leading Australian Neocloud and trusted AI infrastructure partner. Sharon is purpose-built to power the next generation of artificial intelligence and high-performance computing. We do so through our partner-led ecosystem, enabling our customers to confidently build, train and deploy AI that drives productivity, innovation and growth for their customers and themselves. What that practically means is we design and operate AI infrastructure optimized for large-scale training, inference, and high-performance compute. We deliver GPU as a service, AI platform layers, and high-performance storage as one integrated solution. And we serve enterprise, government, hyperscaler, and AI natives. I'm often asked, why are we well-positioned? And I like to think of it this way. Our NVIDIA cloud partner status supports our prioritised access to NVIDIA's latest generation of GPUs. Our networking, storage and orchestration are purpose-built for AI HPC workloads. Our Australian New Zealand hosted sovereign infrastructure is particularly relevant to regulated and related sensitive customers in the region. A capital efficient deployment model is built around partnering with leading data centre operators to deploy their tier 3 and tier 4 facilities. and by co-locating with the improvement data center infrastructure we accelerate our deployment reduce capital requirements and minimize the development risks associated with greenfield builds finally while we're headquartered in australia our customers are global and our contract to it wins this year emphasized just that point i said last quarter that we solve for one thing and that's scarcity and using that framework, which hasn't changed, I'd argue this quarter has validated it on all four fronts. From a GPU allocation, finally access to NVIDIA's GPUs remains one of the most critical constraints in this market. Manufacturing constraints and demand from hyperscalers continue to limit the supply available to everyone and emerging providers are facing long lead times. NVIDIA Cloud Partner status and now a six-year collaboration with NVIDIA puts us in a unique position to provide access to AI compute. Power. High-density GPU clusters need substantial, reliable power. However, ready data center sites with source power are becoming increasingly scarce due to grid constraints and long regulatory queues. Our multi-site data center relationships underpin our secure capacity, which has now grown to 212 megawatts. On the regulatory front. Data residency and sovereignty requirements are becoming increasingly important across a number of markets. That trend supports our locally hosted model and we extend our footprint this quarter with our first New Zealand facility. And finally, on capital and talent. Executing in this market takes significant capital and highly specialised HPC talent. Our successful capital ratings to date address the first issue, and our senior hires, as I mentioned earlier, address the second, in addition to our ongoing technical team build-out. So let me spend a bit more time on NVIDIA and our relationship. This is our first of its kind partnership, six years and initial 72 megawatts. 40,000 GB300s and $4.9 billion of minimum revenue or an average of $817 million of revenue per annum at implied base rates. But this partnership does two things. It expands our ability to provide computer access to the broader AI ecosystem, namely AI-made decent enterprise customers, and it reinforces supply certainty at scale through the NVIDIA Cloud Partner Program. but the other thing we've seen it do is reaffirm to our partners globally that sharon is a regional leader in ar compute we are well positioned to expand our megawatts and gpu opportunities throughout the region with the support of all our partners and including nvidia next i want to be clear about how this works commercially because i think it's been misunderstood based on some of the commentary we've seen under the agreement nvidia provides a six-year anchor commitment That commitment helps de-risk the capital investment by providing NVIDIA-guaranteed minimum revenue stream for the initial six-year period of the hardware deployed. This is viewed very favorably by debt providers who help fund the substantial capital investment in the GPUs and associated infrastructure as they can bank the guaranteed revenues in their models. But the pricing under this agreement is guaranteed as minimum only. That is, it provides a floor, not a ceiling. We expect to secure customers for a significant portion of the GPU capacity at prices above the guaranteed minimum. In those cases, we retain 100% of the anchor price and then share the incremental revenue above it. Importantly, NVIDIA will share in this incremental revenue too, which creates a new strategic alignment with NVIDIA who are incentivized to support us to both deliver a premium GPU service and to source and secure higher rate paying customers to maximize the share of the incremental revenue. Importantly, if we perform successfully under the initial 40,000 GB 300 allocation, we believe there may be an opportunity to expand the program over time. On the contracting model itself, not much has changed from what I described last quarter, but it's worth reiterating. Here's an example showing what a contract might look like. In month one, the customer contracts and prepays an amount. That prepayment lets us submit the purchase orders for the specific GPUs and network infrastructure in a way that reduces our upfront capital outlay. Over months one to four we receive and install the hardware. The GPU and the other hardware is delivered within three to four months. Our final payment lands on delivery and installation and configuration takes two to four weeks. From month five onwards we recognise monthly revenue on reserve capacity for the full term. For a take-or-pay contract we are paid irrespective for whether they use the compute 100% of the time or 40% of time which gives us real clarity on the expected revenues. and at the end of the term depending on tenure there might be several years less useful economic life so we can re-contract or sell to the on-demand market. The question we get asked the most is whether customers actually re-contract and I'd like to point out a few things. Data gravity or moving petabytes between clouds is a real switching cost not moving compute and the 600 petabytes committed under the Expanded Vaas Data Partnership is there for customers to grow into. Second, the platform itself. Because networking, storage, and orchestration are tuned to each workload, switching means rebuilding and revalidating their stacks. Third, the time to compute. Because redeployment elsewhere means a multi-month hardware and deployment lead times all over again for the customer. And finally, the upgrade path. Because as an NVIDIA Cloud partner, we have priority access to generational upgrades of future GPU allocation, we can save the customer from joining the queue for scarce supply. So who are our partners? We see our partner ecosystem as a unique differentiator. We orchestrate a best-in-class ecosystem around a single AI cloud platform. Compute, data, networking, data centers, procurement and installation, and hardware lifecycle support. We don't need to own every layer. Instead, we combine leading technologies and infrastructure partners within a single sharing AI platform. That model is designed to support faster deployment and more capital efficient growth. To name a few, NVIDIA is our primary supplier of compute. NextDC is our primary supplier of data center capacity and recently our agreement with Vaas has notably strengthened our storage strategy and we can't forget worldwide technology which is our exclusive APAC procurement testing and implementation partner. It's also worth calling out that this partnership approach has had two big impacts. One is that this results in low operational risk, greater market validation and credibility, and two, that an internal technical headcount does not need to scale as fast as some others as they internalize these capabilities. And now to capacity, and this is a piece of news I want to make sure doesn't get lost today. Since our last capacity update, we've secured an additional 80 megawatts in Australia, taking our total secured AI factory capacity to 212 megawatts. To put that trajectory in context, we had 54 megawatts at the start of the year. We have therefore increased our secured capacity roughly four times year-to-date while accelerating customer wins. Demand has consistently run ahead of what we can supply. So having 92 megawatts of secured available capacity heading to the back half of this year is exactly the strong position we wanted to be in. But pipeline isn't just a number. It's a commitment to deliver compute online. And so I'm pleased to confirm that we have successfully handed over a B300 cluster to one of our customers this month as well. We are actively focused on our next deployments of both B300s and GB300 equipment into the balance of this quarter and the early quarter four. If you look at how the contracted revenue book has built throughout the year, it's a fairly steep line. We started Q1 with Canada, GMI and ESDS with a $1.3 billion of total TCB. In May, we announced a global technology company with a major Asia-packed presence for a further $950 million. In June, NVIDIA for $4.9 billion. And in July, the Global AI Lab for $1.32 billion. And just a few days ago, we signed another agreement with the Global AI Platform for $373 million. That takes us to roughly $8.8 billion of total contracted value for the 120 megawatts of contracted capacity, which leaves us with 92 megawatts available to sell. Finally, it's worth turning to our capital strategy. And we secured approximately $2.2 billion of cash since December 2025. That includes the recent $1.6 billion strategic financing closed in the second quarter. The June financing was oversubscribed and led by a cohort of top-tier institutional funds, and we remain grateful to their ongoing support. Many of you will have joined the call today, and we appreciate your continued support and suggestions as we work to deliver our GPUs to customers. I'll now close with four points on our outlook. First, demand continues to materially outweigh supply. and we secured 212 meg watts of capacity for deployment by the end of 2027, while our contracting visibility now extends out through to 2031. Second, we're well-funded for our near-term build-out following the $1.6 billion financing and other capital raises to date. Third, we expect the first material revenue to commence in the fourth quarter of 2026 as large-scale B300 and GB300 deployments come online. and fourth we're targeting more than 64 000 gpus deployed by mid-2027 across our footprint in australia new zealand we've made significant progress in a short period of time but the hard work is still ahead of us contracted revenue becomes recognized through execution delivery and operating at the high standards our customers expect that's what the next 12 months is about and i'm confident in our ability to deliver Finally, on a personal note, I wanted to take this opportunity to thank Tim Broadfoot, our CFO, for his work in getting to Sharon where it is today. This will be Tim's last 10Q, and we look forward to a new school joining our team and leading the next core. Tim will continue consulting the company for a period, and we wish him all the best in the future. Operator, please open the line for some Q&A.

Certainly. At this time, we will be conducting a question and answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. One moment please while we poll for questions. Your first question for today is from Darren Evtahi with Lucid Capital Markets.

Hey guys, thanks for taking my questions and congrats on all the progress. Just to, if I may, the additional capacity, the 80 megawatts you guys added this morning in the release, is that source coming from a same partner you're working with or is it a new partner? Second question on the NVIDIA partnership, the 72 megawatts, any updates on releasing that? And with that question on the release, are conversations with customers, I assume, in the ballpark of where your latest contract was north of $4 GPUR? Thanks. Thanks, Darren, James.

So a new partner solution for the additional 80 megawatts. Fairly confident around some early megawatts, potentially as early as late this year, but definitely in Q1 next year. So good to unlock some capacity there and delivery through 2027 from that perspective. The 80 megawatts is in Australia and there's some strategic activities we're focused on around that capacity and at this time it's probably not appropriate to give you much more detail on it but as we've been through the whole history to date it's been about adding consistently megawatts across partners and delivery modules to get them online and get those programs working. With respect to your second question for the customer demand on the AICP program that we've been running for the 40,000 GPUs, look, I point you to the announcement, you know, just this week, we sold that capacity for record dollars per hour or price per megawatt hour, depending on both ways you think about it, for both B300 and GB300. that's the that's the demand profile we're seeing um and the pricing pricing mechanisms that we're having with that pricing discussions we're having with our current customers so you know we are seeing quite a constrained market ultimately um for access to gpus and with those constraints we're we're out at being able to you know incrementally increase those price per hour um that we're getting appreciate it thanks we're really and So the other thing is I'd say based on the customer demand profiles we're seeing, we'd expect that strong pricing to continue throughout the year.

Your next question is from Brett Knobloch with Cancer Fitzgerald.

Hey, guys. Thank you for taking my questions. Related to the NVIDIA contract, I know it's quite unique there, and congrats on adding the additional capacity in Australia. What is your priority, to resell the potential backstop capacity from NVIDIA or to sell the remaining capacity or the remaining 92 megawatts that you have? Is there a preference for what would come first or what would NVIDIA want first? How should we think about that?

Great question. We often talk about our sales cycle, Brett, and that's probably the way we think about this. So when I talk about the program that we've got currently going to resell the space in Melbourne, that's compute that's very well designed. We have a very clear path about how we're going to build that out, what the compute form is going to be. all the RFS dates are done and so you know we know with that uh with that knowledge we can start giving customers rfs dates and contracts so short term we're very focused on you know the resale of that nvidia the nvidia capacity um because you know there's a lot of deals there for AI natives and we're seeing a lot of demand in there and the program really put us on the map you know globally for a lot of other customers that we didn't historically have relationships with and so we've got some great relationships which are giving us really good insight to then the other capacity that we've just announced and so quite often you know i've spoken about this on several calls but Peter was is when we get capacity online and we know we know we've got energy or white space, we then have to go through a design process to get the right form factor compute to then be able to take that out to customers. So we're early in the journey on the additional megawatts, but we are already having those conversations with those customers. So one of the great things we're seeing out of the The resale process on the AICP is we're talking to these AI natives and they're looking at, you know, what's the rest of your capacity? What are you saying to our sales guys? What are you seeing for 27? What are you going to have online for 28? And so we're getting a lot more further out insight as to what customer demand profiles are looking at. Can we guarantee if we get 5,000 GPUs out of the 40,000 on this, can you guarantee us some 5,000 or 10,000 in your next bit of capacity that you're going to be building out? And so that's amazing from a forecasting perspective. It gives us a lot of confidence, but it also enables us to start to talk to those customers Thank you very much.

On contract duration, you know, if I look at all the contracts you've signed, you know, maybe absent some of the really small ones, it's been five years except for NVIDIA at six. Is there a target duration you're looking for when you do ultimately get into the, you know, the resell or reselling the NVIDIA capacity? Like, you know, is it more one, two years? Is it shorter? Is there a target duration that we're thinking of?

look we're largely being driven by customers on that component and that conversation i i think every customer you know it's a bit of a balance between price and duration every customer would would love to have the longest term they can is the the general conversation we're having them um but the demand we're seeing is in the three to five year range um but they all want to lock up as much as they can and so we're trying to find a balanced book where we take the limited resource of 40,000 GPUs and split it between a mix of three to five year contracts, but also depending on what we see that customer's forward demand profile or or curve is you know thinking about how we match those things across you know future demand as well so you know um what we want to try and do is find those customers that we can expand not just so you know once we've landed a customer how do we expand the customer because it's a lot easier once you've got that customer on your books to expand those relationships yeah that makes sense and then maybe just want one follow-up for me

If I kind of like do some back of the map and math here on the storage with your partnership with the best, it's, you know, about 100,000 GPUs, which is about similar to how much megawatts you've now secured following the 80. You know, at what point would you look to expand that, you know, just ahead of additional capacity right up in the future? Are you thinking about that yet? Or is that still a bit of a bit of a ways out?

oh great question i mean we always like to leave a few breadcrumbs in an announcement is the way we expect to think about it i think you know that those early indications of where we're thinking as we sign those deals like the one we did with vast The other thing I'd just say more broadly on storage is we've seen huge customer demand And that is, you know, as to how we design a facility, how we turn on the facilities, changing those dynamics as well as we're realizing with customers, we need to be able to take more storage into a design beyond the standard three petabytes per 1000 GPU. All of these sort of reference architecture, customers are looking for more storage. And so as we think about that, the recent $1.32 billion contract was 10 petabytes of storage per 1,000 GPUs. Now that's a material upgrade. from three and that means you have to think about you know storage capacity that additional loads um you know traditionally their air cooled loads um attaching to you know our gb environment so there are mixes here that we have to start considering you know as we're seeing these shifts in storage awesome really appreciate it thank you guys as a reminder if you would like to ask a question please press star 1

Your next question for today is from Michael Donovan with CompassPoint.

Hey, guys. This is Ian Generous calling in for Michael Donovan. Congrats on the continued progress and signings. My first question, I just wanted to ask, your partnerships now include NVIDIA, Dell, VAST, and a number of data center operators. Can you talk about how those relationships support the growth strategy from here, whether that's validating next-gen GPUs and what kind of line of sight they give you into future to map?

yeah so i i think um you know the demand cycle we're seeing from the yeah you we think demand cycle from our partner network partners are obviously referring us business and and that's very helpful when we start to talk to our supply side uh on demand you know we're definitely hearing about supply constraints in market where where customers are you know where customers you know their customers are experiencing demand so what we're hearing through you know supply relationships with um you know with the dells with the super micros with the lenovo's as you know an overwhelming story of large large large demand but then when we talk to you know our storage custom partners like fast and so forth you know we hear about what they're doing in storage and what other other neo clouds and other people in the space are doing but really by using this partner network it's all about lowering our execution risk and so you everyone's got to have a relationship with an oem but when we have a relationship like a wwt and we have those relationships with you know the the data center operators it just you know lowers our overall net operating risk um and you know we get all of those we get a lot of the customer referrals through those channels so from that perspective it's absolutely fantastic that that partner-led model and you know working within the ecosystem you get a and a lot of insights as to those you know changes in customer profiles and how we need to be thinking about them before before they necessarily need to be implemented in our business as well because you know like we've just mentioned before you know 10 petabytes per 1000 GPUs i'm sure that will vast will tell someone else they need to start thinking about more storage for 1k customers for some of their other customers and that may not necessarily you know be true for their customers today but it is true for what we're experiencing so that information throw through the network's very valuable over time i think

That's very helpful, thank you. And as a follow-up, as those conversations extend into the next generation, how are you observing pricing dynamics on Bear Rubins? Are customers engaging on Rubin commitments today for late 27, 28 deliveries? And how do you see pricing trending relative to GB300s, for example?

yeah so we we haven't started pricing there ruben um but we are seeing extraordinary amount of demand for it so we are now actively having you know the the capacity as i sort of said um as as i sort of said you know we we go through you know design phases once we see a cure capacity and we work through those design phases to you know go to the drb with nvidia um around certain specific capacity and compute workloads and that's when we then have those customer conversations for that specific compute demand in that location that said a lot of early demand for beer room so you know those customers that we're talking to on aicp are saying well what's your 20 set late 27 vr capacity are we going to get some of that you know can we can you promise us some of that you know can and we get our hands on it. So, you know, we are working through, you know, where the beer room and deployments will be for us in, you know, maybe late 27, early 28 and then, you know, customers are already looking for us to, you know, secure and lock in those deliveries for them ultimately. So, you know, we're very conscious of that in the way we're thinking about data center, human and data center capacity to procurement and design for implementation as well. That's great to hear.

Thank you for taking my questions. Keep up the good work. Anytime. Thank you.

Your next question for today is from Jonathan Higgins with Unified Capital Partners.

Hi, guys. Thanks for taking the time today. Congratulations on the momentum. Just a couple from me today. Firstly, just on capacity, you're sort of averaging about a billion dollars in TCV being signed, or if not more, every month, and the deal frequency is getting better, or getting more frequent, sorry. How do you strategically think about that capacity? You've raised it today to obviously 200 or above. How should we think about that probably in the 2028 and what you're seeing on the demand side of things?

Yeah I mean capacity is a great great question and we're thinking about how we grow and we haven't provided guidance out through 2728 for additional megawatts than what we've done obviously to market and you know we've taken a an approach where once we announce some capacity we're very focused on designing and delivering that capacity and allocating that capacity customer contracts so you know it is to your point there is a bit of momentum there we are you know contracting at it at a faster rate uh and we're trying to focus on those customers that can grow with us and bringing on good quality high quality customers that will take up that capacity I'd expect you'll see you know and in the forward period us announcing some customer contracts which will be attached to that there's AI that capacity that we've already got locked up under AICP so you'll see some re-contracting of some of that capacity from our perspective so there's a little bit of that for us to work through over the forward period and then we're going to be starting to work through again The Outlook capacity that we've got coming up. There's a few 1K classes and some smaller classes for us to contract and announce as well that we're very focused on from a deployment perspective. So bring that all together. I'm not going to promise you the same momentum or the same pace, but we We do have quite a lot of customer conversations. They're very materially advanced for the existing AICT cluster. And then we are starting to have those early conversations about the larger announced capacity when that's coming online and so forth. So we've got to go through, as I alluded to earlier, we've got to finalize those designs. So we perform factor the delivery dates and work with our OEM partners around that delivery. So we confirm up the RFS dates. We want to get customers on those GB300s. We want to deliver that in 27. We want to make sure we're there for those customers for VR in 2028. And how we mix and match all of those. Obviously, we're going to need additional capacity. We're very clear that we are ambitious about growing those things. But I've always said this is a customer-led journey in many ways. We're matching our capacity to our customer demands and making sure that we're comfortable that we can finance those and get those things deployed in appropriate timeframes.

You understand sort of stepping through it. And just another one, I mean, you sort of talk about the sovereign sort of capability of the group, you know, the demand that's in Australia, New Zealand, part of Asia Pacific. Can you talk about that, you know, like give us an idea of what the demand is or the shortages are out of, you know, ANZ and Asia versus say like what you're seeing in the U.S.? Like is it, you know, are they having a greater inability to be able to source the compute than what you're seeing in say the U.S. market, which is obviously experiencing shortages as well?

That's the entire market's constraint to start with. So it doesn't matter whether we're talking to customers that are in North America or in Asia or Australia, the entire market's constraint. And so when you start talking to any of the customer conversations that we're having, you know, it's for hundreds of thousands of GB300s just on this AICP program. We've got 40,000. so you know we've got a multiple of the cluster that we have in demand and so that's why these conversations and releasing some additional capacity and announcing that is very useful because what we can start to talk to is hey yeah we can give you Kieran hobojan, Tim Flahvin, a lot of customers on it because we want to build that broaden the base ultimately of customers on the compute and so we're not just focused on those but also like the smaller 1k clusters those customer contracts because as you land those and expand them out you know finding lots of customers on 1k or half k clusters and the ability to grow out that is very important for us as well so Look, I think the only other thing I'd say is the demand from both US and Asia is equally strong, but we're very focused on having that balanced customer book. But we are very much prioritising those customers that we think have got strong growth profiles so we can expand those relationships over multi-year terms.

Excellent. I might just take one more if that's okay. Just more on the financial side of the business. I mean, the financing, as you say, you know, in your release, you're talking about you've got a lot more dry powder than you had at the start of the year. And within the video deal and the movements that we've seen in sort of financing and the like, can you talk about how you're sort of seeing the IRRs in the business? You don't need to necessarily call up another, but how do you see them and where the cost of finance has moved for you guys and the ability to access that over the last sort of several months from the last quarter?

Yeah, so I think, you know, what we did in the last quarter has been, you know, phenomenal and we're very, very, very thankful for our, you know, ongoing shareholder support, you know, with the $1.6 billion raise and O'Tree's earlier one for the convertible note that was, you know, they were all instrumental steps for us to grow this business. And, you know, so I think, you know, We have been very lucky that we've had that level of support from equity markets and the trust in us delivering that story has been given to us. On the debt markets piece, we're very advanced on debt facilities across the business. We'd expect to be coming to coming to market and exploring and explaining some of those solutions that we've got near-term. I won't bid against myself, John. I won't tell everyone where we are on pricing and so forth from this call, but we are seeing really strong, and you can see that at the top line. You can see that in the price per megawatt or price per GPU hour. We're seeing very strong pricing on the compute side. That's reflective of the strong customer demand, and that's reflecting very strong IRRs. which is supportive of you know a dead environment ultimately so um you know we've just recently you know concluded our full technical diligence for lenders and you know we got through all that in you know in very short order and in very good order so you know we're very comfortable about delivery now on that program um so yeah thanks guys

Your next question is from Fedor Shatalin with B. Reilly Securities.

Thank you very much, operator, and good time of day, everyone. My question is kind of a follow-up of the first two questions that have been asked. So on the NVIDIA partnership and the GB300 capacity under the management, what kind of customers are you targeting to fill that capacity? And can you frame how much of it you expect to be contracted, like take a pay versus sold on demand? Is there a preference here? And related to that, does the mix skew differently by customer type, like hyperscaler versus enterprise? And how does that affect the GPU hour rates you're underwriting? And if you can comment on what the deployment schedule looks like for these 40,000 GPUs, that would be super helpful. Thank you very much. Well, thanks for the question.

No, it's always happy to give you the breakdown. For the AI natives that we're seeing on the AICP program, I think you can expect the vast majority will be them on take or pay. So who are they? They're various model builders, inference providers, and we'll be deploying that over the first half of 2027, and that computer will be online. we are seeing you know there'll be a little bit of spot um but vast majority will be you know as i alluded to earlier those three to five year terms um you know on a take or pay basis so you know very focused on those customers that we can grow with um and so i think the great thing for us is that they've they've been a a really good way for us to you know get that early conversation about what they need elsewhere in our capacity pipeline for 27. and so we're seeing those ai natives all wanting to lock up as much compute as Kieran hobojan, Timothy Broadfoot so we can continue to grow and execute but also know that you know it's um it's fully deployed um and you know we don't have a huge customer churn across the platform um because you know while you might look at doing some of those customers on spot and we'll have a portion of the the marketing spot it's a lot easier to have those customer relationships you know the the egress that we talk about for storage you know when you're at 4 000 or 5,000 GPUs it is a bit of work you know egressing a customer on an offer on a network at that scale and so you know it makes a lot of sense to keep them locked in for a bit more term versus a short-term spot for that sort of stuff if it's the inference stuff we're going to see that inference you know can come and go a lot faster but you know a lot of the ar natives are looking for a longer term solution with a bit more storage deployment So, you know, we're looking to ensure that we've got deployment over, you know, half on 2027 with full billing on at latest in Q3 across that cluster.

That's helpful. And my follow up is you've guided to revenue ramping materially from third quarter this year for 2027. And my question is, what's the biggest swing factor that could push that ramp? If I recall correctly, service start date is September 16th. Just want to figure out what could potentially happen or you can just reassure us that this is a starting date.

yeah great question um so you know we're currently you know we've got rfs dates from a data center perspective um you know we obviously rely on our data center partners to make sure they do their delivery um we are carefully tracking and monitoring our supply deliveries so you know those deliveries are super micro um for instance um but you know we are If you say what are the risk factors, it's hardware delivery and data setting readiness. They're the two ones and their third-party supplier relationships. We'll have a very solid Q4. We believe that it's an end of Q3 turning on, so Q4 will be and so on. Last week, you know, physically, the data centers look like they're in good order. We're getting through those processes and deployments. So, you know, we just got to get their compute online and get it delivered and get it online and then get it handed over to the customer. So, you know, but I think you'll see a solid Q4 result on those numbers.

Thank you very much. And I promise this is the last one. You're right. mid-2027 GPU target and secured capacity multiple times since June. And just a question, is that a port revision being driven by signed contracts pulling capacity forward or by anticipated demand ahead of signed paper? And what conditions make you confident to post a contracted megawatt target if it will happen?

Thank you.

yeah so i i think you know the customer demand is definitely there and then the data center delivery piece with we're very confident of you know looking at the you know from our perspective how how we look at those things being built and delivered you know we can see that the data centers can be built and delivered in that time frame um so um the 64 000 gpus that we're talking about is contracted demand by mid 27 um so we're very comfortable about the Kieran hobojan, Timothy Broadfoot We've been slowly, slowly building this story out. And it doesn't feel so slow when you're inside the business, I can assure you. We're constantly adding people and team to make sure that we can deliver. And that's really, really important. So we moved from 132 megawatts to 212 megawatts by the end of 2027 today. You know, I just point back to our history from where we came through from the beginning of the year. And I know there's a slide in the deck about, you know, how we've upgraded megawatts. So, you know, I'm not going to promise you I'm going to upgrade at that rate all the way through 27 for my 27 turn on dates. But we are very focused on how we expand our 27 opportunities. You know, we've we've forex capacity in sort of eight months across the business. I don't know if I can promise you a fore exit capacity in the next eight months but you know we're going to work really hard to add capacity but we're going to do it in a measured way we have to make sure that the customer you know are signing contracts and we have to make sure the finances are you know financing for each of these sort of deals are in place before we just go and sign up we're not going to go you know Thank you for all the details and continuing best of luck. Great, thank you very much. So I think that concludes our poll today. I just wanted to say thank you for all our shareholders and everyone that was on the poll and listened to us. Importantly, I wanted to say thank you to our team. They continue to execute. We got that B300 on just recently and we're moving to deliver the next batch of compute. So it's really important our team Tim here's my thanks for delivery because 2026 and 2027 will be the uh the year about delivery for us so um i just want to reiterate from a closing position we're both well positioned financially and operationally to continue to grow the the apac story both australia new zealand asia pac um markets across the balance of the year and beyond and we just wanted to thank everyone for their support and time again today thank you

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