Nebius cut its 2026 revenue forecast after some data-center capacity it rents from other operators arrived later than planned, Reuters reported. The company now expects revenue of $3 billion to $3.2 billion this year, trimming the top of its range from $3.4 billion.
The quarter itself came in ahead. Third-quarter revenue was $981 million, against analysts' estimates of $907.5 million, according to Reuters.
Late capacity
A computing company can only bill for servers that are plugged in and running. When a building is late, the revenue that was supposed to come out of it moves with it.
That is what Nebius described. Some third-party capacity that had been expected this year has moved into the first half of 2027, Reuters reported. The company's own sites are on track or ahead of schedule.
"Delays are part of our industry right now. We are not immune...none of that capacity is canceled, some of it has shifted to 2027," Chief Executive Arkady Volozh said, according to Reuters.
Spending goes up
Nebius raised its 2026 capital spending forecast to about $27 billion, from a previous range of $20 billion to $25 billion, Reuters reported.
Next year is larger. Nebius plans to spend $40 billion to $45 billion in 2027. It expects roughly 75 percent to 85 percent of that investment to be covered by customer prepayments and asset-backed financing, tied to contracts with hyperscalers such as Microsoft and Meta, according to Reuters.
That funding mix matters as much as the total. Money a customer pays up front is cash the company does not have to borrow. Asset-backed financing is borrowing secured by the equipment and contracts themselves. Both depend on the customer contracts holding.
The company expects 2027 revenue of $12 billion to $13 billion and expects to reach pre-tax breakeven by the end of 2027, Reuters reported.
The shares
Nebius shares fell 16 percent after the results, Reuters reported. At the close on Thursday, Nov. 12, the stock was down 16.8 percent, its biggest daily percentage drop since July 1, according to a Reuters market report. Nebius lost more than a third of its value last month in a selloff in data-center stocks, Reuters reported.
Thursday's decline came on the same day Nvidia announced that Chief Executive Jensen Huang had resigned. Nvidia shares closed down 4.3 percent, Reuters reported.
CoreWeave and Nvidia
Nebius is one of the neoclouds, companies that rent out AI computing power. Reuters describes them as closely tied to Nvidia, which is a prominent backer.
CoreWeave, another of the group, reported on Tuesday. It raised its 2026 revenue outlook and said it is targeting a profit on an adjusted basis in the first half of 2028, Reuters reported. CoreWeave shares fell 6.9 percent on Thursday.
Both Nebius and CoreWeave said they do not expect the midterm election results to have a meaningful impact on their data-center timelines, according to Reuters.
For Nebius, the timeline that slipped belonged to buildings other operators are putting up. The bill for next year is its own: $40 billion to $45 billion, most of it meant to be covered by customer prepayments and asset-backed financing.