Good afternoon, and 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 AI 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 AI'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 MW of total secured AI factory capacity across Australia and New Zealand, which is an upgrade of 80 MW from our last guidance of 132 MW. 120 MW are contracted through multi-year take-or-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 MW of capacity and $2.3 billion of TCV. 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 have signed a five-year take-or-pay agreement with a global AI lab worth $1.32 billion, and a five-year take-or-pay agreement with a global technology company worth $950 million. A few days ago, we secured a five-year take-or-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 PB of storage commitment, providing sufficient backend 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 Anastasiou joins as our Chief Legal Officer; and Andrew Penn has been appointed as a Non-Executive Chairman of the Board.

Bringing in senior leadership of Andrew, Anuj, and Melissa's caliber strengthens our governance and ability to execute Sharon AI as Sharon AI enters its next phase of growth. I'm delighted to welcome the multiple new team members we have added across the organization, including in 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. We serve enterprise, government, hyperscaler, and AI natives.

I'm often asked, why are we well-positioned? I'd like to think of it this way.

Our NVIDIA Cloud Partner status supports our prioritized access to NVIDIA's latest generation of GPUs. Our networking, storage, and orchestration are purpose-built for AI and HPC workloads.

Our Australia and New Zealand-hosted sovereign infrastructure is particularly relevant to regulated and data-sensitive customers in the region. A capital-efficient deployment model is built around partnering with leading data center operators to deploy their Tier 3 and Tier 4 facilities.

By co-locating with improved data center infrastructure, we accelerate our deployment, reduce capital requirements, and minimize the development risk associated with greenfield builds. Finally, while we're headquartered in Australia, our customers are global, and our contracted wins this year emphasize just that point.

I said last quarter that we solve for one thing, and that's scarcity. Using that framework, which hasn't changed, I'd argue this quarter has validated it on all four fronts.

From a GPU allocation: timely 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.

Our 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 secured capacity, which has now grown to 212 MW.

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.

Finally, on capital and talent: executing in this market takes significant capital and highly specialized HPC talent. Our successful capital raisings 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.

Let me spend a bit more time on NVIDIA and our relationship. This is a first-of-its-kind partnership: six years, an initial 72 MW, 40,000 GB300s, and $4.9 billion of minimum revenue, or an average of $817 million of revenue per annum at implied base rates.

This partnership does two things: it expands our ability to provide compute access to the broader AI ecosystem, namely AI natives and enterprise customers, and it reinforces supply certainty at scale through the NVIDIA Cloud Partner program. The other thing we've seen it do is reaffirm to our partners globally that Sharon is a regional leader in AI 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 and 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 the associated infrastructure, as they can bank the guaranteed revenues in their models. The pricing under this agreement is guaranteed as a 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 their share of the incremental revenue.

Importantly, if we perform successfully under the initial 40,000 GB300 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 networking 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, a final payment lands on delivery, and installation and configuration takes two to four weeks. From month five onward, we recognize monthly revenue on reserved capacity for the full term.

For a take-or-pay contract, we are paid irrespective of whether they use the compute 100% of the time or 40% of the time, which gives us real clarity on the expected revenues. At the end of the term, depending on tenure, there might be several years left of useful economic life, 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.

The 600 PB committed under the expanded VAST 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 re-validating their stacks.

Third, the time to compute: because redeploying elsewhere means a multi-month hardware and deployment lead times all over again for the customer. Finally, the upgrade path: because as an NVIDIA Cloud Partner, we have priority access to generational upgrades of future GPU allocation.

If we can save the customer from joining the queue for scarce supply. 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 Sharon AI platform.

That model is designed to support faster deployment and more capital-efficient growth. To name a few: NVIDIA is our primary supply of compute; NEXTDC is our primary supply of data center capacity; and recently, our agreement with VAST has notably strengthened our storage strategy; and we can't forget World Wide 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 internal technical headcount does not need to scale as fast as some others as they internalize these capabilities. 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 executed an additional 80 MW in Australia, taking our total secured AI factory capacity to 212 MW. To put that trajectory in context, we had 54 MW 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, having 92 MW of secured available capacity heading to the back half of this year is exactly the strong position we wanted to be in.

The pipeline isn't just a number; it's a commitment to deliver compute online. I'm pleased to confirm that we have successfully handed over B300 cluster to one of our customers this month as well.

We are actively focused on our next deployments of both B300s and GB300 GB300 equipment into the balance of this quarter and into 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 Canaan, GMI, and ESDs with a $1.3 billion of total TCV. In May, we announced a global technology company with a major Asia-Pac presence for a further $950 million.

In June, NVIDIA for $4.9 billion, and then in July, the global AI lab for $1.32 billion. Just a few days ago, we signed another agreement with a global AI platform for $373 million.

That takes us to roughly $8.8 billion of total contracted value for the 120 MW of contracted capacity, which leaves us with 92 MW available to sell. Finally, it's worth turning to our capital strategy.

We've 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 cohort of top-tier institutional funds, and we remain grateful for 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 outpace supply, and we've secured 212 MW 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 GB300 deployments come online.

Fourth: we're targeting more than 64,000 GPUs deployed by mid-2027 across our footprint in Australia and 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 Sharon where it is today. This will be Tim's last 10-Q, and we look forward to Anuj Gul joining our team and leading the next call.

Tim will continue consulting to the company for a period, and we wish him all the best in the future. Operator, please open the line for some Q&A.

Hey guys, thanks for taking my questions, and congrats on all the progress. Just two, if I may.

The additional capacity, the 80 MW 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, the partnership, the 72 MW, any updates on releasing that?

With that question, on the release, are conversations with customers, I assume, in the ballpark of where your latest contract was, north of $4 GPU hour? Thanks.

Thanks, Darren. James.

New partner solution for the additional 80 MW, fairly confident around some early megawatts, potentially as early as late this year, but definitely in Q1 next year. Good to unlock some capacity there and delivery through 2027 from that perspective.

The 80 MW is in Australia, and there's some strategic activities we're focused on around that capacity. 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, 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 demand profile we're seeing and the pricing discussions we're having with our current customers.

We are seeing quite a constrained market ultimately for access to GPUs, and with those constraints, we're being able to incrementally increase those price per hour that we're getting.

Appreciate it. Thanks, James.

The only 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.

Hey guys, thank you for taking my questions. Related to kind of 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 backstop capacity from NVIDIA or to sell the remaining capacity or the remaining 92 MW 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.

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, when it's coming online.

All the RFS dates are done. We know with that knowledge, we can keep giving customers RFS dates and contracts.

Short term, we're very focused on the resale of that NVIDIA capacity because there's a lot of deals there for AI natives, and we're seeing a lot of demand in there. The program really put us on the map globally for a lot of other customers that we didn't historically have relationships with, and so we've got some great relationships, which is giving us really good insight to then the other capacity that we've just announced.

Quite often, I've spoken about this on several calls, but key to us is when we get capacity online and we know we've got energy or white space, we then have to go through a design process to get the right form factor of compute to then be able to take that out to customers. We're early in the journey on the additional megawatts, but we are already having those conversations with those customers.

One of the great things we're seeing out of the resale process on the AICP is we're talking to these AI natives, and they're looking at, 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?

We're getting a lot more further out insight as to what customer demand profiles are looking like, and they're all asking for it. They're like, '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?'

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 about specifically what they're looking for. Are you looking for a cluster with more storage next time?

We can do a bit more planning. Having released that additional capacity publicly and now being able to talk to customers about where we see that pipeline and what's publicly available as pipeline and then when we talk to them about what's not publicly available as pipeline, it's very helpful overall from an organizational perspective about planning overall capacity and how we're thinking about growing the business.

Awesome. That's very helpful.

On contract duration, if I look at all the contracts you've signed, maybe absent some of the really small ones, it's been 5 years except for NVIDIA at 6. Is there a target duration you're looking for when you do ultimately get into reselling the NVIDIA capacity?

Is it more 1, 2 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 think every customer, it's a bit of a balance between price and duration.

Every customer would love to have the longest term they can is the general conversation we're having with them. The demand we're seeing is in the 3- to 5-year range.

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 3- to 5-year contracts. Also, depending on what we see that customer's forward demand profile or curve is, thinking about how we match those things across future demand as well.

What we want to try and do is find those customers that we can expand. Once we've landed a customer, how do we expand that customer?

Because it's a lot easier once you've got that customer on your books to expand those relationships.

That makes sense. Then maybe just one follow-up from me.

If I kind of do some back-of-the-napkin math here on the storage with your partnership with VAST, it's about 100,000 GPUs, which is about similar to how much megawatts you've now secured following the 80. At what point would you look to expand that, just ahead of additional capacity ramp in the future?

Or are you thinking about that yet, or is that still a bit of a ways out?

Oh, great question. We always like to leave a few breadcrumbs in an announcement is the way we like to think about it.

I think those early indications of where we're thinking as we sign those deals like the one we did with VAST was a good indicator about where we were thinking the business was going and where we thought we'd be announcing our megawatts as we came into this period. We're always in discussions with VAST.

They've been an amazing partner, and so we are looking at how we expand that storage. The other thing I'd just say more broadly on storage is we've seen huge customer demand and shifts in the storage dynamic.

That is how we design a facility, how we turn on a facility, is 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 3 PB per 1,000 GPU sort of reference architecture. Customers are looking for more storage.

As we think about that, what the recent $1.32 billion contract was 10 PB of storage per 1,000 GPUs. Now that's a material upgrade from 3, and that means you have to think about storage capacity, additional loads, traditionally they're air-cooled loads attaching to our GB environments.

There are mixes here that we have to start considering as we're seeing these shifts in storage.

Awesome. Really appreciate it.

Thank you, guys.

Hey guys, this is Ian Generous calling in for Michael Donovan. Congrats on the continued progress and the 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 demand?

I think we're seeing the demand cycle from our partner network. Partners are obviously referring us business, and that's very helpful.

When we start to talk to our supply side on-demand, we're definitely hearing about supply constraints in market where their customers are experiencing demand. What we're hearing through supply relationships with with the Dells, with the Supermicros, with the Lenovos, is an overwhelming story of large demand.

Then when we talk to our storage partners like VAST and so forth, we hear about what they're doing in storage and what other Neoclouds and other people in the space are doing. Really, by using this partner network, it's all about lowering our execution risks.

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 the data center operators, it just lowers our overall net operating risk, and we get a lot of customer referrals through those channels. From that perspective, it's absolutely fantastic that partner-led model, and working within the ecosystem, you get a lot of insights as to the changes in customer profiles and how we need to be thinking about them before they necessarily need to be implemented in our business as well.

Because, like we've just mentioned before, 10 PB per 1,000 GPUs, I'm sure VAST will tell someone else and they'll start thinking about more storage per 1k cluster for some of their other customers, and that may not necessarily be true for their customers today, but it is true for what we're experiencing. That information through the network is very valuable over time, I think.

That's very helpful. Thank you.

As a follow-up, as those conversations extend into the next generation, how are you observing pricing dynamics on Vera Rubin? Are customers engaging on Rubin commitments today for late '27, '28 deliveries?

How do you see pricing trending relative to GB300s, for example?

We haven't started pricing Vera Rubin, but we are seeing extraordinary amount of demand for it. We are now actively having the capacity, as I sort of said, we go through design phases.

Once we secure capacity, and we work through those design phases to go the DRB with NVIDIA 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 Vera Rubin.

Those customers that we're talking to on AICP are saying, 'Well, what's your 20 late '27 VR capacity? How are we going to get some of that?

Can you promise us some of that, can we get our hands on it?' We are working through where the Vera Rubin deployments will be for us in maybe late '27, early '28, and then customers are already looking for us to secure and lock in those deliveries for them, ultimately.

Very conscious of that and the way we're thinking about data center procurement and data center capacity, compute procurement, and design for implementation as well.

That's great to hear. Thank you for taking my questions, and keep up the good work.

Anytime. Thank you.

Hi guys, thanks for taking the time today. Congratulations on the momentum.

Just a couple from me today. Just firstly, just on capacity, you're sort of averaging about a billion dollars in TCV being signed, if not more every month, and the deal frequency is getting more frequent.

How do you sort of strategically think about that capacity? You've raised it today to obviously 200 and above.

How should we think about that probably into 2028 and what you're seeing on the demand side of things?

Capacity is a great question, and we're thinking about how we grow, and we haven't provided guidance out through '27, '28 for additional megawatts than what we've done, obviously to market. We've taken an approach where once we announce some capacity, we're very focused on designing and delivering that capacity, and allocating that capacity to customer contracts.

It is, to your point, there is a bit of momentum there. We are contracting at a faster rate, and we're trying to focus on those customers that can grow with us and bringing on high-quality customers that will take up that capacity.

I'd expect you'll see in the forward periods us announcing some customer contracts which will be attached to that capacity that we've already got locked up under AICP, you'll see some re-contracting of some of that capacity from our perspective. 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 clusters and some smaller clusters for us to contract and announce as well that we're very focused on from a deployment perspective. Bring that all together, I think I'm not going to promise you the same momentum or the same pace, but we do have quite a lot of customer conversations that are very materially advanced for the existing AICP cluster.

Then we are starting to have those early conversations about the larger announced capacity when that's coming online and so forth. We've got to go through that, as I alluded to earlier, we've got to finalize those designs, the form factor, the delivery dates, and work with our OEM partners around that delivery, we can firm up the RFS dates.

We want to get customers on those GB300s who want to deliver that in '27. We want to make sure we're there for those customers of VR in 2028.

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.

It's we're matching our capacity to our customer demand and making sure that we're comfortable that we can finance those and get those things deployed in appropriate timeframes.

Understand. Sort of stepping through it.

Just another one, you sort of talked about the sovereign sort of capability of the group, the demand that's in Australia, New Zealand, part of Asia-Pacific. Can you talk about that, give us an idea of what the demand is or the shortages are out of ANZ and Asia versus say what you're seeing in the US?

Are they having a greater inability to be able to source the compute than what you're seeing in, say, the US market, which is obviously experiencing shortages as well?

I think the entire market's constrained, to start with. It doesn't matter whether we're talking to customers that are in North America or in Asia or Australia; the entire market's constrained.

When you start talking to any of the customer conversations that we're having, it's for hundreds of thousands of GB300s just on this AICP program. We've got 40,000.

We've got a multiple of the cluster that we have in demand. 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 5,000 or a number of the 40,000 GPUs, and we can work with you on this additional capacity for '27, and we can work with you for this in '28.'

Those conversations are giving customers a pipeline, making sure they've got access to compute and democratizing that access and making sure we've got a lot of customers on it, because we want to broaden the base ultimately of customers on the compute. 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, finding lots of customers on 1k or half-k clusters and the ability to grow out that is very important for us as well.

Look, I think the only other thing I'd say is the demand from both US and Asia is equally strong. We're very focused on having that balanced customer book.

We are very much prioritizing those customers that we think have got strong growth profiles, so that 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.

The financing, as you say, in your release you're talking about you've got a lot more dry powder than you had at the start of the year. With the NVIDIA deal and the movements that we've seen in sort of financing and the like, can you talk about how you sort of seeing the IRRs in the business?

You didn't necessarily call it out, but how do you seeing them and where the cost of finance is moving for you guys and the ability to access that over the last sort of several months from the last quarter?

I think what we did in the last quarter has been phenomenal, and we're very very very thankful for our ongoing shareholder support with the $1.6 billion raise, and Oaktree's earlier one for the convertible note, they were all instrumental steps for us to grow this business. I think 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 market and explaining some of those solutions that we've got near-term.

I won't bid against myself, Jono, and tell everyone where we are on pricing and so forth on 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 to the strong customer demand, and that's reflecting very strong IRRs, which is supportive of a debt environment ultimately.

We've just recently concluded our full technical diligence for lenders, and we've got through all of that in very short order and in very good order. We're very comfortable about delivery now on that program.

Yeah.

Thanks, guys.

Thank you very much, operator, and good time of day, everyone. My question is kind of a follow-up of the first two questions have been asked.

On the NVIDIA partnership and the GB300 capacity under the management, what kind of customers are you targeting to fill that capacity? Can you frame how much of it you expect to be contracted, like take-or-pay versus sold on-demand?

Is there a preference here? Related to that, does the mix skew differently by customer type, like hyperscaler versus enterprise?

How does that affect the GPU hour rates you're underwriting? If you can comment on what's the deployment schedule looks like for these 40,000 GPUs, that would be super helpful.

Thank you very much.

Thanks for the question. No, 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 of it will be the more take-or-pay. Who are they?

They're various model builders, inference providers, and we'll be deploying that over the first half of 2027, and that compute will be online. We are seeing there'll be a little bit of spot, but the vast majority will be, as I alluded to earlier, those 3- to 5-year terms on a take-or-pay basis.

Very focused on those customers that we can grow with. I think the great thing for us is that they've been a really good way for us to get that early conversation about what they need elsewhere in our capacity pipeline for '27.

We're seeing those AI natives all wanting to lock up as much compute as possible for as long as possible. The overwhelming from it is, can we have more, and can we have term?

We're trying to balance that against what we can see is clearly a constrained market, and matching all those components so we can continue to grow and execute, but also know that it's fully deployed, and we don't have a huge customer churn across the platform, because while you might look at doing some of those customers on spot and we'll have a portion of the market in spot, it's a lot easier to have those customer relationships. The egress that we talked about for storage, when you're at 4,000 or 5,000 GPUs, it is a bit of work egressing a customer on and off on a network at that scale.

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 can come and go a lot faster, but a lot of the AI natives are looking for a longer-term solution with a bit more storage deployment.

We're looking to ensure that we've got deployment over a H1 2027 with full billing on at latest in Q3 across that cluster.

That's helpful. My follow-up is, you've guided to revenue ramping materially from third quarter this year through 2027, and my question is, what's the biggest swing factor that could push that ramp into 4Q, for example?

Is DS right, 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 the starting date.

Great question. We're currently, we've got RFS dates from a data center perspective.

We obviously rely on our data center partners to make sure they do their delivery. We are carefully tracking and monitoring our supply deliveries.

Those deliveries with Supermicro, for instance. We are, if you say what are the risk factors, it's hardware delivery and data center 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 would be where you materially see that revenue, ramping. As I sort of alluded to on the call, we've delivered the B300 to that customer, so, we're mid-quarter now, you'll see, a month and a full month and a bit of billing in Q3 for the B300 as well, so that's all starting to ramp.

Then you'll see the, as we get the hardware deployed, and, we're out looking the site, last week, physically the data centers look like they're in good order. We're getting through those processes and and deployment, so, we've just got to get their compute online and, get get it delivered and get it online and then get it handed over to the customer.

I think you'll see a solid Q4 result on those numbers.

Thank you very much for it. I promise this is the last one.

You've raised the mid-2027 GPU target and secured capacity multiple times since June. Just question, is that upward revision being driven by signed contracts pulling capacity forward, or by anticipated demand ahead of signed paper?

Kind of what conditions make you confident to post contracted megawatt target, if it will happen? Thank you.

I think the customer demand's definitely there, and then the data center delivery piece we're very confident of, looking at, from our perspective how we look at those things being built and delivered, we can see that the data centers can be built and delivered in that timeframe. The 64,000 GPUs that we're talking about is contracted demand by mid-2027, we're very comfortable about that.

We don't have an issue with that. It's really been how we think about what else are we delivering in '27, and we upgraded to 80 MW today, and we'll look to update additional megawatts in the future.

As 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.

We moved from 132 MW to 212 MW by the end of 2027 today. I'd 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 how we've upgraded megawatts, 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 opportunity.

We've 4x-ed capacity in sort of eight months across the business. I don't know if I can promise you a 4x capacity in the next eight months, but we're going to work really hard to add capacity, but we've got to do it in a measured way.

We have to make sure that the customers are signing contracts, and we have to make sure the financing for each of these sort of deals are in place before we just go and sign up. We're not going to go YOLO capacity without having the right dynamics in place, both around the customer and the financing economics around in place to do this.

Thank you for all the details, and continue and best of luck.

Right, thank you very much. I think that concludes our call today.

I just wanted to say thank you for all our shareholders, and everyone that was on the call and listened to us. Importantly, I wanted to say thank you to our team, they continue to execute.

We got that B300 on this recently, and we're moving to deliver the next batch of compute, it's really important our team. Team hears my thanks for delivery because 2026 and 2027 will be the year about delivery for us.

I just want to reiterate from a closing position, we're both well-positioned financially and operationally to continue to grow the APAC story, both Australia, New Zealand, Asia-Pac markets across the balance of the year and beyond, and we just want to thank everyone for their support and time again today. Thank you.