Two lines moved the same way
Revenue at CoreWeave was 2.575 billion dollars in the three months to 30 June 2026, against 1.212 billion dollars in the same period a year earlier, and adjusted EBITDA was 1.510 billion dollars. The quarter still closed with an operating loss of 49 million dollars and a net loss of 626 million dollars. Sitting between the adjusted line and the reported one is net interest expense, which rose from 267 million dollars a year earlier to 640 million dollars.[1]
Interest at that size is not by itself distress. Adjusted EBITDA of 1.510 billion dollars covered net interest of 640 million dollars more than twice over, and the company reported cash and cash equivalents of 5.524 billion dollars at the end of June. What the figure establishes is the cost of the build and how fast that cost is rising: the interest line more than doubled in a year, while revenue came close to doubling over the same period.[1]
The gap between contracted power and live power
Capital expenditure was 6.422 billion dollars in the quarter and 14.117 billion dollars over six months, the first of those figures alone larger than the cash on the balance sheet. In the same quarter CoreWeave expanded active power by nearly 500 megawatts to 1.5 gigawatts and grew total contracted power to about 3.7 gigawatts.[1]
The mechanism sits in that gap. Revenue backlog of about 104 billion dollars, plus more than 25 billion dollars of net new commitments added in early Q3, turns into revenue only as the remaining capacity is built and energised, and building it is what the borrowing pays for. The interest, by contrast, runs from the day the facility is drawn. There is a reasonable alternative reading: contracted power running ahead of live power is what a company with more demand than plant should show, and the backlog is evidence that the capacity has a buyer waiting.[1]
What is the newest facility tied to?
The company pointed to a 3.1 billion dollars term loan it described as the first publicly syndicated delayed draw facility backed by HPC infrastructure, alongside a 1 billion dollars strategic investment from Jane Street. A delayed draw facility is one the borrower takes down in stages as it needs the money. The company's own description ties this loan to computing infrastructure rather than to general corporate standing, which leaves repayment resting on the same capacity earning its revenue.[1]
That yields a threshold worth watching. If quarterly capital expenditure stays near the 6.422 billion dollars level while active power remains below contracted power, the signal to expect at CoreWeave by 31 December 2026 is net interest expense above the 640 million dollars recorded this quarter and a narrowing of the margin by which adjusted EBITDA covers it. If adjusted EBITDA instead grows faster than the interest line, the test resolves the other way and the fault line I wrote about on 25 July closes rather than widens.[1], [2]