Applied Digital said Wednesday its revenue more than quadrupled in its latest quarter. The Dallas company builds and runs large data centers for artificial intelligence. Revenue rose 322% from a year earlier to about $341.9 million for the quarter that ended Aug. 31.

Adjusted revenue, which excludes its ChronoScale unit, was $300.4 million, well above Wall Street's estimate of about $132 million, Benzinga reported. The company posted an adjusted loss of 1 cent a share. Analysts expected a loss of 30 cents.

The growth comes from new buildings going live. On July 1, the company finished the first 75-megawatt phase of a second building at its Polaris Forge 1 campus. That brought the campus to 175 megawatts of working capacity.

Applied Digital rents this space to large tech companies, often called hyperscalers. In June, it signed a 15-year lease for 210 megawatts at another campus, Delta Forge 2. The company values that deal at about $5.2 billion in base rent.

"We are building for the long term," said Chief Executive Wes Cummins. He said the company wants long contracts with "proven, tier-one, investment-grade hyperscalers."

Building costs a lot. Applied Digital ended the quarter with about $3.7 billion in cash and $6.4 billion in total debt. It sold $1.59 billion in bonds paying 7% to fund a third building at Polaris Forge 1.

Some analysts see risks. Earnings Whispers said stalled new leasing and a heavier balance sheet complicate the strong quarter.

Shares ended regular trading Wednesday at $23.81. They rose about 1% after hours, to $24.06, at the time Benzinga published.

The company is also chasing AI computing work of its own. Its ChronoScale unit announced plans with Microsoft for a 50-megawatt AI computing deployment using Nvidia GB300 systems, the company said.

What we know: Revenue jumped 322% as new capacity came online.
What we don't: When Applied Digital will sign its next big lease.