CoreWeave’s Revenue Soars, But Profitability Concerns Rise in Q2

CoreWeave reported explosive revenue growth of $1.21 billion in its latest quarter, exceeding expectations and highlighting the company’s success in capturing demand for AI-powered GPU compute. This surge came despite a significant net loss and strained profitability that raised investor concerns. 3x year-over-year growth was driven by a surge in AI applications from major players like OpenAI, Microsoft, and Meta, but investors reacted negatively to the company’s high operating costs, which pushed margins down.