Applied Digital is expanding rapidly as demand for artificial-intelligence computing drives new data-center construction, but its latest results show that the company’s growth requires substantial financing.
The reported figures also showed significant pressure below the operating level. At the end of the quarter, the company held $3. 7 billion in cash, cash equivalents and restricted cash against $6. 4 billion in debt.
Polaris Forge 1 in North Dakota is leased to CoreWeave, while other campuses are tied to investment-grade hyperscalers. The company delivered the first 75-megawatt phase of its second building at Polaris Forge 1 on July 1 and the second phase on Oct. 1, taking live capacity at the campus to 250 megawatts. It also closed $1. 59 billion of senior secured notes due in 2031 to finance another 150-megawatt building and repay a $300 million bridge facility.
The expansion is continuing across North Dakota, Louisiana and Alabama, with additional facilities in various construction stages. Applied Digital also disclosed an agreement for up to approximately one gigawatt of potential power capacity in Finland, though its near-term development focus remains in the United States. ChronoScale separately announced plans for a 50-megawatt AI deployment with Microsoft using Nvidia GB300 systems. The company’s results therefore present two simultaneous facts for investors: contracted AI infrastructure demand has produced sharply higher revenue and operating earnings measures, while construction spending, debt service and continued capital needs remain central to the investment case.