Nebius Group Shares Drop Following Third-Quarter Results and Revised 2026 Revenue Outlook
Nebius Group (NBIS) reported a significant year-over-year revenue increase of 571% to $981 million for the third quarter. However, the stock faced heavy selling pressure as investors reacted to a revised outlook and concerns regarding the quality of growth. Approximately one-third of the quarterly revenue was identified as non-recurring from the company's asset-light model, masking a slowdown in recurring revenue which grew only 13% compared to the previous quarter. Despite strong demand indicators—including a 20% increase in GPU-hour pricing and $12 billion in new contract commitments—management has pushed back its growth targets. The company now expects 2026 revenue to land at the lower end of its $3.0 billion to $3.4 billion guidance range, citing timing delays in capacity delivery at colocation sites. To support this expansion, Nebius increased its 2026 capital spending forecast to approximately $27 billion.
Tickers: $NBIS
Topics: AI cloud services earnings report financial guidance revenue growth