Nebius 2026 Q2 — Investment outruns growth: prepayments and cash conversion matter

01 Revenue and business profitability

AI cloud revenue of $0.5749B represented about 98.7% of $0.5823B group revenue. Group adjusted EBITDA was $0.2362B versus $0.2857B for AI cloud. The $0.1759B GAAP operating loss shows the gap between adjusted performance and performance after depreciation, stock compensation and other expenses.

02 Cash flow and investment burden

Continuing-operations OCF was $2.2461B and cash CapEx $5.6574B, yielding analytical continuing-operations FCF of $-3.4113B. These are standalone-quarter figures. Discontinued-operation cash flows and external financing are excluded.

Negative FCF means investment requires external funding or existing cash. Contract growth does not automatically eliminate this funding need.

03 Cash and liabilities

Quarter-end cash and cash equivalents were $8.0421B and total liabilities $17.6210B. Restricted cash is separate, and liabilities are not all borrowings. Customer prepayments and leases are also financial obligations.

04 Contracts and demand visibility

Quarter-end ARR was $3.0B. Total deal value and ARR have different definitions from recognized revenue and RPO. Increasing customer prepayments also increase obligations to deliver future service.

The RPO series contains only verified disclosures. ARR or individual multiyear deal values are not used to fill missing RPO observations.

The 6-K financial notes report RPO of $37.4906B, entirely attributable to AI cloud. Management expects to recognize 36% within 24 months and 40% in months 25–48. Obligations with an original duration of one year or less are excluded.

05 Management outlook and execution conditions

Management expected more than $9B of customer prepayments in 2026 and raised the year-end contracted-power target to 5 GW. These are forward-looking targets; cash receipt, equipment delivery, connection and live operation each require separate tracking.

06 Investment assessment and follow-up

The key is the pace at which contracted power goes live and capacity converts into revenue and cash. Customer prepayments may reduce near-term funding needs, but future service costs and additional investment obligations remain. Growth alone does not establish investment returns.

Quarterly results · CY-aligned view

CY denotes the calendar quarter with the greatest overlap with the fiscal period. If the first period has no start date, 89 days before its end is used only for calendar mapping. Financial values are not recalculated into calendar quarters. Incomplete years show totals of included quarters; cash, liabilities, borrowings and net cash use the last period-end balance. QoQ and YoY show absolute changes; margin changes are percentage points. Dashes indicate missing evidence or incomparable periods or definitions. Total liabilities never substitute for borrowings.

Definitions and evidence coverage

OCF, cash CapEx and calculated FCF cover continuing operations. CapEx is gross cash purchases before asset-sale proceeds and is not directly comparable with other companies’ total-group cash flows and net cash CapEx. A dash means unavailable or undisclosed, not zero. Total liabilities are accounting liabilities, not interest-bearing debt.

Not compared with the former Yandex group. Later disclosures reflecting Toloka’s discontinued-operations classification are used. Unverified RPO is missing, not zero.