CleanSpark (NasdaqCM:CLSK) Q1 2026 Earnings call February 05, 2026 04:30 PM ET Company ParticipantsBrian Dobson - Brian Dobson is Managing Director of Disruptive Technology Equity ResearchGary Vecchiarelli - President and CFOHarry Sudock - Chief Business OfficerMatt Schultz - Chairman and CEOConference Call ParticipantsGareth Gacetta - Equity Research AnalystGreg Lewis - Managing Director and Energy and Infrastructure AnalystJim McIlree - Senior Research AnalystJohn Todaro - Senior Equity Research AnalystMi ...

CleanSpark (NasdaqCM:CLSK) Q1 2026 Earnings call February 05, 2026 04:30 PM ET Company ParticipantsBrian Dobson - Brian Dobson is Managing Director of Disruptive Technology Equity ResearchGary Vecchiarelli - President and CFOHarry Sudock - Chief Business OfficerMatt Schultz - Chairman and CEOMike Grondahl - Head of Equities and Director of ResearchConference Call ParticipantsGareth Gacetta - Equity Research AnalystGreg Lewis - Managing Director and Energy and Infrastructure AnalystJim McIlree - Senior Resea ...

CleanSpark (NasdaqCM:CLSK) Q1 2026 Earnings call February 05, 2026 04:30 PM ET Speaker8Good afternoon. My name is Jeannie, and I will be your conference operator today. At this time, I would like to welcome everyone to CleanSpark's Fiscal First Quarter 2026 final financial results call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed b ...

Core Viewpoint - The traditional IDEs may become obsolete by 2026, as engineers who do not adapt to new AI development methods will fall behind in productivity and competitiveness [1][5]. Group 1: Future of Development Tools - The transition from traditional IDEs to new AI-driven development tools is likened to moving from handheld tools to CNC machines, emphasizing the need for precision and automation in coding [2][11]. - Current AI models are inefficient, akin to sending a single diver into a vast codebase, suggesting a need for multiple specialized roles to enhance productivity [3][19]. - The future of software development will involve task decomposition, gradual refinement, and collaboration among multiple intelligent agents rather than relying on a single AI model [22][24]. Group 2: Productivity Disparities - There is a significant productivity gap among engineers, with those using AI tools like Codex potentially being ten times more productive than their peers who do not [5][27]. - Management is concerned about the implications of this productivity divide, fearing that they may need to reduce their workforce by up to 50% if engineers do not adapt [5][27]. - The situation mirrors the decline of the Swiss watch industry, where traditional craftsmanship was rapidly overtaken by quartz technology [8]. Group 3: New Development Paradigms - The concept of "Vibe coding" is introduced, where coding is driven by dialogue and AI-generated outputs, moving away from traditional manual coding practices [29][35]. - The economic implications of Vibe coding are significant, allowing for more modular and experimental approaches to development, thus increasing the value of options available to teams [38]. - Examples from companies like Travelopia and Capital One illustrate how AI-driven development can drastically reduce the time and resources needed for project completion [41][49]. Group 4: Organizational Transformation - The integration of AI tools is reshaping technical organizations, enabling non-developers to contribute to coding and deployment processes, thus democratizing software development [44][47]. - Trust in AI increases with usage, suggesting that engineers need to practice and engage with these tools to fully leverage their capabilities [42]. - The rapid pace of code submission and the ability to resolve legacy system issues with AI-generated solutions indicate a transformative shift in how teams operate [49].

Axis Bank CEO Amitabh Chaudhry said he believed a wave of consolidation is coming to India's banking sector, and noted that India needed 8 to 10 large banks to support its economic development. Speaking to Bloomberg TV's Haslinda Amin, he also commented on the rupee's underperformance, saying there was capital rotation to China and other markets driven by a perception that India was lagging on AI development. But he also expressed optimism that upcoming fiscal and regulatory reforms would stabilize the cur ...

Core Insights - The collaboration between Innoviz and Vueron aims to enhance LiDAR-based perception by automating the annotation and labeling of sensor data for AI model development, thereby reducing manual effort while ensuring precision for safety-critical applications [1][3] - Innoviz's high-performance LiDAR products, including InnovizTwo and InnovizSMART, are integrated into Vueron's VueX platform, providing a comprehensive AI cloud-based environment for various applications [2][3] Company Overview - Innoviz is recognized as a global leader in LiDAR technology, serving as a Tier-1 supplier to major automotive manufacturers and focusing on the development of safe autonomous vehicles [5] - Vueron specializes in building perception and data infrastructure for real-world autonomy, transforming raw LiDAR data into reliable AI-based outputs to assist OEMs and infrastructure operators [6] Product Integration - The integration of Innoviz's LiDAR data into Vueron's VueX platform allows for a streamlined process in data storage, visualization, processing, labeling, training, validation, and deployment across automotive and smart infrastructure applications [2][3] - The joint solution will be showcased at CES 2026, allowing attendees to experience the integrated platform and its applications [4]

Group 1 - Fortescue Ltd is acquiring the remaining 64% of Alta Copper, having already owned 36% of the company, with the deal subject to shareholder and court approval, targeted to close in the March 2026 quarter [2] - Alta Copper shareholders will receive $1.40 per share, representing a 50% premium to the 30-day volume weighted average price, implying a total equity value of $139 million for Alta Copper [3] - Alta Copper focuses on its Canariaco project in Northern Peru, which has a reported mineral resource of 1.1 billion tonnes at a 0.42% copper equivalent grade [4] Group 2 - The acquisition aligns with the increasing demand for copper, particularly in AI development and technology sectors, as copper is essential for data centers and telecommunications [6] - Fortescue's share price is down approximately 1.2%, showing resilience compared to other major ASX mining companies, which have seen larger declines [7] - The cyclical nature of ASX mining shares suggests that potential investors may want to wait for a lower point in the share price cycle before purchasing Fortescue shares, despite a 20% increase since the beginning of the year [8]

Financial Performance - Alibaba reports better-than-expected quarterly revenue growth [1] Industry Trends - The growth is attributed to China's AI development boom [1]

Financial Data and Key Metrics Changes - T1 Energy generated record net sales of approximately $210 million in Q3 2025, with expectations for significant growth in Q4 as previously booked merchant sales are delivered and inventory is liquidated [19][20] - The company maintains its 2025 EBITDA guidance of $25 million to $50 million, unchanged from previous estimates [13][20] - Cash position at the end of Q3 was $87 million, with $34 million unrestricted, and an additional $118 million added in October [22] Business Line Data and Key Metrics Changes - T1 produced over 2.2 GW of solar modules year-to-date and is on track to meet its 2025 production plan of 2.6-3 GW [18] - Daily production record achieved in October was 14.4 MW, equating to an annualized run rate of 5.2 GW [18] Market Data and Key Metrics Changes - The U.S. electricity demand is growing rapidly, necessitating a doubling of electricity additions to 100 GW per year to meet AI-driven demand [6][8] - T1 is positioned to benefit from the onshoring of advanced manufacturing and strengthening of U.S. energy security [5][6] Company Strategy and Development Direction - T1 aims to build the first end-to-end domestic polysilicon solar supply chain in the U.S., with G2 Austin as the centerpiece [4][5] - The company is focused on integrating upstream production capabilities and expanding its domestic supply chain through partnerships with Hemlock Corning, Next Power, and Talon PV [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's compliance with domestic and non-FIAC supply chain plans, indicating solid progress in the de-fiancing process [32] - The company anticipates a challenging but promising 2026 as a bridge year, with expectations for strong demand in 2027 as G2 comes online [58][60] Other Important Information - T1 has secured partnerships for domestic production of solar wafers and steel frames, which are critical for meeting domestic content requirements [11][37] - The company is actively working to monetize Section 45X production tax credits, with expectations for a more regular cadence in future transactions [68][70] Q&A Session Summary Question: Update on de-fiancing process - Management is confident in compliance and has a solid plan in place, though specific details are not disclosed for competitive reasons [32] Question: Context on Q3 contract dispute - The contract's financial impact has been included in guidance for two quarters, and discussions with the contract party are ongoing [34] Question: Integration of partnerships with Next Power and Talon - Next Power partnership focuses on domestic content and scaling, with initial modules expected in 2026 or 2027; Talon investment allows for potential cell sourcing [36][38] Question: Claiming 45X credits with production at different sites - Provisions in the act allow for unrelated party transactions, which will enable T1 to claim credits despite production at separate facilities [40] Question: Update on G2 construction timeline - Construction is on track to start in Q4 2025, with significant progress made in design and securing contracts [46][48] Question: Demand and pricing outlook for 2026 and 2027 - Demand is expected to be high in 2026, with non-FIAC cells sourced for that year; 2027 will see domestic cells coming online with strong interest from utility-scale investors [59][60] Question: COGS movement and normalization - COGS is expected to decrease as production scales up, with improvements anticipated in the second year of operation [63][66] Question: Regularity of monetizing 45X credits - Future monetization is expected to follow a more regular cadence, with quarterly sales anticipated [70]

Financial Data and Key Metrics Changes - T1 Energy generated record net sales of approximately $210 million in Q3 2025, with expectations for significant sales growth in Q4 as previously booked merchant sales are delivered and inventory is liquidated [19][21] - The company maintains its 2025 EBITDA guidance of $25 million to $50 million, unchanged from previous estimates [13][21] - Cash position at the end of Q3 was $87 million, with $34 million unrestricted, and an additional $118 million added in October [23] Business Line Data and Key Metrics Changes - T1 produced over 2.2 gigawatts of solar modules year-to-date and is on track to meet its 2025 production plan of 2.6 to 3 gigawatts [18] - Daily production record achieved in October was 14.4 megawatts, equating to an annualized run rate of 5.2 gigawatts [18] Market Data and Key Metrics Changes - The U.S. electricity demand is growing rapidly, necessitating a doubling of electricity additions to 100 gigawatts per year to meet AI-driven demand [6][8] - T1 is positioned to benefit from the onshoring of advanced manufacturing and strengthening of U.S. energy security [5][6] Company Strategy and Development Direction - T1 aims to build the first end-to-end domestic polysilicon solar supply chain in the U.S., with G2 Austin as the centerpiece of this strategy [4][5] - The company is focused on integrating upstream production capabilities and expanding its domestic supply chain through partnerships with Hemlock Corning, Next Power, and Talon PV [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the compliance with domestic and non-FIAC supply chain plans, indicating progress in the de-fiancing process [34] - The company anticipates a challenging but promising market environment in 2026, with a focus on sourcing non-FIAC cells during that year [63] Other Important Information - T1 has secured partnerships for domestic production of solar wafers and steel frames, which are critical for meeting domestic content requirements [11][39] - The company is actively working to monetize Section 45X production tax credits, with expectations for a more regular cadence in future monetization efforts [72] Q&A Session Summary Question: Update on de-fiancing process - Management confirmed progress on compliance plans and expressed confidence in meeting requirements [34] Question: Context on Q3 contract dispute - The size of the contract was not disclosed due to confidentiality, but the financial impact has been accounted for in guidance [35][36] Question: Integration of partnerships with Next Power and Talon - Next Power partnership focuses on domestic content and scaling, while Talon investment allows for potential cell sourcing [39][41] Question: Claiming 45X credits with production at different sites - Provisions in the act allow for unrelated party transactions, maintaining eligibility for credits [44] Question: Event path for G2 and production timelines - Construction for G2 is expected to start in Q4 2025, with a focus on securing long lead items [51][52] Question: Demand and pricing outlook for 2026 and 2027 - Demand for domestic cells is strong, with expectations for higher prices in 2026 due to sourcing non-FIAC cells [64][66] Question: COGS movement and normalization - COGS is expected to decrease as production scales up, with improvements anticipated in the second year of operation [68][70] Question: Regularity of 45X tax credit monetization - Future monetization is expected to follow a more regular cadence, with quarterly cash settlements anticipated [72][74]