CoreWeave Posts Record Bookings but Soft Guidance Disappoints
CoreWeave reported record Q1 2025 bookings of $2.5 billion, but soft guidance and rising costs sent the stock down 8% after hours.
Key Numbers
CoreWeave (ticker: CRWV) reported its first-quarter 2025 results, posting revenue of $1.2 billion and record bookings of $2.5 billion. However, weaker-than-expected guidance and rising costs caused the stock to drop 8% in after-hours trading.
Key Financial Results
| Metric | Q1 2025 | Q1 2024 | Change |
|---|---|---|---|
| Revenue | $1.2B | $0.8B | +50% |
| Net Income | -$150M | -$200M | Improvement |
| EPS | -$0.85 | -$1.20 | Improvement |
| Bookings | $2.5B | $1.5B | +67% |
Highlights from the Report
- Strong AI infrastructure demand: CoreWeave achieved record bookings, reflecting surging demand for AI cloud services.
- Rising costs: Capital and operating expenditures increased significantly due to data center expansion.
- Expanding customer base: The company added new clients, including major tech firms.
Guidance
CoreWeave guided Q2 2025 revenue between $1.3B and $1.4B, below the analyst consensus of $1.6B. The company also indicated that profit margins will remain under pressure due to ongoing investments.
Stock Impact
CoreWeave shares fell 8% in after-hours trading following the earnings release. The decline reflects investor concerns over slowing growth and rising costs.
What This Means for Investors
Despite record bookings, the soft guidance suggests the company may struggle to maintain its growth momentum. Investors should monitor cost trends and competition in the AI cloud market.
Frequently Asked Questions
Found this useful? Share it