Highlights

  • Nscale reported nine-month Revenue of $307.5M, compared with $21.3M a year earlier.
  • Net loss for the period is expected at $1.7B, against $433.3M in the year-ago period.
  • A $3.22B Microsoft work order linked to a UK site has been terminated.
  • Nscale plans to list on the NYSE under the symbol "NSCL"; offering terms have not been disclosed.

Nscale, the London-based AI cloud provider backed by Nvidia (NASDAQ:NVDA), has amended its registration statement for a planned U.S. initial public offering (IPO). The updated filing, dated November 12, 2026, adds preliminary financial results for the nine months ended September 30.

Nscale IPO: Key Numbers

Nscale expects revenue of $307.5 million for the first nine months of 2026, compared with $21.3 million in the same period last year, an increase of 1,344%. The company expects a net loss of $1.7 billion for the period, compared with a net loss of $433.3 million a year earlier.

The preliminary figures are unaudited and subject to change. In its September filing, the company had disclosed results for the first six months of the year, when revenue stood at $140.6 million.

The company did not disclose the size or terms of the offering. Goldman Sachs, J.P. Morgan and Morgan Stanley are the lead underwriters, and the shares are planned to list on the New York Stock Exchange under "NSCL".

Business and Contracted Capacity

Nscale provides infrastructure for Training and running AI models, including compute, power and data centres, along with software. The filing states that its portfolio covers approximately 1.37 GW of active and contracted capacity and about 461,000 active and contracted GPUs, with about 50,000 GPUs active. The company also reports access to approximately 10 GW of potential power capacity across sites it owns or controls.

Remaining performance obligations stood at $56.4 billion as of June 30, 2026, which the company expects to recognise over the next seven years.

Microsoft Contracts

The filing states that Microsoft accounted for 52% of Nscale's revenue in the first half of 2026. Work orders signed with Microsoft between September 2025 and April 2026 provide for payments of up to about $43.8 billion through December 2033, subject to delivery and service availability requirements.

One work order valued at $3.22 billion has been terminated. According to the filing, it related to Nscale's Loughton site in the UK, where the local power provider withdrew the connection date and associated power allocation. The company said the termination did not affect any other work order and that it is exploring alternative power sources for the site.

Microsoft's UK and Ireland chief has said the decision related to Nscale's access to electricity. Separate reports have said Microsoft decided not to renew a contract in Texas. In the filing, Nscale said it expects Microsoft to be a significant customer in future periods.

Financing and Going-Concern Note

Nscale has secured commitments of up to $790 million for its Kvandal South data centre project in Norway. Banking partners have also committed a further $2.09 billion, subject to conditions, for 300 MW of owned projects at SIN02 in Portugal and Kvandal North in Norway.

The financial statements state that management's funding forecast included uncommitted Debt and equity financing, which initially raised substantial doubt about the company's ability to continue as a going concern. Management concluded that its plan to defer, reduce or cancel capital expenditure, if required, alleviated that doubt.

Neocloud Sector Developments

Jensen Huang resigned as Nvidia's chief executive on Thursday, and Nvidia is investigating matters relating to him. CoreWeave (NASDAQ:CRWV) shares rose almost 25% on Wednesday after its results and fell about 7% on Thursday. Nebius (NASDAQ:NBIS) shares fell about 17% on Thursday after the company issued its full-year guidance.

It has also been reported that Nscale is considering delaying its listing until next year. In late September, Anthropic exercised its right to contract additional computing power at Nscale's West Virginia site.

Nscale IPO: What the Latest Filing Shows

Nscale's amended filing reports nine-month revenue of $307.5 million and a net loss of $1.7 billion, alongside remaining performance obligations of $56.4 billion and about 1.37 GW of active and contracted capacity. The filing also records the termination of a $3.22 billion Microsoft work order, financing commitments for projects in Norway and Portugal, and a going-concern note.

The company plans to list on the NYSE under "NSCL" with Goldman Sachs, J.P. Morgan and Morgan Stanley as lead underwriters. The size and terms of the offering have not yet been disclosed, and the preliminary results remain subject to change.