Revenue Surges, But Profitability Remains a Challenge
On February 20, 2025, Nebius Group N.V. reported its financial results for Q4 and full-year 2024. The numbers were a mixed bag, showcasing impressive revenue growth but continued struggles with profitability. For Q4 2024, Nebius reported revenue of $37.9 million, reflecting a staggering 466% year-over-year increase. The company’s core AI infrastructure segment surged 602% compared to Q4 2023.
Despite this robust top-line growth, Nebius posted an adjusted EBITDA loss of $75.5 million, a modest 7% improvement from the $81.3 million loss in the same quarter the previous year. Net loss from continuing operations climbed to $136.6 million, marking a 55% increase year-over-year. Capital expenditures were also substantial, reaching $417.6 million in Q4 as Nebius continued investing heavily in GPU procurement and data center expansion.
For the full year 2024, revenue came in at $117.5 million, a sharp 462% increase from 2023. The adjusted EBITDA loss totaled $266.4 million, and the net loss from continuing operations stood at $396.9 million. The company ended the year with a solid cash position of $2.4 billion, bolstered by a $700 million funding round in December 2024.
Looking ahead, Nebius provided ambitious guidance for 2025, projecting an annualized run-rate (ARR) of $220 million by March and scaling to $750 million to $1 billion by December. The company also expects full-year 2025 revenue to land between $500 million and $700 million. While profitability remains elusive, Nebius aims for near-breakeven EBITDA by the end of 2025, supported by plans to expand data center capacity to 100 megawatts, with the potential to scale to over 300 megawatts.