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Nebius Group N.V. (NBIS) announced an ambitious $5 billion capital expenditure plan for 2025, doubling its previous guidance of $2 billion. This investment aims to support AI infrastructure in response to surging demand, allowing for the build-out of data centers and GPU deployment. Nebius reported a narrower adjusted EBITDA loss of $5.2 million for Q3 2025, compared to a $45.9 million loss a year prior.
The capital expenditure is strategically allocated, with approximately 80% focused on GPU deployment, 18-20% on data center construction, and only about 1% for securing land and power. Nebius plans to finance these expansions through corporate debt, asset-backed financing, and equity, targeting 800 MW to 1 GW of connected power, and 2.5 GW of contracted power by the end of 2026.
Shares of Nebius have decreased by 6% over the past month, while the broader Internet – Software and Services industry has seen a slight decline of 0.2%. The company’s price/book ratio is currently at 5.38, significantly above the industry average of 3.96, reflecting investor concerns regarding profitability amid rising investments.
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