Applied Digital Corp (NASDAQ:APLD) stock rose 16.28% (As on April 7, 7:41:29 PM UTC-4, Source: Google Finance) after the company in the third quarter of FY 23 has reported revenues of $14.1 million. Hosting revenues were generated entirely from the Company’s first hosting facility in Jamestown, North Dakota. The Jamestown facility operated at full capacity during the quarter. Cost of revenues in the fiscal third quarter 2023 was $10.5 million, consisting of approximately $8.6 million of energy costs, $0.9 million of depreciation and amortization expense, and $1.0 million of personnel expenses for employees directly working at the Jamestown hosting facility. Adjusted Gross Profit, a non-GAAP measure, for the fiscal third quarter of 2023 was $4.4 million, or 31% of revenue. Adjusted net loss attributable to Applied Digital, a non-GAAP measure, for the fiscal third quarter of 2023, was a loss of $1.4 million, or $0.01 per basic and diluted share, based on a weighted average share count during the quarter of approximately 94.1 million. Applied Digital ended the fiscal third quarter 2023 with cash and cash equivalents of $22.9 million and $23.7 million in debt outstanding.

Moreover, Operating expenses for the fiscal third quarter of 2023 were $10.5 million, which included $4.5 million in stock-based compensation, $3.9 million in other selling, general and administrative costs and $1.1 million of depreciation and amortization expenses not attributable to cost of sales.

Meanwhile, the Company successfully retrofitted a small portion of its existing 100MW Jamestown facility to support a GPU deployment. During the quarter the company had three customers utilizing this GPU capacity at our facility. Construction started during the quarter on the specialized 5MW standalone processing center, adjacent to its existing 100MW Jamestown facility. The company expects the initial capacity in the new HPC facility to come online in the next 4-5 weeks. The facility will be completed in two additional stages with full capacity online by year end. The company have had significant interest in the new facility and are optimistic to secure a large anchor customer in the next two months.

Additionally, the company’s third co-hosting facility is in Ellendale, North Dakota with planned capacity of 180MW.  The Company successfully initiated energization in early March and is now powering and operating the new site only six months after initial construction began.