WhiteFiber Inc (NASDAQ:WYFI) Stock Plummets After Q3 Earnings and Revenue Miss Estimates

WhiteFiber Inc (NASDAQ:WYFI), a provider of AI infrastructure and high-performance computing solutions, reported its third-quarter 2025 financial results. The figures revealed significant deviations from analyst expectations, triggering a notable negative reaction in the after-hours trading session.

Earnings and Revenue Analysis

The company's performance for the quarter ended September 30, 2025, fell short of Wall Street's projections on key metrics. The reported revenue and earnings per share both missed consensus estimates by a considerable margin.

• Revenue: The company reported revenue of $20.18 million, falling short of the analyst estimate of $22.47 million.
• Earnings Per Share (EPS): The non-GAAP EPS was reported at -$0.47, a steeper loss than the estimated -$0.07.

The revenue miss of approximately 10% indicates that sales growth did not meet forecasts. More critically, the substantial earnings miss, with the loss being more than six times larger than anticipated, suggests higher-than-expected costs or operational inefficiencies during the quarter. This combination of top-line and bottom-line underperformance is a primary driver behind the market's immediate negative sentiment.

Market Reaction

The financial markets responded decisively to the earnings release. In after-hours trading, the stock price experienced a sharp decline, reflecting investor disappointment with the results.

• After-Market Performance: The stock was down approximately 10.2% following the earnings announcement.

This immediate sell-off indicates that investors were pricing in the negative surprise, adjusting their valuation of the company based on the weaker-than-expected quarterly performance. The reaction underscores the high expectations built into the stock, particularly for a company operating in the high-growth AI infrastructure sector.

Press Release Summary

The press release announced WhiteFiber's financial results for the third quarter of 2025. It identifies the company as a leading provider of AI infrastructure and HPC solutions, with business segments in cloud services for generative AI workstreams and colocation services. The announcement served to publicly disclose the official revenue and EPS figures that were the subject of the analyst estimates. The release did not provide a financial outlook for the upcoming quarter or the full year, leaving investors to rely on existing analyst projections for future performance.

Looking Ahead

With no formal guidance from the company, investor attention will now turn to whether WhiteFiber can meet the existing analyst estimates for the remainder of the fiscal year.

• Q4 2025 Analyst Estimates: Revenue is projected at $28.98 million, with an EPS estimate of -$0.06.
• Full-Year 2025 Analyst Estimates: Sales are estimated at $85.14 million, with an EPS estimate of -$0.28.

The significant gap between the Q3 EPS result and the estimate for Q4 highlights a substantial operational improvement that the market will now be expecting. The company's ability to curtail losses while accelerating revenue growth will be critical for restoring investor confidence.

For a detailed breakdown of historical earnings and future analyst estimates, you can review the data here.

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Disclaimer: This article is for informational purposes only and is not intended as investment advice. The analysis is based on publicly available information and should not be construed as a recommendation to buy or sell any security. All investment decisions involve risk, and readers should conduct their own research and consult with a qualified financial advisor before making any investment decisions.