Pulse News

**CoreWeave Had Soaring Revenues and Capex Ahead of Planned IPO**

Company's IPO prospectus is expected this week for one of the biggest offerings in recent years

By Cory Weinberg

Mar 2, 2025, 3:30pm PST

CoreWeave, the Nvidia-backed startup cloud provider that is preparing one of the most anticipated initial public offerings of the year, grew revenue exponentially while pouring cash into capital expenditures last year, two people familiar with the matter said.

The company is expected to publish its IPO prospectus this week and go public this month. CoreWeave generated about $1.9 billion in revenue in 2024, the people said. That is eight times more sales than the previous year, according to the company's financial records. At the same time, capital expenditures nearly tripled, to more than $8.5 billion, from the previous year.

**The Takeaway**

- CoreWeave is planning to go public this month in one of the biggest deals in years.

- Revenue at the cloud provider rose eight times last year to about $1.9 billion.

- Capex tripled amid surging demand for computing power to fuel artificial intelligence.

The multi-billion-dollar IPO, which would be one of the largest by deal size in recent years, will test investors' conviction about whether the once-obscure crypto miner can become a winner in the artificial intelligence wave. If CoreWeave's offering succeeds, more companies benefiting from AI could follow. The company has been discussing a valuation of more than $35 billion, Bloomberg reported.

CoreWeave operates more than two dozen data centers, filled with hundreds of thousands of Nvidia chips that it rents out to tech giants such as Microsoft and Meta. The company posted a net loss last year of more than $800 million, the people said. The company was profitable on an operating basis, excluding interest expenses and other accounting-related charges. The company has borrowed heavily to finance its data center expansion. Its cash burn total couldn't be learned.

The company's rapid sales growth is largely thanks to Microsoft, which accounts for about 60% of the company's signed contract revenue, The Information previously reported. CoreWeave benefited from the run on graphics processing units in early 2023, which led large tech companies to ink deals with the startup because it had access to chips and power for data centers.

Investors are debating how long the company's growth will continue, particularly if customers like Microsoft and Meta move away from using outside cloud providers. Satya Nadella, Microsoft's CEO, said on a podcast in December that its contracts with CoreWeave were a "one-time thing" and the company used CoreWeave to get enough data center capacity in a pinch. "We all got caught with the hit called ChatGPT," he said.

CoreWeave has struck about half a dozen GPU server rental deals with Microsoft. The deals with Microsoft all expire by 2029, meaning CoreWeave will need to find other customers to rent the GPUs to if Microsoft does not renew.

CoreWeave, founded in 2017 as an ethereum mining company, needs to go public in part to offset a growing debt used to finance its data center expansion. The company had more than $6 billion of debt as of last fall, according to investor documents. Much of the debt is backed by multi-year contracts signed by Microsoft.

A CoreWeave spokesperson didn't return a request for comment.

Anissa Gardizy also contributed to this article. Cory Weinberg is deputy bureau chief responsible for finance coverage at The Information. He covers late-stage private tech firms, IPOs and capital markets, and is based in New York. He has an MBA from Columbia Business School. He can be found on Twitter @coryweinberg. You can reach him on Signal at +1 (561) 818 3915.