Soluna Holdings (SLNH) outlined its expanding data center portfolio during a Water Tower Research conference on September 23, 2026, highlighting a strategic shift toward artificial intelligence and high-performance computing alongside its existing Bitcoin mining hosting business.
Shares of the Texas-based company traded at approximately $1.25 on the day of the presentation, down 2.34% from the prior close of $1.28. Soluna carries a market capitalization of roughly $308 million and has seen its shares range between $0.593 and a 52-week high of $5.14 over the past year. Its beta stands at 5.09, reflecting significant volatility relative to the broader market.
The company reported quarterly revenue of about $15 million in its most recent period, up 145% year over year and 60% sequentially, marking five consecutive quarters of sequential growth. Revenue for the last twelve months ended in the second quarter of 2026 totaled $42.08 million, representing 51% growth. Gross profit margin came in at 59%, though Soluna noted approximately $4.4 million in pass-through revenue costs and gross margin adjustments that it excludes from certain presentations. Free cash flow remained negative at $56.5 million.
Chief Executive Officer John Belizaire emphasized that Soluna has "never been a Bitcoin miner" in the traditional sense, describing the firm instead as a host provider that supplies space and power for third-party operators. Bitdeer Technologies operates approximately 28 megawatts — roughly 2 exahashes of computing power — at Soluna’s Project Kati 1 facility.
Soluna currently has 206 megawatts of Bitcoin mining and hosting capacity online and maintains a total development pipeline of 6.3 gigawatts. Project Kati spans 166 megawatts in total, with Phase 1 comprising an 83-megawatt wind-powered installation. Project Kati 2 is targeted for operational status by late 2027 or early 2028.
The Dorothy project, which includes 100 megawatts of capacity, was vertically integrated on April 1 when Soluna acquired the powering wind farm for Dorothy I and II, which together provide 50 megawatts of integrated generation and computing capacity. A third phase, Project Dorothy III, is planned as an AI high-performance computing campus of upwards of 300 megawatts, supported by more than 390 acres of land under contract or acquired.
Belizaire said each 100 megawatts of completed capacity can generate between $100 million and $180 million in net operating income once operational. He projected that AI data center revenue could reach roughly three times the size of current Bitcoin revenue within 18 to 24 months, adding that the profits from Project Kati 2 would "dwarf" the Bitcoin segment.
On the energy side, Belizaire stressed that Soluna designs its facilities to support the grid rather than strain it. He noted that renewable power generation "evaporates when it’s unused" and is often stranded on the wrong side of transmission infrastructure — a problem he said the company targets by siting behind existing lines.
That approach cuts interconnection timelines from several years to approximately 18 months. Texas remains a focal point: the state’s interconnection queue holds roughly 474 to 480 gigawatts of pending requests, about 90% of which are tied to data center projects, according to the presentation. Governor Greg Abbott and the Public Utility Commission of Texas and Electric Reliability Council of Texas were referenced as part of the regulatory landscape.
The conference was moderated by John Roy, a technology analyst at Water Tower Research.
