Revenues: $6.2 million, 28% QoQ increase; Approximately 129 MW of Energized Capacity
Completed Hood County Acquisition with 10NetZero to Advance AI and HPC Development
Entered into LOI with Tensor to Advance Planned 17 MW AI/HPC Campus at Hood County

MIDLAND, Pa., Aug. 12, 2026 (GLOBE NEWSWIRE) — Big Digital Energy, Inc. (“We,” “Big Digital” or the “Company”) (Nasdaq: “BGDE”), a developer and operator of next-generation digital infrastructure, today announced financial results for the second quarter ended June 30, 2026.

Q2 2026 Financial Highlights

  • Revenue: $6.2 million; 28% QoQ increase
    • Digital Colocation Revenue: $3.5 million; broadly consistent QoQ
    • Energy Management Revenue: $2.6 million; 120% QoQ increase
    • Digital Assets Mining Revenue: $0.03 million
  • Net Loss: ($7.4) million
  • Adjusted EBITDA1 (Loss): ($4.4) million
  • Stockholders’ Equity: $12.4 million

Q2 2026 Key Operating Metrics

  • Energized Capacity: approximately 129 MW
  • Capacity Deployed under Six Thirty AI Agreement: approximately 75 MW

CEO Commentary
“During the second quarter, we made meaningful progress repositioning Big Digital Energy for its next phase of growth,” said Phil Stanley, Chief Executive Officer. “Since assuming leadership, we have strengthened corporate governance, resolved numerous legacy matters, improved our balance-sheet position and enhanced alignment with shareholders, with members of management beneficially owning approximately 29% of the Company. Our objective is to build a company that is disciplined in its capital allocation, transparent in its execution and focused on creating long-term shareholder value”.

Mr. Stanley continued, “We are executing a clear strategy centered on acquiring, developing and monetizing powered infrastructure assets that we control for AI and high-performance computing markets. Today, our platform includes 129 megawatts of energized capacity, have begun ramping utilization under our Six Thirty AI colocation agreement and expanded our development portfolio through the Cleburne and Hood County acquisitions. While we advance toward higher-value AI and HPC deployments, we have also begun putting previously dormant assets back to work. By monetizing underutilized infrastructure through our colocation and mining initiatives, we are converting otherwise idle capacity into cash-flow generating infrastructure assets, creating a bridge that supports our transition while preserving the flexibility to redeploy that capacity into AI and HPC applications as those opportunities materialize.”

Mr. Stanley added, “As evidence of this, earlier this week, Texas Load House, our 50/50 joint venture with 10NetZero, entered a letter of intent with Tensor IQ that provides a framework to advance Hood County toward a customer-oriented AI infrastructure campus. Subject to definitive agreements and other conditions, the parties are planning an initial 17 MW deployment featuring 7,748 NVIDIA B300 GPUs, with the site targeted to be in service by the second quarter of 2027.”

Mr. Stanley concluded, “Our priorities remain clear: expand our portfolio of powered sites, advance development activities, establish strategic partnerships and secure the capital necessary to execute our AI strategy. During the quarter, we engaged Northland Capital Markets to evaluate a broad range of financing alternatives across our portfolio, including project- and site-level financing structures designed to maximize shareholder value. Together, we are actively pursuing numerous capital initiatives to fund our AI and HPC growth strategy while maintaining a disciplined approach to capital formation and minimizing unnecessary shareholder dilution. We believe the combination of powered infrastructure, operational execution and thoughtful capital formation positions Big Digital to capitalize on one of the most compelling opportunities in digital infrastructure today.”

Strategic & Business Updates

  • Acquired the Cleburne, Texas powered site
  • Completed the Hood County acquisition through a 50/50 joint venture with 10NetZero, adding 17 MW of energized capacity with a pathway to 111 MW of utility power and potential expansion to approximately 300 MW.
  • Texas Load House, the Company’s 50/50 joint venture with 10NetZero, entered into a non-binding letter of intent with Tensor IQ relating to the planned Hood County AI infrastructure campus. Subject to execution of definitive agreements, financing, power availability, development, customer and other conditions, the LOI contemplates reserving and developing up to 17 MW of gross power capacity, an initial deployment of 7,748 NVIDIA B300 GPUs, and targets in-service timing in the second quarter of 2027. Based solely on indicative commercial terms in the non-binding LOI and assuming full utilization over the applicable term, the LOI contemplates potential aggregate power-lease-related revenue to TLH of approximately $546 million over an initial 15-year term, with two 5-year extension options that, if exercised and fully utilized, could increase potential aggregate lease-related revenue to approximately $1.07 billion. These amounts are not contracted revenue and remain subject to significant conditions and risks.
  • Began ramping the Six Thirty AI colocation agreement, increasing utilization of previously dormant powered infrastructure.
  • Engaged Northland Capital Markets to evaluate site-level financing alternatives and support the Company’s AI and HPC growth initiatives.

Corporate & Governance Updates

  • Made significant progress toward resolving legacy matters inherited from prior management.
  • Expanded the Board of Directors with the appointment of independent directors, strengthening governance and oversight.
  • Eliminated the Company’s stockholder rights plan (poison pill), reflecting management’s commitment to shareholder alignment.
  • Regained compliance with Nasdaq’s stockholders’ equity listing requirement and continue to work toward maintaining full compliance with all applicable listing standards.

Earnings Call and Webcast Information:

Big Digital Energy will host a conference call at 5:00 p.m. Eastern Time today, which will include a brief discussion of results followed by a question-and-answer period. To participate in this event, please log on or dial in approximately 5 minutes before the beginning of the call.

Date: August 12, 2026
Time: 5:00 p.m. ET
Participant Call Links:

Footnotes

1 Adjusted EBITDA is a financial measure not presented in accordance with generally accepted accounting principles (“GAAP”) (a “Non-GAAP Financial Measure”). Please see “Non-GAAP Financial Measures” at the end of this press release for a reconciliation to net loss, the most directly comparable GAAP measure, and additional information regarding the limitations and use of this measure.

About Big Digital Energy, Inc.
Big Digital Energy, Inc. (Nasdaq: “BGDE”) is a U.S.-based technology company that designs, builds, and operates next-generation digital infrastructure platforms. The Company provides services spanning artificial intelligence (“AI”), high-performance computing (“HPC”), digital assets (including Bitcoin mining), and other intensive compute applications. The Company delivers both self-mining operations and colocation/hosting for enterprise customers, with a vertically integrated infrastructure model built for scalability and efficiency.

A core part of the Company’s strategy is identifying and advancing sites positioned to support high-performance compute with the infrastructure required for long-term deployment. With approximately 129 megawatts of energized capacity and additional capacity under development, the Company is positioning itself as a competitive provider of digital infrastructure solutions to support the demand for AI data centers.

CAUTIONARY LANGUAGE ON FORWARD-LOOKING STATEMENTS

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, statements regarding the expected benefits of the joint venture, the deployment of assets, revenue growth, and the Company’s strategic initiatives. Forward-looking statements may be identified by the use of words referencing future events or circumstances such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “project,” “target,” “will,” “would,” “subject to,” and similar expressions.

These statements are based on current expectations and assumptions and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied. In addition, statements regarding the Tensor IQ letter of intent, the Hood County development project, projected lease-related revenue, anticipated GPU deployment, planned capacity, commercialization opportunities, customer demand, and targeted in-service dates are subject to significant risks and uncertainties, including, without limitation: the non-binding nature of the LOI; the possibility that definitive agreements are not negotiated, executed, or consummated on anticipated terms or at all; the creditworthiness, performance, and continued participation of Tensor IQ, 10NetZero, Texas Load House, or other counterparties. Important factors include, without limitation: the Company’s ability to continue as a going concern; the Company’s ability to maintain its Nasdaq listing; the need for and availability of additional financing; the Company’s ability to obtain any required stockholder approvals and to file and maintain the effectiveness of any required registration statements; availability and cost of power, grid interconnection and build-out timing; the feasibility, permitting, and development of any behind-the-meter generation; execution risks in developing AI/HPC digital infrastructure; market demand for AI/HPC and accelerated computing; evolving and uncertain regulation of digital assets, artificial intelligence, and high-performance computing; volatility in digital asset prices and reductions in mining incentives; and the other risks described under “Risk Factors” in the Company’s most recent Annual Report on Form 10-K and in other filings made with the SEC from time to time. Any forward-looking statements speak only as of the date of this report, and the Company undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date of this report, except as required by law.

Big Digital Energy, Inc. Condensed Balance Sheets (Unaudited)
    June 30,     December 31,  
    2026     2025  
    (unaudited)        
ASSETS            
Current assets:            
Cash and cash equivalents   $ 16,290,273     $ 13,271,256  
Prepaid expenses     7,035,680       3,677,000  
Cryptocurrencies held for customers     –       903,784  
Trade and other receivables, net     9,441,721       9,642,423  
Total current assets     32,767,674       27,494,463  
Property, plant and equipment, net     20,342,584       22,580,313  
Derivative asset     3,450,530       3,475,110  
Security deposits     651,763       651,763  
Operating lease right-of-use asset, net     2,536,535       3,240,017  
Total assets   $ 59,749,086     $ 57,441,666  
                 
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)                
Current liabilities:                
Trade and other payables   $ 14,872,949     $ 32,077,138  
Current portion of operating lease liability     1,549,575       1,402,826  
Current portion of finance lease liability     4,713       176,707  
Revolving line of credit and current portion of long-term loans     30,050,174       25,184,363  
Total current liabilities     46,477,411       58,841,034  
                 
Operating lease liability, net of current portion     826,997       1,718,423  
Total liabilities     47,304,408       60,559,457  
                 
Commitments and Contingencies                
                 
Stockholders’ equity (deficit):                
                 
Series D Convertible Preferred Stock, par value $0.001 per share, 100,000 shares authorized, 16,700 and 0 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively     17       –  
Common stock, $0.001 par value per share; 90,000,000 shares authorized, 5,648,751 and 3,617,221 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively     5,649       3,617  
Additional paid-in capital     271,277,557       248,967,877  
Accumulated other comprehensive income     382,127       365,450  
Accumulated deficit     (259,220,672 )     (252,454,735 )
Total stockholders’ equity (deficit)     12,444,678       (3,117,791 )
Total liabilities and stockholders’ equity (deficit)   $ 59,749,086     $ 57,441,666  

Big Digital Energy, Inc. Condensed Statements of Operations (Unaudited)
    For the three months ended
June 30,		     For the six months ended
June 30,		  
    2026     2025     2026     2025  
Revenues:                        
Digital colocation revenue   $ 3,505,814     $ 3,660,298     $ 7,016,843     $ 14,089,171  
Energy management revenue     2,613,936       5,130,712       3,803,790       8,195,587  
Digital assets mining revenue     33,469       742,173       152,889       1,062,798  
Total revenues     6,153,219       9,533,183       10,973,522       23,347,556  
Less: Cost of revenues (excluding depreciation)     4,544,735       5,599,553       8,358,544       13,489,996  
Gross Profit     1,608,484       3,933,630       2,614,978       9,857,560  
Selling, general and administrative     6,027,299       5,925,308       13,645,437       11,703,716  
Stock based compensation     677,043       978,261       1,103,405       3,078,765  
Depreciation and amortization     1,097,390       1,466,119       2,291,654       2,994,032  
Change in fair value of derivative asset     105,608       2,137,052       24,580       (1,922,521 )
Total operating expenses     7,907,340       10,506,740       17,065,076       15,853,992  
Loss from operations     (6,298,856 )     (6,573,110 )     (14,450,098 )     (5,996,432 )
Non-operating income (expense):                                
Loss on foreign currency transactions     (36,994 )     (689,952 )     (401,425 )     (777,290 )
Gain on legal settlements     –       –       10,157,593       –  
Interest expense     (1,011,808 )     (827,336 )     (1,967,906 )     (1,612,201 )
Other income     8,933       60,646       65,381       164,758  
Other expenses     (7,095 )     (9,614 )     (7,095 )     (18,955 )
Total non-operating income (expense), net     (1,046,964 )     (1,466,256 )     7,846,548       (2,243,688 )
Loss before income taxes     (7,345,820 )     (8,039,366 )     (6,603,550 )     (8,240,120 )
Income tax benefit (expense)     (29,920 )     17,933       (162,387 )     (92,176 )
Net loss   $ (7,375,740 )   $ (8,021,433 )   $ (6,765,937 )   $ (8,332,296 )
Net Loss per share, basic and diluted   $ (1.33 )   $ (7.93 )   $ (1.30 )   $ (8.54 )
Weighted average number of shares outstanding     5,555,868       1,011,630       5,215,344       975,823  

Big Digital Energy, Inc. Condensed Statements of Cash Flows (Unaudited)
    For the six months ended
June 30,		  
    2026     2025  
CASH FLOWS FROM OPERATING ACTIVITIES            
Net loss   $ (6,765,937 )   $ (8,332,296 )
Adjustments to reconcile net loss to net cash used in operating activities:                
Depreciation and amortization     2,291,654       2,994,032  
Amortization of operating lease right-of-use asset     701,201       627,398  
Foreign exchange loss     422,827       743,835  
Stock based compensation     1,103,405       3,078,765  
Non-cash interest expense     1,959,660       1,597,880  
Unrealized (gain) loss on derivative asset     24,580       (1,922,521 )
Loss on lease termination     2,281       26,367  
Provision for doubtful accounts     –       977,755  
Gain on legal settlements     (10,157,593 )     –  
Changes in operating assets and liabilities:                
Trade and other receivables     200,702       2,267,735  
Operating lease liabilities     (736,461 )     (660,996 )
Other current assets     (2,454,896 )     934,392  
Trade and other payables     (7,046,597 )     (4,921,330 )
Net cash used in operating activities     (20,455,174 )     (2,588,984 )
CASH FLOWS FROM INVESTING ACTIVITIES                
Capital expenditures     (22,273 )     (54,633 )
Purchases of property, plant and equipment     (31,652 )     –  
Net cash used in investing activities     (53,925 )     (54,633 )
CASH FLOWS FROM FINANCING ACTIVITIES                
Proceeds from common share issuances     7,180,124       –  
Payments of finance lease liabilities     (180,208 )     (206,588 )
Proceeds from Series D Convertible Stock, net of share issuance cost     14,028,200       –  
Proceeds from borrowings     2,500,000       –  
Net cash provided by (used in) financing activities     23,528,116       (206,588 )
Net increase (decrease) in cash and cash equivalents     3,019,017       (2,850,205 )
Cash and cash equivalents at beginning of period     13,271,256       6,089,837  
Cash and cash equivalents at end of period   $ 16,290,273     $ 3,239,632  
Supplemental disclosure of cash flow information                
Cash paid for interest   $ 8,247     $ 14,321  
Cash paid (received) for income taxes – Federal   $ 358,000     $ (25,905 )
Cash paid for income taxes – State   $ 286,375     $ –  


Non-GAAP Financial Measures

Adjusted EBITDA

In addition to net loss and other results under GAAP, we utilize non-GAAP calculations of adjusted earnings before interest, taxes, depreciation, and amortization (“Adjusted EBITDA”) to monitor the financial health of our business. Adjusted EBITDA is defined as net loss, excluding (i) interest expense, (ii) provision for (benefit from) income taxes, (iii) depreciation and amortization, (iv) share-based compensation, (v) remeasurement gains and losses such as fair value remeasurements on our digital assets, convertible notes, and SAFE notes, and (vi) impairments, restructuring charges, and business acquisition- or disposition-related expenses that we believe are not indicative of our core operating results. This non-GAAP financial information has limitations as an analytical tool when assessing our operating performance, is presented for supplemental informational purposes only, should not be considered in isolation or as a substitute for, or superior to, financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies.

The above items are excluded from our Adjusted EBITDA measure because these items are non-cash in nature, or because the amount and timing of these items are unpredictable, are not driven by core results of operations, and/or render comparisons with prior periods and competitors less meaningful. We believe Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our results of core operations, as well as providing a useful measure for period-to-period comparisons of our business performance. Moreover, Adjusted EBITDA is a key measurement used by our management internally to make operating decisions, including those related to operating expenses, evaluate performance, and perform strategic planning and annual budgeting.

The following table presents a reconciliation of Adjusted EBITDA to the most directly comparable GAAP measure, net loss:

    For the three months ended     For the six months ended  
    June 30,     June 30,  
    2026     2025     2026     2025  
Reconciliation of non-GAAP Adjusted EBITDA:                        
Net loss:   $ (7,375,740 )   $ (8,021,433 )   $ (6,765,937 )   $ (8,332,296 )
Depreciation and amortization     1,097,390       1,466,119       2,291,654       2,994,032  
Stock based compensation     677,043       978,261       1,103,405       3,078,765  
Losses on foreign currency transactions     36,994       689,952       401,425       777,290  
Other non-operating income     (8,933 )     (60,646 )     (65,381 )     (164,758 )
Other non-operating expenses     1,018,903       836,950       1,975,001       1,631,156  
Change in fair value of derivative asset     105,608       2,137,052       24,580       (1,922,521 )
Income tax (benefit) expense     29,920       (17,933 )     162,387       92,176  
Provision for doubtful accounts     –       –       –       977,755  
Gain on legal settlements     –       –       (10,157,593 )     –  
Adjusted EBITDA (non-GAAP)   $ (4,418,815 )   $ (1,991,678 )   $ (11,030,459 )   $ (868,401 )


CONTACT
Investor Relations: IR@bigdigital.energy
Partnerships: Partnerships@bigdigital.energy
Media and Press: mediarelations@bigdigital.energy
Website: www.bigdigital.energy


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