RUM Group Revenue Jumps 290% on AI Pivot: Stock, Earnings & Outlook
RUM Group's revenue jumped 290% to $96.6 million as its Quake AI unit delivered over 70% of sales, and the stock rose 16.6% on the first profitable quarter.
Image: Wikimedia Commons / Geekerwan, CC BY 3.0
RUM Group Inc. reported on Wednesday, November 11, that its revenue reached $96.6 million in the third quarter of 2026, up 290 percent from a year earlier, as its Quake AI cloud business supplied more than 70 percent of sales in its first full quarter as part of the company.
The company, which runs the Rumble video platform and the Quake AI infrastructure business, also recorded its first profitable quarter on an adjusted basis, with adjusted earnings of $4.4 million, against a $15.1 million loss a year earlier. Shares closed 16.6 percent higher at $5.96.
- Revenue of $96.6 million, up 290 percent from $24.8 million a year earlier, 3.8 percent above the top end of guidance.
- Quake AI contributed $68.2 million, more than 70 percent of revenue, with adjusted earnings of $23.5 million at a margin of about 34 percent.
- Adjusted earnings of $4.4 million marked the first profitable quarter as a public company, though the net loss reached $91.7 million on $85.8 million of non-cash charges.
- Shares rose 16.6 percent to $5.96, while fourth-quarter guidance of $88 million to $94 million came in below the third-quarter result.
What Is Quake AI and How Much Revenue Does It Make?
Quake AI is the GPU cloud business RUM Group built from assets acquired from Northern Data in a deal that closed on June 17, 2026. It rents computing capacity and provides data centre hosting, and in its first full quarter inside RUM Group it produced $68.2 million of the company's $96.6 million in revenue.
The unit runs about 22,000 graphics processing units at roughly 85 percent capacity, with market rates for its H100 chips above $2.00 per hour. "AI infrastructure is the core of our business, the engine of our growth," chief executive Chris Pavlovski said on the company's earnings call. The Rumble video business added $28.4 million, up 15 percent.
RUM Stock Price After Q3 Earnings: Why Shares Rose 16 Percent
The stock closed at $5.96, up $0.85 from $5.11, after revenue came in well ahead of the $90 million analysts expected. The gain came even though the company reported a loss of 19 cents per share, against a consensus estimate of an 11-cent loss, as investors focused on record sales and the turn to positive adjusted earnings.
The Nasdaq rebounded on Wednesday after strong results from CoreWeave lifted the sector. RUM Group ended the quarter with $134.4 million in cash and 94.68 bitcoin valued at about $7.9 million.
RUM Group Q4 Guidance and 2027 Outlook: What to Watch
Management expects fourth-quarter revenue of $88 million to $94 million, below the third quarter, which included more than $3 million of accelerated revenue from a barter arrangement that will not recur.
The next test comes in the first quarter of 2027, when most of Quake AI's H100 contracts come up for renewal at expected higher prices. The company also said part of the 250 megawatts of capacity targeted for 2027 may slip beyond that year. Demand for AI computing remains strong across the sector, with OpenAI reporting $10 billion in quarterly revenue, though analysts have grown more cautious on Nvidia, the main supplier of the chips Quake AI rents out.
| Metric | Q3 2026 | Q3 2025 | Change |
|---|---|---|---|
| Total revenue | $96.6 million | $24.8 million | Up 290% |
| Quake AI revenue | $68.2 million | Nil | First full quarter |
| Rumble video revenue | $28.4 million | $24.8 million | Up 15% |
| Adjusted EBITDA | $4.4 million | -$15.1 million | First positive quarter |
| Share price close | $5.96 | Not applicable | Up 16.6% on the day |
Frequently Asked Questions
How much revenue did RUM Group report for Q3 2026?
RUM Group reported revenue of $96.6 million for the quarter ended September 30, 2026, up 290 percent from $24.8 million a year earlier.
What is Quake AI?
Quake AI is RUM Group's GPU cloud business, built from assets acquired from Northern Data in June 2026. It rents graphics processing units and provides data centre hosting, contributing $68.2 million, more than 70 percent of third-quarter revenue.
Why did RUM stock rise after the earnings report?
Shares rose 16.6 percent to $5.96 because revenue beat expectations and the company recorded its first profitable quarter on an adjusted earnings basis, despite a loss of 19 cents per share that missed the 11-cent estimate.
What is RUM Group's revenue guidance for Q4 2026?
RUM Group expects fourth-quarter revenue of $88 million to $94 million, below the $96.6 million reported for the third quarter, which included more than $3 million of one-off barter revenue.
