Nebius has revealed plans for a second gigawatt-scale data center campus in the United States, located in Pennsylvania, with a full buildout capacity of 1.2 gigawatts, CEO Arkady Volozh disclosed during the company's Q1 2026 earnings call on May 14.

Pennsylvania Campus Details

Nebius' head of infrastructure, Andrey Korolenko, told analysts that the new Pennsylvania facility is aiming to be "lights up" by the end of 2027, with between 250 megawatts and 350 megawatts available at that point.

Korolenko outlined a phased construction schedule, describing it as "adding 300MW each year up to 1.2GW." The specific location within Pennsylvania has not been disclosed, and the company has not released further details about the campus.

The announcement comes alongside a raised target for contracted power. Nebius is now targeting 4 gigawatts of contracted power by the end of 2026.

As of the close of Q1, the company had already secured 3.5 gigawatts, up from 2 gigawatts at the end of fiscal year 2025. Volozh noted that owned contracted capacity now accounts for more than 75 percent of Nebius' total power.

Record Revenue Growth and Surging Demand

The infrastructure expansion is being driven by what the company describes as exceptional demand.

Revenue for Q1 2026 reached USD 399 million, up from USD 50.9 million in the same period a year earlier, representing year-on-year growth of 684 percent and a 75 percent increase over the previous quarter.

Volozh described the demand environment in stark terms during the call. "Our pipeline generation in the first quarter grew 3.5x over the fourth quarter, and this is a record for us. And the demand is broadening across industries.

Today, we typically see several customers competing for every GPU we bring online."

Capex Raised to Up to USD 25 Billion

In response to the visibility into 2027 demand, Nebius has significantly raised its capital expenditure expectations for 2026. The company increased its capex guidance from a range of USD 16 billion to USD 20 billion to a new range of USD 20 billion to USD 25 billion.

Volozh framed the increase as a forward-looking investment rather than a reflection of rising costs. "This increase reflects investments in our 2027 capacity that will come online early next year.

We expect these investments to contribute positively to revenue in the first half of 2027, where we already have customer commitments in place. Meta is one such customer. We need to invest to fully realize this."

Meta Deal and Financing Strategy

The Meta customer commitment Volozh referenced stems from a deal signed in March, a five-year agreement valued at up to USD 27 billion.

Korolenko confirmed that the company has "been able to secure sites and power and customer commitments for 2027, and so we are ramping up construction activities accordingly."

To fund the expanded capex envelope, CFO Maria del Dado Alonso said that for the previously projected USD 16 billion to USD 20 billion capex range, the company already has more than 90 percent covered through cash and contractual commitments.

The remaining amount up to the new USD 25 billion ceiling will be covered by additional financing. Dado Alonso outlined plans to secure additional debt at favorable terms, citing Nebius' contracts with Meta and Microsoft as credit-positive factors given both companies' strong credit ratings.

"In addition, we expect to raise corporate-level debt. We plan to start tapping into these financing options in the near term." Earlier this year, Nebius secured USD 4 billion in debt financing and received a USD 2 billion equity investment from Nvidia.

Full-Year Guidance and Financial Metrics

Nebius provided full-year guidance calling for an annualized revenue run rate of between USD 7 billion and USD 9 billion, group revenue of between USD 3 billion and USD 3.4 billion, and a group adjusted EBITDA margin of approximately 40 percent.