IREN Ltd's stock experienced a sharp after-hours plunge of 14.80% on Thursday, following the release of its second-quarter fiscal year 2026 financial results.

The dramatic sell-off was primarily driven by the company's significant earnings miss. IREN reported a quarterly loss of $0.52 per share, which badly missed the analyst consensus estimate of a $0.14 loss. Revenue of $184.7 million also fell short of the $228.1 million estimate. More strikingly, the company reported a pretax loss of $337.9 million, dramatically wider than the estimated loss of $22.8 million.

Additionally, the stock's movement was influenced by broader weakness in the cryptocurrency market, with Bitcoin trading lower. As a company transitioning from Bitcoin mining to AI cloud services, IREN's shares remain sensitive to cryptocurrency price movements. The disappointing quarterly results, marked by a net loss of $155.4 million, triggered the severe negative reaction in the after-hours session.