8-K: Hyperscale Data Declares Monthly Dividends on Series D and Series E Preferred Stock, Including Deferred Payment

Hyperscale Data, Inc. announces the declaration of monthly cash dividends for its Series D and Series E Preferred Stock, including the payment of a previously deferred dividend for Series E.

Summary

• Hyperscale Data, Inc. has declared a monthly cash dividend of $0.2708333 per share for its 13.00% Series D Cumulative Redeemable Perpetual Preferred Stock.
• The record date for the Series D dividend is May 31, 2025, and the payment date is June 10, 2025.
• The company also declared a monthly cash dividend of $0.41666 per share for its 10.00% Series E Cumulative Redeemable Perpetual Preferred Stock.
• The Series E dividend includes the previously deferred dividend for the month ended April 30, 2025.
• The record date for the Series E dividend is May 31, 2025, and the payment date is June 10, 2025.
• Hyperscale Data expects to divest itself of Ault Capital Group (ACG) on or about December 31, 2025.

Sentiment

Score: 7

Explanation: The sentiment is moderately positive due to the declaration of dividends, including the payment of a previously deferred dividend. However, the prior deferral and forward-looking statements introduce some uncertainty.

Positives

• The company is paying the previously deferred Series E Preferred Stock dividend, demonstrating its creditworthiness.
• Consistent dividend payments on the Series D and Series E Preferred Stock are a commitment of the company.
• The company is demonstrating its creditworthiness to stockholders and its commitment to paying consistent dividends on the Series D and Series E Preferred Stock.

Negatives

• The Series E dividend was previously deferred for the month ended April 30, 2025, indicating potential past financial constraints.

Risks

• The press release contains forward-looking statements that are subject to risks and uncertainties.
• Actual results could differ materially from those contained in any forward-looking statement as a result of various factors.

Future Outlook

The company expects to divest itself of ACG on or about December 31, 2025, after which it will focus solely on data center operations.

Management Comments

• Milton Todd Ault III, Executive Chairman of Hyperscale Data, stated that the company is pleased to pay the previously deferred monthly Series E Preferred Stock dividend while simultaneously declaring the current monthly dividend.
• He also mentioned that the company always anticipated electing to defer the monthly dividend by one month the first few months.
• By taking care of the previously deferred monthly dividend, the Company is demonstrating its creditworthiness to stockholders and its commitment to paying consistent dividends on the Series D and Series E Preferred Stock.

Industry Context

The announcement reflects Hyperscale Data's ongoing operations in the data center and digital asset mining space, as well as its strategic shift towards focusing on high-performance computing services.

Comparison to Industry Standards

• It is difficult to compare Hyperscale Data directly to industry standards without more specific financial data and operational metrics.
• However, dividend yields on preferred stock can be compared to similar companies in the REIT or holding company sectors.
• Companies like Digital Realty Trust (DLR) or Equinix (EQIX) in the data center space could be considered for comparison, but their business models differ significantly.

Stakeholder Impact

• Shareholders of Series D and Series E Preferred Stock will receive their monthly dividend payments.
• The company's commitment to consistent dividend payments may positively impact investor confidence.

Next Steps

• Payment of the declared dividends on June 10, 2025.
• Completion of the divestiture of ACG expected around December 31, 2025.

Key Dates

Keywords

dividends, preferred stock, cash dividend, Series D, Series E, Hyperscale Data, ACG, divestiture