Shares of Innventure plunged after the company withdrew guidance for its Accelsius subsidiary and reported second-quarter results below Wall Street expectations.

The stock slid 48% in after-hours trading on Thursday to $1.87. Shares closed the market session up 2.3% at $3.60, but are still down 14% this year.

The industrial conglomerate on said that it was suspending revenue and cash flow targets for Accelsius, a company it founded in 2022 to provide liquid cooling for computer chips in artificial-intelligence data centers.

"While our conviction in Accelsius' long-term opportunity has only strengthened, evolving dynamics in the AI infrastructure market, including constraints facing smaller early adopters around power availability, GPU access, and deployment timing, have impacted our near-term expectations and render 2026 revenue generation an imprecise reflection of the meaningful progress Accelsius is making," Chief Executive Officer Bill Haskell said.

The company said it will shift its focus toward developing industry relationships and executing against milestones for the Accelsius business.

Innventure's move to pull its guidance came as the company reported results that were an improvement from a year earlier, but short of Wall Street's estimates.

The company recorded a narrower loss for the second quarter of $26.5 million, or 32 cents a share, compared with a loss of $84.2 million, or $1.60 a share, a year earlier. Analysts were expecting a loss of 23 cents a share, according to FactSet.

Revenue doubled to $953,000 from $476,000 a year earlier. Analysts were expecting revenue of $2 million.