Energy Vault (NRGV) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue rose 10% year-over-year to $8.5 million, driven by Australian projects and a new license agreement in India, with gross margin improving to 57.1% from 26.7% a year ago.

• Adjusted EBITDA loss narrowed 22% year-over-year to $(11.3) million, aided by margin gains and cost reductions.

• Net loss remained flat at $(21.1) million year-over-year; adjusted net loss improved to $(11.7) million.

• Cash and equivalents increased to $47.2 million at quarter-end, up 57% from year-end 2024, supported by project financing and ITC transfers.

• First owned and operated asset in Texas is operational, with additional projects in commissioning and a long-term recurring EBITDA target of $100 million from seven projects.

Financial highlights

• Revenue for Q1 2025 was $8.5 million, up 10% year-over-year, mainly from Australia and India.

• Gross margin reached 57.1%, nearly double the prior year, due to regional mix and licensing revenue.

• Adjusted operating expenses decreased 4% year-over-year to $16.2 million, with further reductions targeted.

• Adjusted EBITDA loss improved to $(11.3) million from $(14.5) million year-over-year.

• Cash balance increased to $47.2 million at quarter-end, with expectations to reach $60–$75 million by Q3 2025.

Outlook and guidance

• Revenue guidance for 2025 is reiterated, with over 80% of the guide already contracted.

• Additional upside possible if U.S. battery deliveries accelerate following the China-U.S. tariff pause.

• Operating expense run rate targeted at $12–$14 million per quarter in the second half of 2025.

• Long-term recurring EBITDA from owned assets expected to reach $100 million annually once all seven projects are operational.

• Expecting ~$45-50 million in additional cash from Cross Trails project financing and ITC sales in Q2 and Q3.