Evolution PowerX (E) Q3 2025 earnings summary

Executive summary

• Q3 2025 saw a significant increase in activity levels following a slower Q2, with revenue rising 35% year-over-year to $9.2 million and gross margin improving to 42% from 37% in the prior year.

• Adjusted EBITDA for Q3 2025 increased 72% year-over-year to $3.1 million, and net income turned positive at $820,000 compared to a loss in Q3 2024.

• For the nine months ended September 30, 2025, revenue declined 3% year-over-year to $26.0 million, with gross margin and adjusted EBITDA also decreasing compared to the prior period.

Financial highlights

• Q3 2025 revenue: $9.2 million, up from $6.8 million in Q3 2024; nine-month revenue: $26.0 million, down from $26.8 million year-over-year.

• Q3 2025 gross margin: $3.8 million (42%), up from $2.5 million (37%) in Q3 2024; nine-month gross margin: $10.7 million (41%), down from $12.7 million (47%).

• Q3 2025 adjusted EBITDA: $3.1 million (34%), up from $1.8 million (27%) in Q3 2024; nine-month adjusted EBITDA: $8.3 million (32%), down from $10.8 million (40%).

• Q3 2025 net income: $820,000 (EPS $0.01), compared to a net loss of $198,000 (EPS $0.00) in Q3 2024.

• Cash flow from operations for the nine months ended September 30, 2025, was $11.0 million, down from $12.1 million year-over-year.

Outlook and guidance

• Customers are increasingly switching to natural gas as a cleaner alternative to diesel, driving demand for natural gas generators and micro-grid packages.