Nextpower (NXT) Q3 2026 earnings summary

Executive summary

• Revenue for Q3 FY26 reached $909 million, a 34% year-over-year increase, with strong growth in both the U.S. and international markets, driven by higher U.S. demand and recent acquisitions.

• Net income rose 12% to $131.2 million for the quarter and 21% to $435.3 million for the nine months, reflecting operational growth and cost management.

• Achieved investment grade credit rating and rebranded to Nextpower, reflecting a shift to an end-to-end solar technology platform.

• Completed the formation of Nextpower Arabia JV, securing a 2.25 GW order for a major solar project in the Middle East and targeting up to 12 GW of annual solar capacity manufacturing.

• Major acquisitions (Bentek, OnSight, Origami, Fracsun) expanded capabilities in electrical infrastructure, robotics, and monitoring.

Financial highlights

• Q3 revenue grew 34% year-over-year to $909.4 million; nine-month revenue increased 32% to $2.68 billion.

• Q3 GAAP net income was $131.2 million, up from $117 million in Q3 FY25; adjusted EBITDA up 15% to $214 million.

• Gross margin for Q3 was 31.7% GAAP and 32.4% adjusted; adjusted EBITDA margin at 23.5%.

• Generated $123 million in Q3 operating cash flow and $391 million year-to-date; cash and cash equivalents at $953 million with no debt.

• A $1.0 billion unsecured revolving credit facility was established, enhancing liquidity to $1.8 billion as of December 31, 2025.

Outlook and guidance

• Fiscal 2026 revenue guidance raised to $3.425–$3.5 billion; adjusted EBITDA to $810–$830 million; GAAP net income outlook increased to $525–$540 million.

• Adjusted diluted EPS expected between $4.26 and $4.36; gross margins in low 30s, operating margins in low 20s.

• 77% of $419.5 million in remaining performance obligations expected to be recognized as revenue in the next 12 months.

• Guidance assumes stable U.S. policy and permitting environment; monitoring regulatory risks that could impact project timing.

• Share repurchase program of up to $500 million approved, with a three-year term.