Nextpower (NXT) Q4 2025 earnings summary

Executive summary

• Achieved record financial performance in Q4 and FY25, with $924 million in Q4 revenue (up 26% YoY) and $3 billion in full-year revenue (up 18% YoY), surpassing forecasts and reflecting strong execution and market leadership.

• Maintained global and U.S. market share leadership for nine consecutive years, with further gains in 2024 across U.S., Europe, Latin America, and Australia.

• Ended FY25 with a backlog significantly above $4.5 billion, driven by robust bookings and expansion to over 40 countries.

• Transitioned from a pure-play tracker company to a solar power technology platform supplier, highlighted by the acquisition of Bentek Corporation and two specialty foundation companies.

• Accelerated innovation with a record 1,220 patents and strong uptake of new products, including Hail Pro Series and TrueCapture platform.

Financial highlights

• Q4 adjusted EBITDA was $242 million (26.2% margin), with full-year adjusted EBITDA of $776 million (26.2% margin), both up significantly year-over-year.

• Q4 adjusted gross margin was 33.4%; full-year adjusted gross margin was 34.6%.

• Adjusted diluted EPS for FY25 was $4.22, up 38% YoY; Q4 adjusted EPS was $1.29, up 34%.

• Generated $622 million in adjusted free cash flow for the year; ended with $766 million in cash and no debt.

• Q4 and Q3 FY25 results included $75 million and $52 million, respectively, of IRA 45X advanced manufacturing tax credit vendor rebates.

Outlook and guidance

• FY26 revenue guidance: $3.2–$3.4 billion; adjusted EBITDA: $700–$775 million; adjusted diluted EPS: $3.65–$4.03.

• FY26 GAAP net income: $445–$503 million; GAAP diluted EPS: $2.91–$3.29.

• Plans to increase OpEx by ~100 basis points of revenue and CapEx to ~$100 million in FY26, while targeting over $450 million in free cash flow.

• Expects to end FY26 with over $1 billion in cash, excluding further M&A.

• Structural gross margins for FY26 expected in the low 30% range.