Energy Recovery ( (ERII) ) has released its Q3 earnings. Here is a breakdown of the information Energy Recovery presented to its investors.
TipRanks Black Friday Sale
- Claim 60% off TipRanks Premium for the data-backed insights and research tools you need to invest with confidence.
- Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off
Energy Recovery, Inc. is a company specializing in energy-saving technology, primarily serving the desalination industry and other sectors to enhance operational efficiency and reduce emissions. Headquartered in the San Francisco Bay Area, the company operates globally with manufacturing and R&D facilities in California.
In its third-quarter 2025 financial results, Energy Recovery reported a revenue of $32 million, which represents a decline from the previous year. The company attributed this decrease to the timing of revenue from contracted projects. Despite the revenue drop, the company’s gross margin remained robust at 64.2%, albeit slightly lower than last year due to product mix costs and tariffs.
Key financial metrics for the quarter included a net income of $3.9 million and an adjusted EBITDA of $6.8 million. Operating expenses decreased by 6.4% compared to the previous year, primarily due to reduced employee and development costs in the Emerging Technologies segment. However, income from operations saw a significant decrease of 48.1% due to the lower revenue.
Looking ahead, Energy Recovery’s management remains focused on strategic initiatives to drive growth and improve financial performance. The company continues to leverage its proprietary technology to expand its market presence and enhance its product offerings, aiming for a sustainable and resilient future.