Shoals Technologies Group, Inc. ( (SHLS) ) has released its Q2 earnings. Here is a breakdown of the information Shoals Technologies Group, Inc. presented to its investors.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Shoals Technologies Group, Inc. is a prominent player in the renewable energy sector, specializing in electrical balance of system solutions and components for the global energy transition market. The company recently reported its financial results for the second quarter of 2025, showcasing a strong performance with a revenue increase of 11.7% year-over-year, reaching $110.8 million. The company also reported a gross margin of 37.2% and an operating profit of $16.0 million.
Key financial highlights from the report include an adjusted EBITDA of $24.5 million and a record backlog and awarded orders totaling $671.3 million. The increase in revenue was driven by strong demand for Shoals’ products and a higher volume of projects. However, the gross profit margin saw a slight decline due to strategic pricing actions and changes in customer and product mix.
Despite an increase in general and administrative expenses, primarily due to legal costs, Shoals reported a net income of $13.9 million, up from $11.8 million in the previous year. The company’s backlog and awarded orders reflect consistent demand and growth in international markets, comprising over 13.2% of the total.
Looking ahead, Shoals Technologies Group has provided an optimistic outlook for the third quarter and the full year 2025. The company expects revenue to range between $125.0 million and $135.0 million for the third quarter and between $450.0 million and $470.0 million for the full year. Adjusted EBITDA is projected to be between $30.0 million and $35.0 million for the third quarter and between $100.0 million and $115.0 million for the full year, indicating a positive trajectory for the company.