Exceeding Expectations
The second quarter results exceeded expectations, driven by C&I product sales to industrial distributors and increased shipments of residential energy storage systems. Adjusted EBITDA margins also surpassed forecasts.
Revenue Growth
Overall net sales increased by 6% year-over-year to $1.06 billion. Residential product sales grew by 7%, and C&I product sales increased by 5%.
Data Center Market Entry
Strong receptivity in the data center market with a global backlog exceeding $150 million. This segment is expected to contribute significantly to future growth.
International Segment Performance
International sales increased by 7%, with robust adjusted EBITDA growth due to favorable price/cost dynamics and foreign currency impact.
Free Cash Flow and Share Repurchase
Free cash flow conversion guidance for 2025 was raised to 90%-100%, and approximately 393,000 shares were repurchased for $50 million.
Debt Management
Amendment and extension of the existing term loan and revolving credit facility, resulting in favorable terms and maturity extension to 2030.