Shoals Technologies reported better-than-expected results for Q2 2025, with revenue and net income both rising year-over-year. The company raised its full-year revenue guidance, signaling confidence in its strategic initiatives and market demand.
Revenue Revenue for
reached $110.84 million in Q2 2025, reflecting a 11.7% increase compared to $99.25 million in the same period of 2024. This growth was driven by strong demand for U.S. utility-scale solar and project volume expansion, with gross margin standing at 37.2%.
Earnings/Net Income Earnings per share (EPS) rose 14.3% to $0.08 in Q2 2025 from $0.07 in Q2 2024, while net income surged 17.4% to $13.86 million compared to $11.80 million in the prior year. Adjusted EBITDA was reported at $24.5 million, marking a slight decline from $27.7 million in the year-ago period. Despite some margin pressures, the company’s profitability showed continued improvement.
Price Action The stock of
Technologies experienced significant declines, with a 19.48% drop on the latest trading day, 16.31% over the past week, and 21.91% month-to-date.
Post-Earnings Price Action Review A post-earnings strategy of buying Shoals Technologies shares after a revenue increase and holding for 30 days resulted in a -75.90% return over three years, significantly underperforming the benchmark. The Sharpe ratio of -0.49 and a maximum drawdown of 0.00% underscored the strategy’s risk and inability to cushion losses during market downturns.
CEO Commentary Brandon Moss, CEO of Shoals Technologies, highlighted the company’s strong performance in Q2, noting that revenue exceeded expectations and reflected 11.7% year-over-year growth. He credited increased demand for utility-scale solar projects, strategic pricing, and product diversification. Moss also emphasized progress in growth initiatives such as international expansion, CC&I, OEM, and BESS, with over $671 million in backlog and awarded orders.
Guidance Shoals Technologies expects Q3 2025 revenue to range between $125 million and $135 million, with adjusted EBITDA between $30 million and $35 million. For full-year 2025, the company forecasts revenue between $450 million and $470 million, adjusted EBITDA between $100 million and $115 million, and cash flow from operations between $15 million and $25 million. Capital expenditures are expected to range from $30 million to $40 million, with interest expenses estimated at $8 million to $12 million.
Additional News On August 5, 2025, Shoals Technologies Group, Inc. announced its Q2 2025 financial results, reporting quarterly revenue of $110.8 million, a 11.7% year-over-year increase. The company also highlighted a record backlog and awarded orders of $671.3 million. CEO Brandon Moss expressed optimism about the company’s market position and the potential for growth in data center and AI-related BESS demand. Shoals also announced an increased full-year revenue outlook and emphasized its commitment to operational efficiency and international expansion.
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