Solid Power 2025 Q3 Earnings Wider Losses Amid Revenue Decline

Solid Power reported mixed Q3 2025 results, with revenue falling short of estimates and net losses widening. While the company met EPS expectations, the revenue miss and deteriorating profitability highlight ongoing operational challenges.

Revenue

Total revenue declined 2.0% year-over-year to $4.56 million in Q3 2025, below the $5 million analyst estimate. Government contracts led the way with $762,000 in revenue, while grant income added $828,000. Non-government revenue accounted for $2.97 million, though the combined total remained flat compared to prior-year performance. The segment breakdown underscores the company’s reliance on public funding and partnerships to offset declining commercial demand.

Earnings/Net Income

Net losses widened to $25.87 million in Q3 2025, a 15.4% increase from $22.42 million in the prior-year period. The per-share loss expanded to $0.14, a 7.7% deterioration from $0.13 in 2024 Q3. Despite maintaining a robust liquidity position, the company has posted losses for five consecutive years, signaling persistent financial strain.

Post-Earnings Price Action Review

The strategy of buying SLDP shares on earnings raise dates and holding for 30 days delivered a 197.09% annualized gain, albeit with 576.01% volatility. While the approach showed consistency in timing, execution risks remain high due to the stock’s erratic swings. Sufficient liquidity and trading volume supported the strategy, but the wide price fluctuations suggest it suits only high-risk tolerance investors.

CEO Commentary

CEO John Van Scooter emphasized progress in scaling sulfide-based electrolyte production and securing partnerships with automotive OEMs. With $300.4 million in liquidity, the company aims to expand capacity to 75MT annually by 2026. Strategic collaborations with BMW and SK On, along with a $50M DOE grant, are pivotal to achieving commercialization goals.

Guidance

Solid Power plans to double electrolyte production capacity to 75MT by 2026 through a continuous manufacturing pilot line. Funding will come from a $50M DOE grant and $34.1M in at-the-market offerings. While no near-term revenue targets were provided, the company reiterated its 2026 commercialization timeline, contingent on overcoming execution risks and market adoption hurdles.

Additional News

1. Strategic Partnerships: Solid Power’s collaboration with Samsung SDI and BMW advanced, with prototype cells entering road testing in a BMW i7. Samsung SDI aims to integrate the technology into mass production.

2. Stock Volatility: SLDP shares surged 600% year-to-date but dipped 12.6% post-earnings, hitting a 52-week high of $8.09 amid mixed analyst ratings.

3. Institutional Interest: Goldman Sachs and Prudential increased holdings, with institutional ownership now at 33.66%.