Spruce Power Holding 2025 Q3 Earnings 98.7% Net Loss Reduction to $714K

Spruce Power Holding (SPRU) reported fiscal 2025 Q3 earnings on Nov 14, 2025, showcasing a 43.7% revenue increase to $30.73 million and a 98.7% reduction in net loss to $-714,000, reflecting strategic cost-cutting and operational efficiency gains.

Revenue

Spruce Power Holding’s Q3 2025 revenue surged 43.7% to $30.73 million, driven by robust performance across its core segments. PPA revenues led the charge with $11.45 million, followed by SLA revenues contributing $9.74 million. Solar renewable energy credit revenues added $6.54 million, while government incentives and servicing revenues totaled $255,000 and $943,000, respectively. Intangibles amortization and unfavorable solar agreements reduced revenue by $749,000, with other revenue streams adding $1.04 million to complete the $30.73 million total.

Earnings/Net Income

The company narrowed its net loss to $-714,000 in Q3 2025, a 98.7% improvement from the $-53.55 million loss in Q3 2024. Earnings per share improved to a loss of $0.05, up from $2.88, reflecting disciplined cost management and operational streamlining. The 98.7% reduction in net loss and 98.3% improvement in EPS indicate a significant positive shift in financial performance.

Price Action

Following the earnings report, the stock price of Spruce Power Holding surged 3.59% during the latest trading day, marking a 90.81% gain over the past week and a 75.34% increase month-to-date.

Post-Earnings Price Action Review

The stock’s post-earnings trajectory reflects strong investor confidence in the company’s turnaround strategy. A 3.59% single-day gain underscores immediate market validation of reduced losses and revenue growth, while the 90.81% weekly surge highlights broader optimism about long-term operational efficiency. Month-to-date, the 75.34% rally suggests that investors are pricing in sustainable profitability improvements, despite the company remaining unprofitable. The performance aligns with strategic initiatives such as workforce reductions and debt management, which are expected to further stabilize the balance sheet and drive margin expansion.

CEO Commentary

Chris Hayes, CEO of Spruce Power, emphasized the company’s progress in its Q3 2025 earnings call, stating, “Third quarter results reflect the efforts of our ongoing mission to operate efficiently with a laser focus on costs and cash management while sustainably growing the business.” He highlighted a 53% year-over-year decline in O&M expenses and a 4% reduction in SG&A costs as key drivers of improved profitability. Hayes also noted the strategic closure of the Denver office and workforce reductions, which are expected to further reduce SG&A costs, underscoring a cautious yet growth-oriented leadership outlook.

Additional News

Spruce Power Holding’s strategic cost-cutting measures were complemented by insider activity, as Steel Partners Holdings LP, a major shareholder, purchased 1.147 million shares for $4.5 million, signaling confidence in the company’s restructuring efforts. Additionally, the company announced $11.5 million in principal debt payments during Q3 2025 and ongoing negotiations with financial institutions regarding its SP1 debt obligation due in Q2 2026. These moves, alongside a 44% revenue growth and 48% increase in operating EBITDA, position Spruce Power to strengthen its balance sheet and explore scalable, high-margin growth opportunities in the solar energy sector.