Stabilis Solutions 2025 Q2 Earnings Misses Targets as Net Loss Widens 2370%

Stabilis Solutions reported its fiscal 2025 Q2 earnings on August 6, 2025. The company missed expectations, with a net loss of $613,000—representing a 2370.4% decline from a $27,000 net income in the prior year. Revenue also fell 6.9% to $17.31 million. Despite a dip in top-line revenue, the firm highlighted strength in key markets and expressed optimism about long-term LNG adoption.

Revenue
Total revenue for Stabilis Solutions in Q2 2025 declined by 6.9% to $17.31 million, compared to $18.60 million in the same period last year. The drop was primarily attributed to the completion of a major 2024 contract. However, the company noted a 15% year-over-year revenue increase in core growth areas such as marine, aerospace, and power generation, reflecting ongoing business development momentum.

Earnings/Net Income
The company reported an EPS of $-0.03 for Q2 2025, unchanged from the prior year. However, the net loss widened significantly to $613,000, a sharp 2370.4% deterioration from the $27,000 net income in Q2 2024. The earnings result underscored a challenging quarter for Stabilis Solutions, with the net loss highlighting operational challenges and a clear underperformance relative to expectations.

Price Action
The stock price of Stabilis Solutions rose 1.27% on the latest trading day but edged down 0.00% over the most recent full trading week. Month-to-date, the stock has declined 5.33%, reflecting mixed short-term investor sentiment.

Post Earnings Price Action Review
A review of historical trading strategies related to Stabilis Solutions’ earnings performance revealed poor returns. Buying shares following a quarterly revenue increase and holding for 30 days over the past three years resulted in a compound annual growth rate of -1.63% and an excess return of -53.24%, significantly underperforming the benchmark of 48.58%. The strategy also displayed a negative Sharpe ratio of -0.02 and a maximum drawdown of 0.00%, indicating high risk and poor returns, suggesting limited value in relying on revenue-based entry points.

CEO Commentary
Casey Crenshaw, Executive Chairman and Interim President & CEO, highlighted continued business development momentum in key markets including marine, aerospace, and power generation, where revenue increased 15% year-over-year. He noted that demand for turnkey small-scale LNG solutions remains strong, particularly in commercial space applications. Crenshaw attributed the Q2 revenue decline to the completion of a large 2024 contract but expressed optimism about long-term fundamentals, customer relationships, and LNG adoption trends. Andy Puhala, CFO, emphasized the company’s strong liquidity, with over $16 million in cash and available liquidity, supporting growth investments and operational flexibility.

Guidance
The company expects to continue investing in capital expenditures and operating initiatives to support growth, leveraging its strong liquidity position and efficient cost structure to fund expansion and customer relationship development. Adjusted EBITDA for the quarter was $1.5 million, down from $2.1 million in the prior year.

Additional News
A report titled *Stabilis Solutions earnings missed by $0.06, revenue fell* published on August 7, 2025, indicated that the company fell short of earnings expectations. While the content was inaccessible without JavaScript and cookies, it underscored a broader narrative of underperformance. No dividend or buyback announcements were made in the period, nor were there indications of M&A activity or C-level executive changes reported within the three weeks following the earnings release. The company remains focused on operational execution and strategic investments in growth initiatives.