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What is the revenue and EPS growth rate for Stem year over year?

What does Stem do and what are its main business segments?

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What were the key takeaways from Stem's earnings call?

What is Stem's gross profit margin?

What is the market's earnings forecast for Stem next quarter?

- **Software-Centric Growth**: 25% YoY increase in software/services revenue, driving 8% total revenue growth in 2025.
- **AI-Driven Innovations**: Launch of PowerTrack EMS and Sage, with EMS bookings set to scale in 2027.
- **Financial Turnaround**: First full year of positive adjusted EBITDA ($7 million) and operating cash flow ($7 million), with 2026 EBITDA target of $10-15 million.
- **Strategic Shifts**: 94% reduction in battery hardware resale, focusing on high-margin software and services.

**【CEO Summary Section】**
- **2025 Performance Highlights**: Total revenue grew 8% YoY to $156 million, with 55% from software/services (up 25% YoY). Achieved first full year of positive adjusted EBITDA ($7 million) and positive operating cash flow. ARR grew 16% YoY to $61 million.
- **Product Innovations**: Launched PowerTrack EMS (utility-scale storage control platform) and PowerTrack Sage (AI-powered assistant). EMS secured a 100MWh deal in Germany, with commercial ops in Q3 2026. Sage beta trial with 80+ customers, full launch in March 2026.
- **2026 Priorities**: 
  1. **Operational Leverage**: Maintain cost discipline (cash OpEx down 50% Q4 YoY), integrate AI for efficiency, and expand managed services (e.g., 4-site CA utility deal).
  2. **Core Business Strengthening**: Expand C&I solar monitoring leadership, scale managed services brownfield strategy.
  3. **Growth Foundations**: Expand utility-scale EMS deployments (10% QoQ bookings growth in Q4), explore AI services and data center opportunities.

**【CFO Financial Commentary】**
- **2025 Financials**: 
  - GAAP gross margin: 38% (vs. 28% 2024), non-GAAP: 46%.
  - Adjusted EBITDA: $7 million (vs. -$12 million 2024), operating cash flow: $7 million.
  - Battery hardware resale down 94% YoY ($15M → $1M), reflecting strategic deemphasis.
- **2026 Guidance**: 
  - Total revenue: $140-190 million (70%+ from software/services). 
  - Non-GAAP gross margin: 40-50%.
  - Adjusted EBITDA: $10-15 million (85% growth YoY). 
  - ARR: $65-70 million (10% YoY growth).

Stem, Inc. (STEM) Q4 2025 Earnings Call Transcript

- **Revenue Growth**: Q3 2025 revenue up 31% YoY to $38M, ARR at $60M (17% YoY). 
- **Profitability**: 2nd consecutive quarter of +$2M EBITDA, $11M operating cash flow.
- **Product Success**: PowerTrack EMS bookings in 3 countries, AI-powered Sage beta in Dec 2026.
- **Margin Expansion**: Non-GAAP gross margin 47%, targeting 40-50% for 2025.
- **Guidance Tightening**: Software/services $125-140M, EBITDA -5M to +5M, ARR $55-65M.

**【CEO Summary Section】**
- Q3 2025 revenue: $38 million (31% YoY growth), ARR: $60 million (17% YoY growth). 
- Achieved 2nd consecutive quarter of positive adjusted EBITDA ($2 million) and $11 million operating cash flow.
- Launched PowerTrack EMS for hybrid/storage projects, booking 3-country deals with 6-9 month lead time to revenue.
- Introduced AI-powered PowerTrack Sage for solar/storage analytics, targeting beta release in December 2026.
- Tightened 2025 guidance ranges: software/services revenue $125-140M, adjusted EBITDA -5M to +5M, ARR $55-65M.
- Emphasized reduced business volatility and derisked low end of guidance ranges.

**【CFO Financial Commentary】**
- GAAP gross margin: 35%, non-GAAP: 47% (up 47% YoY in cash operating expenses).
- Software revenue: $12.5M (11% YoY), edge hardware: $6.8M (18% YoY), EMS bookings: $30M.
- Operating cash flow: $11M (vs -$21M YoY), cash position: $43M stable.
- Projected 2025 gross margin range: 40-50%, with Q4 compression due to edge hardware deliveries.
- Battery hardware resale revenue reduced to $20M (from $35M prior guidance).

**【Q&A Key Highlights】**
- **Guidance Moderation**: CEO confirms tracking midpoint/high end of updated ranges, except battery hardware ($20M max).
- **Gross Margin Compression**: CFO attributes Q4 margin dip to edge hardware mix, expects stabilization post-Q4.
- **EMS Demand**: CEO reports strong interest in EMS for hybrid/utility-scale projects, with bookings timing variability.
- **Customer Sentiment**: CEO notes unchanged engagement levels despite market headwinds.
- **Profitability Path**: CFO targets ongoing OpEx management (Q3 cash OpEx: $20.4M), with focus on AI-driven efficiency.


Stem, Inc. (STEM) Q3 2025 Earnings Call Transcript

- **Revenue Growth**: 13% YoY to $38.4M, driven by software and services (20% and 53% YoY growth, respectively).
- **Cost Efficiency**: 39% YoY OpEx reduction to $18.3M, enabling $4M EBITDA (vs. -$15M YoY).
- **Debt Restructuring**: $200M debt reduction, extending maturity to 2030, enhancing financial flexibility.
- **AI Innovation**: PowerTrack Sage AI chat interface and EMS for utility-scale solar set to launch in Q3.
- **Guidance**: Tracking high end of all metrics, with operating cash flow expected to improve in H2.

**【CEO Summary Section】**
- **Q2 2025 Highlights**: Total revenue of $38.4 million (+13% YoY), ARR grows 22% YoY to $59 million. Strategic reduction in force (RIF) reduces personnel costs by 35%, saving $27 million annually.
- **New Product Launches**: PowerTrack EMS for utility-scale solar (launching at RE+ 2025) and PowerTrack Sage AI-driven chat interface for enhanced customer interaction.
- **Balance Sheet Strengthening**: Debt exchange reduces liabilities by $200 million, extending maturity to 2030. Positive adjusted EBITDA of $4 million (vs. -$15M YoY).
- **Business Unit Restructuring**: 4 BU model (Software, Managed Services, Professional Services, OEM) with P&L accountability, set to report externally next quarter.
- **Guidance**: Tracking high end of all metrics except operating cash flow ($0-$15M FY25).

**【CFO Financial Commentary】**
- **Revenue Breakdown**: Software (+20% YoY), Storage & Services (+53% YoY). Non-GAAP gross margin 49%, highest on record.
- **Cost Efficiency**: Cash OpEx $18.3M (-39% YoY), driven by RIF and operational streamlining.
- **Debt Exchange Impact**: $350M debt converted to $155M, reducing net leverage and extending maturity.
- **Operating Metrics**: CARR +1% QoQ, Storage & Solar AUM +4% QoQ, reflecting recurring revenue momentum.

**【Q&A Highlights】**
- **Hardware Strategy**: Battery resale capped at $35M FY25, with focus shifting to software and services.
- **Utility Scale Expansion**: PowerTrack EMS targets hybrid solar-storage projects, with bookings expected post-RE+.
- **OpEx Outlook**: Cash OpEx to trend below $18M in H2, aligning with reduced hardware focus.
- **Cash Management**: Q2 cash outflow ($21M) due to working capital timing; H2 expects positive cash flow from recurring revenue.


Stem, Inc. (STEM) Q2 2025 Earnings Call Transcript

- **Strategic Restructuring Success**: 27% workforce reduction to deliver $30M annual savings, enabling +24% YoY solar ARR growth.
- **Profitability Breakthrough**: First-ever positive Q1 operating cash flow ($9M) and near-all-time high Non-GAAP gross margin (46%).
- **Software Dominance**: Software revenue +17% YoY, with utility-scale bookings tripling Q1 vs. Q1 2024.
- **AI-Driven Innovation**: Shifting R&D to AI integration, pausing low-impact products to focus on high-growth PowerTrack EMS.


**【CEO Strategic Overview】**
- **Business Unit Restructuring**: Established four P&L-driven units (Software, Professional Services, Managed Services, OEM Hardware) to enhance decision-making and resource allocation efficiency.
- **Cost Optimization**: Announced 27% workforce reduction, yielding $30M annual cost savings ($24M in 2025), preserving software growth momentum.
- **Software Growth**: Solar ARR +24% YoY, Storage ARR +31% YoY; utility-scale bookings tripled Q1 vs. Q1 2024.
- **AI Integration**: Shifting R&D focus to AI-driven solutions, pausing PowerBidder Pro and APM development to prioritize high-impact products.

**【CFO Financial Highlights】**
- **Revenue Performance**: Total revenue +27% YoY, software revenue +17% YoY, driven by PowerTrack and storage activations.
- **Margin Expansion**: GAAP gross margin 32%, Non-GAAP 46% (near all-time high), reflecting shift to high-margin software/services.
- **Cash Flow Milestone**: $9M positive operating cash flow (first in company history), net cash +$2M, ending Q1 with $59M cash balance.
- **Guidance Reaffirmation**: Full-year 2025 targets remain unchanged, with tariff impacts passed through to customers.

**【Q&A Key Takeaways】**
- **Tariff Impact**: Storage hardware sales (small portion of revenue) may face limited tariff exposure; software/services exempt.
- **Profitability Drivers**: Sequential margin expansion from product mix shift (less hardware, more software) and OpEx reductions.
- **Brownfield Opportunity**: Expanding managed services in existing geographies, targeting underutilized storage assets.
- **Product Strategy**: Focusing on PowerTrack EMS for hybrid solar/storage projects, deemphasizing low-margin PowerBidder Pro contracts.


Stem (STEM)-29 Apr 25-2025 Q1 Earnings call transcript

- **PowerTrack Dominance**: 13/16 top U.S. solar asset owners adopt PowerTrack, driving 70-80% software margins and $120-140M 2025 software revenue target.
- **Cost Transformation**: >20% OpEx reduction in 2025 via streamlined operations and decentralized decision-making.
- **Software Pivot**: Phasing out hardware resales (2025: $0-35M, 5-10% margin) to focus on recurring software ARR growth (15% YoY to $65M).
- **Financial Resilience**: $58M cash on hand; 2025 EBITDA expected to turn positive with $0-15M operating cash flow.

**【CEO Summary Section】**
- **PowerTrack Growth**: 13 of top 16 U.S. commercial solar asset owners standardized on PowerTrack, including 514 MW with Summit Ridge Energy and 484 MW in Hungary. Software gross margins range 70-80%, with 50% on services and 30-40% on edge devices.
- **Cost Reduction Plan**: Targeting >20% OpEx reduction in 2025 through operational efficiency, streamlined structure, and decentralized decision-making.
- **Software Focus**: Shifting away from hardware resales (2024 Q4 down significantly YoY) to recurring software revenue, with 2025 guidance of $120-140M in high-margin software, edge device, and services revenue.

**【CFO Financial Commentary】**
- **2024 Q4 Results**: Total revenue down YoY due to hardware decline, but software up 6% YoY. Non-GAAP gross margin up YoY, though down sequentially due to hardware mix.
- **2025 Guidance**: 
  - Revenue: $125-175M (70%+ from software/services)
  - Adjusted EBITDA: -$10M to +$5M
  - Operating Cash Flow: $0-15M
  - ARR Growth: 15% YoY to $55-65M
- **Liquidity**: $58M cash at year-end; expect improvement from hardware working capital releases.

**【Q&A Highlights】**
- **PowerTrack vs. Tracker Software**: Not direct competitors; PowerTrack focuses on behind-the-meter optimization with holistic data solutions, while tracker companies target front-of-meter.
- **Hardware Strategy**: 2025 hardware resales ($0-35M) will be opportunistic, low-margin (5-10%), and weighted to Q4. Long-term focus on software.
- **Cash Management**: Current $58M cash position sufficient for 2025, with OpEx reductions and working capital improvements supporting $0-15M operating cash flow.
- **Market Risks**: Delays in interconnection and permitting caused $1.2B backlog reduction to $21M (fully executed POs only).

Actual	-20	16.4824	5.1	-3	-4.2	-4.4	-4.5628	-5.8	2.4	-9.8	-4.8	-9.2	-71.8	-18.2	-6.6	-3	-1.79	-2.84	-1.55
Forecast	-3.4	-5.4506	-1.8908	-3.2187	-3.6636	-3.3646	-3.9985	-4.695	-3.3578	-3.463	-2.8253	-4.046	-15.3455	-4.135	-4.1652	-3.6634	-2.7579	-2.3413	-2.1705
Surprise	-488.24%	+402.40%	+369.73%	+6.79%	-14.64%	-30.77%	-14.11%	-23.54%	+171.48%	-182.99%	-69.89%	-127.39%	-367.89%	-340.15%	-58.46%	+18.11%	+35.10%	-21.30%	+28.59%

STEM

STEM fundamentals

STEM Q4 2025 Earnings

Earnings Call

You can ask Aime

STEM

STEM fundamentals

STEM Q4 2025 Earnings

Earnings Call

STEM Earnings Call Summary for Q4/20255:00 PM on Mar 4, 2026

STEM Earnings Call Summary for Q3/20255:00 PM on Oct 29, 2025

STEM Earnings Call Summary for Q2/20255:00 PM on Aug 7, 2025

STEM Earnings Call Summary for Q1/20255:00 PM on Apr 29, 2025

STEM Earnings Call Summary for Q4/20245:00 PM on Mar 4, 2025

You can ask Aime