Ormat Technologies (ORA) Q1 2026 earnings summary

Executive summary

• Achieved record Q1 2026 revenue of $403.9 million, up 75.8% year-over-year, driven by strong growth in Product and Energy Storage segments.

• Net income attributable to stockholders increased to $44.1 million, with adjusted net income rising 93.5% to $80.3 million.

• Adjusted EBITDA grew 29.7% to $194.9 million, and adjusted diluted EPS surged 91.2% to $1.30.

• Major developments included a $1 billion convertible notes offering, acquisition of the Hoku solar-plus-storage facility in Hawaii, and signing of new long-term PPAs with Google, Switch, and NV Energy.

• Advanced Enhanced Geothermal Systems (EGS) strategy and invested $25 million in Sage Geosystems for next-generation geothermal and storage technologies.

Financial highlights

• Q1 2026 revenue reached $403.9 million (+75.8% YoY); gross profit was $120.4 million; gross margin at 29.8%.

• Net income attributable to stockholders was $44.1 million ($0.71 per diluted share); adjusted net income was $80.3 million ($1.30 per diluted share).

• Adjusted EBITDA was $194.9 million (+29.7% YoY); operating income rose to $80.3 million (+57.6% YoY).

• Cash and cash equivalents at quarter-end were $654.6 million; net debt was $2.6 billion; total debt $3.4 billion at a 3.9% average interest rate.

• Net cash provided by operating activities was $78.6 million; net debt to adjusted EBITDA ratio was 4.2x.

Outlook and guidance

• 2026 revenue guidance maintained at $1,110–$1,160 million; adjusted EBITDA guidance at $615–$645 million.

• Segment guidance: Electricity $715–$730 million, Product $300–$320 million, Energy Storage $95–$110 million.

• Portfolio capacity target of 2.6–2.8 GW by end of 2028 remains on track, with a 15–18% CAGR in capacity planned.

• Management expects to recognize $203.2 million in remaining Product segment performance obligations over the next 24 months.

• Sufficient liquidity is expected to fund ongoing projects and strategic initiatives.