Ormat Technologies (ORA) investor relations material

Executive summary

• Q3 2025 revenue grew 17.9% year-over-year to $249.7 million, with net income up 9.3% and operating income up 13.3%, driven by strong Product and Energy Storage segment performance.

• Strategic partnerships with SLB and Sage Geosystems advanced enhanced geothermal system (EGS) development, with pilots expected to start drilling in late 2026.

• Secured a 25-year extension for a 52 MW PPA, obtained geothermal licenses in Indonesia, and expanded international presence.

• Commissioned the Lower Rio energy storage facility in Texas and expanded the product segment backlog to $295 million, up 79% year-over-year.

• Secured $254 million in project financing and tax equity transactions to fund development.

Financial highlights

• Q3 2025 revenue reached $249.7 million (+17.9% YoY), with growth across all segments; 9M 2025 revenue was $713.5 million (+10% YoY).

• Gross profit was $64 million (8.8% increase), with a consolidated gross margin of 25.6% (down from 27.8% YoY).

• Net income attributable to stockholders was $24.1 million ($0.39 per diluted share, up 8.3%); adjusted net income was $24.9 million ($0.41 per share, down 2.4%).

• Adjusted EBITDA was $138.4 million (+0.6% YoY); 9M 2025: $423.3 million (+4.5% YoY).

• Product segment revenue up 66.6% in Q3 and 53.6% for 9M; Energy Storage up 108.1% in Q3 and 96.5% for 9M.

Outlook and guidance

• 2025 revenue guidance raised to $960–$980 million; adjusted EBITDA guidance increased to $575–$593 million.

• Segment revenue guidance: Electricity $700–$705 million, Product $190–$200 million, Energy Storage $70–$75 million.

• 2028 targets: $1.2–$1.25 billion revenue, $775–$825 million adjusted EBITDA, 8.6% and 9.8% CAGRs respectively.

• Growth plan targets 15–17% CAGR in capacity through 2028, with 2.6–2.8 GW total capacity.

• Adjusted EBITDA attributable to minority interest projected at ~$17.5 million.