Sunrun (RUN) investor relations material

Executive summary

• Aggregate Subscriber Value reached $1.2 billion in Q2 2026, down 24% year-over-year, reflecting a strategic shift to direct sales and affiliate channel contraction.

• Storage Attachment Rate hit a record 74%, with networked storage capacity at 4.6 GWh and over 266,000 solar-plus-storage systems deployed.

• Total revenue for Q2 2026 increased 53% year-over-year to $870 million, driven by strong growth in energy systems sales and customer agreements.

• Net income attributable to common stockholders was $115.2 million ($0.42 diluted EPS) in Q2 2026, down from $280 million in Q2 2025 due to higher interest expense and lower tax benefits.

• Direct business volumes grew over 20% sequentially, while affiliate channel volumes declined ~70% year-over-year.

Financial highlights

• Customer agreements and incentives revenue increased 19% to $543.7 million; energy systems and product sales revenue surged 193% to $326.3 million.

• Upfront Net Subscriber Value was $2,016 per subscriber in Q2, representing a 4% margin.

• Cash generation for Q2 was $23 million, or $45 million excluding safe harbor investments.

• Contracted Net Earning Assets stood at $3.7 billion as of June 30, 2026.

• Gross earning assets reached $22.2 billion as of June 30, 2026.

Outlook and guidance

• Full-year 2026 Aggregate Subscriber Value guidance revised to $4.6–$4.9 billion, reflecting low single-digit growth in direct channels and >60% decline in affiliate channel volume.

• Cash Generation guidance for 2026 revised to $200–$375 million, excluding equipment safe harbor investments.

• Upfront Net Subscriber Value expected to improve in the second half of 2026.

• On track to reach over 10 GWh of dispatchable capacity by end of 2028.

• Guidance reflects reduced affiliate channel volumes, delayed direct sales ramp, and higher capital costs.