Ameresco (AMRC) Q4 2025 earnings summary

Executive summary

• Achieved record Q4 2025 revenue of $581 million, up 9% year-over-year, capping a year of strong financial and operational performance with annual revenue of $1.9 billion and adjusted EBITDA of $237 million.

• Recurring lines of business contributed 64% of adjusted EBITDA, highlighting stability and predictability in earnings.

• Project backlog increased 5% year-over-year to over $5 billion, with total awarded backlog up 13% and total revenue visibility exceeding $10 billion.

• Placed 121 MWe of energy assets in service during 2025, exceeding guidance.

• Strong momentum and visibility entering 2026, supported by robust end-market demand and recurring revenue streams.

Financial highlights

• Full year 2025 revenue was $1,932.1 million, with Q4 revenue at $581.0 million, up 9% year-over-year.

• Adjusted EBITDA for 2025 was $237.2 million (12.3% margin), with Q4 at $70 million; prior year included a $38 million gain from AEG sale.

• Net income attributable to common shareholders was $44.3 million for the year and $18.4 million for Q4; GAAP EPS $0.83 for the year and $0.34 for Q4; Non-GAAP EPS $0.90 and $0.39, respectively.

• Adjusted cash from operations for 2025 was $151.7 million, with Q4 at $36.4 million; 8-quarter rolling average at $54.3 million.

• Gross margin improved to 16.2% in Q4, both sequentially and year-over-year, reflecting improved project mix and cost management.

Outlook and guidance

• 2026 revenue guidance is $2.0–$2.2 billion, with adjusted EBITDA of $270–$295 million, representing 9% and 19% growth at midpoints.

• Revenue expected to be weighted toward the second half of 2026 (about 60%), with Q1 typically the lowest due to seasonality and weather impacts.

• Expect to place 100–120 MWe of energy assets in service in 2026, including 2 RNG plants.

• Capex expected at $300–$350 million, primarily funded by energy asset debt, tax equity, or tax credit sales.

• First quarter 2026 EPS expected to be negative by approximately $0.30 due to linear cost structure and seasonality.