MPC Energy Solutions (MPCES) Q4 2025 earnings summary

Executive summary

• Preliminary 2025 results reflect significant project divestitures, impacting year-over-year comparability and reported figures.

• Like-for-like metrics, excluding sold projects, show improved operational performance and clearer insights.

• Operating margin and EBITDA margin improved significantly in 2025, with like-for-like margin rising to 76% and EBITDA margin to 75%.

• Overhead costs decreased by 11% compared to 2024, supporting higher free cash generation.

• Sale agreements for two core projects (El Salvador and Guatemala) are progressing, with closing expected in Q2 2026, pending final permits.

Financial highlights

• Like-for-like energy output increased 3% to 97 GWh, while total output was 113 GWh, down 3% due to divestments.

• Like-for-like revenue rose 3% to $10.6 million; proportionate revenue was $11.6 million, down from $12.8 million in 2024.

• Proportionate EBITDA reached $8.6 million, up 9% like-for-like and 17% higher excluding sold assets.

• Free cash position at year-end 2025 reached $9.0 million, nearly doubling from $4.2 million in 2024.

• Overhead costs reduced by 11% year-over-year, with further reductions expected.

Outlook and guidance

• Proceeds from Project Merlin (El Salvador and Guatemala sales) expected to add $27 million, potentially raising available cash to over $35 million mid-year.

• Transaction closing is contingent on final permit approval in Guatemala, with expectations for completion in Q2 2026.

• Plans to distribute capital to shareholders via capital reductions, pending AGM approval in May 2026.

• Overhead budget for 2026 set at $2.3 million, with a projected 25%-30% year-over-year decrease.

• Audited financial statements will be published on April 28, 2026.