MPC Energy Solutions (MPCES) Q4 2025 earnings summary

Executive summary

• Preliminary unaudited 2025 results show strong operational and financial performance, with improved operating margin and cost reductions despite challenging weather and significant asset divestments.

• Focus on like-for-like metrics due to major asset sales in 2024 and 2025, with the core portfolio now in El Salvador, Mexico, and Colombia.

• Sale agreements for major projects in El Salvador and Guatemala (Project Merlin) were signed, with closing expected in Q2 2026 pending final permits.

• Generated 113 GWh of clean energy in 2025, down 3% from 2024 due to project divestments, but like-for-like output rose 3% year-over-year.

Financial highlights

• Like-for-like revenue rose 3% to $11.6 million, while overall revenue declined 10% due to asset sales.

• Like-for-like EBITDA increased 17% to $8.0 million, with total EBITDA at $8.6 million, and operating margin improved to 76% like-for-like.

• Overhead costs reduced by 11% to $3.2 million in 2025.

• Free cash at year-end 2025 was $9.0 million, more than doubling from $4.2 million in 2024 and at the high end of projections.

Outlook and guidance

• Overhead costs expected to drop further in 2026, targeting $2.3 million annually.

• No major new project investments planned, maximizing flexibility and cash for shareholder distributions.

• Proceeds from Project Merlin sale to be distributed to shareholders, with distributions expected to begin in July 2026, pending AGM approval.

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