Sunrun (RUN) Q1 2026 earnings summary

Executive summary

• Achieved aggregate subscriber value of $1.1 billion in Q1 2026, with contracted net value creation of $108 million and a record 73% storage attachment rate, reflecting a storage-first strategy and strong demand for distributed power solutions.

• Net income attributable to common stockholders was $167.6 million, or $0.71 per basic share, up from $50.0 million in Q1 2025.

• Added 17,665–19,000 subscribers in Q1 2026, with total customers reaching 1,184,634 and an 11% year-over-year increase, though quarterly additions declined 25%.

• Cash generation was negative $59 million, impacted by project finance timing and safe harbor investments.

• Strategic focus on direct business, vertical integration, and capital-light recurring cash flows positions the company for sustainable growth.

Financial highlights

• Total revenue was $722.2 million, up 43% year-over-year, driven by a 151% increase in energy systems and product sales revenue.

• Aggregate Subscriber Value for Q1 was $1.1 billion, above guidance but down 13% year-over-year.

• Contracted Net Value Creation was $108 million, a 34% decrease year-over-year but near the high end of guidance.

• Upfront Net Subscriber Value per addition was $11,892, with a 9% margin, up 8 percentage points year-over-year.

• Ended Q1 with $680 million in unrestricted cash and $626 million in recourse debt, with $92 million in recourse debt repaid during the quarter.

Outlook and guidance

• Full-year 2026 guidance: $4.8–$5.2 billion Aggregate Subscriber Value, $650–$1,050 million Contracted Net Value Creation, and $250–$450 million Cash Generation, excluding $50–$100 million for safe harbor investments.

• Q2 2026 Aggregate Subscriber Value expected at $1.1–$1.2 billion, and Contracted Net Value Creation at $100–$200 million.

• Direct business expected to grow high-single to low-double digits in 2026, offsetting industry-wide volume declines.

• Guidance assumes continued capital market access and stable or improving ITC pricing.