Second Quarter 2026
Filed Aug 11, 2026Energy Vault Reports Second Quarter 2026 Financial Results and Raises Full-Year 2026 Revenue and Gross Margin Guidance
Revenue more than doubled year-over-year, GAAP gross margin expanded, backlog reached approximately $2 billion, and the Company raised full-year revenue and GAAP gross margin guidance. Adjusted EBITDA loss and adjusted net loss increased year-over-year as operating expenses rose to support global commercial and operational growth.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| RevenueGAAP | $17.4 million | – | 104% |
| Gross profitGAAP | $5.4 million | – | 114% |
| Gross marginGAAP | 31.0% | – | approximately 140 basis points |
| Adjusted gross profitnon-GAAP | $6.7 million | – | 166% |
| Adjusted gross marginnon-GAAP | 38.6% | – | approximately 900 bps |
| Net lossGAAP | $29.7 million | – | – |
| EPSGAAP | $(0.17) per share | – | – |
| Adjusted EBITDA lossnon-GAAP | $17.0 million | – | – |
| Adjusted net lossnon-GAAP | $24.6 million | – | – |
| Total cash and cash equivalents, including restricted cashother | $148 million | 26% q/q | 155% y/y |
| Backlogother | ~$2 billion | 47% q/q | ~107% year-over-year |
| Global MW under controlother | ~1.1 GW | – | 476% year-over-year |
Full-year 2026 outlook
- Revenue$270-310 million
- Gross margin20-25%
- NoteTargeting $160-200 million in total cash at year-end 2026
- NoteGlobal multi-asset class portfolio now ~1.1 GW, expected to generate approximately $180 million in annual run-rate EBITDA over the next 18-36 months
- NoteStrategic agreement is expected to generate $500-600 million of revenue through the end of 2027
What drove it
- Q2 2026 revenue growth was driven by progress in Australia-based BESS projects.
- Backlog growth was driven by strong demand from the AI Compute Infrastructure segment.
- The adjusted EBITDA loss reflected higher operating expenses for global commercial and operational growth contracting, partially offset by higher gross profit.
- The Company announced a strategic agreement to deploy 1.25 GW of integrated power infrastructure with a leading power generation EPC for a hyperscaler AI data center.
- The Company completed the acquisition of an 850 MW BESS development portfolio in Japan in May 2026.
Concerns
- Adjusted EBITDA loss was $17.0 million compared with a loss of $13.6 million in the prior-year period.
- Adjusted net loss was $24.6 million compared with $18.4 million in the prior-year period.
- Approximately 60% of backlog is from owned and operated projects under operation and construction with long-term offtake agreements, while approximately 40% is expected to convert to revenue over the next 12-18 months.
- Phase 1 of the Snyder, Texas powered AI infrastructure campus is targeted for commercial operation in 1H 2027.
- Approximately 350 MW of Japan advanced-stage projects are expected to reach notice to proceed in the second half of 2027, with commercial operations expected to begin in mid-2028.
What to watch
- Conversion of approximately 40% of backlog expected to convert to revenue over the next 12-18 months.
- Execution of the agreement expected to generate $500-600 million of revenue through the end of 2027.
- Delivery of the initial contracted 8 MW of powered shell capacity at the Snyder, Texas campus, targeted for commercial operation in 1H 2027.
- Progress toward the targeted $160-200 million in total cash at year-end 2026.
- Progress toward approximately $180 million in annual run-rate EBITDA from the global multi-asset class portfolio over the next 18-36 months.
Balance sheet and cash flow
- Total cash and cash equivalents, including restricted cash, was $148 million as of June 30, 2026.
- Subsequent to quarter-end, received $15 million in proceeds from the sale of investment tax credit (ITC) associated with the Calistoga Resiliency Center in July.
- Total proceeds received from ITC sales to ~$27 million YTD.
Analysis
Energy Vault reported $17.4 million of Q2 2026 revenue, up 104% year-over-year, driven by progress in Australia-based BESS projects. GAAP gross profit rose 114% to $5.4 million and GAAP gross margin expanded to 31.0% from 29.6%. Adjusted gross margin was 38.6%, with the Company describing an approximately 900 bps year-over-year increase.
The earnings profile remains loss-making despite the gross-profit improvement. GAAP net loss was $29.7 million versus $34.9 million in the prior-year period, and GAAP EPS was $(0.17) per share versus $(0.22) per share. In contrast, adjusted EBITDA loss increased to $17.0 million from a loss of $13.6 million, while adjusted net loss increased to $24.6 million from $18.4 million. The Company attributed the adjusted EBITDA result to higher operating expenses for global commercial and operational growth contracting, partly offset by higher gross profit.
Commercial visibility expanded materially. Backlog reached approximately $2 billion as of August 10, 2026, up approximately 107% year-over-year and 47% sequentially. Management stated that approximately 40% of backlog is expected to convert to revenue over the next 12-18 months, while approximately 60% is tied to owned and operated projects under operation and construction with long-term offtake agreements. The Company also announced a 1.25 GW integrated power infrastructure agreement that is expected to generate $500-600 million of revenue through the end of 2027.
Capital resources increased, with total cash and cash equivalents including restricted cash at $148 million as of June 30, 2026. The Company subsequently received $15 million in July from the sale of ITC associated with the Calistoga Resiliency Center, bringing total ITC-sale proceeds to approximately $27 million YTD. It is targeting $160-200 million in total cash at year-end 2026, supported by financing activities, project execution and capital discipline.
Management raised full-year 2026 revenue guidance to $270-310 million from $225-300 million and narrowed GAAP gross margin guidance to 20-25% from 15-25%. The operational delivery ramp is weighted to the second half of 2026 and 2027. Key execution milestones include the Snyder, Texas campus, with initial 8 MW powered shell capacity targeted for commercial operation in 1H 2027, and advanced-stage Japan projects expected to reach notice to proceed in the second half of 2027.
Management, verbatim
Our second quarter results reinforce our confidence in our outlook, with revenue more than doubling year-over-year, gross margin expanding significantly and backlog soaring to record levels of ~$2 billion.
Robert Piconi, Chairman of the Board and Chief Executive Officer
Not in the filing
stated, not guessed- Previous quarterly release outlook was not provided for a formal actual-versus-prior-guidance comparison.
- Segment revenue, segment prior-year comparisons, and segment prior-quarter comparisons.
- GAAP operating income or loss.
- Non-GAAP operating income or loss.
- GAAP operating expenses and adjusted operating expenses.
- Operating cash flow.
- Free cash flow.
- Debt balance.
- Share repurchases, dividends, or other capital-return activity.
- Diluted share count.
- Tax rate.
- Prior-quarter figures for revenue, gross profit, gross margin, net loss, EPS, adjusted EBITDA loss, and adjusted net loss.
- Prior-year cash balance and prior-quarter cash balance printed on the cash line.
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.