Business
Orion Reports Improved Q3’25 Gross Margin of 29.4% (+490 bps), Reduced Net Loss, Break-even Adjusted EBITDA and Improved Cash and Liquidity on Revenue of $19.6M; Reduces FY 2025 Revenue Outlook
MANITOWOC, Wis., Feb. 11, 2025 (GLOBE NEWSWIRE) -- Orion Energy Systems, Inc.(NASDAQ: OESX) (Orion Lighting), a provider of energy-efficient LED lighting,
About this update from Orion Energy Systems, Inc.
[{"type":"text","content":"MANITOWOC, Wis., Feb. 11, 2025 (GLOBE NEWSWIRE) -- Orion Energy Systems, Inc.(NASDAQ: OESX) (Orion Lighting), a provider of energy-efficient LED lighting, electric vehicle (EV) charging stations and maintenance services solutions, today reported results for its fiscal 2025 third quarter (Q3’25) and nine months (YTD’25) ended December 31, 2024 and updated its FY 2025 revenue outlook to $77M to $83M. Orion will hold an investor call today at 10:00 a.m. ET – details below. Q3 Financial Summary Prior Three Quarters$ in millions except per share figuresQ3'25Q3'24Change Q2'25Q1'25Q4'24LED Lighting Revenue$13.2 $18.5 -29% $10.8 $12.8 $16.3 EV Charging Revenue$2.4 $2.8 -13% $4.7 $3.8 $4.9 Maintenance Revenue$3.9 $4.6 -15% $3.8 $3.3 $5.2 Total Revenue$19.6 $26.0 $(6.4) $19.4 $19.9 $26.4 Gross Profit (1)$5.8 $6.4 $(0.6) $4.5 $4.3 $6.8 Gross Profit % 29.4% 24.5%490bps 23.1% 21.6% 25.7%Net Income (Loss) (1)$(1.5)$(2.3)$0.7 $(3.6)$(3.8)$1.6 Net Income (Loss) Per Share$(0.05)$(0.07)$0.02 $(0.11)$(0.12)$0.05 Adjusted EBITDA (2)$0.0 $(0.1)$0.1 $(1.4)$(1.8)$0.4 (1) Voltrek earnout accruals and (net adjustments) were $0.5M in Q3’25; $0.6M in Q2’25; $0.3M in Q1’25; ($3.0M) in Q4’24; and $1.1M in Q3’24. Q2’25 and Q1’25 included $0.3M and $0.4M of maintenance division restructuring costs, respectively.(2) Adjusted EBITDA reconciliation provided below. Q3 Overview: Q3’25 revenue was $19.6M compared to $26.0M in Q3’24, reflecting changes in the start of several new larger contracted LED lighting projects, along with some general market softness reflecting customer uncertainty concerning the economy. YTD’25 revenue was $58.9M compared to $64.2M in YTD’24.Orion achieved slightly positive Q3’25 Adjusted EBITDA while also increasing its cash and liquidity position and reducing debt outstanding.Orion has made substantial progress in reducing its cost structure and improving product and service margins. Q3’25 gross margin increased to 29.4%, the second highest quarterly rate in seven years, with particular progress in maintenance and LED lighting, through both price and cost actions.Orion has executed business process improvements that have substantially reduced operating expenses and improved profit margins. As a result, the company’s annual revenue breakeven point has been reduced 25% to $78M – $85M (depending on sales mix) going forward from approximatel...