Companies /Utilities

Ormat Technologies Inc

NYSE: ORA Utilities - Renewable
$103.04
▼ $1.89 (−1.80%) today
Markets closed · 2:31am ET

Q4 2025 Earnings

Reported Feb 25, 2026, 6:11pm ET · SEC source
$0.67
Beat +4.67%
EPS · est. $0.64
$276.0M
Beat +7.12%
Revenue · est. $257.7M
+11.1%
Beating market
ORA vs S&P since report
5 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−8%−4%0+4%Feb 25Feb 26report 6:11pm ETearnings−1.1%−6.3%
−8%−4%0+4%Feb 25Feb 26earnings−1.1%−6.3%
ORA −6.3%S&P 500 −1.1%
−8%−4%0+4%Feb 25Feb 26report 6:11pm ETearnings−1.7%−6.3%
−8%−4%0+4%Feb 25Feb 26earnings−1.7%−6.3%
ORA −6.3%NASDAQ −1.7%
−12%−8%−4%0Feb 25Mar 5report 6:11pm ETearnings−2.1%−5.4%
−12%−8%−4%0Feb 25Mar 5earnings−2.1%−5.4%
ORA −5.4%S&P 500 −2.1%
−12%−8%−4%0Feb 25Mar 5report 6:11pm ETearnings−1.7%−5.4%
−12%−8%−4%0Feb 25Mar 5earnings−1.7%−5.4%
ORA −5.4%NASDAQ −1.7%
−9.05%
Day of report
−2.60%
Next session
+1.26%
One week
+2.79%
30 days

S&P 500 over the same 30 days: −8.32%.

Did ORA Beat Earnings? Q4 2025 Results

Ormat Technologies delivered a broad-based beat in Q4 2025, with revenue climbing 19.6% year-over-year to $276.04 million, ahead of the $257.69 million consensus by 7.12%, while adjusted diluted EPS of $0.67 topped the $0.64 estimate by 4.67%. The standout driver was the company's Energy Storage segment, which posted a 140.5% revenue surge to $26.34 million in the quarter as merchant pricing strength in the PJM market and new facilities including the Arrowleaf hybrid solar-plus-storage project pushed gross margins to 51.5% from just 9.5% a year ago. The results came despite headwinds from $12.06 million in impairment charges and a higher effective tax rate that weighed on GAAP net income, which fell 23.2% to $31.35 million. Looking ahead, Ormat guided 2026 total revenues of $1.11 billion to $1.16 billion with Adjusted EBITDA of $615 million to $645 million, supported by recently signed long-term power purchase agreements with Google and Switch, and a reaffirmed generating capacity target of 2.6 to 2.8 GW by end of 2028.

Key Takeaways
  • Energy Storage segment more than doubled revenues, benefiting from higher merchant pricing in the PJM market
  • Product segment revenues increased 59.1% in Q4 driven by timing of revenue recognition from manufacturing and construction progress
  • Blue Mountain power plant acquisition and improved Dixie Valley performance drove Electricity segment Q4 growth
  • Optimized portfolio mix between contracted and merchant revenues drove Energy Storage gross margin to 51.5% in Q4
  • New facilities reaching commercial operation including Bottleneck, Montague, Lower Rio, and Arrowleaf

“2025 marked a strong year for Ormat as we continued to execute on our long-term growth strategy and expand our portfolio. For the full year, revenue increased 12.5% to nearly $1.0 billion and Adjusted EBITDA improved 5.7%, driven primarily by higher contributions from our Energy Storage segment and improved performance from our Product segment. Our Energy Storage segment more than doubled revenues year-over-year, benefiting from higher merchant pricing in the PJM market and contributions from new facilities that reached commercial operation in 2024 and 2025. Importantly, the segment delivered strong margins in both the fourth quarter and full year, reflecting the success of our strategy to balance contracted revenues with merchant exposure to maximize profitability.”

Ormat Technologies CEO, on the earnings call

Forward Guidance & Outlook

For full year 2026, Ormat guided total revenues of $1,110 million to $1,160 million, with Electricity segment revenues of $715 million to $730 million, Product segment revenues of $300 million to $320 million, and Energy Storage revenues of $95 million to $110 million. Adjusted EBITDA is expected to be $615 million to $645 million. The company reiterated its generating capacity target of 2.6 to 2.8 GW by end of 2028, supported by favorable PPA pricing driven by AI and data center expansion, recently signed long-term PPAs with Google and Switch, and an expanded exploration program. Product segment backlog stands at approximately $352 million, including approximately $100 million related to the Topp 2 project expected to be recognized in Q1 2026.

ORA YoY Financials

Q4 2025 vs Q4 2024 · SEC filings Q4 2024 Q4 2025
$0$80.0M$160.0M$240.0M$230.7M$276.0MRevenue$73.6M$78.8MGross Profit$49.1M$43.0MOperating Income$40.8M$31.4MNet Income
$0$80.0M$160.0M$240.0MRevenueGross ProfitOperating IncomeNet Income

ORA Revenue by Segment

Electricity$186.6M+3.6%
Product$63.1M+59.1%
Energy Storage$26.3M+140.5%

Figures from SEC filings and company reports. Not investment advice.