U.S.-based solar tracker and clean power technology company Nextpower reported record revenue of $1.11 billion in the second quarter (Q2) of fiscal year (FY) 2027, up 22.5% year-over-year (YoY) from $905.27 million, driven in part by strong demand for its solar tracker products. The revenue exceeded analysts’ expectations by $46.92 million.

Profit after tax (PAT) rose 12.7% YoY to $165.45 million from $146.86 million.

Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) increased 11.7% YoY to $249.71 million from $223.53 million.

Diluted earnings per share (EPS) increased to $1.08 from $0.97 in the corresponding quarter last year. Adjusted EPS of $1.31 exceeded analysts’ expectations by $0.21.

Nextpower attributed its quarterly performance to strong demand for its solar tracker products and increasing adoption of its energy storage and complementary technology offerings.

Daniel Shugar, Co-Founder and Chief Executive Officer, said non-tracker products accounted for approximately 22% of the company’s Q2 revenue.

The company’s energy storage business contributed approximately $100 million in revenue and more than $20 million in adjusted EBITDA during the quarter. The revenue also came from a behind-the-meter energy storage project for an AI data center operated by a major hyperscaler.

The company achieved record bookings in its foundation and eBOS businesses, with eBOS bookings over $100 million in the quarter.

The U.S. accounted for approximately 82% of Nextpower’s quarterly revenue. International revenue increased 25% quarter-over-quarter, compared with 17% growth in the company’s U.S. revenue.

In Q1 FY 2027, Nextpower reported a revenue of $935 million.

First Half Results

For the first half (1H) of FY 2027, Nextpower reported a revenue of $2.04 billion, up 15.5% YoY from $1.77 billion.

PAT rose 8.8% YoY to $330.81 million from $304.04 million.

Adjusted EBITDA increased 10% YoY to $482.26 million from $438.30 million.

Diluted EPS was $2.14, up from $2.01 in the same period last year.

Business Updates

Nextpower recorded its highest quarterly bookings, exceeding $1 billion, taking its order backlog to more than $6 billion.

The company completed its acquisition of Zimmermann PV-Steel Group for approximately €230 million (~$256.11 million). The company revised the transaction from the previously announced consideration of up to €330 million (~$367.45 million) to an all-cash deal without earnout payments.

The acquisition will expand Nextpower’s product portfolio to include fixed-tilt solar structures, agrivoltaics, and wire management solutions. Zimmermann has more than 20 GW of cumulative project experience and added 15 countries to Nextpower’s geographic footprint, taking its presence to 68 countries.

Nextpower expects Zimmermann to contribute approximately $100 million in revenue and $10 million in adjusted EBITDA during the remainder of FY 2027.

The company secured a 1.1 GW inverter framework agreement covering five projects and shipped its first Nextpower-branded power conversion systems to customers.

The company’s NX PowerMerge solution received a U.S. patent and entered commercial deployment at scale, with more than 2 GW in backlog.

During the quarter, the company also deployed NX Earth Truss foundations alongside NX Horizon trackers equipped with Hail Pro technology, demonstrating the integration of complementary products across its technology platform.

Shugar said the company’s energy storage technology could help data centers manage rapid fluctuations in electricity demand that conventional grid infrastructure and rotating generators may struggle to accommodate.

He added that the company’s Hybrid Power Stabilizer technology had completed full-scale testing at a major national laboratory.

Nextpower is also expanding its inverter manufacturing capabilities in the U.S. The company plans to invest approximately $40 million in capital expenditure over the next 12 months to establish domestic manufacturing operations.

Shugar highlighted that rising diesel, steel, freight, and logistics costs were affecting margins. However, its geographically distributed manufacturing network helped mitigate some of these pressures.

The company expects to absorb certain cost increases under existing long-term contracts while sharing additional costs with customers where feasible.

It expects to begin shipping products from the facility by the end of summer of 2027 and achieve more than 10 GW of annual manufacturing capacity by the end of calendar year 2027.

Outlook

Nextpower raised its revenue guidance for FY 2027 to between $4.2 billion and $4.45 billion from its previous forecast of $4.1 billion to $4.4 billion.

However, the company expects its inverter business expansion to impact its income statement by about $50 million, primarily through research and development and cost of goods sold.

The company raised its adjusted EBITDA guidance to $890 million to $940 million from $870 million to $930 million.

Its adjusted diluted EPS guidance was raised to $4.61-$4.87 from $4.42-$4.73.

Nextpower also plans to expand its energy storage offerings into European markets, including Germany and Spain, where increasing solar generation is creating demand for storage solutions. The company expects these opportunities to begin contributing revenue in FY 2028.