Abstract
Enlight Renewable Energy Ltd. is scheduled to release its fourth-quarter and full-year 2025 results on February 17, 2026 Pre-Market; this preview summarizes last quarter’s performance, current-quarter forecasts, segment dynamics, and institutional views based on company disclosures and market expectations.
Market Forecast
For the to-be-reported quarter, current estimates point to revenue of $133.22 million, EBIT of $40.00 million, and EPS of $0.01, implying year-over-year growth of 60.51%, 43.10%, and 124.54%, respectively; margin guidance for the quarter has not been provided. The main business is expected to remain anchored by power sales from operating assets, with quarterly performance tied to commissioning timelines and operating days; near-term contributions from development activities depend on milestone recognition. The most promising growth avenue continues to be the buildout of large-scale storage-linked projects, with the company advancing U.S. and European storage assets that complement power sales; revenue growth at the segment level should track phased project commencements and execution progress.
Last Quarter Review
In the previous quarter, Enlight Renewable Energy Ltd. delivered revenue of $165.06 million (+50.74% year over year), a gross profit margin of 71.59%, GAAP net profit attributable to the parent company of $22.03 million, a net profit margin of 15.90%, and adjusted EPS of $0.16 (+33.33% year over year). A notable financial highlight was the quarter-on-quarter surge in net profit, which increased by 1,523.14%, reflecting operating leverage and portfolio-scale effects as assets contributed at high-margin levels. By business mix, power sales was the dominant revenue source at approximately 94.96% of the total, translating to about $156.74 million, while total revenue rose 50.74% year over year; management or development services approximated $5.06 million, facility operations $2.99 million, and construction services $0.27 million.
Current Quarter Outlook (with major analytical insights)
Core Power Sales Performance
The company’s core revenue engine remains electricity sales from its operating fleet, which provided about 94.96% of last quarter’s revenue, or approximately $156.74 million derived from the reported mix. The current quarter’s forecasted revenue of $133.22 million implies a sequential step-down from the prior quarter’s $165.06 million, a pattern that can reflect the timing of new assets entering service, seasonal resource patterns across the portfolio, and the allocation of operating days within the IFRS reporting calendar. With a last-quarter gross margin of 71.59%, the portfolio’s economics underscore a high-margin profile, and EBIT forecast of $40.00 million for the current quarter suggests sustained profitability despite the sequential revenue moderation, supported by long-term offtake agreements and operational scale. Net profit and net margin guidance are not provided for the quarter, though the previous period’s net profit margin of 15.90% offers a benchmark for assessing the interplay between revenue and earnings as the company navigates commissioning and maintenance schedules. Intra-quarter drivers to watch include the impact of new grid connections, resource availability across wind and solar assets, and any portfolio-level optimization that could influence the revenue mix and margin trajectory, especially given the company’s asset-level diversity across geographies and technologies. The quarter’s adjusted EPS estimate of $0.01 carries a high year-over-year growth rate due to the base effect, and the bridge from EBIT to EPS will hinge on non-operating items such as financing costs and any fair-value or accounting adjustments. Overall, revenue elasticity to newly energized capacity and stable cost discipline are set to define the quarter’s core power sales contribution to earnings.
Energy Storage and Hybrid Projects Pipeline
The company’s near- and medium-term earnings profile is increasingly shaped by its storage and hybrid solar-storage pipeline, with two visible developments in the current six-month window. On February 02, 2026, the company communicated that the CO Bar Complex in Arizona—encompassing approximately 1.2 GW of solar generation and 4.0 GWh of energy storage—has achieved its final development milestones and is moving into the execution phase. Within the same period, the company also announced a majority investment in Project Jupiter in Germany, a 2,000 MWh energy storage project paired with up to 150 MWp of solar capacity, backed by up to a 500 MW secured grid connection and targeting Ready to Build by late 2026. These updates signal a deepening of the storage footprint in both the U.S. and Europe and highlight the firm’s strategy to pair storage with renewables to enhance capacity value, grid services, and revenue stability across multiple markets. While large-scale projects typically contribute to revenue in phases—either through development and construction services or via recurring power sales once operational—the current quarter’s uplift will more likely reflect incremental development milestones rather than full-scale operating income from these assets. The EBIT estimate of $40.00 million for the quarter reflects stable operating economics, and the magnitude of potential upside from storage will depend on the pace of procurement, interconnection steps, and the scheduling of commissioning activities captured in subsequent periods. As these projects advance, their contribution to blended margins can be meaningful, given storage’s revenue adjacency to energy arbitrage, capacity payments, and ancillary services, which complements the core IPP revenue base without relying on broad market demand narratives.
Key Stock Price Drivers This Quarter
Share performance around the print is likely to respond to clarity on commissioning timelines, commentary on the phasing of storage project execution, and the cadence of capital deployment tied to late-stage assets. A second driver is management’s qualitative and quantitative framework for the 2026 pipeline, particularly how upcoming milestones will translate into realized revenue and EBIT over the next several quarters; investors will parse whether the strong year-over-year growth implied for the quarter is consistent with a durable run-rate into the first half of 2026. Financing discipline and the cost of capital are also central to the near-term equity narrative, as the path from EBIT to EPS depends on interest expense and any gains or losses linked to financial instruments; even though margin guidance is not provided, investors will focus on whether the last quarter’s 71.59% gross margin is sustainable as the asset mix evolves. Finally, disclosures related to the CO Bar Complex and Project Jupiter—such as procurement status, interconnection scheduling, and capex pacing—may shape sentiment, given their scale and potential to alter revenue visibility over the medium term through a combination of development milestones and post-COD power sales.
Analyst Opinions
Bullish views 100% (1/1): One notable institution has expressed a bullish stance in the current window. UBS maintained a Buy rating and raised its price target to $65 from $47, reflecting constructive expectations for the company’s execution and earnings trajectory. The recent transition of the CO Bar Complex in Arizona into the execution phase and the majority investment in Germany’s Project Jupiter serve as tangible milestones supporting a pipeline-led growth case; such developments can enhance medium-term visibility in both storage and power sales, underpinning confidence in revenue and EBIT expansion beyond the current quarter. From a near-term perspective, the forecasted revenue of $133.22 million (+60.51% year over year), EBIT of $40.00 million (+43.10% year over year), and EPS of $0.01 (+124.54% year over year) align with a narrative of continued growth, even as sequential dynamics adjust to the timing of asset energizations and operational days. Investors looking for validation will focus on whether management bridges these quarterly estimates to a consistent 2026 trajectory, with specific attention to construction progress, grid interconnection milestones, and updated commissioning schedules for late-stage projects. UBS’s upward target revision indicates that institutional views prioritize execution momentum and the potential for storage-linked earnings accretion, especially given the company’s ability to convert development milestones into either development revenue or recurring IPP cash flows as projects reach commercial operation. In sum, the institutional tilt is bullish, anchored by tangible project milestones and reinforced by near-term forecasts that anticipate double-digit year-over-year growth across revenue, EBIT, and EPS.