• Revenue: $20.8 million, a 58% increase from the prior quarter and a 65% increase from the year-ago quarter.
• GAAP Gross Loss: $3.4 million or 16.6% of revenue, compared to $3.8 million or 29.1% of revenue in the prior quarter.
• Non-GAAP Gross Loss: $3 million or 14.4% of revenue, compared to $3.4 million or 25.6% of revenue in the prior quarter.
• GAAP Operating Expenses: $7.1 million.
• Non-GAAP Operating Expenses: $6.6 million, down from $8.7 million in the same quarter last year and $7.4 million in the prior quarter.
• GAAP Net Loss: $3.8 million or $0.58 per diluted share, compared to a loss of $12.2 million or $0.96 per diluted share in the prior quarter.
• Adjusted EBITDA Loss: $9.8 million, compared to losses of $9.8 million in the prior quarter and $10.7 million in the year-ago quarter.
• Contracted Backlog: $482 million.
• Cash: Ended the quarter with $5.9 million, excluding up to $10 million to $15 million from the upsizing of notes offering expected to close in Q2.

• Warning! GuruFocus has detected 6 Warning Signs with FTCI.

Release Date: May 01, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• FTC Solar Inc (NASDAQ:FTCI) added multiples of its current annual revenue run rate to its backlog, signing agreements totaling more than 6.5 gigawatts with Tier 1 accounts.
• The company has introduced a new 1P solution, Pioneer, which has been greatly expanded and includes high wind offerings and compatibility with a wide range of modules.
• FTC Solar Inc (NASDAQ:FTCI) reported a 58% increase in revenue compared to the prior quarter, exceeding the high end of their guidance range.
• The company has reduced its operating expenses for the sixth consecutive quarter, achieving its lowest level since 2020.
• FTC Solar Inc (NASDAQ:FTCI) has a contracted backlog of $482 million, indicating strong future revenue potential.

Negative Points

• FTC Solar Inc (NASDAQ:FTCI) reported a GAAP gross loss of $3.4 million, representing 16.6% of revenue.
• The company faces uncertainties in the market due to tariffs, duties, and changes to permitting processes, which could impact project timelines.
• Despite improvements, FTC Solar Inc (NASDAQ:FTCI) still has a long way to go to achieve its desired revenue levels.
• The company is experiencing a non-GAAP gross loss, which was $3 million or 14.4% of revenue.
• FTC Solar Inc (NASDAQ:FTCI) ended the quarter with a cash balance of $5.9 million, which may be considered low given the scale of operations.

Q & A Highlights

Q: Can you explain FTC Solar's exposure to tariffs on imported components? A: Yann Brandt, President and CEO, stated that while there are imported items subject to tariffs, FTC Solar has a diversified supply chain to mitigate this. Most tariffs are contractually passed through to customers, minimizing the impact on the company.

Q: Have recent AD/CVD cases affected module configurations in your backlog? A: Yann Brandt noted that the supply chain anticipated the AD/CVD results, so there hasn't been a direct impact. Projects often design systems with multiple module options, and the company remains flexible to accommodate changes.

Q: What percentage of your pipeline might be on hold due to tariff uncertainties? A: Yann Brandt explained that while most of the pipeline is progressing, some projects are waiting for tariff clarity. The company maintains operational flexibility to align with customer needs and potential tariff changes.

Q: Are you seeing a slowdown in project development due to tariff uncertainties? A: Yann Brandt stated that development activity hasn't slowed, but negotiations between offtakers and project owners are paused due to tariff and energy market uncertainties. However, project developments continue, with active participation from corporate and utility offtakers.

Q: What drives your expectations for positive adjusted EBITDA by year-end despite uncertainties? A: Yann Brandt highlighted that FTC Solar is at an inflection point, with increased market share and a compelling product offering. The company anticipates growth from taking market share and the changing landscape of tracker providers.

For the complete transcript of the earnings call, please refer to the full earnings call transcript.