By Kelly Cloonan

Shares of Shoals Technologies Group fell after the company's fourth-quarter adjusted earnings per share came in below Wall Street's estimates, due in part by tariff costs that didn't exist a year earlier.

The stock fell 26% to $7.35 on Tuesday. Shares are up 70% in the last year.

The electrical infrastructure solutions manufacturer posted a profit of $8.1 million, or 5 cents a share, compared with $7.8 million, or 5 cents a share, a year earlier.

Adjusted earnings per share were 10 cents, compared with estimates of 14 cents a share according to analysts polled by FactSet.

Profit was dented by increased material costs and $3.3 million in duties and tariffs in the quarter, the company said.

Revenue climbed 39% to $148.3 million, compared with analyst estimates of $144.9 million. The increase was driven by rising sales volumes from higher demand of products to meet utility-scale solar project demands.

Chief Executive Brandon Moss said a rapidly shifting political climate brought some volatility in last year. However, a massive increase in demand for energy through the rest of the decade supports strong trends for the company's business.

"We enter 2026 with a strong order book and resilient underlying market demand," Moss said.

For the full year, the company guided for revenue of $560 million to $600 million. Analysts forecast $556.4 million.

Write to Kelly Cloonan at kelly.cloonan@wsj.com

(END) Dow Jones Newswires

February 24, 2026 11:44 ET (16:44 GMT)

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