Shoals Technologies Group announced its Q1, 2025 revenues, posting $80.4 million in revenue, beating Wall Street Consensus estimates by 7.8%. The stock’s share price rose about 20% in the trading day following the earnings call.
Shoals (Nasdaq: SHLS) is a provider of electrical balance of systems solutions and components, battery energy storage solutions and original equipment manufacturer components for the global energy transition market.
The company achieved gross margins of 35% in Q1, 2025. It increased total backlog of orders by 5% year-over-year to $645.1 million. Shoals said $500 million of its order backlog is scheduled for the next four quarters.
Shoals increased its cash and cash equivalents to $35.6 million, up from $23.5 million in the previous quarter. It reported a net loss of $300,000 in-quarter, falling from net income of $4.7 million in Q4, 2024.
The company’s stock fell roughly 50% over the past year and over 80% since its initial public offering in 2021.
“While volatility and uncertainty may dominate today’s headlines, the markets that we operate within are showing continued strength,” said Brandon Moss, chief executive officer, Shoals. “The underlying fundamentals of both our industry and business opportunities remain very positive. Projects are moving forward, and 2025 is shaping up to be a solid year.”
The company expects sequential quarterly growth in Q2 with $100 million to $110 million in revenues and $410 million to $450 million in revenues for the full year 2025. Shoals said its revenue guidance reflects near-term uncertainty in the utility-scale solar market, which has resulted in shifting order patterns.
Shoals said it has “limited direct exposure” to tariff impacts and a supply chain integrated with domestic partners. The company announced an $80 million expansion of its Tennessee manufacturing operations last year. The company also has a partnership with solar module manufacturer First Solar focused on U.S. domestic manufacturing.
As the company expands efforts in providing components for battery energy storage systems, it identified three paths to the market, including supplying traditional solar engineering, procurement and construction (EPC) firms, providers of prefabricated storage solutions, and datacenter owners and developers. The company said it secured projects with a “large hyperscaler and a large U.S. prefabricated storage solution provider.”
Shoals products and solutions include solar big lead assembly components, homeruns, interconnection and extension solutions, combiners and re-combiners, load break disconnects, wireless performance monitoring, battery energy storage systems, buildings solutions and custom junction boxes for solar manufacturers.
This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.
By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.
Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.
You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.
Further information on data privacy can be found in our Data Protection Policy.