Stem Q4 revenue down 15% on reduced battery hardware sales

Stem

04/03/2026 21:34

Overview

Clean energy software firm's Q4 revenue fell 15% yr/yr due to reduced battery hardware sales

Software, services, and edge hardware revenue rose 62% yr/yr in Q4 2025

Company achieved first-ever full year positive adjusted EBITDA of $6.7 mln

Outlook

Stem targets 85% growth in adjusted EBITDA for 2026

Company expects 2026 revenue between $140 mln and $190 mln

Stem forecasts 10% ARR growth in 2026

Result Drivers

COST MANAGEMENT - Reduced operating expenses and improved profitability from cost management initiatives

Company press release: ID:nBw6fJrqta

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Beat
$47.20 mln
$38.60 mln (2 Analysts)
Q4 Net Income
-$16 mln
Q4 Adjusted EBITDA
$5.50 mln
Q4 Gross Margin
49.00%
Q4 Adjusted Gross Margin
45.00%
Q4 Order Backlog
$21.30 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 7 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the renewable energy equipment & services peer group is "buy."

Wall Street's median 12-month price target for Stem Inc is $18.00, about 89.5% above its March 3 closing price of $9.50

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)