Orion Energy Q2 revenue rises on higher lighting projects 

By Reuters News


Overview

  • US LED lighting and EV charging provider's fiscal Q2 revenue rose 9% yr/yr to $21.7 mln

  • Gross margin fell to 28.7% from 31.0% due to segment mix shift

  • Company reiterated FY 2027 revenue guidance of $100 mln to $102 mln, expects strong H2


Outlook

  • Orion expects FY'27 revenue between $100 mln and $102 mln

  • Company maintains outlook for positive adjusted EBITDA for FY'27

  • Orion anticipates a strong second half with significant project deliveries in Q3 and Q4


Result Drivers

  • LED LIGHTING PROJECTS - Co said higher LED lighting revenue was driven by increased large project activity

  • EV CHARGING REVENUE DECLINE - Co attributed lower EV charging revenue to timing variability and U.S. market uncertainty over project funding

  • GROSS MARGIN PRESSURE - Co said lower gross margin was primarily due to a mix shift in the lighting segment


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q2 Loss Per Share

$0.20

Q2 Net Loss

$800,000

Q2 Adjusted EBITDA

Miss

$0

$1.50 mln (1 Analyst)

Q2 Gross Profit

$6.20 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the construction supplies & fixtures peer group is "buy"

  • Wall Street's median 12-month price target for Orion Energy Systems Inc is $30.00, about 57.9% above its November 4 closing price of $19.00

  • The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 14 three months ago


Reuters Recommended Reads

  • Nov 4 - Sweden's Orron Energy returns to positive EBITDA in Q3

  • Nov 4 - FTC Solar Q3 revenue slightly beats estimates on project wins

  • Nov 4 - SolarEdge Q3 revenue slightly misses estimates on soft demand


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.)

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