Tigo Energy Q3 revenue misses on reduced subsidies

Overview

• US solar solutions provider's Q3 revenue fell 21.5% yr/yr, missing analyst expectations

• Company posted GAAP net income of $0.4 mln versus a loss a year ago

• Q3 revenue decline driven by slow Europe recovery and U.S. tax credit expiration

Outlook

• Tigo sees Q4 revenue between $20 mln and $22 mln

• Company expects Q4 adjusted EBITDA (loss) between $(3.0) mln and $(1.5) mln

• Tigo updates 2026 revenue outlook to $95 mln to $97 mln

Result Drivers

• EUROPEAN MARKET RECOVERY - Co said revenue in EMEA declined 14.8% yr/yr as market adjusts to reduced subsidies

• US TAX CREDIT EXPIRATION - Co said US revenue fell 51.4% yr/yr as market adjusts to expiration of IRS Section 25D tax credit

• GO ESS SALES SLOWDOWN - Co said GO ESS revenue declined 58.6% yr/yr due to lower sales volumes in U.S. and Italy

Company press release:

Key Details

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 semiconductors peer group is "buy"

• Wall Street's median 12-month price target for Tigo Energy, Inc. is $3.50, about 282.4% above its November 3 closing price of $0.92

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(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.)