Shoals Technologies Group (NASDAQ:SHLS) reported fourth-quarter revenue that surpassed Wall Street forecasts, fueled by a record backlog and a significant pivot into the battery energy storage (BESS) market.
The company posted revenue of $148.3 million for the quarter, a 39% increase year-over-year and comfortably ahead of the $144 million anticipated by analysts.
However, profitability remained under pressure; adjusted earnings of $0.10 per share missed the consensus estimate of $0.14.
For the full year 2025, Shoals reported total revenue of $475.3 million and a net profit of $33.6 million ($0.20 per share).
Despite the earnings miss, the company’s forward-looking indicators showed notable strength.
Shoals ended the year with record Backlog and Awarded Orders (BLAO) of $747.6 million, an 18% increase from the previous year.
Notably, $67 million of that backlog is now attributed to its BESS offerings, a key diversification play as the company seeks to reduce its sensitivity to broader solar market volatility.