FTC Solar (NASDAQ:FTCI) reported second-quarter revenue at the high end of its guidance range and reaffirmed its expectation for at least 40% revenue growth in 2026, as the solar-tracker company seeks to convert expanded customer approvals into larger project wins.
Revenue for the second quarter was $26.2 million, up 51.5% sequentially and 30.8% from the prior-year quarter, Chief Financial Officer Cathy Behnen said during the company’s earnings call. The company guided for third-quarter revenue of $30 million to $35 million and said it expects sequential growth through the rest of the year.
New Project Awards and Customer Approvals
Carroll said FTC Solar has secured approved-vendor-list, or AVL, status with nine of the 10 largest engineering, procurement and construction firms, or EPCs. Since the prior earnings call, the company also has been added to the AVLs of five additional large EPCs and six large developers, he said.
The company recently received a 400-megawatt purchase order from a top-five EPC for a new 1P project serving a top-five U.S. developer, Carroll said. FTC Solar also received a roughly 100-megawatt 1P order on the East Coast from a developer that had previously been a customer for its 2P products.
Carroll said the company expects to add more projects involving two new customers from its top-10 customer list by year-end. He cited customer interest in supplier diversification and described the company’s installation advantages as a factor in its sales efforts.
“When our solution, which customers describe as easier and faster to install, enables a crew to finish an installation up to 40% faster and move on to the next project sooner, that translates directly into higher profitability for them,” Carroll said.
FTC Solar said it has booked close to $60 million per quarter in aggregate over the past three quarters and is seeking to increase that figure materially. Carroll did not provide 2027 revenue guidance but said management is confident that bookings can remain elevated as the company pursues a larger volume of bids and expands geographically.
International Expansion
International markets are becoming a larger part of FTC Solar’s growth plan. The company announced a new approximately 90-megawatt project win in Australia, with deliveries expected during the second half of 2026. It also expects to begin deliveries on a more than 330-megawatt Australian project in the second half after receiving a notice to proceed in the second quarter. That project was initially announced in March 2025, but its timeline was revised.
Carroll also said FTC Solar has entered India and has won multiple initial projects there, ranging from pilot projects to projects exceeding 100 megawatts. Shipments in the region have been ongoing during 2026, he said.
The company is also adding sales and customer-support personnel while using software and artificial intelligence tools to improve its bidding processes and other operational workflows. Carroll said the company has implemented targeted labor and non-labor cost-saving measures that are expected to more than offset strategic hiring.
Margins, Losses and Liquidity
Despite revenue growth, FTC Solar continued to report gross and operating losses in the quarter. GAAP gross loss was $2.2 million, or 8.5% of revenue, compared with a $1.2 million gross loss in the first quarter. Non-GAAP gross loss was $1.3 million, or 5.1% of revenue, compared with a $0.4 million non-GAAP gross loss in the prior quarter.
GAAP operating expenses totaled $11.5 million, while non-GAAP operating expenses were $8.5 million, in line with the company’s target range. Adjusted EBITDA loss was $9.8 million, within guidance. GAAP net loss was $27.1 million, or $1.69 per diluted share; Behnen said the result included a non-cash quarterly adjustment related to the fair value of warrants.
For the third quarter, FTC Solar forecast non-GAAP gross profit ranging from a loss of $0.9 million to a profit of $1.8 million. It forecast non-GAAP operating expenses of $7.7 million to $8.3 million and an adjusted EBITDA loss of $9.3 million to $6 million.
Management said margin performance should improve as volume increases, aided by supply-chain initiatives, larger projects with more predictable margins, and internal efficiency efforts. Carroll said he expects some of those improvements to begin affecting financial results in the fourth quarter.
The company ended the second quarter with approximately $11.2 million in cash. Behnen said the balance was below the $15 million minimum unrestricted-cash covenant in its credit agreement, and FTC Solar also did not meet its required minimum direct-margin covenant for the quarter. Lenders granted waivers for the second-quarter covenant breaches, meaning the debt was not callable, though all outstanding borrowings were classified as current as of June 30 because of the accounting treatment.
After quarter-end, FTC Solar established an equity line of credit with an institutional investor with a maximum aggregate value of $20 million. The facility had not been used as of the call. Behnen said the company believes the facility, expected revenue growth and working-capital initiatives provide multiple options to support liquidity needs.
Robotics Initiative
FTC Solar is also pursuing construction automation opportunities. The company hosted its first robotics day at its Austin training facility last month, bringing together more than 100 attendees from robotics companies, EPCs, developers and technology partners, Carroll said.
The event included demonstrations involving module installation, fastening, pile installation, quality control and material handling. Carroll said the company has generated test and pilot results and expects robotic technologies to begin operating on commercial projects with real-world data in the future.
“The industry needs faster, safer, and more automated processes to reduce install costs and support continued growth,” Carroll said.
About FTC Solar (NASDAQ:FTCI)
FTC Solar, Inc (NASDAQ:FTCI) specializes in the design, manufacturing and deployment of solar tracker systems for utility-scale photovoltaic power plants. The company’s tracker solutions are engineered to follow the sun’s path and optimize energy capture, helping customers maximize the performance of their solar assets. In addition to its core mechanical tracker products, FTC Solar offers advanced supervisory control and data acquisition (SCADA) software that enables remote monitoring, predictive maintenance and performance analytics.
Headquartered in Austin, Texas, FTC Solar supports large-scale solar projects across multiple regions, including North America, Latin America, Europe and the Middle East.
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