Array Technologies increased the share of domestic orders in its orderbook at the end of 2024
Most of this capacity is to be realized as revenues in 2025
Management guides for Q1 2025 revenues to range between $260 million and $270 million
US-based utility-scale solar tracker manufacturer Array Technologies exited fiscal year 2024 with a $2 billion orderbook, representing a 10% year-on-year (YoY) growth.
Its OmniTrack product was 10% of 2024 revenues and represents 30% of the orderbook, according to Jeff Osborne of TD Cowen, who pointed out that the company’s orderbook has effectively been flat for the past 3 quarters. “This implies another quarter with a book-to-bill ratio of around 1:1, given Array recognized $275.2mn in revenue for 4Q24,” added Osborne.
According to ROTH analyst Philip Shen, Array’s domestic portion went up by 20% with more than 50% of the orders to be realized as revenues in 2025. The management also expects to book additional DG projects over the next few quarters of 2025.
Meanwhile, the company met its guidance achieving $275.2 million in Q4 2024 revenues, even though it suffered a net loss of $141.2 million.
For FY2024, its total revenues of $915.8 million were within the guided range and a gross margin of 32.5%, a record according to the management. Net loss for the year was reported at $296.1 million. Its adjusted EBITDA was $173.6 million.
Nevertheless, Array CEO Kevin Hostetler admitted to challenges in the market with permitting and interconnection delays, shortage of high-voltage circuit breakers and transformers, and labor constraints as these impact project timelines in the US market.
He added, “In Europe, we anticipate modest growth in 2025 as we are well positioned to capture additional market share. However, in Brazil, macro factors such as currency devaluation, volatile interest rates, and newly introduced tariffs on solar components have impacted growth. For 2025, at the midpoint of our guidance, ARRAY expects to deliver over 20% year-over-year revenue growth.”
For Q1 2025, it guides for a revenue range of $260 million to $270 million range and an adjusted EBITDA margin of 11% to 13%. Array expects its annual revenues for FY2025 to fall within $1.05 billion and $1.15 billion. Adjusted EBITDA for the entire year will likely be between $180 million and $200 million.
Array sees increasing demand from emerging international markets for large solar projects fueling its growth beyond 2025.
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