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Nov 4, 2026, 5:17 PM ETEnergy

Solaris Energy Infrastructure — Third Quarter 2026 Earnings Summary

SEISOLARIS ENERGY INFRASTRUCTURE INC
Source

Financial Performance

  • Total revenue for the three months ended September 30, 2026, was approximately $341 million, a 55% increase sequentially from Q2 2026 and a 104% increase year-over-year from Q3 2025 ($166.8 million).
  • Net income was $39 million, a 56% increase sequentially from Q2 2026 and a 58% increase year-over-year from Q3 2025 ($24.8 million).
  • Earnings per diluted Class A common share were $0.42 for Q3 2026, compared to $0.31 in Q3 2025.
  • Adjusted pro forma net income was $43 million, a 18% increase sequentially from Q2 2026, with adjusted pro forma earnings per fully diluted share of $0.45.
  • Adjusted EBITDA was approximately $136 million, a 26% increase sequentially from Q2 2026 and a 100% increase year-over-year from Q3 2025 ($68 million).
  • Adjusted EBITDA attributable to Solaris was approximately $138 million.
  • Cash and cash equivalents attributable to Solaris were $493.2 million as of September 30, 2026, up from $339.4 million as of December 31, 2025.
  • Debt attributable to Solaris was $2.4 billion as of September 30, 2026, up from $972.6 million as of December 31, 2025.

Guidance and Future Outlook

  • Raised fourth quarter 2026 Adjusted EBITDA guidance to $165–185 million from a previous range of $145–180 million.
  • Raised first quarter 2027 Adjusted EBITDA guidance to $220–260 million from a previous range of $200–240 million.
  • Management expects 2027 Adjusted EBITDA to be more than double 2026 levels, with further growth anticipated beyond that period.
  • Pro forma consolidated generation capacity is projected to reach approximately 3.5 GW in 2029.
  • Deployments under the new 900 MW power contract are expected to begin in the first half of 2027 and scale through 2028.

Business Segments and Product Lines

  • Solaris Power Solutions:
    • Revenue was approximately $284 million, up 79% sequentially from Q2 2026.
    • Segment Adjusted EBITDA was approximately $127 million, up 32% sequentially from Q2 2026.
    • Average capacity earning revenue was approximately 820 MW, a 14% decrease from Q2 2026 (950 MW) due to the planned release of temporary third-party generation in favor of owned capacity.
  • Solaris Logistics Solutions:
    • Revenue was $57 million, a 7% decrease sequentially from Q2 2026 due to lower last-mile transportation activity.
    • Segment Adjusted EBITDA was $24 million, a 3% decrease sequentially from Q2 2026.
  • New Contracts and Capacity:
    • Signed a new 15-year power contract (with an option to extend for 15 years) for approximately 900 MW with an existing investment-grade customer.
    • Secured an additional 200 MW of available generation capacity with equipment deployed ahead of OEM queues for 2027 contracts.
    • Signed a new 7-year operating and maintenance agreement for approximately 400 MW of capacity owned by an existing customer.
    • Total capacity under long-term contracts reached 3.2 GW, representing the third long-term contract signed with investment-grade counterparties year-to-date.

Market and Competitive Landscape

  • The company serves data centers, energy, and other commercial and industrial sectors.
  • Corporate credit ratings were reaffirmed by S&P Global Ratings (BB-), Moody's Ratings (Ba3), and Fitch Ratings (BB).
  • The company secured $1.5 billion in growth financing, including a $1.25 billion senior unsecured notes offering and $200 million in additional bank commitments.
  • Total revolving credit facility capacity is $850 million, currently undrawn.

Risks and Challenges

  • Forward-looking statements note risks including changes in tariffs, trade barriers, price and exchange controls, and regulatory requirements.
  • Risks include volatility in global oil markets, the success of the Stateline joint venture, and the impact of capital expenditures on performance.
  • Actual results may differ materially from forward-looking statements due to inherent uncertainties and risks detailed in the company's SEC filings.

Management Commentary and Tone

  • Chairman and Co-CEO Bill Zartler and Co-CEO Amanda Brock stated that the company's transformation into a comprehensive power infrastructure solutions provider is driving record results and positioning Solaris for significant long-term value creation.
  • Management highlighted that quarterly Adjusted EBITDA has more than doubled over the last year.
  • Executives expressed confidence in strong execution across the business, citing the signing of the largest and longest power contract to date as a key driver for raising guidance.

Other Key Points

  • The Board of Directors approved a fourth quarter 2026 dividend of $0.12 per share, payable on December 18, 2026, marking the 33rd consecutive dividend.
  • Capital expenditures for the three months ended September 30, 2026, totaled $547.2 million, with $542.4 million attributed to Solaris Power Solutions.
  • The company completed a $1.25 billion senior unsecured notes offering and secured $200 million in additional bank commitments to strengthen its balance sheet.
  • A conference call to discuss results was scheduled for November 5, 2026.