Total Revenue

+25.5% (from $736.52M to $924.34M)

Revenue expanded strongly driven by increased sales activity and growth initiatives, building on improvements seen in previous periods; the higher total revenue evidences enhanced project execution and market penetration. " "

U.S. Revenue

U.S. revenue of $607.89M representing 65.8% of total revenue

The U.S. contribution shifted relative to prior results where a higher percentage of revenue might have come from the U.S.; this indicates a strategic move towards geographic diversification, with international markets playing a larger role in the revenue mix. " " "

Operating Income

-27.8% (from $270.67M to $195.31M)

Operating income declined significantly despite higher revenue, reflecting increased cost pressures and rising SG&A or R&D expenses that outpaced revenues; this suggests that while top-line growth was strong, increased operating costs and margin compression adversely affected profitability. " "

Net Income attributable to Nextracker Inc.

-23.6% (from $205.16M to $156.79M)

Net income fell in parallel with operating income, with the decline driven by higher expenses and potential tax or non-operating impacts that reduced bottom-line profitability compared to the prior period’s stronger performance. " "

Gross Margin

Contracted from 46.3% to 33.1%

Gross margin compression indicates cost increases that outstripped revenue gains, likely due to higher input costs, increased investments, and a changing product or geographic mix compared to Q4 2024, demonstrating that rising operational costs hurt overall margin performance. " "

Revenue

FY 2026

$2.8B–$2.9B "

$3.2B–$3.4B "

raised

Adjusted EBITDA

FY 2026

$700M–$740M "

$700M–$775M "

raised

Adjusted Diluted EPS

FY 2026

$3.75–$3.95 per share "

$3.65–$4.03 "

no change

Free Cash Flow

FY 2026

no prior guidance

Exceeds $450M "

no prior guidance

CapEx

FY 2026

no prior guidance

Approximately $100M "

no prior guidance

OpEx

FY 2026

no prior guidance

Increase as a percentage of revenue by 100 bps "

no prior guidance

Structural Gross Margins

FY 2026

Low 30% range "

Remain in the low 30s "

no change

Cash Position

FY 2026

no prior guidance

Over $1B in cash "

no prior guidance

Robust Backlog Growth and Revenue Visibility

Mentioned consistently across Q1 " " " , Q2 " " " " and Q3 " " " " " " with strong numbers (e.g. backlog over $4.5B, increasing project pipeline)

Q4 2025 emphasized “robust backlog growth” with record revenue of $924 million and expansion into 17 international markets. " " " " "

Consistent strength with increasing absolute figures. The language remains bullish with enhanced international diversification and visibility into FY ’26. " " "

Record Bookings and Pipeline Strength

Q1 " " " , Q2 " " , and Q3 " " " " detailed record bookings, high international exposure (e.g. bookings in both U.S. and Rest of World) and confirmed healthy pipeline performance

Q4 2025 reported record bookings and sequential backlog growth supported by global contracts in 17 countries. " "

Sustained momentum with record levels maintained. The Q4 call bolsters prior strong performance with further evidence of global pipeline expansion. " "

Strategic Acquisitions and Integration Challenges

Q1 2025 discussed acquisitions of Ojjo and Solar Pile International with detailed integration rationale and validation " " " ; Q2 2025 mentioned Foundation business acquisitions on track. " Q3 2025 did not mention this topic.

Q4 2025 provided enhanced discussion on acquisitions—highlighting the Bentek Corporation deal and additional transactions with an explicit mention of integration challenges and an expected 100 basis point increase in OpEx in FY26. " " " "

Greater emphasis in Q4 with new acquisitions and acknowledged integration challenges compared to previous periods. The focus on platform expansion marks a strategic evolution from a pure-play tracker company. " " "

Policy, Tax, and Regulatory Environment

Q1 2025 described domestic content strategies aligned with the IRA and detailed FERC/grid-enhancing tech " " " " " ; Q2 2025 discussed U.S. election impacts and 45x tax credits " " " " ; Q3 2025 had limited mention with safe harbor elements. " "

Q4 2025 emphasized uncertainties with a newly published Republican tax bill affecting project timelines, but noted that immediate impacts are limited and Tier 1 developers are proactively mitigating risk. " " "

Consistent attention to policy risks, but Q4 shows a shift toward near-term tax policy uncertainties while reaffirming long-term resilience. The narrative evolved to address a new tax bill while still leveraging safe harbor strategies. " " "

Technology and Software Innovation

Q2 2025 highlighted TrueCapture and increased R&D investments, securing over 600 patents " " ; Q3 2025 focused on new products like Hail Pro-75, XTR, and TrueCapture along with strategic partnerships " " " " ; Q1 2025 had only peripheral mention via grid-enhancing and AgriPV solutions. " "

Q4 2025 expanded the narrative with a record 1,220 patents, robust organic R&D, and the integration of the Bentek Corporation to broaden the technology platform. " " "

Increasing emphasis on innovation. While technology has been a recurring theme, Q4 underscores investment in patents and acquisitions to build a full solar power platform, indicating elevated importance for future competitiveness. " " "

Margin Compression and Operating Expense Pressures

Q1 2025 indirectly addressed rising supply chain/logistics costs affecting margins " " ; Q2 detailed high margins boosted by TrueCapture and 45x credits with expectations of future compression " " ; Q3 described strong Q3 margins at 36% with anticipated moderation due to international mix. "

Q4 2025 reported a Q4 adjusted EBITDA margin of 26% (a 52% YoY increase) but with a 260 basis point drop in gross margin from Q3, and announced plans to raise OpEx by 100 basis points in FY26 to support growth initiatives. " "

Transition from robust margins to anticipated compression. Earlier periods boasted high margins, but Q4 shows proactive investment to support growth even as margin pressure mounts, suggesting a strategic trade-off for long‑term positioning. " "

International Market Dynamics and Lower Margin Risks

Q1 2025 described a revenue mix of roughly 71% U.S. to 29% international with expectation of a shift to 67/33, as well as lower margins internationally " " " ; Q2 emphasized strong growth in global demand and referenced competitive, lower-cost markets " " " " ; Q3 noted strong international pipeline but with lower margins and large project impacts. " " " "

Q4 2025 pointed to a continued healthy international performance with contracts in 17 countries, acknowledging that international projects typically carry lower margins, yet remain key to overall growth. " "

Consistent global expansion despite inherent margin challenges. The trend remains steady with a modest shift toward a higher international mix, balanced by strategic pricing and strong domestic performance to mitigate lower-margin risks. " "

Project Cycle Delays and Revenue Recognition Uncertainty

Q1 2025 discussed lengthening project life cycles due to permitting and interconnection delays and noted that 80% of the backlog should be recognized over 8 quarters " " ; Q2 highlighted variability of project schedules and the lag between hardware delivery and TrueCapture revenue recognition " " " ; Q3 mentioned stable project timing on a portfolio basis. "

Q4 2025 emphasized that overall project timing was stable on a portfolio basis, with typical quarter-to-quarter variability effectively managed by a strong backlog, thereby reducing revenue recognition uncertainty. " "

Improved portfolio stability over time. While earlier periods faced concerns over longer project cycles and revenue recognition lags, Q4’s message is more reassuring with stable project timing and strong backlog visibility. " "

Tariff Exposure and Supply Chain Cost Risks

Q1 2025 provided a detailed discussion on AD/CVD issues and increased supply chain costs driven by higher shipping rates and logistics volatility, with mitigation through reshoring and tax credits " " " ; Q2 had no mention; Q3 emphasized a robust and flexible supply chain with strong U.S. and global positioning. "

Q4 2025 reiterated a prudent outlook on tariff exposure while highlighting a flexible supply chain comprising over 90 manufacturing sites in 19 countries, which mitigates cost risks. " " "

Persistent concerns effectively managed over time. The topic has evolved from detailed cost risk management in Q1 to a more confident positioning in Q4, showing that risk mitigation strategies (e.g. flexible supply chains and domestic manufacturing) have matured. " " "