Ameresco Reports 9.1% Revenue Growth in Q2 2026, Net Income Declines

Ameresco, Inc. reported its financial results for the second quarter of 2026, revealing a revenue increase of 9.1% to $515.5 million compared to $472.3 million in the same period last year. For the first half of 2026, total revenues reached $916.9 million, an 11.1% increase from $825.1 million in the prior year. The company achieved a gross profit of $91.3 million for the quarter, up 24.5% from $73.4 million, while operating income rose significantly by 59% to $44.2 million. However, net income attributable to common shareholders decreased to $9.7 million, or $0.18 per share, down from $12.9 million, or $0.24 per share, in the previous year.

The financial performance reflects a strategic shift in project revenues, particularly in the U.S. Federal and Europe segments, which saw increased activity and revenue recognition based on project costs incurred. The company also noted a 21% increase in energy asset revenue and a 29% rise in operations and maintenance revenue, attributed to new long-term contracts. However, the overall net income was impacted by higher interest expenses, which rose by 24% to $26.4 million, and a significant increase in selling, general, and administrative expenses, which totaled $47.6 million.

In terms of operational developments, Ameresco's backlog as of June 30, 2026, stood at $6.7 billion, a notable increase from $5.1 billion a year earlier. This includes a fully-contracted backlog of $2.3 billion and awarded but not yet signed contracts valued at $4.4 billion. The company also reported a significant joint venture transaction with HA Sustainable Infrastructure Capital, forming Neogenyx Fuels LLC, which is expected to enhance its renewable energy capabilities and financial position.

Ameresco's total assets increased to $4.8 billion as of June 30, 2026, compared to $4.5 billion at the end of 2025, driven by growth in energy assets and cash reserves. The company reported cash and cash equivalents of $138.3 million, up from $71.8 million at the end of the previous year. The company’s employee headcount remained stable, reflecting its focus on maintaining operational efficiency amid growth.

Looking ahead, Ameresco anticipates continued growth driven by increasing demand for energy efficiency and renewable energy solutions, despite challenges posed by global supply chain disruptions and inflationary pressures. The company remains committed to leveraging its backlog and strategic partnerships to enhance its market position and deliver value to shareholders.