DIRTT Environmental Solutions Ltd. reported a revenue of $168.9 million for the fiscal year ended December 31, 2025, marking a decrease of 3% from $174.3 million in 2024. The decline in revenue was attributed to higher-than-normal order delays due to macroeconomic uncertainties and job site readiness issues. The company's gross profit also fell to $55.4 million, or 32.8% of revenue, down from $64.4 million and 36.9% in the previous year. Adjusted gross profit decreased to $59.5 million, reflecting a similar trend, while the company incurred $6.8 million in tariff-related costs, significantly impacting profitability.
In terms of operational changes, DIRTT's customer base included 66 Construction Partners and 29 sales representatives across North America as of December 31, 2025. The company launched a new go-to-market channel called Construction Services in 2024, aimed at diversifying its customer profile and increasing volumes in smaller markets. The company also experienced a notable increase in its twelve-month forward pipeline, which rose by 20% year-over-year, indicating potential growth opportunities in the coming year.
DIRTT's strategic developments included the establishment of a transformation office in early 2025 to streamline processes and improve productivity. The company appointed Scott Robinson as Executive Chairman and Adrian Zarate as Chief Transformation Officer to lead these initiatives. Additionally, DIRTT entered into a financing agreement with the Business Development Bank of Canada for up to C$15 million to strengthen its balance sheet and support ongoing operations.
Despite these efforts, DIRTT reported a net loss of $14.4 million for 2025, compared to a net income of $14.8 million in 2024. The loss was primarily driven by increased operating expenses, including a significant rise in reorganization costs related to the transformation plan. The company also faced challenges from foreign exchange losses and impairment charges associated with the closure of its Rock Hill facility. Looking ahead, DIRTT anticipates continued focus on its transformation strategy and aims to leverage its growing pipeline to drive revenue growth in 2026.
About DIRTT ENVIRONMENTAL SOLUTIONS LTD
DIRTT designs and manufactures customizable, sustainable interior construction solutions using advanced digital tools and off-site manufacturing. Its core offerings include modular walls, doors, casework, and integrated systems for commercial spaces across North America. Combining speed, quality, and adaptability, DIRTT serves diverse industries with a focus on environmentally conscious, reconfigurable spaces that meet evolving client needs.
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