FTC Solar Reports 30.8% Revenue Growth in Q2 2026, Completes Acquisition of Alpha Steel

FTC Solar, Inc. reported its financial results for the second quarter of 2026, revealing a total revenue of $26.2 million, a 30.8% increase from $20.0 million in the same period last year. The growth was primarily driven by a 41.2% rise in product revenue, which reached $22.4 million, while service revenue decreased by 9.1% to $3.8 million. Despite the revenue increase, the company experienced a gross loss of $2.2 million, an improvement from a gross loss of $3.9 million in the prior year, indicating a narrowing of losses as operational efficiencies were realized.

Comparatively, the first half of 2026 saw total revenue of $43.4 million, up from $40.8 million in the first half of 2025. Product revenue remained stable at $34.2 million, while service revenue surged by 37.6% to $9.3 million. The gross loss for the six-month period was $3.5 million, significantly better than the $7.4 million loss reported in the same timeframe last year. The company attributed these changes to improved project execution and a favorable product mix, although it still faced challenges related to rising costs and market conditions.

In terms of strategic developments, FTC Solar completed the acquisition of Alpha Steel, which has enhanced its manufacturing capabilities and allowed for greater control over production costs. The company also established an equity line of credit with Lincoln Park Capital Fund, allowing for up to $20 million in funding to support ongoing operations and growth initiatives. As of June 30, 2026, FTC Solar had unrestricted cash of $10.1 million, down from $21.1 million at the end of 2025, and a working capital deficit of $7.9 million.

Operationally, FTC Solar reported a significant increase in the number of megawatts (MW) produced, which rose by 56% compared to the previous year, although the average selling price (ASP) for products decreased by 10%. The company also noted a shift in its customer base, with a focus on expanding its geographic reach and increasing market share in emerging markets. Employee headcount increased as the company sought to bolster its capabilities in response to growing project demands.

Looking ahead, FTC Solar expressed caution regarding its ability to meet financial covenants under its credit agreement, particularly concerning minimum cash requirements and revenue targets. The company is actively working to enhance its liquidity position and is focused on improving operational efficiencies to navigate the challenges posed by market conditions and regulatory changes. The management remains optimistic about future growth driven by increased project activity and the ongoing demand for solar energy solutions.