Spruce Power Reports 48% Revenue Growth to $33.2 Million in Q2 2025

Spruce Power Holding Corporation reported significant financial performance improvements in its latest quarterly filing, with revenues reaching $33.2 million for the three months ended June 30, 2025, a 48% increase from $22.5 million in the same period last year. For the first half of 2025, revenues totaled $57.1 million, up 40% from $40.8 million in the prior year. The company attributed this growth primarily to increased subscription-based service revenues from its solar energy systems, particularly from recent acquisitions, including the NJR Acquisitions, which contributed approximately $3 million in incremental service revenues and $5.9 million in solar renewable energy credit (SREC) revenues.

Despite the revenue growth, Spruce Power reported a net loss attributable to stockholders of $2.97 million for the second quarter, a notable improvement from a loss of $8.58 million in the same quarter of 2024. However, the net loss for the first half of 2025 increased to $18.3 million compared to $11 million in the previous year. The company’s operating expenses decreased slightly, with total operating expenses for the second quarter at $24.3 million, down from $25.8 million a year earlier, reflecting efficiencies in operations and maintenance costs.

In terms of operational metrics, Spruce Power's customer base expanded to approximately 85,000 home solar assets across 18 U.S. states, with an average remaining contract life of about 11 years. This represents an increase from 75,000 assets in the previous year. The company also reported a combined portfolio generation of approximately 187,000 MWh of power for the quarter, compared to 160,000 MWh in the same period last year. These figures indicate a growing market presence and operational capacity.

Strategically, Spruce Power has focused on enhancing its service offerings and expanding its market reach through acquisitions. The company completed the acquisition of additional solar energy systems as part of its ongoing NJR Acquisitions, which are expected to further bolster its revenue streams. Additionally, the company has initiated a share repurchase program, repurchasing 0.5 million shares in the second quarter, with $42 million remaining under the program for future buybacks.

Looking ahead, Spruce Power's management expressed optimism about its growth trajectory, emphasizing plans to refinance existing debt and continue expanding its solar energy portfolio. However, the company also acknowledged challenges, including the need for effective management of its debt obligations and the potential impact of market conditions on its operations. The company’s ability to maintain liquidity and secure financing for future acquisitions will be critical as it navigates these challenges.