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Image source: The Motley Fool. Wednesday, August 5, 2026 at 5:00 p.m. ET Senior Director of Investor Relations - Sarah Sheppard Chief Executive Officer - Kevin Hostetler President and Chief Operating Officer - Neil Manning Executive Vice President and Chief Financial Officer - Keith Jennings Operator: Good afternoon, ladies and gentlemen, and welcome to Array Technologies' Second Quarter 2026 Earnings Conference Call. [Operator Instructions] This call is being recorded on Wednesday, August 5, 2026. I would now like to turn the conference over to Sarah Sheppard, Senior Director of Investor Relations. Please go ahead. Sarah Sheppard: Thank you. I would like to welcome everyone to Array Technologies' Second Quarter 2026 Earnings Conference Call. I am joined on this call by Kevin Hostetler, our CEO, Keith Jennings, our CFO, and Neil Manning, our President and COO. Today's call is being webcast via our Investor Relations site at ir.arraytechinc.com, where the related presentation and press release are also available. Today's discussion of financial results includes non-GAAP measures. A reconciliation of GAAP to non-GAAP financial measures can be found in the related presentation and on our website. We encourage you to visit our website at arraytechinc.com for the most current information on our company. As a reminder, the matters we are discussing today include forward-looking statements regarding market demand and supply, our expected results, and other matters. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from statements made on this call. We refer you to the periodic reports we file with the SEC for a discussion of risks that may affect our future results. Although we believe the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance, or achievements. We are under no duty to update any of these forward-looking statements to conform these statements to actual results, except as required by law. I'll now turn the call over to Kevin. Kevin Hostetler: Thank you, Sarah. Good afternoon, everyone, and thank you for joining us. I'll begin with second quarter highlights and recent business updates. I'll then pass it to Neil and Keith to cover our innovation updates and financial performance. Let's begin on slide 4 with a brief discussion of our financial performance for the quarter. Q2 was a quarter of exceptional momentum across every key metric on the page. Revenue came in at $342 million, up 53% versus the first quarter, driven by 38% tracker volume growth and substantial sequential growth within our APA business as project activity accelerated. That top line strength flowed through to profitability. Adjusted gross profit was $105 million, up 53% sequentially versus the first quarter, with an adjusted gross margin of 30.8%. Our year-to-date figure also stands at an impressive 30.8%, reflecting strong first-half execution. We also achieved adjusted EBITDA of $63 million, more than doubling the first quarter, with adjusted EBITDA margins also improving 560 basis points sequentially, coming in over 18%. On the bottom line, we delivered net income of $8 million and adjusted net income of $37 million, an increase of nearly $30 million versus the first quarter. Our traction on new products and our continued commercial, supply chain, and operational execution give us real confidence in our profitability trajectory for the balance of the year. Finally, as a continuing proof point of our strong commercial momentum, I'm pleased to report we achieved a third consecutive record order book this quarter of $2.5 billion, up 37% versus the same period last year, with over $500 million of new bookings in the quarter, roughly half of which came from our Tier 1 customers, including several projects greater than 500 megawatts. This brings our 12-month trailing book-to-bill ratio to an impressive 1.5x with over $1.8 billion of new bookings. I'll now turn to slide 5 to discuss some of our recent business updates and how we continue to execute against our strategic priorities. Our focus remains anchored in our 3 strategic priorities: innovating our future, elevating our international business, and advancing a customer-first culture. I want to begin by recognizing our cross-functional teams whose execution has enabled our most ambitious and prolific year of new product introductions in Array's history. We're listening to our customers, translating their feedback into differentiated solutions, and leading through innovation in utility-scale solar. In the past few months, we formally launched DuraTrack D2S for international markets at Intersolar Munich, extending our differentiated flagship technology into important new growth geographies. During the second quarter, we also announced OmniTrack 2.0, our next-generation terrain-following tracker. And in July, we announced the development of our DuraTrack 60-degree variant, which is engineered for greater resilience in extreme weather environments while optimizing CAPEX and lowering insurance costs for our customers. In partnership with APA, we also launched the Array Atlas suite of foundation-to-tracker solutions that gives customers a more complete integrated offering engineered from the ground up and bringing a real competitive solution to traditional piles. Neil will provide more details on each of these exciting innovations shortly. Finally, touching on our M&A strategy, our APA integration is progressing very well, and we signed a definitive agreement to acquire Affordable Wire Management, or AWM, which we expect to broaden our electrical balance of system offering, deepening the value we deliver to customers, while also extending our business into battery storage and data center applications. We expect to close this acquisition in the third quarter of 2026, subject to receipt of regulatory approvals and the satisfaction of other customary closing conditions. Moving to slide 6, I want to take the time to discuss our M&A updates in greater detail, beginning with APA's progress now that we are nearly 1 year post-close. When we acquired APA last August, the thesis was simple. Take a strong, well-led, growing, fixed-tilt racking and engineered foundations business, enable benefits from Array's scale and bankability, and then accelerate its growth by expanding its access to significantly larger utility-scale solar opportunities. 1 year in, our results say we did exactly that. APA's year-to-date book-to-bill is over 1.5x, and pipeline quoting activity continues to grow substantially sequentially. This early momentum has resulted in a first-half revenue 17% ahead of 2025, and the business remains on track to hit our 2026 targets of significant double-digit revenue growth and margin expansion. APA's average pipeline project size has more than doubled since the acquisition, a clear signal that demand is rapidly accelerating and the playbook we are deploying is working. So what has enabled this progress? It starts with the market intimacy and foundation engineering expertise brought forward by the leadership of APA. This, when coupled with the credibility and bankability of Array, brings APA into utility-scale conversations that simply weren't available to it on a standalone basis across both the fixed-tilt and A-frame portions of their business. We're also putting Array's scale to work in procurement, warehousing, and logistics, leveraging our supplier relationships to drive margin expansion. The bigger story, though, is what this combination has unlocked for Array as a whole. We are pleased to introduce the Array Atlas suite of products, the first step of many into integrated innovation between Array and APA. Our first integrated foundation-to-tracker products designed exclusively for multiple Array tracker platforms with APA engineered foundations. The Array Atlas products meaningfully reduce component count and are designed to dramatically improve installation efficiency in the field. Our engineered foundations now attach to tracker awards, expanding our share of wallet on projects and creating additional opportunities for margin accretion over time. Since closing, we've seen an ever-expanding pipeline of joint opportunities. And importantly, we've proven we can acquire, integrate, and scale. Our integration process serves as the template for expanding across the balance of systems. And it's exactly the playbook we're applying to AWM, which I'll turn to next on Slide 7. Affordable Wire Management is a leading provider of cable management and safety products serving solar, battery storage, and data center customers with nearly $60 million in trailing 12-month revenue. The pending acquisition reflects our disciplined M&A strategy, acquiring category-leading, profitable businesses with differentiated technology that strengthen our integrated platform and create real customer value through a high degree of technical interoperability and ease of installation. The strategic rationale of the deal comes down to 4 points. First, we're executing our balance of systems strategy by acquiring a differentiated leader in an adjacent segment with a suite of proven and highly engineered products. While lower priced than trackers, these products are critical for installers and asset owners. Second, our global sales footprint combined with our operational scale. We're cross-selling to our existing global customers and leveraging our economies of scale across our manufacturing, sourcing, and logistics footprint creates very real revenue and cost synergy opportunities. Third, a disciplined financial approach. AWM is a consistently profitable market leader, which we expect to be high single-digit accretive to Array's adjusted EPS in year 1 before synergies. The base purchase price, combined with the anticipated benefit of stepping up the tax basis of AWM's assets, represents an attractive 6x trailing 12-month EBITDA multiple, which, by design, improves further as the earn-out is achieved. And fourth, we believe the integration is de-risked. Like in the case of our acquisition of APA, AWM's founders and existing leadership team will continue to run the business, supported by the same integration process that helped drive APA's outstanding year 1 results. With that, I'll turn it over to Neil, to discuss our recent innovation updates. Neil Manning: Thank you, Kevin. 2026 is our largest launch year ever, with 5 significant product introductions, each developed through deep voice of customer engagement, and each expanding our addressable market or potential share of wallet on every project. Innovation continues to be the driving force behind our record $2.5 billion order book. Products launched since 2023, OmniTrack, SkyLink, SmarTrack, Hail XP, and APA account for roughly 50% of our order book and drive nearly half of our revenue in 2026, compared to 1/3 in 2025. A powerful indicator that our focused innovation strategy is translating into customer adoption and real commercial success. Software revenue alone doubled year-to-date, demonstrating our customers' willingness to embrace our value-maximizing offerings. Feedback from the hundreds of customers and industry contacts we've consulted over the last 2 years has informed the next evolution of our portfolio. Let's walk through these exciting updates. Turning to slide 10. In the first half of 2026, we launched OmniTrack 2.0 and formally launched DuraTrack D2S. Last quarter, we highlighted D2S, a purpose-built international tracker, which we formally launched at Intersolar Munich in June. Early customer reception has been strong. It delivers DuraTrack reliability with our patented differentiated passive wind stow technology and our proven architecture into the 2-row format that international markets have been demanding. This supports our momentum in markets like Turkey, Colombia, and Peru with regionally optimized design and logistics. We're equally as excited about OmniTrack 2.0, our next-generation terrain-following tracker. This upgrade now accommodates an industry-leading slope change up to 2 degrees between adjacent posts, allowing the system to traverse a greater degree of undulating terrain. This cuts site grading, civil work, and structural steel requirements by a substantial amount, saving up to $2.5 million for every 100 megawatts. For reference, this would be between 20% to 25% of the overall cost of the tracker in this application. This grading also means reduced permitting scope and shorter timelines and expands buildable land on constrained sites, directly improving project returns for our customers. Also, recently at our third annual Insurance Forum in Boston, attended by insurance leaders from more than 25 companies, we announced the DuraTrack 60-degree variant, delivering extreme weather resilience at a lower capital cost. This product was built with direct input from customers and insurers, as that continues to be our standard practice in new product development. What are insurers asking us for? Protect the asset in a hailstorm without paying for greater tracker capability than the site needs. That's what this product does. 60-degree stow is paired with our patented SmarTrack Hail Alert Response and executes reliably more than 99% of the time. And because it runs on a wired AC motor with wired communications, it keeps working precisely when severe weather takes down battery-powered wireless systems. This solution delivers incredible resilience at a lower capital cost than higher angle trackers, including foundations. And a third-party validated, unique to Array, Wind XP passive stow protects only the rows that needed, preserving up to a 4% energy yield benefit in high wind regions. The 60-degree variant fills the portfolio between the standard DuraTrack and Hail XP, cost-effective risk mitigation for moderate hail regions such as Texas and the Great Plains. It is expected to be available to quote later this year with deliveries expected in mid-2027. Finally, turning to Slide 11 and the Array Atlas suite, which launched just last week. Atlas is a foundation-to-tracker product line engineered with APA and is our first integrated Array-APA platform, integrated foundation and bearing housing interface, above grade, capable of performing in any soil conditions. Atlas I is how we enter the more than $1 billion traditional foundation market for standard soils. It's a cost-competitive, installation-optimized alternative to the commodity pile approach and a more efficient use of steel versus a standard pile. The problem it solves for customers is its variability in the field. Its adjustable, sigma-shaped channels correct pile driving variation on site, displacing the commodity-driven steel beams, and the shortened driven portion of the below-grade foundation lowers deformation risk. Atlas II takes that same approach into challenging soils, pairing helical piles and ground screws with a dual-leg bearing interface and an integrated bearing housing. What that means on site is simple. 70% fewer components than APA's traditional A-frame, fewer connection points, faster installs, and more vertical and east-west adjustability when the topography demands it. Notably, both solutions are engineered to work with AWM's wire management products through predefined holes, again focusing on installation efficiency for EPC partners. As both Atlas solutions seamlessly optimize foundation integration with the Array tracker, they qualify for 45X manufacturing credits. Together, the Atlas platform allows us to serve virtually the entire foundation market, modernizing fragmented commodity steel driven interfaces, deepening our share of wallet in every project we win, and delivering a more integrated, efficient solution for customers that further differentiates Array in the market. Let me be clear, these innovations aren't happenstance. They're a result of a deliberate multi-year investment in our product development engine. In 2025, we opened our Array Innovation Center, or AIC, in our Chandler, Arizona facility. Our purpose was threefold. One, we co-located our existing engineering resources with product management, product marketing, and dedicated engineering labs for software, hardware, and electronics. Two, we partnered locally with Arizona State University to develop a pipeline of new engineering talent and began working with several ASU engineering teams to accelerate our development efforts. And three, we launched our Customer Experience Center where we host our Array Days and Industry Forums. Coupled with the investments in our technical sales team, the collective results of these efforts is what we are experiencing today, a richer, customer-driven new product development pipeline with reduced development cycle times, enabling consistent quarter-over-quarter execution. We welcome our analysts, customers, and shareholders to visit our Array Innovation Center to experience the energy of our development efforts firsthand. Across our portfolio, the common threads are terrain adaptability, severe weather mitigation, domestic content confidence, and software-enabled optimization through SmarTrack, continuing Array's evolution from a traditional tracker supplier to a differentiated technology and solutions partner. This is our innovation engine working exactly as designed. All in all, when you view our collective efforts in new product development with our continued investments in supply chain, AI automation, and commercial engagement, you see the basis for our continued strong execution quarter over quarter. With that, I'll turn it over to Keith to discuss the quarter's financials in more detail. Keith Jennings: Thank you, Neil. Slides 13 and 14 summarize our second quarter financial performance, which outperformed across all P&L targets. Revenue, adjusted gross margin, EBITDA, and EPS all outperformed. Revenue was $342 million, which was a 53% improvement over our first quarter results and above our guidance of $300 million to $320 million, primarily driven by customer-driven, pull-forward activity in our domestic tracker business, strong execution against a healthy domestic backlog, and continued strong commercial momentum at APA. We continue to meaningfully improve our profitability through sourcing, productivity initiatives, and cost management advantages. Adjusted gross profit was $105 million, up 53% sequentially versus the first quarter, and adjusted gross margin was 30.8%, up 300 basis points year over year, and up 10 basis points sequentially versus the first quarter. Importantly, unlike the first quarter, which included over 300 basis points of one-time benefits, one-time items this quarter had less than 50 basis points of impact. Our margin performance was driven by higher domestic mix, including APA, strong execution on our cost-out initiatives, and incremental 45X capture. As we look forward, we expect second half margins to be influenced primarily by the absence of the one-time tariff recovery and catch-up 45X benefits we achieved in the first quarter, as well as our previously guided increase in international mix. We continue to see the strong results on our productivity initiatives largely offset increased commodity and logistics input costs. Adjusted SG&A was $44 million, or just under 13% of revenue. This represents 570 basis points of improvement from the previous quarter as we delivered our targeted cost savings plus incremental reductions through hiring and discretionary spend controls. Adjusted EBITDA was $63 million, up 119% sequentially, and our adjusted EBITDA margin was 18.5%, up 560 basis points from the first quarter. The improvement was driven by higher volume, gross margin flow-through, and continued discipline on operating costs. GAAP net income to common shareholders was $8 million, a substantial improvement over the first quarter. Diluted earnings per share was $0.05, while adjusted earnings per share was $0.24, compared to adjusted earnings per share in the first quarter of $0.06. I want to highlight our outstanding cash generation this quarter. We ended the quarter with $307 million of cash, up over $100 million sequentially, driven by accelerated 45X collections. Free cash flow in the quarter was $114 million, and we invested $8 million in capital expenditures primarily associated with the plant setups in our new Albuquerque facility, plus incremental production capacity at APA, along with tooling for the new Atlas product suite. We ended the quarter with more than $640 million of total available liquidity, including our fully undrawn $370 million revolver, net of letters of credit. Net debt leverage was 2.1x trailing 12-month adjusted EBITDA, down from 2.7x at the end of the first quarter, and well within our targeted range. With this strong cash and liquidity position, we expect, when approved, to fully fund the acquisition of AWM with cash on hand. Finally, a word on our Series A preferred equity capital. Dividends on this instrument will transition to cash pay in the third quarter, and this is reflected in our 2026 expectations. We continue to evaluate our alternatives regarding the preferred shares, and will balance any decision against our leverage targets, the after-tax cash cost of refinancing alternatives, available liquidity, and the opportunities available across our capital allocation priorities. Turning to our 2026 outlook on slide 16, with the support of our strong first half performance, we are updating our full year guidance. It is clear to us, based on the reported utility-scale solar activity, conversations with our customers, and our growing $2.5 billion order book, that demand remains strong. As a reminder, we guide to what our visibility supports. Our revenue guidance reflects a bottoms-up view of customer delivery schedules, order book coverage, and our latest commercial discussions. Accordingly, we are reaffirming our full year revenue guidance of $1.4 billion to $1.5 billion. We are monitoring near-term project timing primarily related to permitting and site readiness, which may push recognized revenue below the midpoint of the full-year guidance range. Importantly, this would not be lost business, but customer timing shifts to 2027. While our quarterly revenue cadence continues to be influenced by seasonality and customer project timing, the underlying demand and pipeline activity remain very healthy. Given these timing dynamics, we expect revenue in the third quarter to be between $310 million and $330 million. The team has been focused on supporting shipment timing in the second half through securing the required supply and inventory logistics. The incremental shift of revenues from Q3 to Q4 will impact our free cash flow conversion timing, shifting some collections into Q1 '27. As a result of our operations team's excellent execution, we now expect consolidated adjusted gross margins to expand to 27% to 28%, 100 basis points above our previously communicated guidance range. Our strong first half performance benefited from one-time items, tariff recovery, and incremental 45X catch-up benefits that will likely not repeat in the second half. Second half gross margins will also be impacted by increased international mix. Our continued focus on productivity initiatives is expected to partially offset higher metals and logistics costs in the second half of the year. We are increasing the lower end of our full-year adjusted earnings ranges. We now expect to deliver adjusted EBITDA in the range of $210 million to $230 million and adjusted EPS in the range of $0.68 to $0.75, driven by the adjusted gross margin expansion and continued focus on cost discipline. To be clear, our updated guidance excludes any expected revenue and margin contribution from our recently announced planned acquisition of AWM. We look forward to providing an update following the close of the acquisition, which we continue to believe to be in Q3 2026, subject to regulatory approval and satisfaction of customary closing conditions. AWM will be an exciting addition to our portfolio. We expect high single-digit accretion to adjusted EPS in year 1 before synergies. Let me leave you with 3 takeaways that reinforce that Array is working well. First, Q2 was a quarter of execution-driven outperformance. Revenue, margin, and earnings all came in ahead of our forecast. Second, cash generation was exceptional, more than $100 million of sequential build, net leverage down to 2.1x on continued trailing LTM EBITDA growth, contributing to the ability to comfortably fund AWM with cash on hand. And third, operational resilience and execution capabilities are enabling us to improve our full year earnings guidance. With that, I'll now turn it back to Kevin for closing remarks. Kevin Hostetler: Thank you, Keith. To wrap up, I'm proud of how the team executed in the second quarter, delivering results well above expectations. Our third consecutive record order book of $2.5 billion, strong cash generation, and surpassing 100 gigawatts of trackers delivered globally, all this while demonstrating our incredible innovation engine. We are using 2026 to expand the platform, strengthen margins, and set up durable growth. 5 significant new product launches, APA's first year validating our M&A playbook, and now AWM extending it. We remain laser-focused on delivering our strategic initiatives. Thank you for your time today and for your continued interest in Array. With that, we'll open the line for questions. Operator: [Operator Instructions] Your first question comes from the line of Joseph Osha from Guggenheim Partners. Joseph Osha: You've commented in the past regarding the pace of backlog conversions sort of over the subsequent 6 quarters. I'm wondering if you might be able to provide us with an update today regarding that. Kevin Hostetler: Yes, Joe, great question. It's still very consistent at that 80% to be converted in the next 6 quarters. Operator: Your next question comes from the line of Brian Lee from Goldman Sachs. Please go ahead. Brian Lee: Maybe first on the gross margins, I mean, you guys have been doing a fantastic job, 30% plus, both in 1Q and 2Q. I know you inched up the margin guidance for the year, 27% to 28% now. But I guess what changes in the second half to maybe not maintain the run rate you saw in the first half, even though it does look, based on the revenue guidance, that you're going to have better volumes and revenue in the second half? I don't know if it's just a mix thing, but can you kind of walk through some of the puts and takes for the second half versus first half sort of margin step down here? Keith Jennings: Well, first, the first half margins are to be commended at, I think, 30.8% on average. However, they're not to be fully extrapolated. In the first half, we had a few one-time items, particularly in Q1, that should be adjusted out, and they account for roughly 200 basis points of that. So you're looking at a normalized 28.8% for H1. When we look at H2, there's a few things that are happening. First, we will have the step up of international mix. I think international in H1 only accounted for roughly 5% of our revenues. And then in H2, they will go back up to a higher number, not as close as our past run rate, but it does step back up very strongly. The second thing that happens in the second half is we have a few domestic projects and some input costs to deal with. So while we're doing well in the U.S., we have to remember that the macro factors have created increased commodity and logistics costs that we have to deal with in the second half. And also, we will not have the -- again, we talked about that, the benefit of some of the one-time items in the second half. Brian Lee: Okay, super helpful. That color definitely makes sense. And then maybe the second question could also be for you, Keith. I appreciate you alluding to the PREF here. I guess housekeeping, that does flip to cash payment starting in Q4 of this year, correct? And then I guess in relation to that, are you currently engaged in looking at alternative financing options? Or are you, I mean, what's the sort of sense of urgency? Are you not looking for something there until maybe the payments step up in future years? Just trying to understand your thought process around how you're going to approach the PREF. Keith Jennings: Sure. So yes, so the PREF flips to cash pay, I think, in August of this year. We will be obligated to pay roughly $12 million through the remainder of 2026. It starts at a coupon rate of roughly 6.25% and it does step by 50 basis points each year. So let's, you know, as we think about PREF, first, I want to say that we are very comfortable in servicing the PREF. We are cash generative. We continue to grow EBITDA and earnings. And so, you know, our outlook on the PREF is the same. You know, we look at it against all the options that we have. We look at it against our leverage level. We look at it against the available capital market options that we have. So, at 6.25%, coupon rate, you know, until interest rates change or come down or our credit profile changes, you know, then it becomes, you know, very competitive against the cost of debt that could replace that. So, we always look at the after-tax cash cost of servicing any instrument. And of course, we're balanced against what our strategic options are, or in terms of the priorities ahead of the business in terms of organic or inorganic options. So, you know, we are looking at it. We're looking at -- we've always been looking at it. And so we will continue to look at it. But in terms of the servicing, we're comfortable servicing it where it is. And if there's something that comes out to be -- has a better profile from a corporate finance standpoint, then we will go ahead and execute it. So we are always -- and by the way, we're always in dialogue with our investment banking partners on what the options are. Operator: Your next question comes from the line of Philip Shen from ROTH Capital. Please go ahead. Philip Shen: First one's on bookings. Our quick math suggests bookings were $442 million, but Kevin, I think you talked about $500 million of bookings in the quarter. My guess is it's some rounding. So I just wanted to understand what might we be getting wrong there. And then, importantly, on a go-forward basis, you've been on this pretty healthy $400 million to $500 million kind of quarterly bookings cadence. Would you expect that to maybe even accelerate and pick up in the coming quarters? Kevin Hostetler: Yes, Phil, look, I'll take the first one. You're right. It's rounding. We did over $500 million, just over $500 million of gross bookings in the quarter. And I should note that no significant cancellations out of the order book as well. So really strong quarter of commercial momentum. Again, to note that our $2.5 billion backlog is now 37% ahead of where it was this time last year. It's just incredibly significant. Look, we don't project or forecast bookings externally. We think we have now, as you put it, consistently, we've booked over $1.8 billion of new orders net in the last 4 quarters, and we think that's just substantial commercial momentum. So it's not only the quantum, but we're winning larger programs, more multi-program awards as well. So we feel really, really good about our commercial momentum at this point. And the fact, again, the quality of the order book is quite substantial at this point. We talked a few times about some of the elements of that being that it is now over 95% domestic and fully supported by really good strategic customer commitments. I should also note, as I do on every one of these calls, Phil, we've not made any changes in the definition of our order book. So the increase that you're seeing is truly continued strength and momentum, primarily in domestic bookings, which are really a direct result of our successful commercial transformation that we've been talking about now for about 2 years, right? The domestic book-to-bill was well over 1.4x in the quarter, so again, quite substantial. And the other point we continue to make is that half of the order book now is tied to developers, IPPs, or utility specifications at this point. Even if we may get a purchase order from an EPC, ultimately, half of the order book is now being driven by those specifications at the developers, IPPs, and utilities, which has significantly increased in the last 2 years. So we're really proud of our commercial momentum at this point. Philip Shen: Great. That's important to have them require you guys in their projects. Shifting over to AWM, I wanted to just check in and get some additional detail about this acquisition. Sounds like there's some really nice margins there. I was wondering if you could share what kind of market share AWM has in the U.S. Our work suggests it's kind of an oligopoly between you and CAB Solar, and maybe the AWM share is closer to 40%. And then what has prevented them from going international, and is that an opportunity for you guys ahead as well? Kevin Hostetler: Yes, those are great questions. Look, we love the AWM acquisition. It's disciplined adjacency, not just a roll-up strategy, really expanding our balance of systems offering to a great engineered category that we really understand and with customers that we're already serving domestically, right? So start there. So when we talk about our trailing 12 months, that was as of May. We feel they are a market leader at this point domestically. To your point, it is largely an oligopoly with 2 leaders and others below that. But I can tell you that the growth rate of AWM, remember, this is a company that's only 5 years old. So 5 years ago, they entered the market, and they're already a market leader in this space due to some very, very strong engineering capabilities. And effectively, they looked at this space and said this was a space that hadn't had innovation and engineering thrust upon it, and noting that its largest competitor is primarily a not-for-profit, right? So we really liked this acquisition. We think it has a lot of opportunities to expand. International is certainly one of the legs that we will help them expand significantly, but likely not for the first, say, 6 to 9 months post-acquisition. We're going to stay very, very focused on the supply chain synergy opportunities. And when we did a side-by-side set of analytics on our customers, some of their strongest targeted customers happened to be our largest customers, right? So we're going to stay focused on the front-end commercial synergies first, back-end synergies, that is the supply chain logistics warehousing, and that's going to be the first 6 to 9 months before we begin to platform them internationally, but there's substantial growth opportunities internationally. Operator: Your next question comes from the line of Colin Rusch from Oppenheimer. Please go ahead. Andre Stillman Adams: Hi there, guys. This is Andre Adams on for Colin. Just hoping to stick on the order book for a second. Could you give us a sense of the share of orders with both Array and APA content in there? And how much cross-selling opportunity remains? And how quickly do you think you could get to comparable sales synergies with AWM? Kevin Hostetler: Yes, so I would say while we're just now getting our first series of orders with the joint orders, that is, between APA and Array, they're just beginning at this point, right? Just landing and we've landed our first and we have several now in the very, I would say, near bucket. And this is really about us learning to jointly quote, jointly put packages together, take them to our customers. So that's still very new, but we couldn't be more excited about the pipeline of those joint orders at this point. So I think we'll talk more about it at our APA days coming up in a few weeks, but quite significant opportunity. I think the bigger is as we've gone out and sold joint customers, APA is now bidding on many, many more utility-scale projects. And we referenced that in their average size of their order has more than doubled in its first year under Array. So while we're working on some together in joint programs, we're being very, very careful to not bring it jointly and then ask your customer for a discount. If we could sell them individually at a higher price, we're going to focus there, but make it easy for the customer to give us an order for both parts of that business, if that makes sense. So stay tuned. We're really excited about that. I think with AWM, again, that ability to look at the customer lists, share that, and very aggressively work together, that's going to be near immediate. We're excited about what we can do with AWM as well in that same space. Andre Stillman Adams: Great. Thank you for the color. And just on the field labor savings that you're able to drive with some of the new product introductions, can you speak to kind of rate of adoption and incremental opportunities for improvement in field labor savings that you're focused on? Neil Manning: It's Neil, I'll take that one. So just for example, when you look at the Atlas product that we announced last week, Atlas II, 70% fewer components than the legacy A-Frame product. So it's got fewer connection points, overall driving a faster installation. And ultimately, when you look at the Atlas I product, it solves for a lot of problems that the EPCs have in the field with pile variability. So when that happens, you know, it takes a lot of extra time from an EPC. So one of the things that this allows us to do is to custom fit and size each pile height with the adjustable channel that slides into a sigma pile. So ultimately that also drives a lot of effective efficiency in the field for EPCs as well. And we think that particular product will bring with it roughly $0.03 to $0.04 of average selling price per watt in addition to a typical tracker sale. So that opportunity really expands the market for us as well. So we think there's a lot of interest in that efficiency for Atlas, along with the other products we've launched in the last couple of years. So one important point that we'll say is that when you look at our order book, it's made up of, over half of it is now a new product launched since 2023, and over half our revenue in 2026 will be around new products as well. And one of the things that's really resonating is around that installation efficiency, in addition to solving customer problems in the field. So overall, the innovation pipeline is really driving strong and installation efficiency is a big part of that. Kevin Hostetler: Let me just add to that, look, we've been co-developing some ideas with AWM for some time, for almost a year at this point. So as we were developing the Atlas suite of products post-APA acquisition, those teams worked together very, very effectively. In fact, AWM launched a new product that is actually being manufactured at APA. Those that are going to join us at the APA days in a couple of weeks, the technical days, we'll look forward to showing you some of that. And then as we design the Atlas I, the foundation and the Sigma pile with the C-channel that we talked about earlier, that was also designed with particular hole and bolt patterns to be able to bolt the AWM wire management directly on without having to drill additional holes in the field. So it's really about that interoperability. So the foundations, the AWM system, and the trackers, and the components that we provide in the field are all very, very interoperable, and we had a keen eye on interoperability, both when we acquired APA and then extended that eye to AWM. So we really look forward to hosting some of you that are going to join us in a couple of weeks at the APA technical days, you'll be able to see that integration of both products. And it's pretty impressive. Operator: Your next question comes from the line of Corinne Blanchard from Deutsche Bank. Corinne Blanchard: Could you talk a little bit about the guidance and maybe, that seems like a pretty heavy 4Q. I'm just trying to understand what gives you the full confidence to achieve that 4Q and to be within the guidance, that would be helpful. Keith Jennings: Thank you, Corinne. Great question. Look, we're maintaining the revenue range because our current customer schedule and order book visibility continue to support it. We are, however, raising profitability because the first half execution makes cost-out progress and so forth, and 45X capture are stronger than expected. So that explains the earnings push-up. But when you think about the revenue side of it, the shape of the year, we tend to guide to what our visibility supports. And at the moment, we do see the customer orders. We do see the schedules. And when we think about it, we do believe that we can deliver into this zone. And if you think about it from a context standpoint, yes, the space of H2 has roughly a 60-40 between Q3 and Q4. But to give you context, this business shipped approximately 4.5 gigawatts of product back in Q2 2023, printing greater than $500 million of revenue. And so that was pre-APA in our portfolio. And when you add APA and you add a stronger suite of execution capabilities, I'm confident that with the preparations taken, that if the externalities hold, we will deliver on this guidance. And so the externalities, as you know, are, of course, interconnection, weather, site readiness, and customer timing. But those things that are outside of our ring fence, those externalities, we try to adjust our range indication and risk by pointing towards -- probably below the midpoint of the guidance range. But at the same time, everything that is inside of our fence post in terms of inventory, logistics, readiness, crews, we are taking all the steps to ensure that we deliver on this. Corinne Blanchard: Thank you. And maybe for the follow-up, can you talk about the free cash flow conversion that you're expecting for the rest of the year and you still expect it to be similar to 2025, or do you expect any change there? Keith Jennings: So we are changing our free cash flow guide, or I should say updating it. So when we entered the year, we expected to convert about the same pace which we converted in 2025. However, with the shift in the cadence and shape of the year and having a $500 million plus Q4 of revenues, the ramp for that or the peak in that quarter pushes out collections into 2027. And so we at this time are, you know, are expecting to convert, I would guess, somewhere in the range, not guess but our models are showing that it's in the range of 20% to 25% of EBITDA. So it's roughly half of what we were expecting when we started the year, not because of anything else other than just the shape of how working capital and collections moved. Operator: [Operator Instructions] Your next question comes from the line of Chris Dendrinos from RBC Capital Markets. Please go ahead. Christopher Dendrinos: I wanted to follow up here on the AWM acquisition, I guess maybe more just from a strategic standpoint. And you've got the connectors now, but you don't have the eBOS wires. And so just how do you think about the eBOS wire strategically? Is that something you ultimately go after given the synergies of having that complete system? Kevin Hostetler: Yes, I mean, that's a great question. Obviously, we look at that as a very logical extension of what we're doing. We like that space. I think we're waiting a little bit for some of the noise in the space to settle, right? We think it's certainly an attractive space. I'll leave it at that. Operator: Your next question comes from the line of Dylan Nassano from Wolfe Research. Dylan Nassano: Sorry, I joined a little late. I don't think anybody's touched on the Section 232 that's kind of been in the news the past couple days. Just wanted to check in if you guys have any updated news on kind of how that could impact you and the sector overall. Kevin Hostetler: Yes. Look, I mean, you're reading probably everything we are. We're on calls with the leading industry associations and having that, but I think we'll reserve comment until we see the actual language that is likely expected to come out here before the end of the week. So I just don't think it would be wise for us to opine on that until we get a really good view of that. There's lots of different views out there in the ecosphere on that one right now, so bear with us as we get through the actual language, because we'll try to get a better understanding of what it means for the industry and then what it means for Array. So stay tuned. Operator: This is the conclusion of our Q&A session. This concludes today's conference call. Thank you for your participation. You may now disconnect. Before you buy stock in Array Technologies, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Array Technologies wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $403,337!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,334,946!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 12, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Array Technologies (ARRY) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Solar tracking systems manufacturer Array (NASDAQ:ARRY) reported Q2 CY2026 results beating Wall Street’s revenue expectations , but sales fell by 5.6% year on year to $342.1 million. On the other hand, next quarter’s revenue guidance of $320 million was less impressive, coming in 32% below analysts’ estimates. Its non-GAAP profit of $0.24 per share was significantly above analysts’ consensus estimates. Is now the time to buy Array? Find out in our full research report. Revenue: $342.1 million vs analyst estimates of $313.8 million (5.6% year-on-year decline, 9% beat) Adjusted EPS: $0.24 vs analyst estimates of $0.12 (significant beat) Adjusted EBITDA: $30.76 million vs analyst estimates of $44.49 million (9% margin, 30.9% miss) The company reconfirmed its revenue guidance for the full year of $1.45 billion at the midpoint Management raised its full-year Adjusted EPS guidance to $0.72 at the midpoint, a 2.1% increase EBITDA guidance for the full year is $220 million at the midpoint, below analyst estimates of $221.8 million Operating Margin: 10.2%, down from 12.8% in the same quarter last year Free Cash Flow Margin: 33.2%, up from 12.1% in the same quarter last year Market Capitalization: $807.6 million “ARRAY delivered a strong second quarter while achieving a significant company milestone, surpassing 100 gigawatts of cumulative tracker product shipments since our founding. For the third consecutive quarter, we achieved a record orderbook of $2.5 billion, reflecting continued share gains and strong execution. During the quarter, we advanced our innovation strategy with the formal launch of DuraTrack D2S and our next-generation OmniTrack product offerings. We continued to build on that momentum in July with the announcement of our new 60° tracker capabilities and the launch of the ARRAY Atlas™ suite of foundation-to-tracker solutions. Our pending acquisition of Affordable Wire Management (AWM)(2), will further advance our balance of system strategy by adding high-margin cable management and safety products. We remain focused on expanding our ability to provide a more integrated, technically interoperable solution set for utility-scale solar customers,” said Chief Executive Officer, Kevin G. Hostetler. Going public in October 2020, Array (NASDAQ:ARRY) is a global manufacturer of ground-mounting tracking systems for utility and distributed generation solar energy projects. Examining a company’s long-term performance can provide clues about its quality. Even a bad business can shine for one or two quarters, but a top-tier one grows for years. Thankfully, Array’s 9.2% annualized revenue growth over the last five years was solid. Its growth beat the average industrials company and shows its offerings resonate with customers. We at StockStory place the most emphasis on long-term growth, but within industrials, a half-decade historical view may miss cycles, industry trends, or a company capitalizing on catalysts such as a new contract win or a successful product line. Array’s recent performance shows its demand has slowed as its annualized revenue growth of 3.7% over the last two years was below its five-year trend. We’re wary when companies in the sector see decelerations in revenue growth, as it could signal changing consumer tastes aided by low switching costs. This quarter, Array’s revenue fell by 5.6% year on year to $342.1 million but beat Wall Street’s estimates by 9%. Company management is currently guiding for a 18.7% year-on-year decline in sales next quarter. Looking further ahead, sell-side analysts expect revenue to grow 30.5% over the next 12 months, an improvement versus the last two years. This projection is eye-popping and implies its newer products and services will catalyze better top-line performance. WHILE YOU’RE HERE: The Next Palantir? One satellite company captures images of every point on Earth. Every single day. The Pentagon wants it. Hedge funds are using it to beat earnings. You’ve probably never heard of it. This is what the early days of Palantir looked like before it became a giant. Same playbook. Different technology. If you missed Palantir, you need to see this. Claim The Stock Ticker for Free HERE. Operating margin is an important measure of profitability as it shows the portion of revenue left after accounting for all core expenses — everything from the cost of goods sold to advertising and wages. It’s also useful for comparing profitability across companies with different levels of debt and tax rates because it excludes interest and taxes. Array was roughly breakeven when averaging the last five years of quarterly operating profits, one of the worst outcomes in the industrials sector. This result isn’t too surprising given its low gross margin as a starting point. On the plus side, Array’s operating margin rose by 1.8 percentage points over the last five years, as its sales growth gave it operating leverage. In Q2, Array generated an operating margin profit margin of 10.2%, down 2.6 percentage points year on year. Conversely, its gross margin actually rose, so we can assume its recent inefficiencies were driven by increased operating expenses like marketing, R&D, and administrative overhead. We track the long-term change in earnings per share (EPS) for the same reason as long-term revenue growth. Compared to revenue, however, EPS highlights whether a company’s growth is profitable. Sadly for Array, its EPS declined by 3.1% annually over the last five years while its revenue grew by 9.2%. However, its operating margin actually improved during this time, telling us that non-fundamental factors such as interest expenses and taxes affected its ultimate earnings. We can take a deeper look into Array’s earnings to better understand the drivers of its performance. A five-year view shows Array has diluted its shareholders, growing its share count by 22.6%. This dilution overshadowed its increased operational efficiency and has led to lower per share earnings. Taxes and interest expenses can also affect EPS but don’t tell us as much about a company’s fundamentals. Like with revenue, we analyze EPS over a more recent period because it can provide insight into an emerging theme or development for the business. For Array, its two-year annual EPS declines of 6.9% show it’s continued to underperform. These results were bad no matter how you slice the data. In Q2, Array reported adjusted EPS of $0.24, down from $0.25 in the same quarter last year. Despite falling year on year, this print easily cleared analysts’ estimates. Over the next 12 months, Wall Street expects Array’s full-year EPS to grow 32.6% from $0.59 to $0.78. It was good to see Array beat analysts’ EPS expectations this quarter. We were also excited its revenue outperformed Wall Street’s estimates by a wide margin. On the other hand, its revenue guidance for next quarter missed and its EBITDA fell short of Wall Street’s estimates. Overall, this was a mixed quarter. The stock traded up 2.1% to $5.45 immediately after reporting. Is Array an attractive investment opportunity at the current price? What happened in the latest quarter matters, but not as much as longer-term business quality and valuation, when deciding whether to invest in this stock. We cover that in our actionable full research report which you can read here, it’s free.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Q2 performance was driven by a 38% increase in tracker volume and significant sequential growth in the APA business as project activity accelerated. Management attributes the record $2.5 billion order book to a successful two-year commercial transformation, with 50% of the book now driven by developer and utility specifications. The APA integration has successfully scaled the business into larger utility-scale opportunities, doubling its average pipeline project size since acquisition. Innovation is serving as a primary commercial driver, with products launched since 2023 now accounting for roughly 50% of the total order book. The acquisition of Affordable Wire Management (AWM) extends the company's reach into battery storage and data centers while deepening technical interoperability across the solar site. Profitability improvements were supported by strong execution on cost-out initiatives, higher domestic mix, and incremental 45X manufacturing credit capture. Operational focus has shifted toward 'integrated innovation,' moving from being a traditional tracker supplier to a differentiated technology and solutions partner. Full-year revenue guidance assumes a heavy Q4 delivery schedule, though management notes that permitting and site readiness delays could push results toward the lower end of the range. Gross margin guidance was raised to 27% to 28%, reflecting productivity gains that are expected to partially offset rising commodity and logistics costs in the second half. The company expects to close the AWM acquisition in Q3 2026, projecting high single-digit accretion to adjusted EPS in the first year before synergies. Free cash flow conversion for 2026 is now expected to be 20% to 25% of EBITDA, down from initial estimates due to the timing of Q4 revenue shifting collections into 2027. Future international growth will be supported by the DuraTrack D2S, specifically targeting regionally optimized designs for markets like Turkey, Colombia, and Peru. Series A preferred equity dividends will transition to cash pay in Q3 2026, with approximately $12 million in payments expected through the remainder of the year. The company achieved a 12-month trailing book-to-bill ratio of 1.5x, providing high visibility into 2027 despite near-term project timing shifts. Management flagged that H1 margins included approximately 200 basis points of one-time benefits, such as tariff recovery, which will not repeat in the second half. The new Array Atlas suite qualifies for 45X manufacturing credits, providing a structural margin advantage for integrated foundation-to-tracker solutions. Management confirmed that backlog conversion remains consistent, with approximately 80% of the current $2.5 billion order book expected to convert within the next six quarters. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. The expected step-down from 30.8% margins is due to the absence of one-time tariff recoveries and a shift toward a higher mix of lower-margin international projects. Management noted that while productivity initiatives are strong, they are currently acting as an offset to increased global commodity and logistics input costs. AWM is described as a market leader in a domestic oligopoly that has achieved significant scale in only five years through superior engineering. Immediate synergies will focus on supply chain and domestic cross-selling to shared Tier 1 customers before expanding the product line internationally in 6-9 months. Management is comfortable servicing the 6.25% coupon with current cash flow but continues to evaluate refinancing options against the after-tax cost of debt and capital allocation priorities. The coupon rate increases by 50 basis points annually, creating a long-term incentive to optimize the capital structure as credit profiles or interest rates shift. Management declined to speculate on the impact, stating they are waiting for the specific language of the expected filings to understand the implications for Array and the broader sector.

Array Technologies, Inc. (ARRY) came out with quarterly earnings of $0.24 per share, beating the Zacks Consensus Estimate of $0.11 per share. This compares to earnings of $0.25 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +118.18%. A quarter ago, it was expected that this company would post a loss of $0.06 per share when it actually produced earnings of $0.06, delivering a surprise of +200%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Array Technologies, which belongs to the Zacks Solar industry, posted revenues of $342.07 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 5.63%. This compares to year-ago revenues of $362.24 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Array Technologies shares have lost about 34.8% since the beginning of the year versus the S&P 500's gain of 13%. While Array Technologies has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Array Technologies was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #1 (Strong Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.28 on $460.4 million in revenues for the coming quarter and $0.73 on $1.45 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Solar is currently in the top 30% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the broader Zacks Oils-Energy sector, Canadian Natural Resources (CNQ), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 6. This oil and natural gas company is expected to post quarterly earnings of $1.43 per share in its upcoming report, which represents a year-over-year change of +180.4%. The consensus EPS estimate for the quarter has been revised 14.4% lower over the last 30 days to the current level. Canadian Natural Resources' revenues are expected to be $9.25 billion, up 47.2% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Array Technologies, Inc. (ARRY) : Free Stock Analysis Report Canadian Natural Resources Limited (CNQ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Solar tracking systems manufacturer Array (NASDAQ:ARRY) reported Q2 CY2026 results topping the market’s revenue expectations , but sales fell by 5.6% year on year to $342.1 million. On the other hand, next quarter’s revenue guidance of $320 million was less impressive, coming in 32% below analysts’ estimates. Its non-GAAP profit of $0.24 per share was significantly above analysts’ consensus estimates. Is now the time to buy Array? Find out in our full research report. Revenue: $342.1 million vs analyst estimates of $313.8 million (5.6% year-on-year decline, 9% beat) Adjusted EPS: $0.24 vs analyst estimates of $0.12 (significant beat) Adjusted EBITDA: $63.26 million vs analyst estimates of $44.49 million (18.5% margin, 42.2% beat) The company reconfirmed its revenue guidance for the full year of $1.45 billion at the midpoint Management raised its full-year Adjusted EPS guidance to $0.72 at the midpoint, a 2.1% increase EBITDA guidance for the full year is $220 million at the midpoint, below analyst estimates of $221.8 million Operating Margin: 10.2%, down from 12.8% in the same quarter last year Free Cash Flow Margin: 33.2%, up from 12.1% in the same quarter last year Market Capitalization: $924.5 million “ARRAY delivered a strong second quarter while achieving a significant company milestone, surpassing 100 gigawatts of cumulative tracker product shipments since our founding. For the third consecutive quarter, we achieved a record orderbook of $2.5 billion, reflecting continued share gains and strong execution. During the quarter, we advanced our innovation strategy with the formal launch of DuraTrack D2S and our next-generation OmniTrack product offerings. We continued to build on that momentum in July with the announcement of our new 60° tracker capabilities and the launch of the ARRAY Atlas™ suite of foundation-to-tracker solutions. Our pending acquisition of Affordable Wire Management (AWM)(2), will further advance our balance of system strategy by adding high-margin cable management and safety products. We remain focused on expanding our ability to provide a more integrated, technically interoperable solution set for utility-scale solar customers,” said Chief Executive Officer, Kevin G. Hostetler. Going public in October 2020, Array (NASDAQ:ARRY) is a global manufacturer of ground-mounting tracking systems for utility and distributed generation solar energy projects. A company’s long-term performance is an indicator of its overall quality. Even a bad business can shine for one or two quarters, but a top-tier one grows for years. Over the last five years, Array grew its sales at a solid 9.2% compounded annual growth rate. Its growth beat the average industrials company and shows its offerings resonate with customers. Long-term growth is the most important, but within industrials, a half-decade historical view may miss new industry trends or demand cycles. Array’s recent performance shows its demand has slowed as its annualized revenue growth of 3.7% over the last two years was below its five-year trend. We’re wary when companies in the sector see decelerations in revenue growth, as it could signal changing consumer tastes aided by low switching costs. This quarter, Array’s revenue fell by 5.6% year on year to $342.1 million but beat Wall Street’s estimates by 9%. Company management is currently guiding for a 18.7% year-on-year decline in sales next quarter. Looking further ahead, sell-side analysts expect revenue to grow 32.4% over the next 12 months, an improvement versus the last two years. This projection is eye-popping and suggests its newer products and services will spur better top-line performance. ONE MORE THING: The $21 AI Application Stock Wall Street Forgot. While Wall Street obsesses over who’s building AI, one company is already using it to print money. And nobody’s paying attention. AI chip stocks trade at ridiculous valuations. This company processes a trillion consumer signals monthly using AI and trades at a third of the price. The gap won’t last. The institutions will figure it out. You need to see this first. Read the FREE Report Before They Notice. Operating margin is one of the best measures of profitability because it tells us how much money a company takes home after procuring and manufacturing its products, marketing and selling those products, and most importantly, keeping them relevant through research and development. Array was roughly breakeven when averaging the last five years of quarterly operating profits, one of the worst outcomes in the industrials sector. This result isn’t too surprising given its low gross margin as a starting point. On the plus side, Array’s operating margin rose by 1.8 percentage points over the last five years, as its sales growth gave it operating leverage. This quarter, Array generated an operating margin profit margin of 10.2%, down 2.6 percentage points year on year. Conversely, its gross margin actually rose, so we can assume its recent inefficiencies were driven by increased operating expenses like marketing, R&D, and administrative overhead. We track the long-term change in earnings per share (EPS) for the same reason as long-term revenue growth. Compared to revenue, however, EPS highlights whether a company’s growth is profitable. Sadly for Array, its EPS declined by 3.1% annually over the last five years while its revenue grew by 9.2%. However, its operating margin actually improved during this time, telling us that non-fundamental factors such as interest expenses and taxes affected its ultimate earnings. We can take a deeper look into Array’s earnings to better understand the drivers of its performance. A five-year view shows Array has diluted its shareholders, growing its share count by 22.6%. This dilution overshadowed its increased operational efficiency and has led to lower per share earnings. Taxes and interest expenses can also affect EPS but don’t tell us as much about a company’s fundamentals. Like with revenue, we analyze EPS over a shorter period to see if we are missing a change in the business. For Array, its two-year annual EPS declines of 6.9% show it’s continued to underperform. These results were bad no matter how you slice the data. In Q2, Array reported adjusted EPS of $0.24, down from $0.25 in the same quarter last year. Despite falling year on year, this print easily cleared analysts’ estimates. Over the next 12 months, Wall Street expects Array’s full-year EPS to grow 41.5% from $0.59 to $0.84. It was good to see Array beat analysts’ EPS expectations this quarter. We were also excited its EBITDA outperformed Wall Street’s estimates by a wide margin. On the other hand, its revenue guidance for next quarter missed and its full-year revenue guidance fell slightly short of Wall Street’s estimates. Overall, this print was mixed. The stock remained flat at $5.65 immediately after reporting. Should you buy the stock or not? When making that decision, it’s important to consider its valuation, business qualities, as well as what has happened in the latest quarter. We cover that in our actionable full research report which you can read here, it’s free.

Delivers Record $2.5 Billion Orderbook While Advancing Innovation Strategy 2026 Second Quarter Business Highlights Record total executed contracts and awarded orders at June 30, 2026 of $2.5 billion, a 37% increase year-over-year Over $500 million of new orders in the quarter and a trailing twelve-month book-to-bill of 1.5x Surpassed 100 gigawatts of tracker products delivered worldwide, a significant milestone representing ARRAY’s successful leadership in the utility-scale solar industry Formally launched DuraTrack D2S™ for international markets Announced next-generation OmniTrack®, which accommodates an industry-leading 2° of slope change between adjacent posts 2026 Second Quarter Financial Highlights ALBUQUERQUE, N.M., Aug. 05, 2026 (GLOBE NEWSWIRE) -- ARRAY Technologies, Inc. (NASDAQ: ARRY) (“ARRAY” or the “Company”), a leading global provider of solar tracking technology and fixed-tilt products, foundation solutions, software systems and services, today announced financial results for its second quarter ended June 30, 2026. “ARRAY delivered a strong second quarter while achieving a significant company milestone, surpassing 100 gigawatts of cumulative tracker product shipments since our founding. For the third consecutive quarter, we achieved a record orderbook of $2.5 billion, reflecting continued share gains and strong execution. During the quarter, we advanced our innovation strategy with the formal launch of DuraTrack D2S and our next-generation OmniTrack product offerings. We continued to build on that momentum in July with the announcement of our new 60° tracker capabilities and the launch of the ARRAY Atlas™ suite of foundation-to-tracker solutions. Our pending acquisition of Affordable Wire Management (AWM)(2), will further advance our balance of system strategy by adding high-margin cable management and safety products. We remain focused on expanding our ability to provide a more integrated, technically interoperable solution set for utility-scale solar customers,” said Chief Executive Officer, Kevin G. Hostetler. Mr. Hostetler continued, “Supported by our strong first-half financial performance, we are updating our full-year guidance. While we will continue to monitor market dynamics, we believe our $2.5 billion record orderbook, strong customer demand, and expanding solution set give us confidence in our ability to execute and create long-term value.” Updating Full Year 2026 Guidance Following our strong first half performance, we now expect full-year Adjusted Gross Margin(1) to be in the range of 27% to 28%. As a result, for the year ending December 31, 2026, the Company now expects: Revenue to be in the range of $1.4 billion to $1.5 billion, consistent with the prior range Adjusted EBITDA(3) to be in the range of $210 million to $230 million, previously $200 million to $230 million Adjusted net income per common share(3) to be in the range of $0.68 to $0.75, previously $0.65 to $0.75 For the quarter ending September 30, 2026, the Company expects revenue to be in the range of $310 million to $330 million. (1) A reconciliation of the most comparable GAAP measure to its Non-GAAP measure is included below. (2) The transaction is expected to close in the third quarter of 2026, subject to receiving any required regulatory approvals and the satisfaction of other customary closing conditions. (3) A reconciliation of projected Adjusted gross profit, Adjusted gross margin, Adjusted EBITDA and Adjusted net income per common share, which are forward-looking measures that are not prepared in accordance with GAAP, to the most directly comparable GAAP financial measures, is not provided because we are unable to provide such reconciliation without unreasonable effort. The inability to provide a quantitative reconciliation is due to the uncertainty and inherent difficulty predicting the occurrence, the financial impact and the periods in which the components of the applicable GAAP measures and non-GAAP adjustments may be recognized. The GAAP measures may include the impact of such items as non-cash share-based compensation, revaluation of the fair-value of our contingent consideration, and the tax effect of such items, in addition to other items we have historically excluded from Adjusted EBITDA and Adjusted net income per common share. We expect to continue to exclude these items in future disclosures of these non-GAAP measures and may also exclude other similar items that may arise in the future (collectively, “non-GAAP adjustments”). The decisions and events that typically lead to the recognition of non-GAAP adjustments are inherently unpredictable as to if or when they may occur. As such, for our 2026 guidance, we have not included estimates for these items and are unable to address the probable significance of the unavailable information, which could be material to future results. Supplemental Presentation and Conference Call Information ARRAY has posted a supplemental presentation to its website, which will be discussed during the conference call hosted by management today, August 5, 2026, at 5:00 p.m. ET. The conference call can be accessed live over the phone by dialing (888)-396-8049 (domestic) or (416)-764-8646 (international), or via webcast of the live conference call by logging onto the Investor Relations section of the Company’s website at http://ir.arraytechinc.com. A telephonic replay will be available approximately three hours after the call by dialing (877)-660-6853 (domestic), or (201)-612-7415 (international), with the passcode 13761476. The telephonic replay will be available until 11:59 p.m. (ET) on August 19, 2026. The online replay will be available for 14 days on the same website, immediately following the call. About ARRAY Technologies, Inc. ARRAY Technologies (NASDAQ: ARRY) is a leading global provider of solar tracking technology and fixed-tilt systems to utility-scale and distributed generation customers, who construct, develop, and operate solar PV sites. With solutions engineered to withstand the harshest weather conditions, ARRAY’s high-quality solar trackers, fixed-tilt systems, software platforms, foundation solutions, and field services combine to optimize energy production and deliver value to our customers for the entire lifecycle of a project. Founded and headquartered in the United States, ARRAY is rooted in manufacturing and driven by technology - relying on its domestic manufacturing, diversified global supply chain, and customer-centric approach to design, deliver, commission, train, and support solar energy deployment around the world. For more news and information on ARRAY, please visit arraytechinc.com. Investor Relations Contact: Investor [email protected] Media Contact: Steven [email protected] Forward-Looking Statements This press release contains forward-looking statements that are based on our management’s beliefs and assumptions and on information currently available to our management. Forward-looking statements include information concerning our possible or assumed future results of operations, business strategies, technology or product developments, financing and investment plans, dividend policy, competitive position, industry and regulatory environment, including potential regulatory reform related to energy credits, uncertainty relating to the implementation of tariffs and changes in trade policy, including the reduction or elimination of certain government incentives, ability to provide 100% domestic content trackers, expectations regarding the macroeconomic environment and geopolitical developments, including the effects of tariffs and changes in trade policy, potential growth opportunities and the effects of competition. Forward-looking statements include statements that are not historical facts and can be identified by terms such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “seek,” “should,” “will,” “would,” “positioned, ” “designed to,” or similar expressions and the negatives of those terms. ARRAY’s actual results and the timing of events could materially differ from those anticipated in such forward-looking statements as a result of certain risks, uncertainties and other factors, including without limitation: changes in growth or the rate of growth in demand for solar energy projects; factors outside of our control affecting the variability and demand for solar energy, including but not limited to, the retail price of electricity, availability of in-demand components like high-voltage breakers, various policies related to the permitting and interconnection costs of solar plants, and the availability of incentives for solar energy and solar energy production systems, which makes it difficult to predict our future prospects; competitive pressures within our industry; competition from conventional and renewable energy sources; a loss of one or more of our significant customers, their inability to perform under their contracts, or their default in payment; a drop in the price of electricity derived from the utility grid or from alternative energy sources; fluctuations in our results of operations across fiscal periods, which could make our future performance difficult to predict and could cause our results of operations for a particular period to fall below expectations; any increase in interest rates, or a reduction in the availability of tax equity or project debt capital in the global financial markets, which could make it difficult for customers to finance the cost of a solar energy system and reduce the demand for our products; existing electric utility industry policies and regulations, and any subsequent changes or new related policies and regulations, including as a result of the One Big Beautiful Bill Act, which may present technical, regulatory and economic barriers to the purchase and use of solar energy systems and may significantly reduce demand for our products or harm our ability to compete; the interruption of the flow of materials from international vendors, which could disrupt our supply chain, including as a result of the imposition of new and/or additional duties, tariffs and other charges or restrictions on imports and exports; changes in the global trade environment, including the continuation or imposition of import tariffs or other import restrictions; geopolitical, macroeconomic and other market conditions unrelated to our operating performance including but not limited to a pandemic, the Russia-Ukraine war, attacks on shipping in the Red Sea and Strait of Hormuz, conflict in the Middle East (including, but not limited to, the war in Iran), changing trade policies, inflation and interest rates; our ability to convert our orders in backlog into revenue; the reduction, elimination or expiration, or our failure to optimize the benefits of government incentives for, or regulations mandating the use of, renewable energy and solar energy, particularly in relation to our competitors, which could reduce demand for solar energy systems; failure to, or incurrence of significant costs in order to, obtain, maintain, protect, defend or enforce, our intellectual property and other proprietary rights; delays in construction projects and any failure to manage our inventory; significant changes in the cost of raw materials; disruptions to transportation and logistics, including increases in shipping costs; defects or performance problems in our products, which could result in loss of customers, reputational damage and decreased revenue; delays, disruptions or quality control problems in our product development operations; the development, deployment and commercialization of new products, including DuraTrack D2S, OmniTrack 2.0, the 60 degree variant of DuraTrack, and our ARRAY Atlas suite of foundation-to-tracker solutions; our ability to retain our key personnel or failure to attract additional qualified personnel; additional business, financial, regulatory and competitive risks due to our continued planned expansion into new markets; cybersecurity or other data incidents, including unauthorized disclosure of personal or sensitive data or theft of confidential information and the use of artificial intelligence by cyber threat actors; a failure to maintain an effective system of integrated internal controls over financial reporting, which may impair our ability to report our financial results accurately; our substantial indebtedness, risks related to actual or threatened public health epidemics, pandemics, outbreaks or crises; changes to laws and regulations, including changes to tax laws and regulations, that are applied adversely to us or our customers; our ability to complete the acquisition of Affordable Wire Management, LLC (“AWM”) on the anticipated terms and timetable, including the possibility that closing conditions may not be satisfied or waived; our ability to successfully integrate APA Solar, LLC (“APA”) and AWM into our existing operations, realize the anticipated benefits or synergies of the acquisitions of APA and AWM and achieve strategic or other objectives relating to the acquisitions; risks related to any unforeseen liabilities of AWM; and other factors listed and described in more detail in the section captioned “Risk Factors” in our Annual Report on Form 10-K, our Quarterly Reports on Form 10-Q, and our other documents on file with the U.S. Securities and Exchange Commission, each of which can be found on our website, www.arraytechinc.com. Given these uncertainties, you should not place undue reliance on forward-looking statements. Also, forward-looking statements represent our management’s beliefs and assumptions only as of the date of this press release. You should read this press release with the understanding that our actual future results may be materially different from what we expect. Except as required by law, we assume no obligation to update these forward-looking statements, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future. Non-GAAP Financial Information This press release includes certain financial measures that are not presented in accordance with U.S. generally accepted accounting principles (“GAAP”), including Adjusted gross profit, Adjusted gross margin, Adjusted EBITDA, Adjusted EBITDA margin, Adjusted net income, Adjusted net income per common share, Adjusted general and administrative expense and Free cash flow. We define Adjusted gross profit as gross profit plus (i) amortization of developed technology and backlog and (ii) acquisition-related expenses. We define Adjusted gross margin as Adjusted gross profit as a percentage of revenue. We define Adjusted EBITDA as net income (loss) to common stockholders plus (i) other income, net, (ii) gain on extinguishment of debts, net, (iii) foreign currency gain, net, (iv) preferred dividends and accretion, (v) interest expense, (vi) income tax expense, (vii) depreciation expense, (viii) amortization of intangibles, (ix) amortization of developed technology and backlog, (x) equity-based compensation, (xi) change in fair value of contingent consideration, (xii) certain legal expenses, and (xiii) acquisition-related expenses. We define Adjusted EBITDA margin as Adjusted EBITDA as a percentage of revenue. We define Adjusted net income as net income (loss) to common stockholders plus (i) amortization of intangibles, (ii) amortization of developed technology and backlog, (iii) amortization of debt discount and issuance costs, (iv) gain on extinguishment of debts, net (v) Series A preferred stock accretion, (vi) equity-based compensation, (vii) change in fair value of contingent consideration,   (viii) certain legal expenses, (ix) acquisition-related expenses, and (x) income tax expense adjustments. We define Adjusted general and administrative expense as general and administrative expense less (i) equity-based compensation, (ii) certain legal expenses, and (iii) acquisition-related expenses. We define Free cash flow as Net cash provided by operating activities less purchase of property, plant and equipment. A detailed reconciliation between GAAP results and results excluding special items (“non-GAAP”) is included within this press release. We calculate net income (loss) per common share as net income (loss) to common stockholders divided by the basic and diluted weighted average number of shares outstanding for the applicable period and we define Adjusted net income per common share as Adjusted net income (as detailed above) divided by the basic and diluted weighted average number of shares outstanding for the applicable period. We believe that these non-GAAP financial measures are provided to enhance the reader’s understanding of our past financial performance and our prospects for the future. Our management team uses these non-GAAP financial measures in assessing the Company’s performance, as well as in planning and forecasting future periods. The non-GAAP financial information is presented for supplemental informational purposes only and should not be considered a substitute for financial information presented in accordance with GAAP and may be different from similarly titled non-GAAP measures used by other companies. Among other limitations, Adjusted gross profit, Adjusted gross margin, Adjusted EBITDA, Adjusted net income, Adjusted net income per common share, Adjusted general and administrative expense and Free cash flow do not reflect our cash expenditures, or future requirements, for capital expenditures or contractual commitments; do not reflect the impact of certain cash charges resulting from matters we consider not to be indicative of our ongoing operations; do not reflect income tax expense or benefit; and other companies in our industry may calculate Adjusted gross profit, Adjusted gross margin, Adjusted EBITDA, Adjusted net income, Adjusted net income per common share, Adjusted general and administrative expense and Free cash flow differently than we do, which limits their usefulness as comparative measures. Because of these limitations, Adjusted gross profit, Adjusted gross margin, Adjusted EBITDA, Adjusted net income, Adjusted net income per common share, Adjusted general and administrative expense and Free cash flow should not be considered in isolation or as substitutes for performance measures calculated in accordance with GAAP. We compensate for these limitations by relying primarily on our GAAP results and using Adjusted gross profit, Adjusted gross margin, Adjusted EBITDA, Adjusted net income, Adjusted net income per common share, Adjusted general and administrative expense and Free cash flow on a supplemental basis. You should review the reconciliation of gross profit to Adjusted gross profit and Adjusted gross margin, net   income (loss) to Adjusted EBITDA, Adjusted net income and Adjusted net income per common share, General and administrative expense to Adjusted general and administrative expense and Net cash used in operating activities to Free cash flow below and not rely on any single financial measure to evaluate our business. (1) Adjusted to reflect the increase in Liquidation Preference rather than the number of shares. The following table reconciles Gross profit to Adjusted gross profit: (a) Represents acquisition-related fair value adjustments to Property, plant, and equipment. The following table reconciles Net income to Adjusted EBITDA: (a) Represents certain legal fees and other related costs associated with (i) actions filed against the company and certain officers and directors alleging violations of the Securities Act of 1933 and the Securities Exchange Act of 1934, which litigation was dismissed with prejudice by the Court on May 19, 2023 and subsequently appealed. On March 24, 2026, the Second Circuit affirmed the dismissal of such action with prejudice, and (ii) legal and success fees related to a regional tax dispute for a period prior to the acquisition of STI, and (iii) other litigation and legal matters. We consider these costs not representative of legal costs that we will incur from time to time in the ordinary course of our business.(b) Represents acquisition-related expenses. The following table reconciles Net income to Adjusted net income: (a) Represents certain legal fees and other related costs associated with (i) actions filed against the company and certain officers and directors alleging violations of the Securities Act of 1933 and the Securities Exchange Act of 1934, which litigation was dismissed with prejudice by the Court on May 19, 2023 and subsequently appealed. On March 24, 2026, the Second Circuit affirmed the dismissal of such action with prejudice, and (ii) legal and success fees related to a regional tax dispute for a period prior to the acquisition of STI, and (iii) other litigation and legal matters. We consider these costs not representative of legal costs that we will incur from time to time in the ordinary course of our business.(b) Represents acquisition-related expenses and fair value adjustments to Property, plant and equipment.(c) Represents the estimated tax impact of all Adjusted Net Income add-backs, excluding those which represent permanent differences between book versus tax. The following table reconciles General and administrative expense to Adjusted general and administrative expense: (a) Represents certain legal fees and other related costs associated with (i) actions filed against the company and certain officers and directors alleging violations of the Securities Act of 1933 and the Securities Exchange Act of 1934, which litigation was dismissed with prejudice by the Court on May 19, 2023 and subsequently appealed. On March 24, 2026, the Second Circuit affirmed the dismissal of such action with prejudice, and (ii) legal and success fees related to a regional tax dispute for a period prior to the acquisition of STI, and (iii) other litigation and legal matters. We consider these costs not representative of legal costs that we will incur from time to time in the ordinary course of our business.(b) Represents acquisition-related expenses. The following table reconciles Net cash used in operating activities to Free cash flow:

First Solar, Inc. FSLR reported second-quarter 2026 earnings of $3.92 per share, which beat the Zacks Consensus Estimate of $2.74 by 43.1%. The bottom line increased 23.3% from $3.18 in the year-ago quarter, aided by gross-margin expansion and a stronger mix of U.S.-made modules. Net sales of $1.06 billion missed the consensus estimate of $1.061 billion by 0.4% and declined 3.7% year over year.Contracted backlog stood at 45.1 gigawatts, valued at about $13.6 billion, through 2030. First Solar, Inc. price-consensus-eps-surprise-chart | First Solar, Inc. Quote In the second quarter, the company’s gross profit was $605 million, which rose 21% from $499.9 million in the year-ago quarter.Total operating expenses jumped 11.8% year over year to $154.6 million.FSLR reported an operating income of $450.4 million compared with $361.6 million in the year-ago quarter. First Solar had $1.69 billion in cash and cash equivalents as of June 30, 2026, down from $2.80 billion as of Dec. 31, 2025.The company had no long-term debt as of the same date compared with $282.6 million as of Dec. 31, 2025.Net cash used in operating activities amounted to $359.8 million during the first six months of 2026 compared with $458.4 million in the year-ago period. FSLR still expects its sales to be in the range of $4.9-$5.2 billion. The Zacks Consensus Estimate for sales is pegged at $5.07 billion, which lies above the midpoint of the company’s guided range.First Solar still expects gross profit to be in the band of $2.4-$2.6 billion. Its operating expenses are anticipated to be in the $610-$635 million range.First Solar projects module shipments to be in the band of 17-18.2 gigawatts. The company expects its 2026 capital expenditure to be in the range of $0.8-$1 billion. First Solar currently carries a Zacks Rank #4 (Sell).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Enphase Energy, Inc. ENPH reported second-quarter 2026 adjusted earnings of 46 cents per share, which came in line with the Zacks Consensus Estimate. However, the bottom line declined 33.3% from 69 cents in the prior-year quarter.Enphase Energy’s second-quarter revenues of $291.9 million missed the Zacks Consensus Estimate of $295 million by 1%. The top line also decreased 19.6% from the prior-year quarter’s reported figure of $363.2 million. SolarEdge Technologies, Inc. SEDG is slated to report second-quarter 2026 results on Aug. 5, before market open. The Zacks Consensus Estimate for SEDG’s second-quarter earnings is pegged at four cents per share.The Zacks Consensus Estimate for SEDG’s second-quarter sales is pegged at $341.7 million, implying a year-over-year improvement of 18%.Array Technologies ARRY is slated to report second-quarter 2026 results on Aug. 5, after market close. The Zacks Consensus Estimate for ARRY’s second-quarter earnings is pegged at 11 cents per share.The Zacks Consensus Estimate for ARRY’s second-quarter sales is pegged at $323.8 million. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report First Solar, Inc. (FSLR) : Free Stock Analysis Report Enphase Energy, Inc. (ENPH) : Free Stock Analysis Report Array Technologies, Inc. (ARRY) : Free Stock Analysis Report SolarEdge Technologies, Inc. (SEDG) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Wall Street expects a year-over-year decline in earnings on lower revenues when Array Technologies, Inc. (ARRY) reports results for the quarter ended June 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates. The earnings report, which is expected to be released on August 5, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This company is expected to post quarterly earnings of $0.11 per share in its upcoming report, which represents a year-over-year change of -56%. Revenues are expected to be $323.84 million, down 10.6% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 0.67% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction). The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Array Technologies, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -27.27%. On the other hand, the stock currently carries a Zacks Rank of #1. So, this combination makes it difficult to conclusively predict that Array Technologies will beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Array Technologies would post a loss of$0.06 per share when it actually produced earnings of $0.06, delivering a surprise of +200.00%. Over the last four quarters, the company has beaten consensus EPS estimates three times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Array Technologies doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Array Technologies, Inc. (ARRY) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Earnings results often indicate what direction a company will take in the months ahead. With Q1 behind us, let’s have a look at Array (NASDAQ:ARRY) and its peers. Renewable energy companies are buoyed by the secular trend of green energy that is upending traditional power generation. Those who innovate and evolve with this dynamic market can win share while those who continue to rely on legacy technologies can see diminishing demand, which includes headwinds from increasing regulation against “dirty” energy. Additionally, these companies are at the whim of economic cycles, as interest rates can impact the willingness to invest in renewable energy projects. The 17 renewable energy stocks we track reported a strong Q1. As a group, revenues beat analysts’ consensus estimates by 5.7% while next quarter’s revenue guidance was in line. Luckily, renewable energy stocks have performed well with share prices up 11.6% on average since the latest earnings results. Going public in October 2020, Array (NASDAQ:ARRY) is a global manufacturer of ground-mounting tracking systems for utility and distributed generation solar energy projects. Array reported revenues of $223.4 million, down 26.1% year on year. This print exceeded analysts’ expectations by 10.8%. Overall, it was a strong quarter for the company with a beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates. “ARRAY began 2026 with strong performance, delivering revenue and Adjusted EBITDA(1) above the expectations we set on our last earnings call. We delivered another 2x book-to-bill quarter, closing the period at a new record orderbook of $2.4 billion. Orderbook growth continues to be enabled by our traction with our new product offerings like OmniTrack™ and investment in our software and services businesses. We remain focused on high-quality domestic opportunities while pursuing disciplined international expansion, and our momentum this quarter reflected strength both domestically and abroad,” said Chief Executive Officer, Kevin G. Hostetler. Array delivered the slowest revenue growth of the whole group. The market was likely pricing in the results, and the stock is flat since reporting. It currently trades at $8.17. Is now the time to buy Array? Access our full analysis of the earnings results here, it’s free. Working in stealth mode for eight years, Bloom Energy (NYSE:BE) designs, manufactures, and markets solid oxide fuel cell systems for on-site power generation. Bloom Energy reported revenues of $751.1 million, up 130% year on year, outperforming analysts’ expectations by 42%. The business had an incredible quarter with a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates. Bloom Energy delivered the biggest analyst estimate beat and fastest revenue growth among its peers. The market seems happy with the results as the stock is up 21.7% since reporting. It currently trades at $275.50. Is now the time to buy Bloom Energy? Access our full analysis of the earnings results here, it’s free. Founded in 1969, FuelCell Energy (NASDAQ: FCEL) is a leading manufacturer and developer of carbonate fuel cell technology for stationary power generation. FuelCell Energy reported revenues of $35.59 million, down 4.9% year on year, falling short of analysts’ expectations by 12.6%. It was a disappointing quarter as it posted a significant miss of analysts’ revenue estimates and a significant miss of analysts’ adjusted operating income estimates. The stock is flat since the results and currently trades at $17.45. Read our full analysis of FuelCell Energy’s results here. Created through a settlement between NRG Energy and the California Public Utilities Commission, EVgo (NASDAQ:EVGO) is a provider of electric vehicle charging solutions, operating fast charging stations across the United States. EVgo reported revenues of $109.5 million, up 45.5% year on year. This print topped analysts’ expectations by 22.9%. Overall, it was a very strong quarter as it also put up a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates. EVgo scored the highest full-year guidance raise among its peers. The stock is down 6.7% since reporting and currently trades at $2.03. Read our full, actionable report on EVgo here, it’s free. Powering forklifts for Walmart’s distribution centers, Plug Power (NASDAQ:PLUG) provides hydrogen fuel cells used to power electric motors. Plug Power reported revenues of $163.5 million, up 22.3% year on year. This result surpassed analysts’ expectations by 15.9%. Taking a step back, it was a slower quarter as it produced a significant miss of analysts’ adjusted operating income estimates and a significant miss of analysts’ EPS estimates. The stock is down 19.7% since reporting and currently trades at $2.83. Read our full, actionable report on Plug Power here, it’s free. Late in 2025 into early 2026, there was hand-wringing around artificial intelligence. For software companies, the fear was that AI would erode pricing power and compress margins as new tools made it easier to replicate what once required expensive enterprise platforms. Crypto investors had their own version of the same anxiety: if AI agents could trade, allocate capital, and manage wallets autonomously, what exactly was the long-term value of today’s crypto infrastructure? These concerns triggered a noticeable rotation away from these sectors and into safer havens. But markets rarely dwell on one narrative for long. Spring 2026 came, and the focus shifted abruptly from technological disruption to geopolitical risk. The US’ conflict with Iran became the dominant driver of market psychology, and when geopolitics takes center stage, the script changes quickly. Investors stop debating growth rates and start worrying about oil supply, inflation, and global stability. Want to invest in winners with rock-solid fundamentals? Check out our Top 6 Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate. StockStory’s analyst team — all seasoned professional investors — uses quantitative analysis and automation to deliver market-beating insights faster and with higher quality.

Array’s 18.3% return over the past six months has outpaced the S&P 500 by 7.4%, and its stock price has climbed to $9.22 per share. This was partly due to its solid quarterly results, and the performance may have investors wondering how to approach the situation. Is there a buying opportunity in Array, or does it present a risk to your portfolio? Dive into our full research report to see our analyst team’s opinion, it’s free. We’re happy investors have made money, but we’re cautious about Array. Here are three reasons you should be careful with ARRY, plus one stock we’d rather own. Long-term growth is the most important, but within industrials, a stretched historical view may miss new industry trends or demand cycles. Array’s recent performance marks a sharp pivot from its five-year trend as its revenue has shown annualized declines of 5.6% over the last two years. A company’s ROIC, or return on invested capital, shows how much operating profit it makes compared to the money it has raised (debt and equity). We like to invest in businesses with high returns, but the trend in a company’s ROIC is what often surprises the market and moves the stock price. Unfortunately, Array’s ROIC has decreased significantly over the last few years. Paired with its already low returns, these declines suggest its profitable growth opportunities are few and far between. As long-term investors, the risk we care about most is the permanent loss of capital, which can happen when a company goes bankrupt or raises money from a disadvantaged position. This is separate from short-term stock price volatility, something we are much less bothered by. Array’s $666.4 million of debt exceeds the $202 million of cash on its balance sheet. Furthermore, its 5× net-debt-to-EBITDA ratio (based on its EBITDA of $86.16 million over the last 12 months) shows the company is overleveraged. At this level of debt, incremental borrowing becomes increasingly expensive and credit agencies could downgrade the company’s rating if profitability falls. Array could also be backed into a corner if the market turns unexpectedly – a situation we seek to avoid as investors in high-quality companies. We hope Array can improve its balance sheet and remain cautious until it increases its profitability or pays down its debt. Array falls short of our quality standards. With its shares outperforming the market lately, the stock trades at 11.9× forward P/E (or $9.22 per share). This valuation is reasonable, but the company’s shaky fundamentals present too much downside risk. There are more exciting stocks to buy at the moment. We’d suggest looking at the most dominant software business in the world. ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies. Our AI system flagged Palantir before it ran 1,662%. AppLovin before it ran 753%. Nvidia before it ran 1,178%. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.