Market Overview - U.S. stocks showed mixed performance with the Dow Jones index increasing by 0.64% to 47,673.48, while the NASDAQ decreased by 0.79% to 23,340.59 and the S&P 500 fell by 0.23% to 6,817.03 [1] - Energy shares experienced a rise of 1.2%, while information technology stocks saw a decline of 0.9% [1] Company Performance - RealReal Inc (NASDAQ:REAL) shares surged after reporting better-than-expected third-quarter results and providing fourth-quarter sales guidance above estimates, along with an increase in FY25 sales guidance [2] - enGene Holdings Inc (NASDAQ:ENGN) shares increased by 72% to $10.34 following positive Phase 2 LEGEND study data showing a 63% complete response rate [9] - Energy Vault Holdings Inc (NYSE:NRGV) shares rose by 30% to $4.62 after releasing third-quarter results [9] - Surmodics Inc (NASDAQ:SRDX) shares gained 49% to $40.80 after a court denied the FTC's attempt to block GTCR's acquisition [9] - Vor Biopharma Inc (NASDAQ:VOR) shares dropped by 50% to $9.32 due to the announcement of a $100 million public offering [9] - Salarius Pharmaceuticals Inc (NASDAQ:SLRX) shares fell by 50% to $1.00 after announcing a $7 million underwritten public offering [9] - Outset Medical Inc (NASDAQ:OM) shares decreased by 50% to $6.07 following worse-than-expected third-quarter results and a cut in FY25 sales guidance [9] Commodity Market - Oil prices increased by 1.5% to $61.00, while gold rose by 0.3% to $4,134.70 [5] - Silver traded up by 0.8% to $50.730, whereas copper fell by 0.4% to $5.0845 [5] European Market - European shares showed positive movement with the eurozone's STOXX 600 rising by 1.05%, Spain's IBEX 35 Index gaining 1.05%, and London's FTSE 100 increasing by 0.94% [6] Asian Market - Asian markets closed mixed, with Japan's Nikkei 225 down by 0.14%, Hong Kong's Hang Seng up by 0.18%, China's Shanghai Composite down by 0.39%, and India's BSE Sensex up by 0.40% [7]

Core Insights - Energy Vault (NRGV) specializes in developing and deploying energy storage solutions, utilizing a diverse portfolio of technologies including short-term lithium-ion batteries (B-Vault), long-term gravitational systems (G-Vault), hybrid hydrogen storage (H-Vault), and software for optimization (VaultOS) [1] Group 1: Company Overview - Energy Vault's product offerings include various energy storage technologies aimed at addressing different storage timeframes and optimization needs [1] Group 2: Investment Strategy - The company operates in a sector that is increasingly focused on energy storage solutions, which are critical for the transition to renewable energy sources [1]

Financial Data and Key Metrics Changes - Q3 2025 revenue reached $33.3 million, a 27-fold increase year-over-year compared to $1.2 million in Q3 2024, driven by strong execution on projects in Australia and initial contributions from the Asset Vault assets [17] - GAAP gross profit for Q3 2025 was $9 million, improving nearly 18 times from the prior year, resulting in a gross margin of 27% for the quarter and 32.6% year-to-date [17] - Adjusted EBITDA loss narrowed to $6 million in Q3 2025 from a loss of $14.7 million in the prior year, reflecting higher revenue and gross profit [18] Business Line Data and Key Metrics Changes - The company has built, commissioned, and is now operating two initial projects in Texas and California, contributing to the revenue for the first time in Q3 [4] - The contract backlog remains near $1 billion, more than doubling this year and about four times what it was from the same time last year [12] - The company expects to deliver approximately $150 million in revenue in Q4 2025, driven by ongoing projects in Australia and the U.S. [12] Market Data and Key Metrics Changes - The total developed pipeline for advanced projects is around $2.1 billion, or roughly 8.7 gigawatt-hours [20] - The company anticipates receiving $40 million in investment tax credit proceeds in Q4 2025, contributing to an expected cash balance of $75 million to $100 million by year-end [18][21] Company Strategy and Development Direction - The launch of the Asset Vault platform marks a significant strategic move, focusing on developing, owning, and operating energy storage assets [4][22] - The company aims to accelerate deployment of 1.5 gigawatts in attractive priority markets, with a clear monetization strategy supported by long-term offtake agreements [22][23] - Energy Vault is positioned to generate predictable, recurring, and high-margin cash flows through the vertically integrated ecosystem created by the Asset Vault [22] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the volatile operating environment, including tariff impacts and macroeconomic uncertainties, but remains confident in maintaining guidance due to ongoing project deliveries [35] - The company is experiencing a target-rich environment for asset acquisition, indicating strong opportunities despite market challenges [35] - Management emphasizes the importance of agility and operational expertise in navigating market fluctuations and maintaining a diverse project portfolio [36] Other Important Information - Energy Vault has improved its ESG scores, placing in the top 98% of all companies reviewed by S&P Global, and maintaining its leadership in the energy storage segment [15] - The company has completed a $300 million preferred equity agreement to fund the Asset Vault, which is expected to significantly enhance cash flow and project financing capabilities [18][22] Q&A Session Summary Question: R&D expense decline and future capitalization - Management noted that the decline in R&D expenses reflects cost-tightening measures and a shift in focus towards activities related to Asset Vault [30][31] Question: Customer acquisition pace amid macro uncertainty - Management indicated that while there have been delays due to market volatility, they are holding their guidance and seeing a rich environment for asset opportunities [34][35] Question: Backlog inclusion of recently announced projects - The current backlog does not include the recently announced projects in Albania, but these will be added to both the backlog and Asset Vault once finalized [40][45] Question: Increase in development pipeline - The increase in the development pipeline reflects stage four or five opportunities that have been shortlisted or awarded, with specific projects not disclosed [46]

Financial Performance - Q3 2025 revenue reached $33.3 million, a significant increase of approximately 27 times year-over-year[10, 12, 13] - Gross margin for Q3 2025 was 270%, compared to 403% in Q3 2024[10, 12, 13] - Adjusted EBITDA improved by 59% year-over-year, resulting in a loss of $60 million in Q3 2025 compared to a loss of $147 million in Q3 2024[10, 12, 13] - Total cash and cash equivalents increased by approximately 7% quarter-over-quarter to $619 million as of September 30, 2025[10, 12, 13] Commercial Pipeline and Backlog - The company's backlog as of September 30th reached $920 million, an increase of 112% year-to-date[10, 15] - The developed pipeline is valued at $21 billion[15] - Executed projects have generated $583 million in revenue since the company's IPO[15] Guidance and Strategy - The company reiterated its 2025 revenue guidance of $200 million to $250 million[17, 18] - The company anticipates a gross margin of 14-16% for the full year 2025[17, 18] - The company projects an ending cash balance of $75 million to $100 million for the full year 2025[17, 18]

Tariffs and Regulatory Environment - Energy Vault's B-Vault products are subject to a cumulative U.S. import tariff burden of approximately 155.9% due to recent tariffs on imports from China[230]. - The company faces significant risks from potential reinstatement of tariffs and ongoing legal challenges regarding tariff authority[232]. - The OBBBA enacted in July 2025 includes changes to federal income tax laws that could affect demand for battery energy storage systems[239]. - The Inflation Reduction Act (IRA) introduced tax incentives for standalone energy storage projects, enhancing market opportunities[238]. - The company is exploring alternative sourcing options to mitigate the impact of tariffs, as importing B-Vault products from non-Chinese suppliers has not been economically viable[235]. Business Development and Acquisitions - The company entered into a license and royalty agreement with an Indian infrastructure development company, expected to generate long-term recurring royalty revenue streams[253]. - The acquisition of Stoney Creek for approximately $2.9 million expands the company's portfolio with project rights to a 125 MW/1,000 MWh BESS in Australia[256]. - The company acquired 100% of SOSA, which has the rights to build a 150 MW/300 MWh BESS project in Texas, marking the first project acquired under the Asset Vault platform[260]. - Energy Vault established a joint venture with OIC, contributing 1.2 billion common units of Asset Vault in exchange for 300 million Series A preferred units and an initial cash contribution of $35 million, with potential further contributions up to $300 million[258]. Financial Performance - Revenue for the three months ended September 30, 2025 was $33.3 million, an increase of $32.1 million from $1.2 million for the same period in 2024, driven by a $30.9 million increase in energy storage product sales[291]. - Revenue for the nine months ended September 30, 2025 was $50.4 million, an increase of $37.6 million from $12.7 million in the same period in 2024, reflecting a $32.9 million increase in energy storage product sales[292]. - The company reported new bookings of $286.4 million for the three months ended September 30, 2025, compared to zero in the same period of 2024, and net bookings of $538.1 million for the nine months ended September 30, 2025, compared to $182.8 million in 2024[265]. - The backlog increased to $919.7 million as of September 30, 2025, from $433.9 million at the end of 2024, representing a significant growth in contracted but unrecognized revenue[265]. - The developed pipeline as of September 30, 2025, was valued at $2.1 billion, with a total of 8,712 MWh, compared to $2.1 billion and 9,194 MWh as of December 31, 2024[265]. Cost and Profitability - Cost of revenue includes product costs, materials, and subcontractor expenses, which are influenced by the prices of equipment and materials such as batteries and inverters[278]. - The company reported a gross profit margin that may vary due to the timing of equipment transfers and project stages, affecting overall profitability[280]. - Gross profit for the three months ended September 30, 2025 was $9.0 million, an increase of $8.5 million from $0.5 million for the same period in 2024[296]. - Gross profit margin decreased to 27.0% for the three months ended September 30, 2025 from 40.3% in the same period in 2024, primarily due to a shift to lower-margin energy storage product sales[298]. Operating Expenses - Sales and marketing expenses for the three months ended September 30, 2025 were $3.2 million, a decrease of $1.1 million from $4.3 million for the same period in 2024[300]. - Research and development expenses for the three months ended September 30, 2025 were $3.4 million, a decrease of $2.3 million from $5.7 million for the same period in 2024[302]. - General and administrative expenses for the three months ended September 30, 2025 were $19.8 million, an increase of $4.4 million from $15.4 million for the same period in 2024[305]. - Interest expense for the three months ended September 30, 2025 was $2.8 million, an increase of $2.7 million from $43 thousand for the same period in 2024[310]. Cash Flow and Financing - Cash provided by operating activities for the nine months ended September 30, 2025, was $0.9 million, a significant improvement compared to cash used of $21.0 million for the same period in 2024[361]. - Cash used in investing activities was $32.8 million for the nine months ended September 30, 2025, compared to $48.1 million for the same period in 2024[364]. - Cash provided by financing activities was $63.4 million for the nine months ended September 30, 2025, compared to $0.6 million for the same period in 2024[366]. - The company reported a $117.2 million inflow from debt financings during the nine months ended September 30, 2025[367]. - The Company raised $6.8 million from the sale of common stock under the Hudson Equity Purchase Agreement during the nine months ended September 30, 2025[326]. Losses and Future Outlook - The company experienced a net loss of $82.9 million for the nine months ended September 30, 2025, adjusted for $46.3 million in non-cash charges[362]. - The Company has incurred negative operating cash flows and operating losses historically and may continue to do so in the future[319]. - The company expects to remain an emerging growth company through the end of 2026, which may affect comparability with other public companies[378]. Commodity Price Risk - The company is exposed to commodity price risk, particularly for materials like cement, steel, aluminum, and lithium, which could impact operating margins[387].

Revenue and Profitability - Contract revenue backlog reached $920 million, up 112% year-to-date[1] - Q3 2025 revenue of $33.3 million, a 27x increase from $1.2 million in the prior year[4] - Revenue for the three months ended September 30, 2025, was $33,319 thousand, a significant increase from $1,199 thousand in the same period of 2024, representing a growth of 2,776%[20] - Gross profit for the nine months ended September 30, 2025, was $16,402 thousand, compared to $3,600 thousand for the same period in 2024, indicating a growth of 355%[20] - Q3 2025 GAAP gross profit of $9.0 million, up nearly 18x from $0.5 million in the prior year, with a gross margin of 27.0%[4] Expenses and Losses - Adjusted EBITDA loss narrowed 59% to $6.0 million from a loss of $14.7 million in the prior year[1] - The net loss for the nine months ended September 30, 2025, was $82,925 thousand, compared to a net loss of $73,954 thousand for the same period in 2024, representing a decline of 12%[22] - Cash and cash equivalents at the end of the period were $32,696 thousand, down from $51,124 thousand at the end of the same period in 2024, a decrease of 36%[22] - Operating expenses for the nine months ended September 30, 2025, totaled $83,026 thousand, consistent with $83,187 thousand for the same period in 2024, showing a slight decrease of 0.2%[20] - The company incurred interest expense of $5,392 thousand for the nine months ended September 30, 2025, compared to $89 thousand for the same period in 2024, a substantial increase[20] Cash and Assets - Cash balance as of September 30, 2025, was $61.9 million, reflecting a 7% sequential increase[4] - Total current assets increased to $103,243 thousand as of September 30, 2025, up from $68,905 thousand at December 31, 2024, reflecting a growth of 50%[18] - Targeting $75-100 million in total cash by the end of 2025, including recent Asset Vault capitalization[9] Equity and Liabilities - The company reported total liabilities of $201,334 thousand as of September 30, 2025, compared to $57,633 thousand at December 31, 2024, an increase of 249%[18] - The total stockholders' equity decreased to $80,549 thousand as of September 30, 2025, down from $126,256 thousand at December 31, 2024, a decline of 36%[18] Strategic Initiatives - Closed a $300 million preferred equity agreement for the launch of the 'Asset Vault' business[1] - Expected contribution of $100-150 million in recurring Adjusted EBITDA from Asset Vault Fund 1 by year-end 2029[1] - Announced agreement to deploy 1.8 GWh of Battery Energy Storage Systems (BESS) in Europe[1] - Full year 2025 revenue guidance estimated at $200-250 million, reflecting project timelines[9] Shareholder Information - The weighted average shares outstanding for Q3 2025 were 163,329,000, up from 150,812,000 in Q3 2024[28] - Stock-based compensation expense for Q3 2025 was $10,151,000, slightly down from $10,248,000 in Q3 2024, and for the nine months ended September 30, 2025, it was $28,411,000 compared to $29,436,000 in the prior year[29] Adjusted Metrics - Adjusted EBITDA for Q3 2025 was $(6,026,000), an improvement from $(14,652,000) in Q3 2024, while for the nine months ended September 30, 2025, it was $(30,950,000) compared to $(44,509,000) in the same period of 2024[29] - The company noted that adjusted EBITDA is not a measure of financial performance under GAAP and should not be considered as an alternative to net loss or other performance measures derived in accordance with GAAP[30]

WESTLAKE VILLAGE, Calif.--(BUSINESS WIRE)---- $NRGV--Energy Vault Holdings, Inc. (NYSE: NRGV) ("Energy Vault†or the "Company†), a global leader in grid-scale energy storage solutions, today announced the signing of a Framework Supply Agreement (FSA) with EU Green Energy LLC ("EU Green Energy†), a leading renewable energy developer in the Balkan region. The agreement covers the deployment of up to 1.8 GWh of Battery Energy Storage Systems (BESS) over the next four years, paving the way for broader suppor ...

Core Insights - Wall Street anticipates a year-over-year increase in earnings for Energy Vault Holdings, Inc. (NRGV) due to higher revenues, with actual results being crucial for stock price movement [1][2] - The earnings report is set to be released on November 10, and better-than-expected results could lead to a stock price increase, while disappointing results may cause a decline [2] Earnings Estimates - The consensus estimate predicts a quarterly loss of $0.03 per share, reflecting an 83.3% year-over-year improvement [3] - Expected revenues are projected at $33.4 million, representing a significant increase of 2683.3% compared to the same quarter last year [3] Estimate Revisions - The consensus EPS estimate has remained unchanged over the past 30 days, indicating stability in analyst expectations [4] - The Most Accurate Estimate aligns with the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [12] Earnings Surprise Prediction - A positive Earnings ESP is generally a strong indicator of an earnings beat, especially when combined with a favorable Zacks Rank [10] - Energy Vault currently holds a Zacks Rank of 4, complicating predictions for an earnings beat [12] Historical Performance - In the last reported quarter, Energy Vault was expected to post a loss of $0.07 per share but instead reported a loss of $0.22, resulting in a surprise of -214.29% [13] - Over the past four quarters, the company has only surpassed consensus EPS estimates once [14] Industry Comparison - Talen Energy Corporation (TLN), another player in the alternative energy sector, is expected to report an EPS of $3.84, indicating a year-over-year change of +134.2% [18] - Talen's revenues are projected at $701.64 million, up 7.9% from the previous year, but its EPS estimate has been revised down by 34.8% in the last 30 days, resulting in an Earnings ESP of -4.80% [19][20]

Core Insights - Energy Vault is evolving as an integrated energy storage Independent Power Producer (IPP) and has introduced a new investment platform called Asset Vault to enhance deployment and value creation in the energy transition [2]. Group 1 - The company is hosting a Virtual Investor and Analyst Day Webcast to provide insights into its strategy, business performance, and growth trajectories [1]. - A presentation related to Energy Vault's strategy is available on the investor website, and a replay of the webcast will be accessible later [3].

Summary of Energy Vault's 2025 Investor Day Company Overview - **Company**: Energy Vault (NYSE: NRGV) - **Event**: 2025 Virtual Investor and Analyst Day - **Focus**: Integrated energy storage Independent Power Producer (IPP) and introduction of Asset Vault, a new investment platform for energy transition [1][4] Key Points and Arguments Introduction of Asset Vault - Asset Vault is designed to accelerate deployment and value creation in energy transition [1][6] - It aims to enhance Energy Vault's role in operating critical energy storage infrastructure [6][10] Business Performance and Growth - Energy Vault has brought online 65 megawatts of projects and contracted an additional 275 megawatts [7] - Projects include the 125-megawatt Stony Creek project in Australia and the 150-megawatt Sosa Energy Center in Texas [8] - These projects are expected to generate approximately $40 million in annual recurring EBITDA over the next 24 months [9] Financial Outlook - A $300 million funding of non-dilutive preferred equity will enable up to 1.5 gigawatts of new deployments, equating to over $1 billion in capital expenditures [9] - Projected annual recurring EBITDA from Asset Vault alone is expected to reach $100 to $150 million within the next three to four years [9][21] Market Position and Strategy - Energy Vault's contract backlog has quadrupled to almost $1 billion, indicating strong demand for energy storage solutions [10][21] - The company is positioned to leverage its expertise in energy storage and grid management to support the growth of AI infrastructure [10][27] Collaboration with Crusoe Energy - Energy Vault is collaborating with Crusoe Energy to develop modular AI data center infrastructure projects [10][27] - This partnership aims to address the energy needs of large data centers, which are critical for the AI industry [27] Investment Strategy - Asset Vault will be capitalized through a combination of common stock issued to Energy Vault and preferred equity from Orion Infrastructure Capital (OIC) [32] - The capital structure is designed to minimize dilution and maintain control while facilitating project financing [32][38] Project Evaluation Criteria - Projects are evaluated based on developer reputation, project economics, project risk, and geography [54][56] - A scoring matrix is used to objectively assess projects, ensuring only those that meet internal hurdle rates are pursued [59][63] Revenue Structure - The targeted revenue mix aims for 75% contracted revenue from investment-grade offtakes and 25% merchant exposure to capture upside [64] - This balance allows for stable cash flows while also taking advantage of market volatility [64][66] Additional Important Insights - Energy Vault's technology-agnostic software platform enables the deployment of various technologies tailored to specific applications [19] - The company has a strong focus on R&D and core technologies while shifting towards owning and operating energy storage assets [45] - The anticipated growth in energy storage demand is projected at a CAGR of approximately 28% through 2030, significantly outpacing electricity demand growth [12][13] Conclusion - Energy Vault is strategically positioned to capitalize on the growing demand for energy storage solutions, particularly in the context of the AI infrastructure boom [10][27] - The introduction of Asset Vault and collaborations with key partners like Crusoe Energy are expected to enhance the company's growth trajectory and shareholder value [10][27][21]