Financial Data and Key Metrics Changes - Total revenue for Q3 FY2025 was over $74 million, exceeding guidance and representing a growth of over 20% year-over-year [4][5] - Gross margins were above 30% for the third consecutive quarter, specifically at 31%, compared to 27% in the same quarter last year [10][12] - Net income for Q3 FY2025 was $117.8 million, or $2.68 per share, with a non-GAAP net income of $123.5 million, or $2.81 per share [12] Business Line Data and Key Metrics Changes - The Grid business unit accounted for 85% of total revenues, generating $63.2 million, a 21% increase year-over-year [9][10] - The Wind business unit contributed 15% of total revenues, with revenues of $11.3 million, reflecting a 25% increase compared to the previous year [9][10] Market Data and Key Metrics Changes - Revenue from traditional energy represented nearly one-third of shipments, while renewables accounted for about one-quarter [6] - Military and utility markets each contributed over 15% to total revenue, with materials, including semiconductors, making up more than 10% [6] Company Strategy and Development Direction - The acquisition of Comtrafo is expected to strengthen the company's position in utilities and expand market reach in Brazil and Latin America [17] - The company aims to capitalize on growing demand for energy and the need for a stable grid, focusing on diverse markets including data centers and traditional energy [18][19] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's ability to deliver consistent profits and achieve record-breaking revenue levels [15][16] - The company is well-positioned to take advantage of end-market demands and is developing business opportunities across various sectors [18] Other Important Information - A significant tax benefit of $113.1 million was recorded due to the release of a valuation allowance on deferred tax assets [12] - The company ended the quarter with $147.1 million in cash, following the acquisition of Comtrafo, which cost $88.3 million [13] Q&A Session Summary Question: Data center opportunity details - The company delivered a solution for a data center project, which represented about 5% of revenue for the quarter, and sees potential for further opportunities in this market [24][26] Question: Growth potential in data centers - The solution has been delivered but is not yet operational; the company is optimistic about future orders based on this initial success [28][29] Question: Traditional energy market dynamics - Traditional energy is viewed as a persistent demand area, insulated from cyclical swings, with opportunities in cleaner energy solutions [36] Question: Updates on labor and capacity - The company is effectively utilizing its factories and may need to expand capabilities, particularly in Brazil, to meet growing demand [39] Question: Cross-selling opportunities in various markets - The company is focused on selling combined solutions across multiple sectors, including mining and traditional energy, rather than just cross-selling [46][47] Question: Military opportunities and sales pipeline - Military revenue was over 15% for the quarter, with persistent long-term opportunities in critical infrastructure [58] Question: R&D roadmap and product evolution - The company is focused on understanding customer needs and evolving its product suite to address challenges in various applications [60]

Financial Data and Key Metrics Changes - In Q4 FY2025, total revenues increased to $55 million from $49.3 million in the prior year, representing a 12% increase [18] - The net loss attributable to common stockholders decreased to $30.7 million from $42.2 million in Q4 FY2024, resulting in a net loss per share of $0.85 compared to $2.21 [20][21] - For FY2025, total revenues were $158.2 million, up from $112.1 million in FY2024, a 41% increase [21] - The net loss attributable to common stockholders for FY2025 was $191.1 million compared to $129.2 million in FY2024, with a net loss per share of $7.42 compared to $7.83 [22][23] - Adjusted EBITDA improved to negative $74.4 million in FY2025 from negative $101.1 million in FY2024, reflecting a 26% reduction [23] Business Line Data and Key Metrics Changes - Product revenues in Q4 FY2025 were $30 million, up from $25.4 million in the prior year, driven by long-term service agreements [24] - Service agreement revenues increased to $7.3 million from $5.6 million, primarily due to the GGE agreement [24] - Generation revenues slightly increased to $12.2 million from $12 million, reflecting higher output from the generation portfolio [24] - Advanced technology contract revenues decreased to $5.5 million from $6.4 million [24] Market Data and Key Metrics Changes - The backlog increased by approximately 2.6% to $1.19 billion compared to $1.16 billion as of October 31, 2024, due to new projects and service agreements [27] - The company has over 100 megawatts of power projects in South Korea in its backlog, with another 100 megawatts under MOU [14] Company Strategy and Development Direction - The company is focused on scaling manufacturing capacity and aims to achieve positive Adjusted EBITDA at an annualized production rate of 100 megawatts per year [8][16] - The strategy includes leveraging partnerships, such as the $25 million financing from Exxon for projects in Korea, to support growth [9][28] - The company is committed to addressing the growing demand for clean, reliable power driven by data centers and digital infrastructure [6][10] Management's Comments on Operating Environment and Future Outlook - Management believes the demand for power is accelerating due to the growth of AI and data centers, presenting significant business opportunities [5][6] - The company is optimistic about entering FY2026 with strong momentum, focusing on converting its pipeline into executed contracts [10][18] - Management highlighted the importance of policy certainty and the investment tax credit in improving project economics and supporting long-term adoption [9][68] Other Important Information - The company ended FY2025 with cash, restricted cash, and cash equivalents of $341.8 million, providing a strong liquidity position [28] - The company plans to spend between $20 million and $30 million on capital expenditures in FY2026 to support expansion efforts [73] Q&A Session Summary Question: What is the growth outlook for 2026? - Management indicated that there are hundreds of megawatts of pricing proposals across the digital infrastructure ecosystem, with opportunities expected to materialize in 2026 [31] Question: How long will it take to scale capacity to 350 megawatts? - Management expects that scaling to 350 megawatts can happen in a timeframe of less than 18 months with modest capital investment [34] Question: What is the status of data center traction and potential bottlenecks? - Management reported strong interest in their distributed generation platform and modularity, with no significant constraints in delivering power solutions [40] Question: What is the update on ExxonMobil and carbon capture opportunities? - Management confirmed that they are set to demonstrate technology for capturing CO2 while producing power and hydrogen at Exxon's Rotterdam refinery in late 2026 [45] Question: What changes have been observed in the South Korean market? - Management noted strong momentum in repowering existing installations and ongoing partnerships, indicating a positive outlook for the South Korean market [49] Question: Are there any carbon capture opportunities with other players? - Management is engaged in discussions for carbon recovery with various industrial customers, emphasizing the low emission profile of their technology [51][52] Question: What are the main hurdles for securing data center customers? - Management clarified that the main challenge is the shift in procurement models rather than customer readiness, as data centers increasingly require on-site generation [57]