Financial Data and Key Metrics Changes - Consolidated revenues for Q4 2025 rose 37% to $7.2 million from $5.3 million in the prior year period, driven by growth in both APC and FUEL CHEM segments [23] - Full year 2025 consolidated revenue increased 6% to $26.7 million, with FUEL CHEM segment revenue rising 28% to $17.8 million [26] - Consolidated gross margin for 2025 rose to 46% from 42% in 2024, with higher margins for both FUEL CHEM and APC segments [27] Business Line Data and Key Metrics Changes - APC segment revenues increased 37% to $2.4 million in Q4 2025, primarily due to project completion timing [23] - FUEL CHEM segment generated a 37% increase in revenue to $4.9 million in Q4 2025, reflecting contributions from legacy portfolio and a new demonstration program [23] - APC segment backlog at the end of 2025 was $7 million, up from $6.2 million at the end of 2024 [24] Market Data and Key Metrics Changes - The company secured $8.8 million in APC awards during 2025 from new and existing customers in the U.S., Europe, and Southeast Asia [8] - The sales pipeline for data center opportunities is estimated at $75 million-$100 million, indicating strong demand for emissions control solutions [10] Company Strategy and Development Direction - The company is focusing on expanding its air pollution control business, particularly in data center development and construction [5] - A strategic acquisition of Wahlco, Inc. has strengthened the company's technology portfolio and broadened its customer base [9] - The company aims to convert demonstration programs into commercial contracts, particularly in the FUEL CHEM segment [21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the potential for revenue growth in 2026, expecting FUEL CHEM to maintain 2025 revenue levels and APC to exceed 2025 performance [22] - The regulatory environment is evolving, with potential rollbacks of certain regulations that could extend the life of coal and natural gas-fired units, which may benefit the company [14][15] Other Important Information - The company maintained a strong financial position with cash and investments of nearly $32 million at year-end and no debt [5] - Operating loss narrowed to $3.7 million for 2025, compared to a loss of $4.7 million in 2024, reflecting higher segment revenues [29] Q&A Session Summary Question: Data center opportunity and reliance on integrators - Management indicated that they are not yet specifically designed in with operators but are establishing themselves as trusted partners for pollution control systems [36] Question: Impact of EPA regulations on existing plants - Management noted it is too early to assess the impact of recent regulatory rollbacks but emphasized that these do not affect opportunities related to nitrogen oxide reduction [41] Question: Potential customers in FUEL CHEM segment - Management expressed optimism about converting demonstration contracts to commercial agreements and mentioned ongoing discussions for additional opportunities [44] Question: Revenue expectations from DGI - Management expects to recognize small revenue from DGI rentals and hopes for a system sale by the end of 2026, which would help in further commercializing DGI [52]

Financial Data and Key Metrics Changes - Full year 2025 revenue nearly doubled year-over-year to $622 million, while Adjusted EBITDA of $244 million more than doubled [7] - In the fourth quarter, Solaris generated revenue of nearly $180 million and Adjusted EBITDA of $69 million, with Adjusted EBITDA nearly doubling compared to the same quarter of 2024 [22] Business Line Data and Key Metrics Changes - Solaris Power Solutions segment has become the primary growth engine, accounting for roughly 70% of earnings, expected to rise to 90% [7] - Segment Adjusted EBITDA for the power solutions segment was $53 million, a modest decrease from the third quarter due to costs associated with timing and mix impact [23] - The Logistics Solutions segment contributed over $80 million of free cash flow in 2025, with an average of 93 fully utilized systems, an increase of 11% from the third quarter [11][23] Market Data and Key Metrics Changes - The four largest global technology companies have guided to combined capital expenditures exceeding $600 billion in 2026, focused primarily on data center infrastructure and compute, a 70% increase from 2025 levels [11] - Solaris is positioned to capitalize on the surging demand for reliable, scalable power, particularly in the data center sector [11] Company Strategy and Development Direction - Solaris is focused on growing and diversifying its services and solutions business through new products, services, and targeted investments [5] - The company is strategically building capabilities through organic growth and targeted acquisitions, enhancing its engineering and operational capabilities [14][15] - Emissions controls are a focus area, with investments made to enhance capabilities in this sector [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing demand for power solutions, indicating that there is more demand than capacity available [18] - The regulatory environment is seen as favorable, particularly with recent amendments that support behind-the-meter solutions [17] - Management anticipates significant growth opportunities in 2026, with a strong pipeline of negotiations for additional capacity [18] Other Important Information - Solaris has strengthened its balance sheet through capital raises and has established financing for joint ventures, providing significant interest cost savings and financial flexibility [20][21] - The company is fully funded for expected deliveries to reach 2,200 MW of power generation [21] Q&A Session Summary Question: Status of negotiations with additional customers for remaining capacity - Management confirmed active negotiations with multiple customers, expressing confidence in closing additional contracts soon [31][32] Question: Value uplift from additional services like emissions control - Management indicated potential returns on capital could range from 20% to 50% per megawatt depending on the scope of additional services [34] Question: Capacity expansion plans for 2027 and 2028 - Management confirmed plans for additional capacity in 2027 and 2028, aimed at supporting new opportunities [40] Question: Impact of EPA's Quad K amendment - Management viewed the amendment as a positive regulatory tailwind that enhances the company's ability to operate in a behind-the-meter capacity [42] Question: Discussions on incremental 400 MW capacity - Management indicated discussions are ongoing with varying demand levels, from 100 MW to 2-3 GW, with a focus on closing contracts in the 400 MW range [90][91] Question: Pricing strategy in light of rising electricity costs - Management noted that customers understand the pricing dynamics and that they can hedge against rising costs through long-term contracts [92]