The quarter materially exceeded the standing EPS expectation. Published consensus was roughly $0.25 per share, versus Ormat’s $0.50 adjusted diluted EPS and $0.43 GAAP diluted EPS; even after a $6.6 million storage-project write-off, GAAP earnings cleared expectations.
| Metric | Q2 2026 | Comparison / expectation |
|---|---|---|
| Adjusted diluted EPS | $0.50 | Published consensus: approximately $0.25 |
| GAAP diluted EPS | $0.43 | Prior-year quarter: $0.46 |
| Adjusted net income | $31.0 million | Prior-year quarter: $29.1 million |
| Adjusted EBITDA | $143.9 million | Up 6.9% year over year |
| Energy Storage revenue growth | 195.1% | Year over year |
| Product segment gross margin | 9.7% | Lower because of European project costs and foreign-exchange effects |
| Quarterly dividend | $0.12 per share | Next-quarter dividend expected at $0.12 |
Underlying operations were stronger than the headline GAAP decline suggests. Adjusted net income rose to $31.0 million from $29.1 million, while adjusted EBITDA reached $143.9 million; the principal drag on reported earnings was the one-time storage write-off rather than deterioration across the operating base (Adjusted net income and Adjusted EBITDA reconciliation).
Energy Storage supplied the biggest upside, but its quality is partly market-dependent. Revenue nearly tripled as high asset availability, added capacity, and strong PJM merchant pricing lifted results; that is a meaningful performance improvement, though merchant exposure makes the contribution less contracted and potentially less repeatable than Ormat’s traditional power-generation revenue (Segment results — Energy Storage).
The raised full-year outlook is the most important forward signal. Management increased 2026 revenue and Adjusted EBITDA guidance after the first-half performance, while the filing cites 202 MW of electricity projects and 497 MW / 1,888 MWh of storage projects under construction or development. The filing excerpt does not provide the new guidance ranges, so the size of the revision cannot be quantified (Management outlook; Development pipeline).
The net read is clearly better than expected, despite two contained blemishes. Product-segment revenue timing and a 9.7% product gross margin create a second-half execution risk, and the storage write-off shows that not every development project will proceed. But those issues are outweighed by the large adjusted-EPS upside, stronger storage performance, and higher full-year guidance (Segment results — Product; Net income attributable to stockholders).
Read the original 8-K on SEC EDGAR ↗