Spruce Power Holding Corp (SPRU) 2025 Q4 法說會逐字稿

Thank you for standing by. My name is [Jordan]. I'll be your conference operator today.

感謝您耐心等候。我的名字是[Jordan]。我將擔任今天的電話會議接線員。

At this time, I would like to welcome everyone to the Spruce Power fourth-quarter 2025 earnings results conference call.

此時，我謹代表主辦方歡迎各位參加 Spruce Power 2025 年第四季財報電話會議。

(Operator Instructions)

(接線員指示)

I would now like to turn the conference over to Julia Gasbarre, Corporate Development and Investor Relations. You may begin.

現在我想將會議交給企業發展與投資人關係部的 Julia Gasbarre。您可以開始了。

Thank you, operator. Good afternoon, everyone. Welcome to Spruce Power's fourth-quarter and full-year 2025 earnings conference call.

謝謝，接線員。各位下午好。歡迎參加 Spruce Power 2025 年第四季及全年財報電話會議。

Joining me today are Chris Hayes, Spruce's Chief Executive Officer; and Tom Cimino, the company's Chief Financial Officer.

今天與我一同出席的有 Spruce 執行長 Chris Hayes，以及公司財務長 Tom Cimino。

Before we begin, I would like to remind you that we will comment on our financial performance using both GAAP and non-GAAP financial measures. Important information about these non-GAAP financial measures, including reconciliations to comparable GAAP measures, is included in our earnings release for the fourth quarter of 2025, which is available on the Investor Relations section of our website.

在開始之前，我想提醒各位，我們將使用 GAAP 與非 GAAP 財務衡量指標來評論我們的財務表現。關於這些非 GAAP 財務衡量指標的重要資訊（包括與可比 GAAP 指標的調節表）已載於我們 2025 年第四季的財報新聞稿中，該新聞稿可於我們網站的投資人關係專區取得。

Our discussion today will also include forward-looking statements that reflect management's current expectations and are subject to risks and uncertainties that could cause actual results to differ materially. Please refer to our earnings release and SEC filings for a discussion of these risk factors.

我們今天的討論也將包含前瞻性陳述，反映管理層目前的預期，並受可能導致實際結果出現重大差異的風險與不確定性影響。有關這些風險因素的討論，請參閱我們的財報新聞稿與向 SEC 提交的文件。

With that, I will now turn the call over to Chris Hayes, Chief Executive Officer of Spruce Power. Chris?

接下來，我將把電話交給 Spruce Power 執行長 Chris Hayes。Chris？

Thanks, Julia. Good afternoon, everyone.

謝謝，Julia。各位下午好。

2025 was a breakout year for Spruce. Our fourth quarter capped it with exceptional momentum across the business. I could not be prouder of what our team accomplished. We delivered strong growth; significantly expanded margins; and fundamentally improved the efficiency and scalability of our platform.

2025 年對 Spruce 而言是突破性的一年。我們第四季以全業務的卓越動能為全年畫下句點。我對團隊所完成的成果感到無比自豪。我們實現了強勁成長；顯著擴大了利潤率；並從根本上提升了平台的效率與可擴展性。

For the fourth quarter, revenue was approximately $24 million, up 19%, year over year. Operating EBITDA exceeded $17 million, reflecting both portfolio growth and meaningful cost improvements.

就第四季而言，營收約為 2,400 萬美元，年增 19%。營運 EBITDA 超過 1,700 萬美元，反映投資組合成長以及顯著的成本改善。

For the full year, revenue increased 36% versus 2024, underscoring the strength of our platform and the impact of the NJR acquisition. Importantly, this growth was accompanied by substantial operating leverage.

就全年而言，營收較 2024 年增加 36%，凸顯我們平台的實力以及 NJR 收購案的影響。重要的是，這項成長伴隨著可觀的營運槓桿。

In the fourth quarter, O&M expense declined 64% year over year. SG&A declined 16%, as we executed on our cost-optimization initiatives. These gains are structural in nature and position us to drive continued margin expansion, as we scale.

第四季 O&M 費用年減 64%。在我們推動成本優化計畫的執行下，SG&A 年減 16%。這些改善具有結構性，並使我們在擴大規模的同時，得以持續推動利潤率擴張。

We saw a meaningful inflection in cash generation. Adjusted cash flow from operations was positive $5.1 million in the quarter compared to negative $4.1 million in the prior year period, reflecting both improved operating performance and the growing contribution from our portfolio.

我們在現金創造方面出現明顯拐點。本季調整後營運活動現金流為正 510 萬美元，較去年同期的負 410 萬美元改善，反映營運表現提升以及投資組合貢獻增加。

At the same time, we continued to delever, repaying $35.1 million of debt during 2025, increasing our enterprise value.

同時，我們持續去槓桿化，於 2025 年償還 3,510 萬美元債務，提升了企業價值。

The shift in our operating income underscores our breakout year. For the full-year 2025, income from operations was positive $17.9 million compared to negative $50.4 million in the prior year. Operating EBITDA was $80.1 million for the full-year 2025, a 49% increase versus 2024.

我們營業利益的轉變凸顯了這個突破性的一年。2025 年全年營業利益為正 1,790 萬美元，較前一年的負 5,040 萬美元大幅改善。2025 年全年營運 EBITDA 為 8,010 萬美元，較 2024 年增加 49%。

Taken together, these results demonstrate the strength of our model, a growing base of long-term contracted cash flows, improving unit economics, and a platform that become more efficient, as it scales.

綜合而言，這些結果展現了我們模式的強韌性、長期合約現金流的持續擴大、單位經濟效益的改善，以及平台在擴大規模時變得更有效率。

Before turning to our strategy, I want to address our financing process and the going-concern disclosure you will see in our upcoming 10-K. As part of our capital strategy, we made a deliberate decision to extend our existing SP1 facility to create additional flexibility, as we evaluate a broader refinancing opportunity.

在談到我們的策略之前，我想先說明我們的融資流程，以及您將在即將發布的 10-K 中看到的持續經營（going-concern）揭露。作為資本策略的一部分，我們做出審慎決策，延長現有的 SP1 融資安排，以在評估更廣泛的再融資機會時創造額外彈性。

Rather than a near-term single portfolio solution, we chose to position the company to execute a more comprehensive transaction that could include SP1, SP2, and SP3. With the SP1 extension now complete, we are moving aggressively on a more comprehensive solution.

我們並未選擇短期內針對單一投資組合的解決方案，而是讓公司具備執行更全面交易的條件，該交易可能涵蓋 SP1、SP2 與 SP3。隨著 SP1 展延現已完成，我們正積極推進更全面的解決方案。

We believe this approach maximizes optionality, enhances long-term financing efficiency, and better aligns our capital structure with the scale of the platform we have built.

我們相信此作法可最大化選擇性、提升長期融資效率，並使我們的資本結構更能與已建立的平台規模相匹配。

The going-concern disclosure is driven by accounting requirements related to the timing of this process. It is not reflective of our operating performance or lender engagement.

持續經營揭露係由於與此流程時點相關的會計要求所致。這並不反映我們的營運表現或與貸方的互動情況。

We are encouraged by the level of interest and support we have seen; and remain confident in our ability to execute a financing solution that strengthens the business and supports future growth.

我們對所看到的高度興趣與支持感到鼓舞；並仍對我們有能力完成一項能強化業務並支持未來成長的融資方案充滿信心。

Looking ahead, our strategy remains focused on three key growth drivers:

展望未來，我們的策略仍聚焦於三項關鍵成長驅動因素：

First, acquiring installed residential solar portfolios, where our platform can unlock incremental value through operational improvements.

第一，收購已安裝的住宅太陽能投資組合，我們的平台可透過營運改善釋放額外價值。

Second, expanding programmatic partnerships with developers and originators, allowing us to efficiently grow our asset base.

第二，擴大與開發商及資產來源方的計畫型合作夥伴關係，使我們能有效率地擴大資產基礎。

Third, scaling Spruce PRO, our capital-light servicing platform, which we believe represents a significant and underappreciated opportunity to grow revenue; and expand margins without deploying capital.

第三，擴大 Spruce PRO（我們的輕資本服務平台）的規模；我們相信這代表一個重大且尚未被充分重視的機會，可在不投入資本的情況下提升營收並擴大利潤率。

Across each of these areas, our operating capabilities, cost structure, and experience managing distributed solar assets position us to execute at scale.

在上述各領域，我們的營運能力、成本結構，以及管理分散式太陽能資產的經驗，使我們具備以規模化方式執行的優勢。

In closing, we exited 2025 with strong momentum, improved profitability, solid cash position, and a clear path to continued growth. We are confident in the trajectory of the business and excited about the opportunities ahead in 2026.

總結而言，我們在 2025 年底展現強勁動能、獲利能力提升、現金部位穩健，且具備持續成長的清晰路徑。我們對業務發展軌跡充滿信心，並對 2026 年的機會感到振奮。

With that, I'll turn the call over to Tom.

接下來，我把電話交給 Tom。

Thanks, Chris. Good afternoon, everyone.

謝謝，Chris。各位下午好。

I'll begin with our fourth-quarter financial results:

我先從第四季財務結果開始：

For the fourth -quarter 2025, revenue totaled $24 million compared to $20.2 million in the fourth quarter of 2024. The increase was, again, primarily attributable to the residential solar portfolio acquired from NJR in November 2024, as well as higher solar renewable energy credit revenue.

2025 年第四季營收合計 2,400 萬美元，較 2024 年第四季的 2,020 萬美元增加。這項增長同樣主要歸因於我們於 2024 年 11 月自 NJR 收購的住宅太陽能投資組合，以及太陽能再生能源憑證（SREC）收入增加。

Sequentially, revenue declined from the third quarter, which is consistent with the seasonal pattern of solar production and customer payments, particularly during the winter months, when solar generation is lower.

就季比而言，營收較第三季下滑，這與太陽能發電量及客戶付款的季節性模式一致，尤其在冬季月份太陽能發電較低。

Turning to expenses, total operating expense was $21.8 million for the quarter compared to $26.7 million in the year-earlier period.

接著看費用方面，本季總營運費用為 2,180 萬美元，較去年同期的 2,670 萬美元下降。

Core operating expenses, which include SG&A and O&M, totaled $14.9 million compared with $20.7 million in the fourth quarter of 2024. Breaking that down further, SG&A expenses were $13 million; O&M expenses were $1.9 million.

核心營運費用（包含 SG&A 與 O&M）合計 1,490 萬美元，較 2024 年第四季的 2,070 萬美元下降。進一步拆分，SG&A 費用為 1,300 萬美元；O&M 費用為 190 萬美元。

The year-over-year improvement reflects the early stages of our project streamline and its impact on SG&A, as we focus on reducing recurring costs. Regarding O&M costs for the year-over-year period, both the completion of our meter upgrade activities, as well as continued efficiencies and cost discipline across the business, contributed to the favorable variance.

年對年改善反映了我們專案精簡計畫的早期階段及其對SG&A的影響，因為我們專注於降低經常性成本。就年對年期間的O&M成本而言，我們電表升級活動的完成，以及全公司持續提升效率與成本紀律，均促成了有利的差異。

Operating EBITDA for the quarter was $17 million, up from $10.8 million in the fourth quarter of 2024, primarily reflecting the contribution of the NJR portfolio, as well as improvements in the company's operating cost structure.

本季營運EBITDA為1,700萬美元，高於2024年第四季的1,080萬美元，主要反映NJR投資組合的貢獻，以及公司營運成本結構的改善。

Now, moving on to the balance sheet and liquidity, adjusted cash flow from operations was $5.1 million for the quarter compared with a negative $4.1 million in the prior year period. Cash flow from operations can fluctuate quarter to quarter due to both seasonal solar generation patterns and timing of certain debt service payments. Despite these fluctuations, the underlying cash generation from our portfolio remains stable and continues to support the ongoing paydown of debt principal.

接著談資產負債表與流動性，本季經調整的營運活動現金流為510萬美元，較去年同期的負410萬美元為佳。營運活動現金流可能因季節性太陽能發電型態，以及部分債務償付付款時點，而在各季之間波動。儘管有這些波動，我們投資組合的基礎現金創造仍然穩定，並持續支持債務本金的持續償還。

We continue to repay debt principal, paying $10.1 million during the quarter and $35.1 million for the year.

我們持續償還債務本金，本季支付1,010萬美元，全年支付3,510萬美元。

We closed the year with a total of $93.1 million in [cash]. That compares to $98.8 million at the end of the third quarter and approximately $90 million at the end of the second quarter. The modest sequential change primarily reflects the timing of debt service, as we pay the mezzanine debt service semi-annually.

我們在年底的總[現金]為9,310萬美元。相較之下，第三季末為9,880萬美元，第二季末約為9,000萬美元。小幅的連續變動主要反映債務償付的時點，因為我們的夾層債務償付為每半年一次。

Total outstanding principal debt, as of December 31, 2025, was $695.5 million, with a blended interest rate of approximately 6.1%, including the impact of our hedge arrangement.

截至2025年12月31日，未償還的債務本金總額為6億9,550萬美元，混合利率約為6.1%，已包含我們避險安排的影響。

As Chris discussed earlier, we strategically entered into an extension of our SP1 facility, which gives us maximum optionality and a runway to focus on a broader refinancing transaction across multiple portfolios. We extended the terms to January 30, 2027, with the stipulation that we have a term seat by October 30, 2026.

如Chris先前所述，我們策略性地延長了SP1融資工具的期限，這讓我們擁有最大的選擇彈性與時間跑道，以專注於跨多個投資組合的更廣泛再融資交易。我們將期限延長至2027年1月30日，但條件是我們必須在2026年10月30日前取得一筆定期融資。

Looking ahead, we intend to build on the millennium we established in the second half of 2025. We look to continue to reduce costs and further improve our recurring run-rate core expense profile, as we fully implement our streamlined savings, while pursuing modest disciplined growth.

展望未來，我們打算在2025年下半年所建立的動能基礎上再接再厲。在全面落實精簡節省措施、並追求適度且有紀律的成長之際，我們將持續降低成本，並進一步改善經常性、按運行率計算的核心費用結構。

With that, I'll turn the call back over to Chris for closing comments.

接下來，我把電話交回給Chris做結語。

Thanks, Tom.

謝謝，Tom。

To summarize, our fourth-quarter and full-year results reflect continued progress executing our strategy. We remain focused on generating stable cash flow from our operating portfolio; improving the efficiency of our platform; and pursuing disciplined growth opportunities through portfolio acquisitions, programmatic partnerships, and the continued expansion of Spruce PRO.

總結而言，我們第四季與全年業績反映出我們在執行策略上持續取得進展。我們仍專注於：從營運中的投資組合產生穩定現金流；提升平台效率；並透過投資組合收購、計畫性合作夥伴關係，以及Spruce PRO的持續擴張，追求有紀律的成長機會。

We appreciate the continued support of our investors and look forward to updating you again next quarter.

我們感謝投資人持續的支持，並期待在下個季度再次向各位更新。

Operator, please open the line for any questions.

接線員，請開放線路供提問。

(Operator Instructions)

（接線員指示）

[Will Hamilton, Castro Virgin Partners].

[Will Hamilton，Castro Virgin Partners]。

Congrats on the strong cash flow.

恭喜現金流表現強勁。

I was just wanted to see if I could get a little bit more color on the revenue buckets. How much was SREC during the quarter in the services revenue since those have been larger-growth contributors?

我想再多了解一下營收分類的細節。本季在服務營收中，SREC的金額是多少？因為這些一直是成長貢獻較大的項目。

Yeah. Well, appreciate it. Thanks for the compliment on the quarter.

好的。嗯，謝謝。也謝謝你對本季表現的稱讚。

The K you'll see will break out the revenue by component. The SREC revenue for the year was $21 million. The system, either leases or PPA, revenue was $78 million.

你會在K表中看到按組成項目拆分的營收。全年SREC營收為2,100萬美元。系統（不論是租賃或PPA）營收為7,800萬美元。

But keep in mind: The SP4 revenue is consistent with every quarter. That revenue is reported below the line as interest income. That's just due to the accounting nuance and requirements to record that revenue as actually interest income.

但請記住：SP4的營收每季都一致。該營收在損益表中列於線下，作為利息收入呈報。這只是因會計處理的細節與要求，必須將該營收實際記錄為利息收入。

But you can see it in the cash flow statement as cash coming in. That's the breakdown.

但你可以在現金流量表中看到現金流入。以上就是拆分。

Okay. And then, with Spruce PRO, how would you characterize, like, the pipeline of adding new business there to grow that?

了解。另外，關於Spruce PRO，你會如何描述新增業務以推動成長的管線狀況？

Yeah. I would say, overall, we have a robust pipeline that's made up of what we call a few large [WALEs] some smaller opportunities. We've been super active in the market.

是的。我會說整體而言，我們有一個強勁的管線，包含我們所稱的幾個大型[WALEs]以及一些較小的機會。我們在市場上非常活躍。

Obviously, we didn't announce anything in the quarter. But we are hopeful there will be announcements in the near term and are very aggressive in that space.

顯然，我們本季沒有宣布任何事項。但我們希望近期會有公告，並且在這個領域非常積極進取。

Okay. And then, last question is just more on the M&A, which hard to answer. But, like, you haven't done anything too recent. I was just wondering what is the pipeline, like, for that. But is it also now tied to the debt consolidation deal that you're working on?

了解。最後一個問題是關於併購，這可能很難回答。但你們最近沒有做太多交易。我想了解一下目前的管線大概如何。另外，這是否也與你們正在推進的債務整合交易有所連動？

Yeah. I'll answer them separately but talk about any interplay between the two.

好的。我會分開回答，但也會談談兩者之間是否有任何相互影響。

We do have a super active pipeline. We've done 13 acquisitions over a number of years.

我們確實有非常活躍的管線。多年來我們已完成13項收購。

Having been active in the market, we get phone calls. We're always beating the bushes.

由於我們在市場上一直很活躍，我們會接到電話。我們也一直在積極尋找機會。

We are underwriting a number of deals. Whether we get to closing remains to be seen. But that is certainly the objective.

我們正在對多筆交易進行承作評估。是否能完成交割仍有待觀察。但這當然是我們的目標。

As it relates to the SP1 strategic extension that we chose, no, there is not an interplay with that; and either helping or hurting any strategic growth acquisitions that operate independently.

至於我們選擇的SP1策略性延長，沒有，這兩者之間沒有連動；不會對任何策略性成長收購造成幫助或阻礙，因為它們是獨立運作的。

Got it. Okay. Thank you for your time.

明白了。好的。謝謝你撥冗。

Appreciate it, Will. Thanks.

謝謝，Will。感謝。

There are no further questions.

沒有其他問題。

I'd like to now turn the call back over to Julia Gasbarre for closing remarks.

現在我想把電話交回給Julia Gasbarre做結語。

Thanks, operator.

謝謝，接線員。

Thank you, everyone, for joining us today and for your continued support.

感謝各位今天參與，並感謝各位持續的支持。

If you have any questions, please reach out to the Investor Relations team.

如有任何問題，請聯繫投資人關係團隊。

This concludes our call.

本次電話會議到此結束。

This concludes today's meeting. You may now disconnect.

今天的會議到此結束。您現在可以掛線。