Solaris Energy Infrastructure, Inc. Q4 FY2025 earnings call

Bill Zartler mentioned 2025 was a meaningful step forward with successful execution of strategy, Power and Logistics segments contributing. Amanda Brock talked about opportunities in power sector like molecule to electron, emissions controls. Kyle Ramachandran reviewed fourth quarter results, outlook for next quarters, and introduced new CFO Steve Tompsett.

2025 full year revenue nearly doubled year - over - year to $622 million, while adjusted EBITDA of $244 million more than doubled. Power Solutions has become the primary growth engine, accounting for roughly 70% of earnings and heading to 90% contribution. Logistics Solutions contributed over $80 million of free cash flow in 2025. In the fourth quarter, Logistics Solutions saw activity levels increase with top - fill system utilization rate in the mid - 90% in Q4 and nearing 100% in Q1.

Total adjusted EBITDA guidance for Q1 is now $72 million to $77 million, up from prior guidance. Second quarter 2026 total adjusted EBITDA guidance is $76 million to $84 million. Expect pro forma total company earnings of over $600 million before additional project scope or growth.

Q: Congratulations on the new customer announcement here, but I do have to ask, where do negotiations stand with additional customers now to allocate your remaining capacity, if you could elaborate on that and what potential timing might be possible?

A: Well, we're in very active dialogue, and I think it tees up the discussion. We really have the history and operating philosophy of focusing on announcing deals when they're completed and done. The pipeline is extremely active. We have lots of paper flying back and forth with multiple customers, but our goal is to deliver to the public and to our shareholders signed and completed contracts that have a lot of meat in them. So the dialogue is active, and we feel very confident that we've got plenty more demand than supply, as Amanda referred to, and that we'll be seeing things unfold in due time.

Q: Also congrats on your recent hyperscaler contract. Perhaps Amanda, in your prepared remarks, you noted you're in advanced negotiations to contract your remaining open capacity and are actively pursuing new capacity additions to support incremental opportunities. Regarding the new capacity, are you attempting to solve for new capacity in 2027 or early 2028? And then secondly, is that really to expand with your current customers? Or is it really to add a third hyperscaler to the opportunity set?

A: Thanks for the question, Derrick. And yes, capacity is something we've been talking about for a long time. We made it very clear that the 2.2 gigawatts was not where we were going to stop. We also, as you know, have talked about through all of our acquisitions, got a lot of domain knowledge through MER and HP in terms of where there is additional capacity. We are looking and have line of sight for capacity -- additional capacity in '27 and '28. And this capacity will be for additional opportunities. We have enough capacity for the opportunities that we have signed up for at this time, even though we also expect that to expand over time.