Orion Energy Systems reported second‑quarter 2026 revenue of $19.9 million, a 2.6% increase from $19.4 million in the same period last year. The company posted an earnings per share of –$0.17, beating the consensus estimate of –$0.72 by $0.55. Revenue fell short of the $20.48 million consensus by $0.58 million, marking a miss of 2.8%.
Revenue growth was driven by an 18% year‑over‑year increase in maintenance services, while LED lighting revenue slipped slightly and EV charging revenue remained flat. The maintenance segment’s stronger contract renewals and new service agreements offset modest headwinds in the LED lighting line.
Gross profit margin expanded to 31.0% from 23.1% a year earlier, reflecting a shift toward higher‑margin maintenance contracts and disciplined cost management. The company’s focus on operational leverage and mix optimization helped lift earnings despite the revenue miss, resulting in a net loss that narrowed to $1.2 million from $3.5 million in Q2 2025.
Management reiterated its fiscal‑2026 revenue outlook of approximately 5% growth, targeting $84 million, and maintained a positive adjusted EBITDA trajectory. The guidance signals confidence in continued demand for maintenance services while acknowledging that EV charging revenue is expected to remain flat or slightly lower in the near term.
CEO Sally Washlow highlighted the company’s progress in cost containment and profitability, noting that new business wins and strategic investments are supporting the margin expansion. CFO Per Brodin emphasized the revenue growth in maintenance and LED lighting, reaffirming the FY 2026 outlook. Investors expressed caution due to the revenue miss and ongoing net loss, but acknowledged the operational improvements and margin gains.
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