Stem reaffirms 2026 guidance after fifth straight positive EBITDA quarter

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Stem, Inc. reaffirmed its full-year 2026 guidance across all metrics during its second-quarter earnings call. CEO Arun Narayanan highlighted a fifth consecutive quarter of positive adjusted EBITDA, record non-GAAP gross margins of 55%, and breakeven operating cash flow of $0.3 million. CFO Brian Musfeldt reiterated total revenue guidance of $140 million to $190 million, with software, services, and edge hardware expected between $130 million and $150 million, and adjusted EBITDA of $10 million to $15 million, tracking toward the high end. The company attributed the year-over-year revenue decline to lower battery hardware resales, while PowerTrack software revenue grew 11% to $11 million and edge hardware grew 22% to $15 million. Management expects battery hardware resale revenue to increase in the second half, which will pressure margins back toward the guided range.

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Reaffirmed 2026 guidance, fifth straight positive EBITDA quarter, record gross margins, and breakeven operating cash flow.

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