Zeo Energy Posts Flat Q4 $18.6M Revenue with 43.5% Margin, Signs 280 MW MOU
Zeo Energy reported Q4 2025 revenue of $18.6 million, flat YoY, with gross margin rising 50 bps to 43.5% as Adjusted EBITDA declined to a $1.4 million deficit. The company signed an MOU to develop 280 MW of baseload energy generation and storage and expects mid-to-high single-digit EBITDA margins in 2026.
1. Q4 2025 Financial Results
Zeo Energy reported fourth quarter revenue of $18.6 million, matching prior year levels, while gross margin increased to 43.5% from 43.0%. Net loss expanded to $1.8 million and Adjusted EBITDA swung to a $1.4 million loss, driven by higher labor and domestic content costs.
2. Full Year 2025 Performance
Full year revenue decreased 5.0% to $69.3 million with gross profit at $30.2 million (43.6% margin), down from $31.5 million (43.0%). Net loss widened to $19.6 million reflecting $8 million amortization from the Lumio acquisition, $3.2 million bad debt and higher stock compensation; Adjusted EBITDA was negative $3.3 million.
3. Strategic Developments and Outlook
In February Zeo signed an MOU with Creekstone Energy to develop 280 MW of baseload generation and storage for a Utah data center. Following its 2025 Heliogen acquisition, Zeo aims for mid-to-high single-digit Adjusted EBITDA margins in 2026 and expansion into markets like Virginia.