OESX Gross Margin Jumps to 30%
Orion Energy Systems (NASDAQ:OESX), a provider of energy-efficient LED lighting and electric vehicle (EV) charging solutions, released its results for the quarter ended June 30, 2025, on August 6, 2025. The most notable news from the release was a record gross margin of 30.1%, up from 21.6% in the prior year, both on a GAAP basis, driven by improved product mix and cost controls. Revenue (GAAP) was $19.6 million, nearly flat compared to Q1 fiscal 2025’s $19.9 million (GAAP). While there were no analyst estimates to compare against, the company’s results aligned with management's own forecast. Net loss per share (GAAP) narrowed to $(0.04), compared to $(0.12) in Q1 fiscal 2025. Overall, the quarter showed solid improvement in profitability measures but highlighted ongoing challenges in growing the top line, particularly in the EV charging segment.
Orion Energy Systems designs and manufactures energy-efficient LED lighting systems and related Internet of Things (IoT) controls for commercial and public-sector customers. The company also offers turnkey installation and ongoing support for EV charging infrastructure, following its acquisition of Voltrek. Its maintenance division provides ongoing facility services, mainly focused on electrical and lighting systems.
In recent periods, Orion has concentrated on expanding its distribution network, introducing new value-based lighting products like the TritonPro line, and targeting government and commercial retrofit projects. Key success factors include the ability to deliver cost-effective, high-quality LED lighting solutions, grow EV charging project wins, manage customer concentration risk, and sustain improved operational margins through cost controls and process efficiencies.
Source Fool.com
