Spruce Power Holding Corporation (NYSE: SPRU) reported financial results for the third quarter ended September 30, 2026. The company reported net income attributable to stockholders of $6.0 million for the quarter, a significant improvement compared to a net loss of $0.9 million in the same period of the prior year. Diluted earnings per share were reported at $0.28 for the third quarter of 2026.
Operating performance for the quarter included operating income of $8.5 million, consistent with the $8.4 million achieved in the third quarter of 2025. Operating EBITDA for the third quarter was $27.0 million, representing a 3% year-over-year increase. The company noted that Adjusted Cash Flow from Operations totaled $30.6 million for the third quarter, a 52% increase from the year-earlier period.
Revenues for the third quarter were $29.7 million, a slight decrease from the $30.7 million reported in the third quarter of 2025. Management attributed the decline to lower revenues from Solar Renewable Energy Credits and Performance Based Incentives. Total operating expenses decreased to $21.2 million from $22.3 million in the prior year, driven primarily by a reduction in Selling, General, and Administrative (SG&A) expenses.
SG&A expenses decreased by 23% year-over-year in the third quarter. The company stated that these cost reductions were the result of streamlining efforts implemented during the fall of 2025 and the implementation of labor savings programs utilizing artificial intelligence. Core Operating Expenses, which includes SG&A and Operations & Maintenance (O&M) expenses, totaled $13.5 million for the quarter.
Regarding its balance sheet, Spruce Power ended the third quarter with $87.3 million in cash and cash equivalents and restricted cash, or $4.53 per share. The company reduced its total outstanding debt principal by $21.9 million during the quarter. As of September 30, 2026, the total principal amount of outstanding debt was $657.6 million with a blended interest rate of 6.3%. The company noted that all debt consists of project finance loans that are non-recourse to the company itself.
As of September 30, 2026, Spruce Power owned cash flows from approximately 83,000 home solar assets and customer contracts across 18 U.S. states. The company also services approximately 60,000 third-party owned home solar systems. Management stated that subsequent to quarter end, the company executed a non-binding term sheet for the refinancing of SP1, SP2, and SP3 facilities, extending the maturity of the SP1 facility to January 30, 2027.
