PowerBank Reports Strategic Shift Progress Despite Revenue Decline in Fiscal 2025

PowerBank Corporation reported fiscal 2025 revenue of C$41.5 million, representing a 29% decrease compared to the previous year, while demonstrating significant progress in its transition to an independent power producer model. The company's gross margin improved to 25%, and revenues from its IPP business surged dramatically by 1,508% to C$9.3 million, indicating successful execution of its strategic shift toward owning and operating renewable energy assets.

The company posted a net loss of C$31.1 million for the fiscal year, primarily attributed to a one-time impairment charge of C$30.4 million and increased consulting costs associated with its Solar Flow-Through Funds acquisition. Despite the reported loss, CEO Dr. Richard Lu characterized FY 2025 as a transitional year for the company, emphasizing the progress made in scaling retained IPP assets and advancing development initiatives across North American markets.

PowerBank's strategic focus includes advancing U.S. solar development projects under new Investment Tax Credit rules and expanding Canadian battery storage and community solar initiatives. The company's development pipeline exceeds one gigawatt of potential capacity, with previously developed renewable and clean energy projects totaling over 100 megawatts of built capacity. Additional financial and operational details are available in the full press release at https://ibn.fm/xrO52.

The company operates as an independent renewable and clean energy project developer and owner, focusing on distributed and community solar projects in both Canada and the United States. Its business model involves developing solar and Battery Energy Storage System projects that sell electricity to various off-takers including utilities, commercial, industrial, municipal, and residential customers. Forward-looking statements and risk factors are detailed at https://ibn.fm/2S1S4, while comprehensive terms of use and disclaimers applicable to all content provided by IBN can be found at http://IBN.fm/Disclaimer.

PowerBank's diversified portfolio strategy includes projects with utilities, host off-takers, community solar arrangements, and virtual net metering projects across multiple North American markets. The substantial growth in IPP revenues suggests the company is successfully transitioning from primarily developing projects for third parties to owning and operating renewable energy assets, positioning itself to capture long-term recurring revenue streams from electricity generation. This strategic shift comes at a time when regulatory frameworks and market conditions increasingly favor independent power producers in the renewable energy sector.