Stabilis Solutions Stock Earnings Reports

Stabilis Solutions reported Q1 2026 revenue of $10.4 million, a ~40% decline year-over-year driven by the completion of two large multiyear contracts in marine and behind-the-meter power. Adjusted EBITDA was negative $0.7 million (prior-year +$2.1M), with certain vessel charter costs (~$1.5M) treated as extraordinary and excluded from adjusted EBITDA. Cash flow from operations was $12.4 million, which includes $15 million of restricted advance payments tied to a behind-the-meter data center contract scheduled to begin in 2027. Quarter-end liquidity was $17.2 million (cash $13.7M, of which $10.6M restricted; $3.5M undrawn credit). Capex in the quarter was $5.3M; management expects to invest an additional $10–12M this year to equip and secure supply for the large data center project, funded by advance payments.

Management framed Q1 as a temporary trough and expects a meaningful recovery in the back half of 2026 as newly awarded commissioning and behind-the-meter contracts ramp, ahead of a larger, contracted data center engagement expected to start in 2027 (announced earlier as an estimated $200M minimum two-year contract). Aerospace demand and small-scale LNG/last-mile delivery opportunities remain strong. The company elected to terminate one offtake agreements for its proposed Galveston LNG facility after the counterparty would not amend terms requested by financing partners; management remains committed to the project and is seeking alternate offtakers/financing. A previously chartered non-Jones Act vessel (lease costs currently impacting cost of revenue) is expected to be subchartered with an effective date in Q3, with the company expecting the arrangement to be roughly net neutral. Overall, management emphasizes strong commercial pipeline, multi-source LNG supply flexibility, financial discipline, and a view that 2026 is a transition year with substantial growth expected in 2027.