Stem Inc Financials
This page shows Stem Inc (STEM) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 7 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Gross-margin recovery repaired the income statement, but reported profit still sits above a liability-heavy balance sheet and thin liquidity.
FY2025 looks better because gross margin swung to38.4% from-7.7% , reversing the prior year's negative unit economics and showing the biggest repair happened inside delivery economics, not at the top line. But earnings quality is still uneven: net income reached$137.8M while operating income stayed at-$55.7M , so reported profit is running ahead of the core operation.
With total liabilities at
The key operating change was not sales growth but margin repair: gross profit improved to
Financial Health Signals
Based on FY2025 annual data, averaged across the last 3 years for performance metrics (most-recent year weighted highest). How this score is calculated →
Health score ≠ stock price. This rates the quality of Stem Inc's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Stem Inc has an operating margin of -35.6%, meaning the company retains $-36 of operating profit per $100 of revenue. This below-average margin results in a low score of 0/100, suggesting thin profitability after operating expenses. This is up from -580.6% the prior year.
Stem Inc's revenue grew 8.1% year-over-year to $156.3M, a solid pace of expansion. This earns a growth score of 0/100.
Stem Inc has a moderate D/E ratio of -2.24. This balance of debt and equity financing earns a leverage score of 57/100.
Stem Inc's current ratio of 0.91 is below the typical benchmark, resulting in a score of 13/100. This tight liquidity could limit financial flexibility if cash inflows slow.
Stem Inc passes 5 of 9 financial strength tests. 3 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), both operating efficiency signals pass.
For every $1 of reported earnings, Stem Inc generates $0.05 in operating cash flow ($6.9M OCF vs $137.8M net income). This low ratio suggests earnings are primarily driven by accounting accruals rather than cash generation, which may not be sustainable.
Stem Inc earns $-2.3 in operating income for every $1 of interest expense (-$55.7M vs $23.9M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.
Key Financial Metrics
Earnings & Revenue
Stem Inc generated $156.3M in revenue in fiscal year 2025. This represents an increase of 8.1% from the prior year.
Stem Inc's EBITDA was -$10.7M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 98.6% from the prior year.
Stem Inc reported $137.8M in net income in fiscal year 2025. This represents an increase of 116.1% from the prior year.
Stem Inc earned $-9.18 per diluted share (EPS) in fiscal year 2025. This represents an increase of 91.3% from the prior year.
Cash & Balance Sheet
Stem Inc held $48.9M in cash against $0 in long-term debt as of fiscal year 2025.
Stem Inc had 8M shares outstanding in fiscal year 2025. This represents an increase of 4.3% from the prior year.
Margins & Returns
Stem Inc's gross margin was 38.4% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 46.0 percentage points from the prior year.
Stem Inc's operating margin was -35.6% in fiscal year 2025, reflecting core business profitability. This is up 545.0 percentage points from the prior year.
Stem Inc's net profit margin was 88.2% in fiscal year 2025, showing the share of revenue converted to profit. This is up 678.8 percentage points from the prior year.
Capital Allocation
Stem Inc invested $35.3M in research and development in fiscal year 2025. This represents a decrease of 31.2% from the prior year.
STEM Income Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $29.0M-38.5% | $47.1M+23.3% | $38.2M-0.4% | $38.4M+18.0% | $32.5M-41.8% | $55.8M+90.6% | $29.3M-13.8% | $34.0M |
| Cost of Revenue | $18.1M-24.7% | $24.1M-2.2% | $24.7M-3.6% | $25.6M+16.4% | $22.0M-62.3% | $58.3M+152.3% | $23.1M-6.2% | $24.6M |
| Gross Profit | $10.9M-52.9% | $23.0M+69.6% | $13.6M+6.1% | $12.8M+21.5% | $10.5M+532.2% | -$2.4M-139.3% | $6.2M-33.9% | $9.4M |
| R&D Expenses | $6.6M-6.8% | $7.1M+2.1% | $6.9M-30.8% | $10.0M-11.8% | $11.3M+5.1% | $10.8M-2.8% | $11.1M-27.5% | $15.3M |
| SG&A Expenses | $8.7M-47.9% | $16.6M+32.7% | $12.5M+40.9% | $8.9M-34.4% | $13.6M-48.7% | $26.5M-2.8% | $27.2M+71.7% | $15.8M |
| Operating Income | -$14.2M-70.3% | -$8.3M+35.1% | -$12.9M+3.7% | -$13.3M+36.9% | -$21.1M+55.1% | -$47.1M+67.4% | -$144.5M+75.1% | -$579.8M |
| Interest Expense | $7.4M-11.3% | $8.3M+14.2% | $7.3M+78.5% | $4.1M-5.1% | $4.3M-3.4% | $4.4M-1.5% | $4.5M-2.6% | $4.6M |
| Income Tax | $112K-22.2% | $144K+202.1% | -$141K-129.7% | $475K+719.0% | $58K+583.3% | -$12K-109.3% | $129K+108.1% | $62K |
| Net Income | -$18.9M-18.7% | -$15.9M+33.0% | -$23.8M-111.7% | $202.5M+910.1% | -$25.0M+51.1% | -$51.1M+65.5% | -$148.3M+74.5% | -$582.3M |
| EPS (Diluted) | $-2.22 | N/A | $-2.84-58.7% | $-1.79 | $-3.05 | N/A | $-18.24+74.6% | $-71.81 |
STEM Balance Sheet
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $281.9M-8.7% | $308.9M-14.8% | $362.6M-4.4% | $379.2M-6.4% | $405.1M-7.4% | $437.4M-18.7% | $537.8M-22.2% | $691.5M |
| Current Assets | $85.3M-14.8% | $100.1M+6.8% | $93.8M-5.5% | $99.2M-10.3% | $110.6M-19.1% | $136.6M-40.0% | $227.5M-36.8% | $359.9M |
| Cash & Equivalents | $36.6M-25.2% | $48.9M+13.4% | $43.1M+5.7% | $40.8M-30.4% | $58.6M+4.1% | $56.3M-25.3% | $75.4M-15.9% | $89.6M |
| Inventory | N/A | $658K | N/A | N/A | N/A | $421K | N/A | N/A |
| Accounts Receivable | $33.3M-13.1% | $38.4M+7.0% | $35.8M-16.4% | $42.8M+23.3% | $34.7M-41.4% | $59.3M-36.0% | $92.7M-55.1% | $206.4M |
| Goodwill | N/A | N/A | N/A | N/A | N/A | $0 | $0 | $0 |
| Total Liabilities | $547.8M-1.8% | $557.9M-6.7% | $597.7M+0.8% | $592.7M-27.9% | $822.0M-1.6% | $835.2M-5.2% | $881.4M-1.4% | $894.3M |
| Current Liabilities | $101.3M-8.4% | $110.6M-2.6% | $113.6M+1.3% | $112.1M-6.8% | $120.2M-6.7% | $128.8M-37.8% | $207.0M-4.5% | $216.6M |
| Long-Term Debt | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Equity | -$266.3M-6.7% | -$249.4M-5.8% | -$235.7M-10.1% | -$214.1M+48.7% | -$417.5M-4.8% | -$398.4M-15.8% | -$344.1M-69.3% | -$203.2M |
| Retained Earnings | -$1.5B-1.3% | -$1.5B-1.1% | -$1.5B-1.6% | -$1.4B+12.3% | -$1.7B-1.5% | -$1.6B-3.2% | -$1.6B-10.4% | -$1.4B |
STEM Cash Flow Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | -$8.3M-201.2% | $8.2M-27.8% | $11.4M+153.5% | -$21.3M-349.3% | $8.5M+158.0% | -$14.7M-55.9% | -$9.4M+20.6% | -$11.9M |
| Capital Expenditures | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Free Cash Flow | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Investing Cash Flow | -$1.3M-45.2% | -$927K+7.4% | -$1.0M+7.7% | -$1.1M+69.8% | -$3.6M-34.4% | -$2.7M-15.6% | -$2.3M+28.0% | -$3.2M |
| Financing Cash Flow | -$2.8M-89.4% | -$1.5M+80.9% | -$7.8M-272.5% | $4.5M+259.7% | -$2.8M-88.4% | -$1.5M+45.7% | -$2.8M+62.4% | -$7.3M |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
STEM Financial Ratios
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 37.4%-11.4pp | 48.9%+13.4pp | 35.5%+2.2pp | 33.4%+1.0pp | 32.4%+36.8pp | -4.4%-25.5pp | 21.1%-6.4pp | 27.6% |
| Operating Margin | -49.0%-31.3pp | -17.7%+15.9pp | -33.6%+1.2pp | -34.8%+30.3pp | -65.0%+19.4pp | -84.5%+408.7pp | -493.2%+1212.3pp | -1705.5% |
| Net Margin | -65.3%-31.4pp | -33.8%+28.4pp | -62.2%-590.0pp | 527.8%+604.7pp | -76.9%+14.7pp | -91.6%+414.7pp | -506.3%+1206.3pp | -1712.6% |
| Return on Equity | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Return on Assets | -6.7%-1.6pp | -5.2%+1.4pp | -6.6%-60.0pp | 53.4%+59.6pp | -6.2%+5.5pp | -11.7%+15.9pp | -27.6%+56.6pp | -84.2% |
| Current Ratio | 0.84-0.1 | 0.91+0.1 | 0.83-0.1 | 0.89-0.0 | 0.92-0.1 | 1.06-0.0 | 1.10-0.6 | 1.66 |
| Debt-to-Equity | -2.06+0.2 | -2.24+0.3 | -2.54+0.2 | -2.77-0.8 | -1.97+0.1 | -2.10+0.5 | -2.56+1.8 | -4.40 |
| FCF Margin | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
Note: Shareholder equity is negative (-$249.4M), which causes debt-to-equity and return on equity ratios to appear negative or not meaningful. This can occur from accumulated losses or large share buyback programs.
Note: The current ratio is below 1.0 (0.91), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.
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Frequently Asked Questions
What is Stem Inc's annual revenue?
Stem Inc (STEM) reported $156.3M in total revenue for fiscal year 2025. This represents a 8.1% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Stem Inc's revenue growing?
Stem Inc (STEM) revenue grew by 8.1% year-over-year, from $144.6M to $156.3M in fiscal year 2025.
Is Stem Inc profitable?
Yes, Stem Inc (STEM) reported a net income of $137.8M in fiscal year 2025, with a net profit margin of 88.2%.
What is Stem Inc's EBITDA?
Stem Inc (STEM) had EBITDA of -$10.7M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
What is Stem Inc's gross margin?
Stem Inc (STEM) had a gross margin of 38.4% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Stem Inc's operating margin?
Stem Inc (STEM) had an operating margin of -35.6% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Stem Inc's net profit margin?
Stem Inc (STEM) had a net profit margin of 88.2% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Stem Inc's operating cash flow?
Stem Inc (STEM) generated $6.9M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Stem Inc's total assets?
Stem Inc (STEM) had $308.9M in total assets as of fiscal year 2025, including both current and long-term assets.
How much does Stem Inc spend on research and development?
Stem Inc (STEM) invested $35.3M in research and development during fiscal year 2025.
What is Stem Inc's current ratio?
Stem Inc (STEM) had a current ratio of 0.91 as of fiscal year 2025, which is below 1.0, which may suggest potential liquidity concerns.
What is Stem Inc's debt-to-equity ratio?
Stem Inc (STEM) had a debt-to-equity ratio of -2.24 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Stem Inc's return on assets (ROA)?
Stem Inc (STEM) had a return on assets of 44.6% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
Why is Stem Inc's debt-to-equity ratio negative or unusual?
Stem Inc (STEM) has negative shareholder equity of -$249.4M as of fiscal year 2025, which causes the debt-to-equity ratio to appear negative or not meaningful. This can occur when accumulated losses exceed invested capital, or after large share buyback programs. Other solvency metrics like the current ratio or interest coverage may be more informative.
What is Stem Inc's Piotroski F-Score?
Stem Inc (STEM) has a Piotroski F-Score of 5 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Stem Inc's earnings high quality?
Stem Inc (STEM) has an earnings quality ratio of 0.05x, considered low quality (accrual-driven). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Stem Inc cover its interest payments?
Stem Inc (STEM) has an interest coverage ratio of -2.3x, meaning it can struggle to cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Stem Inc?
Stem Inc (STEM) scores 12 out of 100 on our Financial Profile, indicating weak overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.