SolarMax Technology Awarded $158 Million EPC Contracts for 400 MWh Battery Storage Projects in Puerto Rico
Rhea-AI Summary
SolarMax Technology (Nasdaq: SMXT) said its subsidiary signed two EPC agreements for utility-scale battery energy storage projects in Humacao and Ceiba Municipality, Puerto Rico, expected to generate approximately $158.3 million of revenue.
SolarMax will provide full-scope EPC work and purchase a 9% equity interest in each project entity for a combined 400 MWh of BESS capacity. Management said the contracts add a multi-year revenue stream through 2027 and support grid stability and renewable integration in Puerto Rico.
Positive
- $158.3M expected EPC revenue
- Delivery of 400 MWh combined battery capacity
- 9% equity stake in each project aligns incentives
- Contracts provide multi-year revenue visibility through 2027
Negative
- None.
News Market Reaction 25 Alerts
On the day this news was published, SMXT gained 15.91%, reflecting a significant positive market reaction. Argus tracked a peak move of +46.0% during that session. Argus tracked a trough of -16.0% from its starting point during tracking. Our momentum scanner triggered 25 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $8M to the company's valuation, bringing the market cap to $55M at that time. Trading volume was exceptionally heavy at 21.7x the daily average, suggesting very strong buying interest.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
Several solar peers showed gains (e.g., FTCI +9.98%, MAXN +4.93%, SPWR +2.48%), but momentum scanners did not flag a coordinated sector move, suggesting SMXT’s reaction is more stock-specific.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Nov 17 | Q3 2025 earnings | Neutral | -0.5% | Reported Q3 revenue surge from Texas storage EPC but maintained net loss. |
| Aug 14 | Q2 2025 earnings | Positive | +10.9% | Strong revenue growth and major $127.3M Texas storage EPC contract announcement. |
| Aug 05 | Texas EPC award | Positive | +78.5% | Secured $127.3M EPC contract for 430 MWh Texas BESS with 8% equity stake. |
Large utility-scale battery EPC awards have coincided with strong positive price reactions, while earnings updates have produced more muted moves.
Over the past year, SolarMax has shifted toward large-scale battery storage EPC work. An August 2025 Texas BESS EPC award of $127.3M with a 430 MWh system and 8% equity stake triggered a strong positive move. Subsequent Q2 and Q3 2025 results showed sharp revenue growth and narrower losses tied to these projects. Today’s Puerto Rico BESS EPC contracts extend this utility-scale storage strategy and add further multi-year revenue visibility.
Market Pulse Summary
The stock surged +15.9% in the session following this news. A strong positive reaction aligns with past responses to large EPC awards, such as the prior Texas BESS contract. Investors previously rewarded sizable storage wins and visible multi-year revenue streams. However, historical filings also highlighted losses and balance sheet pressure, which could cap extended rallies if concerns about execution, financing needs, or project timing resurface despite new contracts adding $158.3M in expected revenue.
Key Terms
engineering, procurement and construction technical
battery energy storage system technical
bess technical
AI-generated analysis. Not financial advice.
RIVERSIDE, Calif., Jan. 05, 2026 (GLOBE NEWSWIRE) -- SolarMax Technology, Inc. (Nasdaq SMXT) (“SolarMax” or the “Company”), an integrated solar energy company, today announced that its wholly owned subsidiary, SolarMax Renewable Energy Provider, Inc., has entered into two engineering, procurement and construction (EPC) agreements with Yabucoa BESS LLC and Naguabo BESS LLC for new utility-scale battery energy storage system (“BESS”) projects located in Humacao, Puerto Rico and Ceiba Municipality, Puerto Rico. The two EPC contracts are expected to generate total revenues of approximately
Under the agreements, SolarMax will deliver full-scope EPC services—including design, engineering, procurement, installation, construction, testing, startup, and commissioning for a combined 400 megawatt-hours (MWh) of battery storage capacity.
“Securing projects of this size highlights SolarMax’s growing position in the utility-scale energy storage market,” said David Hsu, CEO of SolarMax. “We believe these new agreements will significantly strengthen our forward revenue visibility, adding a substantial multi-year revenue stream through 2027.”
The two BESS projects are designed to support grid stability and energy affordability in Puerto Rico by enabling the storage of renewable electricity for use during periods of peak demand. These installations are structured to contribute to the region’s broader clean energy strategy and play a critical role in maintaining grid reliability.
“Demand for large-scale energy storage solutions continues to grow,” Hsu added. “As we enter into contracts for projects of increasing size and complexity, we are strengthening our competitive position, driving operating leverage, and scaling SolarMax into a meaningful participant in a multi-billion-dollar market. At the same time, our selective equity participation further aligns us with project success and reinforces our commitment to build durable, long-term shareholder value.”
About SolarMax Technology Inc.
SolarMax, based in California and founded in 2008, is a leader within the solar and renewable energy sector focused on making sustainable energy both accessible and affordable. SolarMax has established a strong presence in southern California. SolarMax is looking to generate growth with strategic initiatives that aim to scale commercial solar development services and LED lighting solutions in the US while expanding its residential solar operations. SolarMax’ website is www.solarmaxtech.com.
Any information contained on, or that can be accessed through SolarMax’ website or any other website or any social media is not a part of this press release.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (“Securities Act”) as well as Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995, as amended, that are intended to be covered by the safe harbor created by those sections. Forward-looking statements, which are based on certain assumptions and describe the Company's future plans, strategies and expectations, can generally be identified by the use of forward-looking terms such as “believe,” “expect,” “may,” “will,” “should,” “would,” “could,” “seek,” “intend,” “plan,” “goal,” “project,” “estimate,” “anticipate,” “strategy,” “future,” “likely” or other comparable terms, although not all forward-looking statements contain these identifying words. All statements other than statements of historical facts included in this press release regarding the Company's strategies, prospects, financial condition, operations, costs, plans and objectives are forward-looking statements. Important factors that could cause the Company's actual results and financial condition to differ materially from those indicated in the forward-looking statements. Such forward-looking statements are subject to risk and uncertainties, including, but not limited to the ability of SolarMax to complete the projects on schedule and budget and to price its services on the contract at rates that will enable SolarMax to generate a profit from the agreements, including the effect of inflation and tariffs on SolarMax’ cost, which may impact its ability to generate a profit from the transactions, the effect on SolarMax’ residential business with the termination of the federal residential solar tax credit on December 31, 2025 and those described in “Cautionary Note on Forward-Looking Statements,” “Item 1A. Risk Factors,” and “Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations,” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, as filed with the SEC on March 31, 2025 and “Management's Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s report on Form 10-Q for the quarter ended September 30, 2025, which was filed with the SEC on November 14, 2025. SolarMax undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events except as required by law. You should read this press release with the understanding that our actual future results may be materially different from what we expect.
Contact:
For more information, contact:
Stephen Brown, CFO
(951) 300-0711
FAQ
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