Stardust Reports Q2 2026 Results
Rhea-AI Summary
Stardust Solar (OTCQB: SUNXF) reported Q2 2026 revenue of $637,349, down 47% from $1.21 million in Q2 2025, as it shifted away from lower-margin product sales toward franchise, training and recurring revenue, which rose to ~63% of total revenue from ~38%.
Gross margin increased to 59.2% from 42.2%, while training revenue grew 74% and related gross profit 110%. Operating expenses fell 14% in Q2 and 19% year-to-date, driving a ~47% improvement in six-month comprehensive loss. Cash rose 26% from year-end, total assets increased 16% to $1.55 million, liabilities declined 4%, and the working capital deficit narrowed by about $181,000, lifting the current ratio to 0.69 from 0.58.
Stardust raised approximately $833,000 via private placement and repaid about $483,000 of debt. It advanced its 30 MW Zambia solar project, which received final government approval and an Implementation Agreement after quarter-end, and onboarded the first customer to its Lease-to-Own financing pilot, while exploring expansion in Mexico and the Caribbean.
Positive
- Gross margin rose to 59.2% from 42.2% in Q2 2025
- Training revenue up 74%, with training gross profit up 110% year-over-year
- Recurring and franchise-related revenue reached ~63% of total revenue vs ~38% prior year
- Operating expenses declined 14% in Q2 and 19% year-to-date
- Six-month comprehensive loss improved by approximately 47%
- Cash increased 26% from year-end, assets up 16% to $1.55 million, liabilities down 4%
- Working capital deficit narrowed by about $181,000, current ratio improved to 0.69 from 0.58
- Approximately $833,000 raised via private placement and about $483,000 of debt repaid
- 30 MW Zambia solar project obtained final government approval and an Implementation Agreement post quarter-end
Negative
- Q2 2026 revenue declined 47% year-over-year to $637,349
- Business still operates with a working capital deficit despite improvement
- Current ratio remains below 1.0, at 0.69 after quarter-end improvements
AI-generated analysis. How Rhea-AI works. Not financial advice.
Vancouver, British Columbia--(Newsfile Corp. - August 31, 2026) - Stardust Solar Energy Inc. (TSXV: SUN) (OTCQB: SUNXF) (FSE: 6330) ("Stardust Solar" or the "Company"), a North American renewable energy company focused on solar energy, battery storage, franchise expansion and renewable energy infrastructure development, announces its financial and operating results for the three and six months ended June 30, 2026.
The second quarter reflected Stardust's continued evolution toward a higher-margin, recurring franchise and infrastructure platform. Revenue was
Q2 2026 Key Financial and Operating Results:
- Revenue decreased
47% , reflecting lower product sales and an evolving revenue mix. - Gross margin increased to
59.2% , from42.2% in Q2 2025. - Training revenue increased
74% , with gross profit up110% . - Cash increased
26% from year-end. - Operating expenses declined
14% in Q2 and19% year-to-date. - Recurring and franchise-related revenue represented ~
63% of total revenue, up from ~38% . - Total assets increased
16% to$1.55 million , while total liabilities declined4% . - Working capital deficit narrowed by ~
$181,000 from year-end, with the current ratio increasing to 0.69 from 0.58.
Beyond the headline financial results, the quarter also demonstrated continued progress in the underlying drivers of Stardust's scalable business model. Training and exam administration continued to strengthen the Company's revenue mix, while expansion of the franchise network further extended Stardust's operating footprint. These developments support the Company's strategy of building a more scalable platform with a greater contribution from franchise, training and recurring revenue streams. The Company continued to strengthen its financial foundation, raising approximately
With a stronger financial foundation in place, Stardust is accelerating the strategic initiatives that can drive its next phase of growth across financing, international expansion and utility-scale renewable energy development. The Company's Lease-to-Own pilot successfully onboarded its first customer, demonstrating the potential of the financing model to expand customer access to solar and battery storage solutions. At the same time, Stardust continued to advance its flagship 30 MW Zambia solar project with Gamma Power Systems and POWERCHINA. Subsequent to quarter-end, the project received final government approval and a fully executed Implementation Agreement, representing one of the final government milestones before construction can commence.
Building on its established North American franchise network, Stardust is also advancing international expansion opportunities in Mexico and the Caribbean, with discussions progressing toward agreements that could extend the Company's reach into new high-growth renewable energy markets. Together with its pursuit of larger-scale renewable energy infrastructure and long-term energy asset opportunities, these initiatives are designed to expand Stardust's addressable market, diversify future revenue opportunities and create additional pathways for scalable, long-term shareholder value.
With global electricity demand accelerating and investment in energy infrastructure increasing, Stardust is positioning its platform to participate across multiple segments of the energy market from distributed solar and financing to utility-scale development and longer-term energy asset opportunities while maintaining capital discipline and a focus on long-term shareholder value.
About Stardust Solar Energy Inc.
Stardust Solar Energy is a globally expanding renewable energy company supporting the installation, development, training, and deployment of residential, commercial, and utility-scale solar solutions across international markets. The Company operates a diversified solar royalty platform generating recurring revenue through franchise installation operations, accredited training and development licenses and subscriptions, and technology-driven innovation initiatives. Through formal engagement with governments, utilities, and commercial stakeholders, the Company is scaling renewable energy capacity worldwide.
Media and Investor Contacts:
Erica Bearss, MBA, DBA (c)
VP Corporate Communications
investors@stardustsolar.com
www.stardustsolar.com
Toll Free: +1-888-620-6733
Head Office: + 1-604-620-6733
Stardust Solar Energy Inc.
B101-9000 Bill Fox Way
Burnaby, BC V5J 5J3 Canada
732 S 6th St, STE N
Las Vegas, NV 89101 USA
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/312267