Revenue of $572 million and $2.4 billion, decreased 7% and 3%;
GAAP net income attributable to Itron, Inc. of $102 million and $301 million, increased $44 million and $62 million;
GAAP diluted earnings per share of $2.21 and $6.50, increased $0.95 and $1.32;
Non-GAAP diluted EPS of $2.46 and $7.13, increased $1.11 and $1.51;
Adjusted EBITDA of $99 million and $374 million, increased 21% and 16%; and
Free cash flow of $112 million and $383 million, increased $41 million and $175 million
"Grid Edge Intelligence platform adoption drove strong financial results in the fourth quarter," said Tom Deitrich, Itron's president and CEO. "We achieved numerous financial records, led by Outcomes growth of 23% which is a record level of revenue for that segment. The modern grid cannot operate without real-time intelligence, and Itron is the intelligence layer of the grid.
"We also announced the acquisition of Urbint and Locusview during the quarter. With these capabilities, Itron will increase our AI enhanced software solutions and recurring revenue through a focus on intelligent, proactive resiliency."
Summary of Fourth Quarter Consolidated Financial Results(All comparisons made are against the prior year period unless otherwise noted)
Revenue
Total fourth quarter revenue of $572 million compared to $613 million in the prior year. The decrease was driven primarily by portfolio optimization and the timing of project deployments.
Device Solutions revenue decreased 3%, or 7% in constant currency, due to lower legacy electricity product sales related to portfolio optimization in EMEA and lower North American project deployments.
Networked Solutions revenue decreased 15%, due to the timing of project deployments.
Outcomes revenue increased 23%, due to increased delivery services and recurring revenue.
Resiliency Solutions revenue was $3 million which only includes revenue from Urbint since the acquisition closed on November 3, 2025.
Gross MarginTotal company GAAP gross margin of 40.5% increased 560 basis points from the prior year due to customer and product mix.
Operating Expenses and Operating IncomeGAAP operating expenses of $153 million increased $2 million from the prior year, and Non-GAAP operating expenses of $142 million decreased $1 million from the prior year.
GAAP operating income of $79 million was $16 million higher than the prior year, and Non-GAAP operating income of $91 million was $20 million higher than the prior year. Both GAAP and Non-GAAP increases were due primarily to higher gross profit.
Net Income and Earnings per Share (EPS)Net income attributable to Itron, Inc. for the quarter was $102 million, or $2.21 per diluted share, compared with a net income of $58 million, or $1.26 per diluted share in 2024. The increase was driven by higher GAAP operating income and a tax benefit in the fourth quarter of 2025.
Non-GAAP net income attributable to Itron, Inc., which excludes the expenses associated with amortization of intangible assets, amortization of debt placement fees, restructuring, loss on sale of businesses, strategic initiatives, acquisition and integration, and the tax effect of excluding these expenses, was $113 million, or $2.46 per diluted share, compared with $62 million, or $1.35 per diluted share in 2024. The increase was driven by higher non-GAAP operating income and a tax benefit in the fourth quarter of 2025.
Cash Flow
Net cash provided by operating activities was $119 million in the fourth quarter compared with $80 million in the prior year. Free cash flow was $112 million in the fourth quarter compared with $70 million in the prior year. The increase in free cash flow was primarily due to improved working capital and higher earnings.
Other Measures
Total backlog at quarter end was $4.5 billion compared with $4.7 billion in the prior year. Bookings in the quarter totaled $0.7 billion, and bookings for the full year totaled $2.1 billion.
Q1 and Full Year 2026 Current Outlook
First quarter 2026 financial outlook:
Revenue between $565 and $575 million
Non-GAAP diluted EPS between $1.20 and $1.30
Full year 2026 financial outlook:
Revenue between $2.35 to $2.45 billion
Non-GAAP diluted EPS between $5.75 to $6.25
Locusview, Ltd. AcquisitionItron, Inc. announced on November 17, 2025, the signing of a definitive agreement to acquire Locusview, Ltd. and subsidiaries ("Locusview"), a privately held utility-focused software and services company that is based in the United States and Israel. The purchase price for the acquisition was $525 million and was funded through cash on hand. The transaction closed in January of 2026.
Earnings Conference CallItron will host a conference call to discuss the financial results contained in this release at 10 a.m. EST on February 17, 2026. Interested parties may listen to the conference call on a live webcast. The webcast, along with a supplemental presentation, may be accessed from the company's website at https://investors.itron.com/events-presentations. Participants should access the webcast 10 minutes prior to the start of the call. A webcast replay of the conference call will be available through February 25, 2026 and may be accessed on the company's website at http://investors.itron.com/events-presentations.
About ItronItron is a proven global leader in energy, water, smart city, IIoT and intelligent infrastructure services. For utilities, cities and society, we build innovative systems, create new efficiencies, connect communities, encourage conservation and increase resourcefulness. By safeguarding our invaluable natural resources today and tomorrow, we improve the quality of life for people around the world. Join us: www.itron.com
Itron® and the Itron Logo are registered trademarks of Itron, Inc. in the United States and other countries and regions. All third-party trademarks are property of their respective owners, and any usage herein does not suggest or imply any relationship between Itron and the third party unless expressly stated.
Cautionary Note Regarding Forward Looking StatementsThis release contains, and our officers and representatives may from time to time make, "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements are neither historical factors nor assurances of future performance. These statements are based on our expectations about, among others, revenues, operations, financial performance, earnings, liquidity, earnings per share, cash flows and restructuring activities including headcount reductions and other cost savings initiatives. This document reflects our current strategy, plans and expectations and is based on information currently available as of the date of this release. When we use words such as "expect", "intend", "anticipate", "believe", "plan", "goal", "seek", "project", "estimate", "future", "strategy", "objective", "may", "likely", "should", "will", "will continue", and similar expressions, including related to future periods, they are intended to identify forward-looking statements. Forward-looking statements rely on a number of assumptions and estimates. Although we believe the estimates and assumptions upon which these forward-looking statements are based are reasonable, any of these estimates or assumptions could prove to be inaccurate and the forward-looking statements based on these estimates and assumptions could be incorrect. Our operations involve risks and uncertainties, many of which are outside our control, and any one of which, or a combination of which, could materially affect our results of operations and whether the forward-looking statements ultimately prove to be correct. Actual results and trends in the future may differ materially from those suggested or implied by the forward-looking statements depending on a variety of factors. Therefore, you should not rely on any of these forward-looking statements. Some of the factors that we believe could affect our results include our ability to execute on our restructuring plans, our ability to achieve estimated cost savings, the rate and timing of customer demand for our products, rescheduling of current customer orders, changes in estimated liabilities for product warranties, adverse impacts of litigation, changes in laws, regulations, tariffs, sanctions, trade policies and retaliatory responses, our dependence on new product development and intellectual property, future acquisitions, changes in estimates for stock-based and bonus compensation, increasing volatility in foreign exchange rates, international business risks, uncertainties caused by adverse economic conditions, including without limitation those resulting from extraordinary events or circumstances and other factors that are more fully described in Part I, Item 1A: Risk Factors included in our Annual Report on Form 10-K for the year ended Dec. 31, 2024 and other reports on file with the Securities and Exchange Commission. Itron undertakes no obligation to update or revise any information in this press release.
Non-GAAP Financial Information
To supplement our consolidated financial statements, which are prepared in accordance with accounting principles generally accepted in the United States (GAAP), we use certain adjusted or non-GAAP financial measures, including non-GAAP operating expense, non-GAAP operating income, non-GAAP net income, non-GAAP diluted earnings per share (EPS), adjusted EBITDA, free cash flow, adjusted gross profit, adjusted operating income, and constant currency. We provide these non-GAAP financial measures because we believe they provide greater transparency and represent supplemental information used by management in its financial and operational decision making. We exclude certain costs in our non-GAAP financial measures as we believe the net result is a measure of our core business. We believe these measures facilitate operating performance comparisons from period to period by eliminating potential differences caused by the existence and timing of certain expense items that would not otherwise be apparent on a GAAP basis. Non-GAAP performance measures should be considered in addition to, and not as a substitute for, results prepared in accordance with GAAP. We strongly encourage investors and shareholders to review our financial statements and publicly-filed reports in their entirety and not to rely on any single financial measure. Our non-GAAP financial measures may be different from those reported by other companies. When providing future outlooks and/or earnings guidance, a reconciliation of forward-looking non-GAAP diluted EPS to the GAAP diluted EPS has not been provided because we are unable to predict with reasonable certainty the potential amount or timing of restructuring related expenses and their related tax effects without unreasonable effort. These costs are uncertain, depend on various factors and could have a material impact on GAAP results for the guidance period. A more detailed discussion of why we use non-GAAP financial measures, the limitations of using such measures, and reconciliations between non-GAAP and the nearest GAAP financial measures are included in this press release.
For additional information, contact:
Itron, Inc.
Paul VincentVice President, Investor Relations512-560-1172
David MeansDirector, Investor Relations737-242-8448[email protected]
Itron, Inc.
LinkedIn: https://www.linkedin.com/company/itroninc
X: https://x.com/ItronInc
Newsroom: https://na.itron.com/newsroom
Blog: https://blogs.itron.com
ITRON, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited, in thousands, except per share data)
Three Months EndedDecember 31,
Twelve Months EndedDecember 31,
2025
2024
2025
2024
Revenues
Product revenues
$
474,328
$
532,401
$
2,008,976
$
2,131,379
Service revenues
97,329
80,463
358,218
309,458
Total revenues
571,657
612,864
2,367,194
2,440,837
Cost of revenues
Product cost of revenues
289,255
353,909
1,292,329
1,429,942
Service cost of revenues
50,666
45,075
182,747
171,578
Total cost of revenues
339,921
398,984
1,475,076
1,601,520
Gross profit
231,736
213,880
892,118
839,317
Operating expenses
Sales, general and administrative
95,300
85,046
352,965
339,069
Research and development
53,109
58,343
207,041
215,034
Amortization of intangible assets
4,609
4,517
18,034
17,828
Restructuring
59
3,303
931
2,679
(Gain) loss on sale of business
—
(59
)
79
597
Total operating expenses
153,077
151,150
579,050
575,207
Operating income
78,659
62,730
313,068
264,110
Other income (expense)
Interest income
10,794
12,183
48,376
34,577
Interest expense
(5,563
)
(5,591
)
(22,451
)
(15,379
)
Other income (expense), net
1,915
528
3,274
1,223
Total other income (expense)
7,146
7,120
29,199
20,421
Income before income taxes
85,805
69,850
342,267
284,531
Income tax benefit (provision)
17,205
(11,283
)
(38,932
)
(43,407
)
Net income
103,010
58,567
303,335
241,124
Net income attributable to noncontrolling interests
1,382
460
2,280
2,019
Net income attributable to Itron, Inc.
$
101,628
$
58,107
$
301,055
$
239,105
Net income per common share - Basic
$
2.25
$
1.29
$
6.62
$
5.27
Net income per common share - Diluted
$
2.21
$
1.26
$
6.50
$
5.18
Weighted average common shares outstanding - Basic
45,248
45,100
45,492
45,368
Weighted average common shares outstanding - Diluted
46,080
46,036
46,323
46,187
ITRON, INC.
SEGMENT INFORMATION
(Unaudited, in thousands)
Three Months EndedDecember 31,
Twelve Months EndedDecember 31,
2025
2024
2025
2024
Product revenues
Device Solutions
$
104,175
$
107,373
$
444,598
$
473,329
Networked Solutions
322,862
387,421
1,442,243
1,546,278
Outcomes
47,291
37,607
122,135
111,772
Resiliency Solutions
—
—
—
—
Total Company
$
474,328
$
532,401
$
2,008,976
$
2,131,379
Service revenues
Device Solutions
$
653
$
1,164
$
2,483
$
3,248
Networked Solutions
29,091
25,721
115,078
103,797
Outcomes
64,536
53,578
237,608
202,413
Resiliency Solutions
3,049
—
3,049
—
Total Company
$
97,329
$
80,463
$
358,218
$
309,458
Total revenues
Device Solutions
$
104,828
$
108,537
$
447,081
$
476,577
Networked Solutions
351,953
413,142
1,557,321
1,650,075
Outcomes
111,827
91,185
359,743
314,185
Resiliency Solutions
3,049
—
3,049
—
Total Company
$
571,657
$
612,864
$
2,367,194
$
2,440,837
Adjusted gross profit
Device Solutions
$
36,048
$
28,827
$
139,399
