AMSC Posts Over 20% Revenue Growth and Expands Gross Margin in Q2—Balance Sheet Strength Sets the Tone for FY2025
Second Quarter Revenue Up Over 20% Year-Over-Year on Broad Demand
AMSC (NASDAQ:AMSC) reported second quarter fiscal 2025 financial results that highlighted broad-based growth across its core markets. Revenue jumped to $65.9 million for the quarter ended September 30, 2025, representing more than a 20% increase from $54.5 million in the same period last year. This rise was propelled by organic momentum and the acquisition of NWL, Inc., underlining strong demand from both energy and military segments.
The company’s performance also stood out with its fifth consecutive quarter of profitability—GAAP net income reached $4.75 million and non-GAAP net income nearly doubled that figure at $8.85 million, reflecting ongoing operational discipline.
| Metric | Q2 FY2025 | Q2 FY2024 |
|---|---|---|
| Total Revenue | $65.86M | $54.47M |
| Net Income (GAAP) | $4.75M | $4.89M |
| Net Income (Non-GAAP) | $8.85M | $9.95M |
| Gross Margin | 31.02% | 28.68% |
Profitability and Gross Margin Expansion Signal Operational Progress
AMSC’s gross margin exceeded 30%, marking notable improvement compared to the prior year’s 28.7%. The company continues to maintain profitability with net income per diluted share of $0.11 (GAAP) and $0.20 (non-GAAP). These results point to enhanced operating leverage and cost discipline, which have allowed the company to capture margin expansion despite a competitive environment.
Balance Sheet Shows Substantial Strength After Capital Raise
Cash, cash equivalents, and restricted cash surged to $218.8 million as of September 30, 2025, up from $85.4 million just six months prior. The sizable cash boost was largely attributable to a recent public equity offering, further bolstering AMSC’s flexibility for strategic investments and resilience against market uncertainty.
| Balance Sheet Item | Sep 30, 2025 | Mar 31, 2025 |
|---|---|---|
| Cash, Equivalents, Restricted Cash | $218.76M | $85.38M |
| Total Assets | $445.60M | $310.52M |
| Total Liabilities | $103.42M | $113.41M |
| Stockholders’ Equity | $342.18M | $197.11M |
Outlook Remains Solid—Management Guides for Consistency
Looking ahead, AMSC forecasts revenues between $65 million and $70 million for the third quarter ending December 31, 2025, with GAAP net income projected above $2 million and non-GAAP net income above $6 million. This steady guidance suggests confidence in the underlying business, buoyed by robust demand trends in both its grid and military end-markets.
| Q3 FY2025 Outlook | Guidance |
|---|---|
| Revenue | $65.0M–$70.0M |
| GAAP Net Income | >$2.0M |
| Non-GAAP Net Income | >$6.0M |
Key Takeaways—AMSC’s Positioning in Fiscal 2025
AMSC’s ability to expand revenues while maintaining margin growth and healthy profitability reflects well-executed business fundamentals. With a strengthened balance sheet, diversified revenue streams, and stable demand drivers, the company is well-positioned to navigate challenges and pursue strategic growth in the months ahead. Investors may want to listen in on the management conference call on November 6 for more detail on operational priorities and risk factors in the evolving market landscape.
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