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Segment Reporting
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
ASC 280 Segment Reporting establishes standards for reporting information about operating segments. Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker (“CODM”) in deciding how to allocate resources and in assessing performance. The CODM is the Chief Executive Officer of the Company.

The Company works with engineering, procurement, and construction firms, to design a solar array to achieve the project’s desired power output. The Company provides the solar tracking system components, which include standard and nonstandard parts. The Company delivers the fully functioning tracker systems for the project sites and provides commissioning services. Although the solar array may use different components and technology depending on the geography and type of system, the Company conducts its operations in the United States (“U.S.”) and internationally, primarily in Spain and Brazil, and is expanding into other international markets through STI Operations.

The Company has two separate operating segments, Array Legacy Operations and STI Operations, which are also reportable segments. Array Legacy Operations consists primarily of amounts earned from the design, manufacture and sale of utility-scale solar tracker systems in the U.S., and STI Operations consists primarily of amounts earned from the design, manufacture and sale of utility-scale solar tracker systems outside of the U.S.

The Company’s CODM assesses the performance of each operating segment by using gross profit. This measure is also predominantly used in the annual budget and forecasting process. The CODM primarily uses the annual operating plan and the monthly financial results for Array Legacy Operations and STI Operations when making decisions about the allocation of operating and capital resources to each segment.

The following tables summarize the financial results by segment during the periods presented (in thousands):

Three months ended June 30, 2025
Array Legacy Operations
STI Operations
Consolidated
Segment revenue
$291,886 $70,357 $362,243 
Less:
Product cost (1)
193,620 53,215 246,835 
Amortization of developed technology
3,640 — 3,640 
Depreciation
578 34 612 
Other costs (2)
10,043 3,989 14,032 
Gross profit
84,005 13,119 97,124 
Total operating expenses
— — (50,748)
Total other income, net
— — 10,503 
Income before income taxes
$56,879 
Segment assets
1,090,094 452,064 1,542,158 
Capital expenditures
6,497 134 6,631 
Depreciation and amortization
7,024 2,872 9,896 
Interest income
3,600 200 3,800 
Interest expense
8,021 747 8,768 

Three months ended June 30, 2024
Array Legacy Operations
STI Operations
Consolidated
Segment revenue
$185,160 $70,606 $255,766 
Less:
Product cost (1)
97,575 60,634 158,209 
Amortization of developed technology
3,640 — 3,640 
Depreciation
368 27 395 
Other costs (2)
6,271 1,298 7,569 
Gross profit
77,306 8,647 85,953 
Total operating expenses
— — (46,351)
Total other expense, net
— — (6,094)
Income before income taxes
$33,508 
Segment assets
879,073 772,449 1,651,522 
Capital expenditures
1,091 1,040 2,131 
Depreciation and amortization
6,413 6,558 12,971 
Interest income
3,587 1,195 4,782 
Interest expense
8,205 409 8,614 

Six months ended June 30, 2025
Array Legacy Operations
STI Operations
Consolidated
Segment revenue
$505,100 $159,506 $664,606 
Less:
Product cost (1)
326,960 129,973 456,933 
Amortization of developed technology
7,279 — 7,279 
Depreciation
1,128 67 1,195 
Other costs (2)
20,047 5,600 25,647 
Gross profit
149,686 23,866 173,552 
Total operating expenses
— — (99,892)
Total other income, net
— — 6,499 
Income before income taxes
$80,159 
Segment assets
1,090,094 452,064 1,542,158 
Capital expenditures
8,711 272 8,983 
Depreciation and amortization
13,925 5,542 19,467 
Interest income
6,647 472 7,119 
Interest expense
15,543 1,260 16,803 

Six months ended June 30, 2024
Array Legacy Operations
STI Operations
Consolidated
Segment revenue
$299,541 $109,628 $409,169 
Less:
Product cost (1)
154,154 90,786 244,940 
Amortization of developed technology
7,279 — 7,279 
Depreciation
878 51 929 
Other costs (2)
10,838 4,140 14,978 
Gross profit
126,392 14,651 141,043 
Total operating expenses
— — (93,027)
Total other expense, net
— — (11,039)
Income before income taxes
$36,977 
Segment assets
879,073 772,449 1,651,522 
Capital expenditures
3,297 1,230 4,527 
Depreciation and amortization
13,525 13,210 26,735 
Interest income
5,401 3,061 8,462 
Interest expense
16,400 1,154 17,554 

(1) Includes 45X benefits realized.
(2) Other is primarily comprised of outbound freight and certain overhead costs. Outbound freight for the three months ended June 30, 2025 and 2024 for Array Legacy Operations was $9.9 million and $6.2 million, respectively. Outbound freight for the six months ended June 30, 2025 and 2024 for Array Legacy Operations was $19.8 million and $10.6 million, respectively.