Energy Vault (NRGV): Scaling Strategy Drives Growth

Energy Vault Holdings Inc. (NASDAQ:NRGV) is one of the best alternative energy stocks to invest in according to analysts. On February 11, Energy Vault Holdings Inc. (NASDAQ:NRGV) shared preliminary estimates for the December-ending quarter and fiscal year, Q4 FY2025. The company expects quarterly revenue to range between $150 million and $155 million, which is well above Wall Street’s expected $140.9 million. The figure is also a 355% jump year over year, and a roughly 5x sequential increase from Q3 2025’s $33.3 million.

The massive revenue surge was due to a rapid scaling of the company’s energy storage projects, particularly its “Asset Vault” strategy. Another growth factor was the expanding battery energy storage project in Australia, which had been gaining momentum through Q3 2025. The company’s contract revenue backlog had already ballooned to $920-$954 million heading into Q4.

Energy Vault expects quarterly gross profit between $28-$33 million, and gross margins of 18-22%, up from just 8% in Q4 2024. Adjusted EBITDA is expected to come in positive at $5-$10 million in Q4, which is a massive turnaround from a loss of $13.4 million in Q4 2024. Despite this, the company expects the net loss for the quarter to range between $9.5 million and $22.1 million, though this is a substantial reduction from the $61.8 million net loss in Q4 2024.

That same day, on February 11, Energy Vault priced a $140 million convertible senior notes offering. The offering is upsized from its originally planned $125 million, and the deal officially settled on February 17.

The company sold convertible notes in a private placement exclusively to qualified institutional buyers under Rule 144A. Energy Vault also gave initial purchasers an option to buy an additional $20 million worth of notes within 13 days of issuance. If exercised in full, it would bring total net proceeds to approximately $154.8 million. The company plans to use a portion of the proceeds, between $35 million and $45 million, to redeem existing convertible debt owed to YA II PN Ltd.

Energy Vault Holdings Inc. (NASDAQ:NRGV) is an energy storage company headquartered in Westlake Village, California, with additional operations in Lugano, Switzerland. It develops and deploys grid-scale storage solutions, including gravity-based systems that store energy by lifting and lowering composite blocks, as well as battery and hybrid storage platforms.

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Disclosure: None. This article is originally published at Insider Monkey.