FTC Solar, Inc. (FTCI) Q3 FY2025 Earnings Call Transcript & Summary

Hello, and thank you for standing by. Welcome to FTC Solar's Third Quarter 2025 Earnings Conference Call. [Operator Instructions]. I would now like to hand the conference over to Bill Michalek, Vice President of Investor Relations. Sir, you may begin.

Thank you, and welcome, everyone, to FTC Solar's Third Quarter 2025 Earnings Conference Call. Before today's call, you may review our earnings release and supplemental financial information, which are posted earlier today. If you can not review these documents, they are available in the Investor Relations section of our website at ftcsolar.com. I'm joined today by Yann Brandt, the company's President and Chief Executive Officer; Cathy Behnen, the company's Financial Officer; and Patrick Cook, the company's Head of Capital Markets and BD. Before we begin, I remind everyone that today's discussion contains forward-looking statements based on our assumptions and beliefs in the current environment and speaks only as of the current date. As such, these forward-looking statements include risk and uncertainties and actual results and events could differ materially from our current expectations. Please refer to our press release and other SEC filings for more information on the specific risk factors. We assume no obligation to update such information, except as required by law. As you'd expect, we'll discuss both GAAP and non-GAAP financial measures today. Please note that the earnings release issued this morning includes the full reconciliation of each non-GAAP financial measure to the nearest applicable GAAP measure. With that, I'll turn the call over to Yann.

Thanks, Bill, and good morning, everyone. I'm glad to be with you again to share the continued and exciting progress at FTC Solar is making to position the company as a leading single access tracker provider in the market, a path that continues to be clear every day for us to the technology we bring to the market that is looking for additional competition. It was 1 year ago that I joined you for my first earnings call as CEO of FTC. I'm pleased to say that over that year, the company has been on a recovery and growth trajectory, and our third quarter results represent a great market traction and continuation of that progress. Third quarter revenue and adjusted EBITDA both came in above the high end of our guidance ranges. Adjusted EBITDA was at the highest levels in 5 years and one of the best in company history. And compared to a year ago, third quarter revenue was up 160%, and represents our highest quarterly revenue level in 8 quarters. More importantly, we are continuing to improve our positioning, strengthen our balance sheet, improve our daily execution and enhance our product innovation, resulting in faster speeds of installation for our customers. All of this while gaining traction with existing and key new customers. We remain on an impressive growth trajectory, 2026 is setting up nicely, and I see our long-term upside is even greater than I did a year ago, or even just 3 months ago, especially as we continue to execute. On execution, we have been working to enhance all aspects of our daily operations, working to make the business better, stronger and more resilient each day. We're continuing to optimize our global supply chain, including for geographic capability, flexibility around tariffs and reducing landed costs. We're also increasing our capabilities at our Alpha Steel facility to best support customer domestic content needs while increasing access to 45x credits. We're ensuring that we are engaging with customers early and often understanding their needs and creating value for them, and we're optimizing our product road map and providing customer service that go extra step. Speaking of progress, I'd like to take a moment to share a bit of insight into some of the steps involved as FTC looks to move up the market share leader board. We've been doing these things since I joined, but there's quite a bit of activity that happens below the surface and may shed some light on why we highlight qualitative traction in our presentations. Since we've launched our 1P Pioneer tracker, we have embarked on the process to secure purchase orders. That process involves several layers. Approvals from IPPs that will own the project, focus on how we deliver service, O&M, software platforms like SUNOPS and SunPath, this ABL process is about the long-term operations of the site. In the past year, Pioneer has been vetted and added to dozens of approved vendor list. EPC have similar vendor approval list that is focused a bit more on how the product is procured, design, delivered and installed. EPCs are learning one by one, not only how easy and fast our tracker is to install but also how robust our supply chain is. I may be biased, but I also find that we have the most responsive team in the market, led by seasoned solar professionals that have decades of relationships in solar, something that I'm very proud of. Just this quarter, we were approved for procurement by one of the largest EPCs in North America. MSAs don't just make for good PR. It means that 2 companies typically negotiate agreements for procurement, making it easier for us to contract when the projects near the start of construction. This quarter, we highlighted an MSA with 1 IPP, but we also have nonvolume-based agreements with large EPCs that make contracting easier in the future. We hope to share some exciting developments on that front as we move ahead. As we go through these processes, one thing we noticed is that our tracker does best when people see it and touch it. Every company talks about how fast they are. But when people see it and have the aha moment, it tends to be quite impactful, and that has led to some positive traction for us post RE Plus. Since then, we've been hosting EPCs at our Austin demonstration facility so they can install it for themselves and see how easy it is. We've also built demonstration rows at operation centers for EPCs, an important step forward towards contracting. Starting this quarter, we're taking the show on the road with a new demonstration trailer. Now that some of the regulatory noise has lessened, we see many opportunities to capture new business, thanks to the benefits and labor that we provide that are so badly needed by our customers. Track this progress internally, and we'll continue to give you updates as we take the steps to make FTC the market leader, I know that it can be. On the product front, we believe that we have what is unquestionably the fastest and easiest to install tracker in the marketplace. This is not from some third-party study that backs into results, but from the actual measurement of workers installing our tracker. Today, FTC's independent row 1P architecture, where each row is controlled by a single motor is aligned with the majority of the market, and is the future of the industry. It is also significantly cheaper to install without expensive electrical work to power heavy-duty multi-road motors. Independent row, 1P architecture has been known for benefits and uptime, ground access maintenance and slope adaptability, leading to higher production for asset owners when matched with the right software. As these benefits become more important and as developers increasingly utilize software to optimize individual road positioning to capture up to $0.04 additional output, we believe the share of market will only continue to improve. Match with center mounted slew drives, only a few tracker vendors, including FTC, have both slew drives and single row architecture, and we believe we have the best solution. Our constructability, which can be built from piles to mounted modules with an efficiency of 0.053 labor hours per module, we believe is unmatched in the solar industry, and there is at least 20% more labor savings to we had. Already at 0.053 labor hours per module, we believe we are nearly 2x faster to install than our largest peers. In fact, we recently posted a video on LinkedIn showing a crew of 4 installing a 75 module row in less than an hour, and I would encourage everyone to view it. This efficiency is driven by our innovative Python clips, our slide and glide rails and open [indiscernible] design and power clips. And this productivity is something that any customer crew can achieve with our tracker, and I encourage every EPC to review this for themselves. This is crucial as labor shortages are increasingly pinpoint for the industry and are expected to continue and as labor continues to increase as a proportion of total project cost. And as the industry looks to increase use of robotic solutions, including for construction, we believe our trackers are better suited there as well with fewer factors and overall fewer components to be installed, clear robotic interface advantages, including hardware free module placement and consistent geometric reference points. Our tracker allows modules to glide and hold it to a proper position self-supported and aligned. Once you slide the module to the rail, it is fixed there and ready to take [indiscernible] clip, which can be done with 1 hand or 1 robotic actuator. There's no need to hold on both ends, no need to move back and forth to align bolts, no need to hold mobile both components and no need to twist or turn anything, which means it dramatically reduces the human or robot labor and complexity relative to competing solutions. Over the past few quarters, I've shared with you all of the great progress we have made in taking the great underlying 1P platform and expanding our product line to ensure we have the right products to meet customer needs across their portfolio. This has included adding solutions by wind zones up to 150 miles an hour, compatibility across module type, the ability to make module changes late in the design cycle, drain following features to reduce and eliminate the need for land grading and introducing the widest range of snow in the industry and up to 80 degrees to maximize hailstone flexibility and customization. And we're continuing to innovate. Last quarter, I told you about our next-generation extra long tracker for 2,000-volt system, which will enable reduced EBOS and O&M costs while increasing power capacity by 33%. Today, I'll share with you that we're also introducing a washerless tracker, which is exactly what it sounds like. We're eliminating the need for washers for any connections. It may sound simple, but it takes the part count down by an additional 15% or more on a tracker that we already believe had fewer parts than competing solutions, furthering our mission to make the most constructible trackers on the market, reducing labor time and complexity. Through continued innovation in R&D and software, our goal is to be twice as fast as our largest peers. We see this innovation push through our long-term agreements and our mission to add to the more than 7.5 gigawatts of MSAs we have added over the past year. The most recent being the 1-gigawatt agreement we announced in Q3 with Levona Renewables, which has the first project expected to begin in early 2026. Supported by our strong and expanded product line and the strengthened balance sheet, we have seen a meaningful step forward in our discussions with customers and prospects. In the U.S., our largest market, our pipeline has expanded with more customers and larger projects. This includes many new prospects and notably new and renewed discussions with multiple industry leaders, including Tier 1 EPCs. We're gaining visibility. We're getting more access and more projects are available for us to win. Internationally, we are also continuing to make progress strengthening our team, building our relationships and advancing pipeline and project discussions. We hope to have much more to share on the customer front in the coming weeks and months. So as I look back on the past year, it's possible I didn't fully anticipate everything that was going to happen on the regulatory and legislative fronts, which included uncertainties around ITC 45x and tariff adjustments just to name a few. And the net result of these things did push some expected new business to the right. But overall, we have been on a steady recovery over the past year and are in a greatly enhanced position with adjusted EBITDA hitting the highest levels in 5 years. Quarterly revenue levels were up 160% year-over-year and at their highest levels in 8 quarters with new cash on the balance sheet and additional capacity with a financing arrangement. Our product offering is more compelling and complete than ever, with a great deal of features added. And I'm confident that our growth will continue, including as we convert to 7-plus gigawatts of MSAs. We have made great progress over the past year. And to me, this is just a start. I often tell the team, don't judge us based on where we're starting, but rather where we're going. So look at all that we have accomplished in 1 year, the product, the balance sheet, the MSAs, the pipeline. Now looking ahead, we positioned our technology as an independent road tracker with slew driver. This is the dominant technology, same as the market leader and structurally advantage in our view, picking the boxes and expanding the market with our software suite and 80-degree [ health cell ]. Of course, the market leader has significant volume advantages. So does the market value innovation, it does and not all trackers are created equal. There is a great new innovation in IP and the market wants more competition. Where our trackers excel perhaps the most is in constructability, some great technology that is a labor accelerator like ours gain traction in the market that will face only increasing labor constraints, we believe so. We have been getting on the AVLs of more top developers and EPCs, further expanding our customer and prospect list. In addition to our current momentum, gaining only a small portion, even 5% of the top developer projects to start would provide incredible growth rate and a long runway for us. And as we grow, we gain those volume advantages to become even more efficient and give back more to our customers who can now complete more projects with the same amount of labor using our tracker, and have a healthier, more competitive tracker market. We have done a great deal to prepare the company and lay the groundwork and now more than ever, I believe the company is in a position to do great things, lock in many new projects and reap the reward of the great work and innovation. And we're aiming for a top market share position that is now possible. I have never been more optimistic about the long-term potential of the business, and I look forward to providing you with continued updates on our progress in the months ahead. With that, I'll turn it over to Cathy.

Thanks, Yann, and good morning, everyone. I'll provide some additional color on our third quarter performance and our outlook. Beginning with a discussion of the third quarter, revenue came in at $26 million, which is above the top end of our guidance range of $18 million to $24 million. The outperformance versus our expectation was largely driven by a pull-forward of material production to meet customer demand that was originally expected in Q4. The quarterly revenue level represents an increase of 30% compared to the prior quarter and an increase of 157% compared to the year earlier quarter, fueled by higher product volumes. GAAP gross profit was $1.6 million or 6.1% of revenue compared to gross loss of $3.9 million or 19.6% of revenue in the prior quarter. Non-GAAP gross profit was $2 million or 7.7% of revenue, and marking the company's returned to positive gross margin for the first time since late 2023. This turnaround was driven by the additional revenue I mentioned, which was at a higher margin. This quarter's results compared to non-GAAP gross loss of $3.5 million in the prior quarter and $3.9 million in the year ago quarter. GAAP operating expenses were $93 million. On non-GAAP basis, operating expenses were $8 million. This compares to non-GAAP operating expenses of $8.1 million in the year ago quarter and $6.5 million in the prior quarter. Moving to GAAP net loss. As you may know, the warrants which were issued as part of our recent capital raise, are subject to liability rather than equity accounting, and therefore require us to reflect changes in the warrant fair value each quarter in our GAAP financials. Essentially, if our share price goes up during the quarter, it will show as a noncash loss. And conversely, a share price decline, which shows a gain. The positive share price appreciation we saw in the third quarter drove an increase in the fair value of the warrant liability of about $16 million. This is a noncash charge that does not reflect the underlying business performance and will be excluded for purposes of adjusted EBITDA but does impact our GAAP financials. So including that GAAP net loss was $23.9 million or $1.61 per diluted share compared to a loss of $50.4 million or $1.18 per diluted share in the prior quarter and a net loss of $15.4 million or $1.21 per diluted share post split in the year ago quarter. Adjusted EBITDA loss was $4 million, which excludes a net of approximately $20 million for the change in fair value of the warrant liability as well as certain transition and special stockholders' meeting cost September 2025 and other noncash items. This represents our best adjusted EBITDA loss since the third quarter of 2020 and a substantial improvement from adjusted EBITDA losses of $10.4 million in the prior quarter and $12.2 million in the year ago quarter. As Yann noted, during the quarter, we strengthened the balance sheet by closing our previously announced term loan financing, which was [ $37 ] million before fees. As you may recall, this was part of an overall $75 million financing facility with the remaining $37.5 million in funding available to the company as may be needed in the future upon mutual agreement between the company and the investors. So overall, very good progress on financial side with some of the best numbers we've seen in many quarters as well as new cash on the balance sheet. We are energized by the progress and remain focused on delivering term value. Finally, 1 subsequent event to note, following the quarter end, we acquired 55% interest in Alpha Steel, which is owned by our joint venture partner. As you may know, Alpha Steel is a manufacturing joint venture partnership established by the companies in 2023 to manufacture steel components, including torque tubes, rails and other items. Following the close of transaction, which occurred this week, FTC Solar became the sole owner of Alpha Steel giving the company full control over a key contributor to our domestic content capability and unlocking additional profit potential, while ensuring full confidence with the guidance included in the OBBB. Alpha Steel was modestly profitable in the third quarter. And while we haven't given overall guidance for 2026 yet, we would expect Alpha Steel to be accretive to adjusted EBITDA. This acquisition is expected to drive lower COGS improved gross margin and higher adjusted EBITDA. With that, let us turn our focus to the outlook. Our targets for the fourth quarter call for the following: revenue between $30 million and $35 million, which at the midpoint would represent another 25% growth sequentially. Non-GAAP gross profit between $3.8 million and $8.2 million or between 12% to 7% and 23.4% of revenue, which even at the low end would represent our highest gross margin as a public company. Non-GAAP operating expenses between $8.2 million and $9 million; and finally, adjusted EBITDA between a loss of $5.4 million and breakeven. At the midpoint of this range, would also represent our best results as a public company. In 2026, we expect to continue our growth trajectory, and we'll plan to provide additional detail on our next call. With that, we conclude our prepared remarks, and I'll turn it over to the operator for any questions. Operator?

[Operator Instructions] Our first question comes from the line of Philip Shen with ROTH Capital Partners.

Congrats on the strong quarter. Congrats on the bookings as well. I was wondering if you could share a little bit more about the booking with Levona in terms of -- and I know you gave a lot of detail already, but much more could there be beyond even what you guys have shared? And then talk to us about the international bookings that might be coming and the other activity you're having with customers?

Appreciate the comment there. Look, I think Levona is indicative of a little bit of the type of clientele that we've been working hard on, working on developments in the early stages and special projects like this where it's a developer that has a tremendous track record in previous endeavors and now has several projects that we ultimately wrapped into this gigawatt MSA. And I think just from a standpoint of the team at FTC and something that's akin to what we're working on with many developers is -- is helping them maneuver the buses, right? We have obviously experienced in project finance. Our core expertise in supply chain and helping those projects get to close. So that's what we've been hard at work there. Obviously, there's a tremendous appetite for energy and generation coming from these solar developments. So sometimes it is straightforward as getting the projects to the point of construction. And we have been investing in supporting folks like Levona in early stages of design where many of our peers won't, right? They will wait for the project to get to RFP. But we'll spend time and design and helping them get the project to this standpoint, and that's borne good fruit. On the international front, we're -- I think we're quite optimistic. Couple of quarters ago, obviously, we announced a 300-plus megawatt project in Australia that we've been working on, and we think that's a strong market. Australia, in particular, because of the labor constraints and the labor cost, FTC solution in that 1 case ended up being millions of dollars cheaper to install. And we're continuing that notion, looking at additional markets where we might have product solution, but always making sure that we have a value proposition. But ultimately, the tracker market really has a lot of customers that have this global portfolio, right? It is not uncommon for me to spend time with a customer internationally that's working on a project in the U.S. or a U.S. customer that's acquiring a project internationally. So it is becoming a quite a bit of a global supply chain -- both global on the supply chain procurement part, but also on the customer support portion of it.

Great. Great job to you and the team for getting to the gross margin positive strong, so Q4 guide, but I was wondering, to what degree could you give us some commentary on how you expect things to -- either the margins or revenues to trend through the early part of '26 or through '26. I know you don't have an official guide, but so far as you can give us some qualitative commentary or even quantitative, that would be fantastic.

Yes. No, I think -- look, as I said in my prepared remarks, I'm very optimistic about where we're heading, right? We're looking to take share of the overall 1P market, obviously, coming into the space, as the latest entrants focus with built on innovation and having a little bit of a different mousetrap for EPCs and IPPs to consider, especially EPCs that are looking at labor savings and schedule constraints. So while quantitatively, not much to give you on 2026. I think it's fair to say at this point that we expect to be adjusted EBITDA positive for the full year 2026. I'm optimistic about where we'll be on both margins and revenues. Our focus has been on just execution day after day. I think the third quarter results speak to that. We hope to continue that trend. And when we have more guidance to get, we certainly will.

Okay. Just a little bit hear you on, do you think you guys remain gross margin positive through Q1 and 2?

Yes. I don't -- I think I'm going to leave it at where I think we'll be for the year, thinking that it's fair to say that we'll be adjusted positive for the full year. as soon as we have definitive numbers to give for any period of time, Q1, Q2, we certainly will.

Our next question comes from the line of Sameer Joshi with H.C. Wainwright.

Congrats on a great progress. Just a couple of questions from me. The $37.5 million that was drawn down and rather the remaining that is expected to be drawn down. Are there any plans to do that, now that you have almost $25 million cash on hand and nearing positive adjusted EBITDA?

Yes. Right now, we're focused on the business. Thank you for the question. Right now, we're focused on the business. I think it's nice to have the facility. It certainly is -- it's helpful with customers that are looking at FTC's balance sheet, so that it's been helpful in the conversations to advance our commercial efforts this quarter. I think right now, we'll continue to focus on the blocking and tackling of getting our bookings in continuing to work on our execution, just sort of the story that third quarter results tell that's certainly the trend line, but it's -- I would characterize it as it's nice to have the facility and additional cash that we've been able to bring in at the beginning of the quarter, and we'll see how the execution goes from here.

Understood. The couple of quarters ago, you had announced a 5-gigawatt 5-year sort of a master agreement. Are you seeing a sort of pull forward from that and maybe it may be completed in less than 5 years by the current [ term ].

Yes. Let me give the framing of all of our MSAs, which now stand at over 7.5 gigawatts. These are the investments that we've been making in helping developments to get to the start of construction or notice to proceed. And we expect many of which -- and some MSAs have started to roll projects into our bookings and revenue. So certainly nice to see. And it's an important tool for us because it is a relationship between 2 parties. And it's not just, as I said in my comments, for good PR and fourth in terms of the actual procurement contract and brings it to the forefront, right? We know where we sit in terms of the relationship contractually and allows us to contract more quickly. But fundamentally, our business, especially the solar business is built around relationships. It's not hard to see that there's -- in most MSAs, it's built around people trusting people and the relationships that we've all collectively had at FTC over the past couple of decades with other solar professionals. So we do -- there's a lot of enthusiasm, especially from my spot on sort of burning off and leveraging those M&As and actually bringing those gigawatts through but also increasing the number of MSAs that we possibly are into with others, both people that we're currently looking -- talking to about it. and those that already have signed MSAs. And I will say, because sort of a sideline on my comments, not all MSAs have gigawatts attached to it, right? It's -- the relationship can be non-volumetric especially with EPCs because it does set this preferred vendor type of relationship where we know and have reviewed collectively, what the terms and conditions would be of a purchase order. So spending more time with top-tier EPCs, including EPCs that are really growing quite nicely in the solar space, there's such a need for with all of labor constraints, there's also quite a bit of new EPCs that are growing significant volumes that we're spending time with bringing towards our demonstration facility, et cetera. So we're quite bullish on the use of the MSAs and see the customers really appreciate those as well, in some cases, even bringing projects into exclusivity under those MSAs. So it's all progressing quite nicely in building the mid-funnel that will ultimately lead to more backlog in bookings.

That was really helpful. May I squeeze one last one on working cash management. Accounts receivables are substantially elevated, does that -- any part of the answer is the answer that you gave, is that responsible for this high AR?

Yes. I'll let Cathy give a little bit color. But just obviously, if you kind of compare where we were and where we are having run manufacturing businesses in the past, there's always going to be a little bit of a linear relationship between the growth on the top line and the rest of the balance sheet, but I'll let Cathy give a little bit of color.

Thanks for the question. Yes, that is -- it really reflects kind of the increase in the activity that we're seeing. And as our projects go through the production and execution phase, you'll see that time line continues to grow with the growth in the revenue.

[Operator Instructions] Our next question comes from the line of Jeff Osborne of TD Cowen.

Most were asked, but just a couple of questions on the Alpha Steel joint venture. Did the historical ownership structure of that impact any bookings and potentially this now 100% owned by you, would that free up anything or any folks proactively or preventatively concerned about rules implementation?

Yes, it's a good question, Jeff. Over concern or question, I think it was good housekeeping for us. It does create an additional lever for us in terms of operating of the site, especially as the company grows pushing the volume through Alpha steel. But with the global supply chain, it's another tool for us. Obviously, we have a lot of contract manufacturing around the world for project base, both in the U.S. and external. But certainly now, it creates a 100% certainty for the market knowing that FTC is the owner of Alpha Steel and sort of our domestic torque manufacturing and some of the ancillary parts and fasteners that we're looking to increase the capacity of Alpha Steel will give us additional access to 45 credits, but also make it easier for folks around their project level, regulatory compliance, et cetera.

Got it. That's helpful. Maybe just two other quick ones. I might have missed it, but did you folks or Cathy disclose what the tariff impact is on the business, just given all that's going on with tariffs and then potential Supreme Court involvement there?

We did not most -- I think previously, we have talked about tariffs and contractually the pass-through customers. And I think the commentary I said on previous calls is, tariffs do create pressure on project level CapEx, right? So the cost increases back to the customer, there needs to be some flexibility to the PPA. So we've certainly seen offtake agreements have to take a little bit longer to negotiate. Obviously, when the tariffs came into effect, we were a little bit smaller as the business in terms of volume. So we were able to maneuver pretty easily with our global supply chain. But so we've never disclosed the tariff number itself for the most part, really just a pass-through to the overall project supply chain.

Got it. And last one I had is just I think 2 of your 3 competitors have made significant M&A around piles, foundations, et cetera, trying to differentiate on different characteristics of terrain versus you folks are leaning into the installation time, 2,000 volts, et cetera. What's your thoughts as it relates to your competitiveness as it relates to difficult soils or frozen soils, rocky terrain, terrain, et cetera?

Yes, it's a great question. And for the just to kind of give a little bit of color. Obviously, the tracker itself really comes into 2 parts, right, which is where we are as the tracker system itself and then the foundations as a separate. For us, the thing where we're differentiated quite substantially is our top of pile loads are significantly less than all of our peers. And there's a couple of sort of structural reasons, but the way that our system is designed and built actually does come up at times where we are the better tracker for foundations that one of our peers may own for the most part, still available to still available to our customers. Most piles, the relationship between the foundation companies actually doesn't usually sit with RECONNECT with the tracker vendor like ourselves, it sits with the end user themselves that are trying to find the right solutions. But there's quite a deep portfolio of foundation solutions in the market. I certainly hope that our peers are recognized the advantages for their customers that at time would want one of their solutions and wouldn't sort of leverage that to their sole advantage. I think that would be bad for the way that customers would view their relationship overall. It really speaks to -- and I'm going a little bit off script here, but we need a healthy market dynamic, right? And competition in the market is really inherently important. I've always viewed the sole industry as such. And I made it -- I said it in the comments, is that the customers want healthy competition. But overall, we haven't had any issues around access to foundations. There are several solutions for each problem and we've been able to maneuver it. But our focus has been just having a really wide product portfolio. Obviously, 1P releasing the 80-degree hail stow, having the best top of pile loads in the market. but also really helping customers where their pain point is, which is labor, right? 0.053 labor hours per module is not an insignificant KPI productivity KPI for EPCs, it is nearly 2x faster than what I've been told personally folks have with some of our peers. Those are real hours. Those are real possible schedule reductions that are going to be both CapEx, helpful, but also the ability for margin expansion at the EPC level. So that's why we've seen -- we're seeing a lot of EPCs take a look at us and the opportunities they have in leveraging the constructability. And then further down the road, sort of the advantages we have structurally with robotics, et cetera, where these third parties are coming up with incredible solutions that we'll be able to leverage into that our customers will be able to leverage into installing the tracker even faster.

I'm showing no further questions in the queue. Ladies and gentlemen, that concludes today's conference call. Thank you for your participation. You may now disconnect.