Filing Flows › Energy Recovery (ERII) › Q3 2025
Energy Recovery (ERII) Q3 2025 earnings results (third quarter 2025)
10-Q filed Nov 5, 2025
Energy Recovery (ERII) reported revenue of $32.0M for the third quarter 2025 (Q3 2025), -17% from a year earlier and +14% from the quarter before. Operating margin was 11.4%, net earnings $3.9M (12.1% of revenue).
Energy Recovery, Q3 2025: revenue $32.0M (-17% year over year), operating margin 11.4%, net earnings $3.9M, operating cash flow −$3.1M. The chart follows the revenue to costs, profit and cash.
| Q3 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $32.0M | +14% | -17% |
| Gross profit | $20.6M | +15% | -18% |
| Operating profit | $3.7M | +148% | -48% |
| Net earnings | $3.9M | +89% | -54% |
| Operating cash flow | −$3.1M | -176% | — |
What changed
Revenue was $32.0M in Q3 2025, down 17% year over year and up 14% from the previous quarter. Water was the largest line at 100% of revenue. Water lost $6.4M year over year (down 17%), 97% of the total change.
Gross margin was 64.2%, down 0.8 points from a year earlier. Operating profit was $3.7M, a 11.4% margin (down 6.8 points year over year). Operating expenses fell 6% while revenue fell 17%. Net earnings were $3.9M, down 54% year over year. The effective tax rate was 14.9%.
Operating cash flow was −$3.1M. Non-cash charges added back $913K of depreciation and amortization and $2.2M of share-based compensation. Working capital and other items used $10.1M. Capital expenditures of $342K exceeded it, leaving free cash flow of −$3.5M.
Questions
What was Energy Recovery's revenue in the third quarter 2025?
Energy Recovery (ERII) reported revenue of $32.0M for the third quarter 2025 (Q3 2025), -17% from a year earlier and +14% from the quarter before.
Was Energy Recovery profitable in the third quarter 2025?
Operating profit was $3.7M (11.4% of revenue) and net earnings $3.9M.
Source: Energy Recovery 10-Q on SEC EDGAR.