Business Model Breakdown
How Array Technologies Inc Makes Money
ARRY
Market Cap
$1.3B
Annual Revenue
$1.2B
Profit Margin
-5.6%
Employees
1,021
The Short Version
Array Technologies designs, manufactures, and supplies solar tracking systems primarily for large-scale solar power projects in the utility sector. Their flagship 'Duratrack' system enables solar panels to follow the sun's path throughout the day, significantly maximizing energy capture and reducing overall project costs for their customers. They also provide fixed-tilt mounting systems, catering to the growing demand for efficient and cost-effective solar energy infrastructure.
Where the Revenue Comes From
Sales of solar tracking systems (~90-95% of total revenue)
Sales of fixed-tilt mounting systems (~5-10% of total revenue)
Who buys: Utility-scale solar developers, independent power producers, and EPC (Engineering, Procurement, and Construction) firms, primarily concentrated in the United States.
Why It Works (Competitive Advantages)
- ✔Patented, simplified tracker design (Duratrack) offering installation efficiency and cost advantages.
- ✔Strong domestic market focus, leveraging benefits from policy support like the IRA.
- ✔Established relationships with Tier-1 utility-scale customers.
Economic Moat: Narrow (Cost Advantages (through efficient design and simplified installation, reducing project costs for customers)., Intangible Assets/IP (patents protecting its core tracker technology).)
What Our Analysis Says
DVR Score as of June 5, 2026
Array Technologies maintains its high-potential status in the rapidly expanding utility-scale solar tracker market, driven by robust global decarbonization efforts and strong policy support like the IRA. Its patented, simplified tracker design continues to offer a competitive edge. The Q1 2026 earnings report shows a healthy 28.2% gross margin and positive adjusted EPS, with management reaffirming strong FY2026 guidance. Critically, a record $2.4 billion orderbook provides significant revenue visibility and validates its market position. While Nextracker's market dominance remains a hurdle, Array's consistent execution, growing orderbook, and focused efforts on margin improvement provide a viable path to increased market share. A 10x return within 3-5 years is contingent on sustained revenue acceleration, substantial margin expansion, and successful navigation of intense competition. The score has increased due to improved visibility and the strength of the order book.