Star Equity Q2 Revenue Jumps 55% to $54.9M, But Net Loss Widens to $2.5M
STRR has more than doubled off its 52-week low of $1.95 on light trading volume (0.2× avg).
Summary
Star Equity reported Q2 revenue up 55% to $54.9M, but net loss widened to $2.5M. Adjusted EBITDA improved to $2.2M, and cash stands at $8.9M.
Key Events · Earnings and Guidance · STRR
-
Q2 Revenue Up 55%
Revenue reached $54.9 million, up 54.6% from $35.5 million in Q2 2025, driven by the merger and Energy Services growth.
-
Net Loss Widens
Net loss attributable to common shareholders was $2.5 million, or $0.66 per diluted share, compared to a $0.7 million loss a year ago.
-
Adjusted EBITDA Improves
Adjusted EBITDA rose to $2.2 million from $1.3 million in Q2 2025, though pro forma adjusted EBITDA was $8.5 million including a one-time gain.
-
Cash Position Tight
Total cash including restricted cash was $8.9 million at June 30, 2026, down from $13.4 million at year-end 2025.
Analysis · STRR · Trade & Services
Star Equity's Q2 results show strong top-line growth driven by the merger, but profitability remains weak. Revenue rose 54.6% to $54.9 million, yet the company posted a net loss of $2.5 million, or $0.66 per share, versus a $0.7 million loss a year ago. Adjusted EBITDA improved to $2.2 million from $1.3 million, but the company burned $1.7 million in operating cash flow during the quarter. With only $8.9 million in cash and restricted cash, liquidity is tight. The Building Solutions backlog grew to $10.6 million, and the company repurchased $0.2 million of stock, signaling management's view that shares are undervalued. The results are mixed: growth is real, but losses and cash burn persist.
At the time of this filing, STRR was trading at $10.70 on NASDAQ in the Trade & Services sector, with a market capitalization of approximately $37.5M. The 52-week trading range was $1.95 to $11.99. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.