Accelevation Revenue Jumps 65.9% to $202.2 Million in Third Quarter
Key Facts
Accelevation reported third-quarter revenue for the period ended September 30, 2026, rose 65.9% year over year to $202.2 million, compared with $121.9 million in the same period a year earlier, according to the company’s published results. Sales growth came alongside a sharp increase in bookings and backlog, indicators of the volume of orders the company received and the scope of work awaiting completion. But revenue growth did not translate at the same pace into adjusted net income, which fell during the quarter. The company, meanwhile, recorded an improvement in operating cash flow compared with an outflow in the year-earlier period. The results thus show a divergence between order momentum and sales growth on one hand and some profitability measures on the other.
Bookings reached $768.9 million, up 364% from the third quarter of the previous year, while backlog rose to $1.7 billion. Backlog increased 329% year over year and 51.0% from the previous quarter, and the book-to-bill ratio was 3.8 times. These figures reflect the larger volume of orders the company recorded compared with revenue billed during the quarter, as well as growth in the balance of work awaiting execution. In the earnings statement, Chief Executive Michael Rubiera tied his outlook to strong demand, order accumulation, execution speed and the company’s focus on productivity. He said these factors "put us in a good position to deliver strong results in the fourth quarter and beyond."
At the earnings level, net income was $3.2 million, down $10.5 million from the year-earlier period, while net income margin was 1.6%. Adjusted net income was $20.9 million, down 7.0% year over year. Adjusted EBITDA rose by $8.9 million to $37.7 million, with a margin of 18.7%. Gross profit was $59.2 million, compared with $42.1 million a year earlier, an increase of 40.4%, while operating income was $18.2 million, compared with $18.1 million, up 0.7%. This coincided with interest expense rising to $16.046 million from $5.673 million in the third quarter of 2025.
Operating cash flow turned positive at $62.5 million for the quarter, after the company recorded an outflow of $0.6 million in the same period a year earlier. For the nine months ended September 30, 2026, revenue was $639.7 million, up 128.0% from $280.5 million in the comparable period. In a financing development, the initial public offering was completed on October 1, 2026, after the quarter ended, and included 30 million shares priced at $18 per share; the company sold 10 million shares and existing shareholders sold 20 million. The company’s net proceeds from the offering were about $170.6 million, which it used to purchase new units in Accelevation Holdings LLC, which directed the funds toward repaying existing debt. The company received no proceeds from shares sold by existing shareholders.
The company set its fiscal 2026 outlook at revenue of between $905 million and $915 million and adjusted EBITDA of between $155 million and $165 million. Chief Financial Officer Ken Krause said the outlook reflects expectations for continued growth and improved margins and cash flow as the company enters the fourth quarter and looks ahead to 2027. Rubiera added that the company continues to invest in expanding its modular capabilities and broadening its power products offering in response to demand, while diversifying its customer base and growing with existing customers. Management is scheduled to hold a conference call to discuss third-quarter results on November 13, 2026, at 8:30 a.m. Eastern time. ACCV shares closed at $11.91 on November 11, 2026, according to EL7 data.