Revenue grew 22.7% year-over-year in 2026Q2 to $481M, but operating margins remain volatile, swinging from 36.6% in 2024Q3 to -14.5% in 2024Q4, with a recent 24.1% margin in 2026Q2.
Clearway Energy, Inc. (CWEN) annual income statement — 15-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 |
|---|
| Revenue | 1.57B | 1.43B | 1.37B | 1.31B | 1.19B | 1.29B | 1.2B | 1.03B | 1.05B | 1.01B | 1.02B | 953M | 689M | 313M | 175M | 164M |
| Revenue Growth % | 9.92% | 4.23% | 4.34% | 10.42% | -7.46% | 7.26% | 16.18% | -1.99% | 4.36% | -1.18% | 7.14% | 38.32% | 120.13% | 78.86% | 6.71% | - |
| Cost of Revenue | 740M | 1.21B | 501M | 473M | 435M | 451M | 366M | 337M | 332M | 326M | 306M | 321M | 239M | 127M | 106M | 103M |
| Gross Profit | 834M | 217M | 870M | 841M | 755M | 835M | 833M | 695M | 721M | 683M | 715M | 632M | 450M | 186M | 69M | 61M |
| Gross Margin % | 52.99% | 15.19% | 63.46% | 64% | 63.45% | 64.93% | 69.47% | 67.34% | 68.47% | 67.69% | 70.03% | 66.32% | 65.31% | 59.42% | 39.43% | 37.2% |
| Gross Profit Growth % | - | -75.06% | 3.45% | 11.39% | -9.58% | 0.24% | 19.86% | -3.61% | 5.56% | -4.48% | 13.13% | 40.44% | 141.94% | 169.57% | 13.11% | - |
| Operating Expenses | 608M | 41M | 674M | 578M | -715M | 568M | 500M | 471M | 354M | 353M | 313M | 309M | 174M | 58M | 38M | 33M |
| Other Operating Expenses | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| EBITDA | 1.16B | 1.06B | 1B | 974M | 2.15B | 922M | 851M | 696M | 748M | 687M | 597M | 673M | 465M | 180M | 56M | 51M |
| EBITDA Margin % | 73.95% | 74.25% | 73.3% | 74.12% | 181.01% | 71.7% | 70.98% | 67.44% | 71.04% | 68.09% | 58.47% | 70.62% | 67.49% | 57.51% | 32% | 31.1% |
| EBITDA Growth % | 10.44% | 5.57% | 3.18% | -54.78% | 133.62% | 8.34% | 22.27% | -6.95% | 8.88% | 15.08% | -11.29% | 44.73% | 158.33% | 221.43% | 9.8% | - |
| Depreciation & Amortization | 938M | 885M | 809M | 711M | 684M | 655M | 518M | 472M | 401M | 404M | 379M | 353M | 193M | 52M | 25M | 23M |
| D&A / Revenue % | 59.59% | 61.93% | 59.01% | 54.11% | 57.48% | 50.93% | 43.2% | 45.74% | 38.08% | 40.04% | 37.12% | 37.04% | 28.01% | 16.61% | 14.29% | 14.02% |
| Operating Income (EBIT) | 226M | 176M | 196M | 263M | 1.47B | 267M | 333M | 224M | 347M | 283M | 218M | 320M | 272M | 128M | 31M | 28M |
| Operating Margin % | 14.36% | 12.32% | 14.3% | 20.02% | 123.53% | 20.76% | 27.77% | 21.71% | 32.95% | 28.05% | 21.35% | 33.58% | 39.48% | 40.89% | 17.71% | 17.07% |
| Operating Income Growth % | - | -10.2% | -25.48% | -82.11% | 450.56% | -19.82% | 48.66% | -35.45% | 22.61% | 29.82% | -31.87% | 17.65% | 112.5% | 312.9% | 10.71% | - |
| Interest Expense | 4M | 387M | 307M | 337M | 232M | 312M | 415M | 404M | 306M | 306M | 284M | 267M | 216M | 35M | 28M | 19M |
| Interest Coverage | - | 0.55x | 0.89x | 0.95x | 6.53x | 0.80x | 0.87x | 0.74x | 1.38x | 1.16x | 1.00x | 1.39x | 1.52x | 4.34x | 1.79x | 2.37x |
| Interest / Revenue % | 0.25% | 27.08% | 22.39% | 25.65% | 19.5% | 24.26% | 34.61% | 39.15% | 29.06% | 30.33% | 27.82% | 28.02% | 31.35% | 11.18% | 16% | 11.59% |
| Non-Operating Income | -4M | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K |
| Pretax Income | -131M | -175M | -33M | -16M | 1.28B | -63M | -54M | -104M | 116M | 49M | -16M | 77M | 116M | 117M | 23M | 24M |
| Pretax Margin % | -8.32% | -12.25% | -2.41% | -1.22% | 107.73% | -4.9% | -4.5% | -10.08% | 11.02% | 4.86% | -1.57% | 8.08% | 16.84% | 37.38% | 13.14% | 14.63% |
| Income Tax | 46M | 56M | 30M | -2M | 222M | 12M | 8M | -8M | 62M | 72M | -1M | 12M | 4M | 8M | 10M | 9M |
| Effective Tax Rate % | -35.11% | -32% | -90.91% | 12.5% | 17.32% | -19.05% | -14.81% | 7.69% | 53.45% | 146.94% | 6.25% | 15.58% | 3.45% | 6.84% | 43.48% | 37.5% |
| Net Income | 91M | 169M | 88M | 79M | 582M | 51M | 25M | -11M | 48M | -16M | 57M | 33M | 16M | 13M | 13M | 15M |
| Net Margin % | 5.78% | 11.83% | 6.42% | 6.01% | 48.91% | 3.97% | 2.09% | -1.07% | 4.56% | -1.59% | 5.58% | 3.46% | 2.32% | 4.15% | 7.43% | 9.15% |
| Net Income Growth % | 19.74% | 92.05% | 11.39% | -86.43% | 1041.18% | 104% | 327.27% | -122.92% | 400% | -128.07% | 72.73% | 106.25% | 23.08% | 0% | -13.33% | - |
| EPS (Diluted) | 0.75 | 1.42 | 0.75 | 0.67 | 4.99 | 0.44 | 0.22 | -0.10 | 0.46 | -0.16 | 0.58 | 0.40 | 0.29 | 0.28 | 0.18 | 0.23 |
| EPS Growth % | 17.76% | 89.33% | 11.94% | -86.57% | 1034.09% | 100% | 320% | -121.74% | 387.5% | -127.59% | 45% | 37.93% | 3.57% | 55.56% | -21.74% | - |
| EPS (Basic) | - | 1.42 | 0.75 | 0.67 | 4.99 | 0.44 | 0.22 | -0.10 | 0.46 | -0.16 | 0.58 | 0.40 | 0.29 | 0.28 | 0.18 | 0.23 |
| Diluted Shares Outstanding | 121M | 119M | 118M | 117M | 117M | 117M | 116M | 109M | 104M | 99M | 98M | 84M | 56M | 46M | 65.25M | 65.25M |
Quick answers to the most common questions about buying CWEN stock.
For fiscal year 2025, Clearway Energy, Inc. (CWEN) reported total revenue of $1.43B. This represents a 771.3% increase compared to $164.0M in 2011.
Clearway Energy, Inc. (CWEN) is profitable, generating $169.0M in net income for the fiscal year ending 2025 with a net profit margin of 11.8%.
Clearway Energy, Inc. (CWEN) reported an operating income of $176.0M, resulting in an operating profit margin of 12.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Clearway Energy, Inc. (CWEN) generated $217.0M in gross profit for the year, representing a gross profit margin of 15.2%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Guidance cut and rate sensitivity
Metrics are mathematically derived from official filings.
Revenue Growth Driven by New Assets
Revenue grew 22.7% year-over-year in 2026Q2 to $481M, according to reported figures, reflecting contributions from newly acquired renewable assets and higher capacity payments, though the trajectory is uneven across quarters.
The 22.7% revenue growth in 2026Q2 is the strongest in the ten-quarter window, but it follows a 2025Q3 decline of 11.7%, indicating lumpy additions from the ROFO pipeline rather than smooth organic expansion. The conventional segment's capacity payments likely provided a stable base, while renewable volumes fluctuate with resource variability. Investors should monitor whether this growth rate is sustainable as the pace of drop-down acquisitions may slow in a higher-cost capital environment.
Earned Returns Show Volatility
Operating margin swung from 36.6% in 2024Q3 to -14.5% in 2024Q4, based on financial statements, reflecting the impact of seasonal generation and non-cash adjustments, but the 2026Q2 margin of 24.1% suggests a return to normalized levels.
The wide swings in operating margin are typical for a YieldCo with HLBV accounting and mark-to-market on derivatives, but they obscure the underlying stability of PPA-backed cash flows. The 2026Q2 margin of 24.1% is above the 12.32% trailing average, indicating that the company may be benefiting from higher realized power prices or lower O&M costs. However, the negative margins in 2024Q4 and 2025Q4 highlight the risk of seasonal losses that could pressure full-year results if not offset by strong quarters.
Fuel Costs and O&M Pressures
With a gross margin of 15.19%, Clearway's cost structure is heavily weighted toward direct operating expenses and fuel, as per reported data, and inflationary pressures on O&M may be eroding margins on fixed-price PPAs.
The conventional gas segment's fuel costs are likely pass-through under capacity contracts, but the fixed-price nature of renewable PPAs means that rising O&M costs directly compress margins. The 2026Q2 operating margin of 24.1% is encouraging, but the persistent inflation noted in recent context flags could lead to margin erosion on older wind assets without inflation escalators. Investors should watch whether the company can offset these cost pressures through operational efficiencies or repowering projects that enhance output.
GAAP Earnings Obscured by Non-Cash Items
Net income swung from $236M in 2025Q3 to -$163M in 2026Q1, according to SEC filings, largely due to HLBV accounting and derivative valuations, which may not reflect the company's cash-generating ability.
The extreme volatility in net income, including a 55% net margin in 2025Q3 and -46% in 2026Q1, is a hallmark of HLBV accounting for tax equity partnerships, where tax benefits are allocated disproportionately. This makes GAAP EPS an unreliable indicator of underlying performance; analysts should focus on CAFD per share, which is not reported in the income statement. The positive EPS of $1.00 in 2026Q2 may be flattered by one-time gains, so the durability of earnings power remains uncertain.
CAPEX Cycle May Not Yet Translate to EPS
Despite revenue growth of 22.7% in 2026Q2, EPS growth was only 2.6% year-over-year, based on reported data, suggesting that incremental capital is not yet generating proportional earnings due to financing costs and project ramp-up.
The disconnect between revenue and EPS growth indicates that new assets are being added to the portfolio but are not immediately accretive, possibly due to higher interest expenses or initial operational inefficiencies. The company's reliance on drop-down acquisitions from its sponsor means that the cost of capital is critical; with rising rates, the yield on new investments may be compressed. Investors should monitor whether the current CAPEX cycle will eventually drive EPS growth as projects mature and debt is amortized.
What Could Invalidate the Growth Story
Management lowered 2026 guidance in mid-July, as per recent disclosures, and persistent inflation on O&M costs may further compress margins, challenging the assumption that revenue growth will translate into earnings growth.
The guidance reduction suggests that near-term earnings power is weaker than previously expected, possibly due to lower resource availability or higher costs. If the company cannot achieve its targeted returns on new investments, the ROFO pipeline may become a liability rather than an asset, as drop-down acquisitions at high prices could destroy value. Additionally, the market's focus on interest rates may continue to pressure the stock, as rising rates increase the discount rate on future cash flows and make the dividend yield less attractive. The counter-argument is that the conventional gas fleet provides a hedge against renewable intermittency, but this may not be enough to offset the headwinds from higher financing costs and operational challenges.