ERIINasdaqSpecial Industry Machinery, NECFiscal year ends December 31
Energy Recovery, Inc.
Financials through Q2 FY2026, quarter ended Jun 30, 2026Last filing: 10-Q on Aug 5, 2026
$6.66+0.01 (+0.15%)
Close on Oct 19, 2026
- Market cap
- $342.74M
- P/E (TTM)
- 23.8
- Dividend yield
- –
Margins
Share of revenue, fiscal years 2011 to 2025
Gross margin
65.1%
Operating margin
17.7%−8.6 pts over 5 years
Net margin
17.0%−5.2 pts over 5 years
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | -6.9% | +2.4% | +2.6% | +11.9% | |
| Gross profit | -9.3% | +0.2% | – | +13.6% | |
| Operating income | +21.1% | -1.3% | -5.3% | – | |
| Net income | -0.4% | -1.5% | -2.7% | – | |
| EPS, diluted | +5.0% | 0.0% | -2.2% | – | |
| Free cash flow | -9.3% | +27.6% | +11.6% | -12.8% |
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2016 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | 5.6% | 17.2% | 11.0% | |
| Return on assets | 2.5% | 13.4% | 9.7% | |
| Current ratio | 7.13 | 9.10 | 10.44 | |
| Debt to equity | 0.00 | – | – | |
| Net debt to EBITDA | -9.25× | – | – | |
| Interest coverage | 1142.0× | – | – | |
| Inventory turnover | 4.7× | – | 1.9× | |
| Capex to revenue | 1.9% | 5.7% | 1.0% | |
| Diluted shares | 55M | 57M | 54M |
Where the cash went
Fiscal 2021 to 2025, five years combined
Energy Recovery generated $91.50M from operations and spent $152.12M on capital expenditure, dividends and share buybacks. 11% of that went back into the business.
Generated
$91.50M
Used
$152.12M
Capital expenditure$16.11M11%Dividends$00%Share buybacks$136.01M89%
DuPont analysis
Return on equity split into margin, efficiency and leverage
Net margin17.0%
×Asset turnover0.57×
×Equity multiplier1.14×
=Return on equity, FY202511.0%
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | 17.0% | 0.57× | 1.14× | 11.0% |
| FY2024 | 15.9% | 0.58× | 1.15× | 10.7% |
| FY2023 | 16.8% | 0.55× | 1.16× | 10.6% |
| FY2022 | 19.1% | 0.58× | 1.18× | 13.2% |
| FY2021 | 13.7% | 0.50× | 1.19× | 8.1% |
| FY2020 | 22.2% | 0.61× | 1.28× | 17.2% |
| FY2019 | 12.6% | 0.47× | 1.48× | 8.8% |
| FY2018 | 29.6% | 0.43× | 1.68× | 21.5% |
| FY2017 | 26.6% | 0.44× | 1.95× | 22.9% |
| FY2016 | 6.4% | 0.38× | 2.27× | 5.6% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
5of 8 tests passed in fiscal 2025. Some tests lack the figures they need.
- ProfitableNet income above zero$22.96M
- Cash generatingOperating cash flow above zero$18.77M
- Return on assets improvedROA up on the prior year9.1% → 9.5%
- Earnings backed by cashOperating cash flow above net income$18.77M vs $22.96M
- Less leverageLong-term debt to assets fell– → –
- Better liquidityCurrent ratio rose7.41 → 10.44
- No dilutionShare count did not rise58M → 54M
- Gross margin improvedGross margin up on the prior year66.87% → 65.14%
- More efficientAsset turnover rose0.57 → 0.56