Enlight Surges 8% on Record Q2 Profits and Major Google Power Deal

Enlight Renewable Energy, one of Israel's largest renewable energy companies, saw its stock jump 8% following an exceptionally strong second-quarter report. The company reported a fivefold increase in net profit to $31 million compared to $6 million in the same quarter last year, alongside a 55% rise in revenues to $210 million. This growth was driven by rapid development of solar projects and significant tax benefits, including securing future tax incentives before their scheduled expiration.

Enlight achieved "Safe Harbor" status for a large portion of its U.S. solar projects ahead of the July 2026 deadline, allowing it to benefit from tax credits under U.S. legislation. Currently, 38% of projects in development and 91% of advanced projects have secured these benefits, boosting tax-related income from $18 million to $44 million this quarter. Electricity sales revenue increased by 43% year-over-year.

The company upgraded its 2026 revenue forecast, raising the previous upper limit of $785 million to a new range of $790 million to $820 million, compared to $582 million in 2025. Enlight aims to sustain an average annual revenue growth rate of 41% since 2018 and projects revenues exceeding $2.2 billion by 2028. Despite profitability, Enlight continues to invest heavily in construction and development, with $723 million spent in the last quarter alone, funded partly by increasing debt, which reached $610 million from banks.

A highlight of the quarter was a 15-year power supply agreement with Google for solar assets in the U.S. Southwest, with commercial operations expected to start in 2029. Enlight also finalized financing for the massive 1.2 GW CO-BAR project in Arizona, which includes 4 GWh of energy storage and is expected to generate over $200 million in its first year. The company is expanding into new European markets with projects in Romania and Finland offering returns of 17-18% annually, and is developing data centers powered by renewable energy consuming over 2 GW.

CEO Adi Levitan emphasized the company’s strong growth, expanded energy storage activities, and robust financing capabilities, stating, "We are in the strongest position in our history with a broad portfolio, strong balance sheet, and proven execution ability, enabling us to accelerate growth."