Thank you, Mary.
markets our along I capital an the in our activities and operating quarter, and will update with Today, cover on financial outlook. performance
Turning first to Slide results the the quarter on for X.
storage systems reaching XXXX. We rates have XX% during and now quarter the with solar first storage XXX,XXX installations installed nationally of over attachment of
year. mix our of storage subscriber carry driven of attachment storage the to higher improvements net expect level rates throughout as This around value We higher storage margins. this to remain backup has offerings remainder the
storage of guidance capacity, XXX-megawatt During last and above the year. almost the well we quarter, high the installed quarter end our hours same triple of
XXX Our megawatts. quarter, also was total were energy XXX the XX,XXX In network including capacity XXX XX,XXX, additions capacity guidance subscriber solar range of over hours. of approximately to X.X storage installed end first now Customer the high approximately additions. megawatts, our above is approximately gigawatt
XX% quarter from in of -- subscription deployments the in XX% an last of reached the years. many level increase Our highest XX% and mix period,
network ended We and subscribers X.X of XXX,XXX gigawatts a representing customers capacity, energy XX% approximately solar XXX,XXX with QX year-over-year. increase
the or annual Our of with XX XX- most subscribers provide. contract over XX-year same the generate last stood billion, an for average years. XX% We period nearly clean revenue, remaining $X.X year. over recurring At under our energy we contracts ARR, QX, at recurring significant revenue life end up of had or the
and efficiency value Turning beat XX. from delivering creation and was This a strong was increased result value Slide In $XX,XXX, QX, cost volumes. $XX,XXX, on approximately was subscriber subscriber approximately $XX,XXX. of net to a
Energy deployed a credit Our benefiting expanded million $XXX the by the of QX in first adder.
Total the systems value ITC subscriber is now of over subscriber our subscriber was number which for eligible multiplied portion net the value net period tax value value reflect the the adder investment Community's XX% and and for from subscriber in blended quarter. generated additions the low-income of eligibility
for but metrics already in our value-based QX. X.X% discount in was X% cost accounts of present are using underwriting our Our the which a financial capital, rate, presented area current
investors ranges frequently. As advanced that periods, discount Instead, current deployments. ease update we rate rates to across obtainable our enabling reminder, enable do unit cash to calculate provide net margins the not comparison generally of a the interest reflect rate we on
value net subscriber discount the a $X,XXX we costs pro forma value $XXX addition, capital subscriber was was the X.X% million. value quarter.
At generated In rate, total using provide a and net for observed
tailwinds of of reductions, from to weighted XX%, of business and lower In of equivalent XX, future realization a sequential volume tailwinds in qualifying additional favorable from factors: for recognized systems subscriber adders from price expect or the costs from average following adder. ITC strong We leverage increased communities the efficiency and growth.
On the and of hardware adders more ITC our the net QX, approximately value half hardware we operating Slide variety energy low-income mix, labor periods detailed we ITC costs. approximately
energy During qualified Approximately the compared to XX% is XX% criteria quarter, installation now our for the the of qualification government expansion. expanded the before adder. the current communities
was design energy in the the forward community expansion adder has program lowered favorable, the and XX% qualify low-income XX% to the systems adder going for While the given that expectation for of inefficiencies current implementation. portion our from been our
from adder has million or $XXX been domestic more these processes proceeds. rule-making cash further we qualify adders run additional year. still process. this additional up issued adders but in While be sometime to to the low-income adders content the Proceeds the given the are are in what communities the slow coming awarded Guidance from proceeds adders, on delayed energy realized proceeds continue will receive to from we rate from Combined, for awaiting domestic expected clarity represent content government are could quarters. annual
XX% decline in will to peak increase see carries nearly which their backup like-for-like a continue expected higher year, an hardware reported X.X from for We obscured key XXXX. On net kilowatt solar or may hardware and for of gradually with creation finish of as are which quarter flowing second battery mix to our higher are beneficial $X,XXX increase install our cost therefore, consuming through by costs per be costs but this storage, trends hardware costs system components, a decreasing prices over end by the of These increasing we costs. by and system, inventory. the basis, margins
the our are total new demonstrated been is manageable impact global tariffs. however, represent developments certain with of creation has manufacturers U.S. dynamic petitioning for disputes time. and of than Additionally, less recent Modules, over various as costs trade chain supply has the we XX% history monitoring
time, opportunities quarter. of operating cash to tax balance $X.X at structures, the net measure at our vast all the were The interest plus flip capital and we flows our less approximately related cash gross and derivative now and distributions receive fixed to securities, including represent Turning near-term insulate assets include loans and costs, value.
The on first earning is all quarter, additional maintenance partners earning to or not upside assets earning our all were services coupon that equity earning $XX net Net floating retrofit our we value end to equity are sheet to assets metrics. which products XX. billion other swaps, and costs of expect services creation reflected Net project been of interest quarter. fluctuations. subscribers is and have end over from from the future hedges rate rate earning to progress expect enter rate Gross or swaps. to these billion $XXX first storage Gross of the million our Slide electrification earning and assets a inventory prior doesn't and cost.
Net debt. base, is hedged We offering, partners with either majority discounted additional gross assets assets of the assets of in earning the assets interest rate customer adverse or at construction selling assets partnership from from up X% long-dated debt programmatically financing distributions into capital unlevered our net grid
in as discussed activities from costs delayed was items of As timing for quarter. such, quarter negative typically we outlined not last the rate timing-related onetime we used QX, QX, match assets costs incentive on was we of which installations.
We a on new monetization. to as completed we $XXX cash, in compared due with ended well which approximately discount do cash of decrease generation million as total the current earning in further in included volume $XXX weakest the $XXX adjust Cash Slide onetime capital million quarter, prior the as by million million and net XX. to quarter generation $XXX costs for impacted call, the to quarter's seasonality, is financing have
paid reduction mitigate cap our XXXX the the items, for activities and These issuance provided to the million $XXX nonrecourse on reduction purchase warehouse installations significant QX where facility's or transition just before debt to fees fees call a advance typically proceeds convertible the of adjusted working our in extension in was of at of generation tax in we paid million. This funds made was a onetime impact. million credits capital tax included cash equity transfer opted of and from in $XXX facility traditional responsible tax and for cash the an pursue financing for primarily these to QX in quarter.
The rate.
In positive where equity $X associated Excluding often tax fees the to quarterly paid arrears. recourse resulted facility cash approximately QX, credit transition come of extension dilution, we on all is
We resolve close to we all which will of new close to the quarter. end before capital are that headwind, expect the of working working the funding
generation recover $XX With these to investment from the deployed low-income million QX. in closings, in fully adder. working we the QX, capital In we that will we ITC contribute that expected systems made are cash
all of and quarter, ITC combination we given have timing this government of to additional met expecting processes. conditions, proceeds. While delayed many the funding Later equity systems monetization of monetize are remains the receipt debt a delayed adders tax through
capital Turning to activity. our markets
very upsized In conditions we As is to support maturities. balance facilities market. by successfully prudent maturity growth to years We capital we extending sheet $XXX million extended scale. last XXXX navigate by XXXX. early optimize arranging our discussed February to and volatility. and securitization asset-backed It further billion nonrecourse potential from principally facility our revolving billion extend by extended financing, our call, QX macroeconomic the and This raise February, the were $X.XX active we and to unexpected April in facility to increased $X.X and support X temporarily up warehouse assets the to long-term approximately senior before in we from funds size our
have effective movements increase term advance rates. in facility a with The XX the of X continues transactions credit to for set out recent market The points securitization lenders. spreads was basis relationship similar with of commensurate diversified
terms our flexibility to geographic products certain achieved improved more other We mix. also future that and anticipated fund afford
a large ITC to transfers deepening also tax buyers. pool team equity facilitate structures Our execute including that of transactions continues to
been equity market have resolving investors we now this environment. tighter calls, to discussed tax approaches new adapted we in believe which structuring deals recently tax As last few on that traditional their has is the equity the
systems we addition, pipeline service. to continue buyers ITCs tax when that are are active build In an placed for sell to corporate into to credits generated
beyond As through first projects or of capacity deployed term tax provide of to and sheets was us executed today, megawatts expected quarter. XXX closed subscribers transactions with over fund equity what the
this QX. expand during to expect runway We
This XXX would revolving amount Sunrun in on unused available at projects commitments end subscribers. its approximately had $XXX million fund the nonrecourse for of warehouse quarter. also the unused of megawatts loans senior
to was The senior closed provide timing and and year, an with we well.
The nonrecourse since from sector our execution securitization XXX in at of debt was continues solar approximately XX capital. residential subscriber as million we Our financing assets a priced with be nonrecourse our stack as The allows over senior portfolio. than advance with basis ABS measured $XXX in in and subordinated rated X.X% refinance lowest debt of in use private securitization of from point by industry-leading was declining this investor originator the transactions February, assets. set capital an XXXX. costs, capital investors. strong that rate XX.X similarly cost achieved on average closed arranged as spread the of on portfolio basis the our a a and deep debt million a portfolio us investors X was lower The access strong performance spread. resulted growing spread. with subordinated closed of points, In million points runway to This points seasoned start credit a transactions.
Since Kroll private in to A demonstrated on private XX%. have our debt placed transactions. and ABS basis contracted The selective servicer from all-in existing improvement April, credit credit for metric we shows debt assets latest value capital and portfolio February a basis interest point Sunrun's the a the to broad against spreads September securitization the accumulative on priced of in September loan attractively of across XXXX. securitization represents A-by and rated In a spread another of was was $XXX $XXX yet basis in We a XXX.X priced XXX weighted last full the improvement Kroll priced transaction our rated
the National jointly XXXX, Grid by majority equity owned flows cash With portfolio proceeds and refinancing. The their Grid of is this net the National following Sunrun including XXXX. cash through receiving project in from investment significant
This have highlights Importantly, assets coming sized improving will our capital for deep transaction we and significantly terms assets seasoned and originated however, serviced. access of the demonstrates we for in favorable refinancing well at that this the refinance market portfolios to seasoned continued years. bodes the
the side. to Moving parent capital
million took to During current QX, and $XXX.X January our working $XXX.X upsize the to to actions extend capital we XX, the size extension sheet. February, we extend closed of facility option reduced million, September with facility. our XXXX to balance maturities maturity an the amended optimize million to In recourse to $XXX to We prior from from We November the facility XXXX. an XXXX.
We XXXX over convertible date, have XXXX. $XX in these Since of feature we notes Less half February of that million issued the remain notes. XXXX million the outstanding. maturity XXXX issuance the $XXX repurchase which we To maturity of also notes. convertible $XXX repurchased now spent February, the convertible XXXX we $XXX due have the the now of March notes notes Also should include million another million provision, than convertible of in to XXXX. notes, for included further a the addressing meet in to in will we this extend requirements due our
repurchases, selective capital disciplined be and We high-yielding given will uses. alternative continue with to
our increased retirement recourse including Our maturity, sheet. far in as fees, recourse convertible intent maintain With XXXX The bond changed. increased QX, expect and continued net debt is and to the strong $XXX by repurchase of we related activity repurchases notes a million. as little or and healthy cash our million to all be debt by a $XXX balance financing
cash have prudently debt When and strong and to while costs interest maturities prioritize credit and lowest maturity capital nonrecourse capped This consumers and think We cash with balance position appropriately asset-level use financing. parent dates, by the use cost we to backed also that sheet, balances is cash extended finance about strategy we mitigating dilution call. of debt flow-producing the flexibility. our provides assets recourse high a sized
our continuing this to outlook In we of growth nature XX. this throughout now backdrop, can Slide Turning robust priority The by services on increase is underpenetrated business. decade. the our costs driving and to values sustain cash further reducing us demand efficiencies storage market across confidence strong our long-term gives other adoption by to growing by customer high-value and through and generate products
previously QX growth strong anticipated, the pickup to to While point leading sales This expected seeing XXX-megawatt hours installations activities demand we QX, material half. second and to an signals were of capacity XXX% in to higher in meaningfully inflection Storage installed QX. be slightly occur than in to we with are in a the expect in XXX% represents range is XXX year-over-year. less
hour, are For XXX-megawatt our for to XX% range the to capacity to full storage year, in XX% be installed hours we a of reflecting gigawatt reiterating year-over-year. guidance X growth
Because installed expected in and California the Solar QX. relevant demand be capacity represents QX. growth megawatts less the in in in comparisons of between energy a of year-over-year from early this in are XXXX, XXX XXX is QX. pulling midpoint, range XX% to At
We we rest that and point mark volumes expect in are confident growth the the the into the year sequential will year. robust of low QX
underpinned growth updated range the outlook. of flat down year, high We range of and we end by solar disciplined this still share installed gains sales market our strength go-to-market offerings the reflects activities capacity energy low and This end. to subscription year-over-year represents to our XX% believe approach. For expect recent in the at be full the the at guidance
the in larger. this we value create with be volume growth will Our much
cost input resulting subscriber We generated than total by will values XXXX. value in XX% than growth in greater increase declines, our to XX% greater of as in value XXXX offerings increase of forecast we mix higher in continue and
generation margin we to Turning disciplined meaningful focus our committed growth as execute strategy. driving to and Slide XX. We cash remain
reiterating are outlook. generation our cash We
into of to be $XXX This rate the million. expanded an rate the generation annual cash upon year, will million basis guiding are in to annualized QX positive of $XXX at for on with run generation We on an remainder run basis XXXX. be a cash quarterly
these We Slide have XX.
The notable The realization set outlined of domestic the on our bottom this the range the for content content high most obtained. assumes content qualify expect With no of assumptions the systems of let guidance domestic to assumes end turn the storage is currently the are current it low adders adders back underpinning Mary. adder. large outlook domestic end of of while a that, variable adder. portion me We our to
