v3.26.1
Segment Reporting
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Segment Reporting
Note 21. Segment Reporting
We operate in two reportable operating segments: IPP and IM, and publicly report our financial results on these two segments. The Company determines the operating segments and reports segment information in accordance with how the Company’s CODM allocates resources and assesses performance. The Company’s CODM is its CEO. The Company’s operating segments are aggregated into two reportable operating segments as described below:
•IPP – The IPP business represents the active management and operations of the Company's fleet of renewable energy projects, including those in late-stage development and under construction. The Company's renewable energy projects generally earn revenue through the sale of generated electricity as well as frequently through the sale of other commodities such as RECs. In certain cases, the Company also serves as a minority member in renewable energy projects where it does not actively manage and operate the project but receives periodic dividends. The Company also provides loans to developers for the construction of renewable energy and energy efficiency projects as an incremental revenue stream for IPP.
The IPP business includes the direct costs to operate the Company's fleet, including costs such as operations and maintenance, repairs, and other costs incurred at the project/site level. Additionally, the Company employs a dedicated team of technical asset managers as well as a construction team to oversee the development and operations of our fleet. Such costs are recorded as Direct operating costs for IPP.
The IPP business also includes the allocable portion of the Company’s General and administrative expenses, which represents overhead functions such as: finance and accounting, legal, information technology, human resources and other general functions that support the operations of IPP.
•IM – The IM business represents GCM’s investment management platform, which is a renewable energy, energy efficiency and sustainability-related project acquisition, consulting and development company that is registered as an investment adviser under the Advisers Act. The IM business also includes administrative services provided by Greenbacker Administration for managed funds in the renewable energy industry as an additional revenue stream.
The Company's IM business includes the direct costs incurred for the investment management services for managed funds and other marketing and investor relation services. This includes the costs to raise and deploy capital for such funds. Such costs are recorded as Direct operating costs for IM.
The IM business also includes the allocable portion of the Company’s General and administrative expenses, which represents overhead functions such as: finance and accounting, legal, information technology, human resources and other general functions that support the operations of IM.
The following table presents the Company’s revenue by reportable operating segment:
Year ended December 31,
(in thousands)202520242023
Energy revenue$182,534 $185,225 $159,301 
Other revenue4,624 6,085 8,434 
Contract amortization, net(7,419)(14,301)(8,060)
Total IPP revenue$179,739 $177,009 $159,675 
Investment Management revenue$11,482 $18,757 $13,490 
Total net revenue$191,221 $195,766 $173,165 
Our segment structure reflects the financial information and reports used by the CODM to make decisions regarding the business, including resource allocations and performance assessments. The Company’s CODM reviews operating income (loss) and its components to evaluate the performance of each segment on a regular basis and to determine how to allocate resources. The operating income (loss) of each operating segment includes the operating revenues of the segments less expenses that are directly related to those revenues. The accounting policies of the reportable operating segments are the same as those described in Note 2. Significant Accounting Policies.
The Company's CODM evaluates the financial performance of each segment using operating income (loss), which excludes: (i) unallocated corporate expenses; (ii) interest expense; (iii) income taxes; (iv) amounts attributable to our redeemable and nonredeemable noncontrolling interests; (v) unrealized gains and losses on financial instruments; and (vi) other income (loss). Additionally, the Company does not allocate the change in fair value of contingent consideration and certain share-based compensation expense to its reportable operating segments.
There have been no changes to the measurement methods of expenses or methods of allocating expenses to segments during 2025. Our CODM is not provided with total asset information by segment since we do not measure, evaluate the performance of, or allocate total assets on a segment basis. As a result, we have not disclosed any asset information by segment. All Other reflects the Company’s General and administrative costs not directly attributable to the segments.
Information on segments and reconciliations to consolidated revenues, consolidated operating expenses, consolidated operating income, consolidated loss before income taxes and consolidated depreciation and amortization for the periods indicated below were as follows:
For the year ended December 31, 2025
(in thousands)Independent Power ProducerInvestment ManagementAll OtherConsolidated
Total segment net revenue$179,739 $11,482 $— $191,221 
Operating expenses
Direct operating costs(1) (2)
$81,868 $12,712 $— $94,580 
General and administrative(3)
12,120 4,292 41,047 57,459 
Change in fair value of contingent consideration— — (300)(300)
Depreciation, amortization and accretion76,483 4,299 — 80,782 
(Gain) loss on asset disposition95,339 — — 95,339 
Impairment of long-lived assets, net and termination costs46,846 — — 46,846 
Total segment operating expense$312,656 $21,303 $40,747 $374,706 
Total segment operating income (loss)$(132,917)$(9,821)$(40,747)$(183,485)
Interest income (expense), net$(79,892)
Change in fair value of investments, net(5,380)
Income from sale-leaseback transfer of tax benefits32,951 
Gain on liability extinguishment15,417 
Other income (expense), net(2,624)
Income (loss) before income taxes$(223,013)
For the year ended December 31, 2024
(in thousands)Independent Power ProducerInvestment ManagementAll OtherConsolidated
Total segment net revenue$177,009 $18,757 $— $195,766 
Operating expenses
Direct operating costs(1) (2)
$95,049 $16,700 $— $111,749 
General and administrative(3)
15,231 8,020 29,301 52,552 
Change in fair value of contingent consideration— — (39,348)(39,348)
Depreciation, amortization and accretion73,790 8,163 — 81,953 
(Gain) loss on asset disposition12,932 — — 12,932 
(Gain) loss on deconsolidation, net(5,622)— — (5,622)
Impairment of goodwill200,338 20,976 — 221,314 
Impairment of long-lived assets, net and termination costs37,982 50,428 — 88,410 
Total segment operating expense$429,700 $104,287 $(10,047)$523,940 
Total segment operating income (loss)$(252,691)$(85,530)$10,047 $(328,174)
Interest income (expense), net$(7,612)
Change in fair value of investments, net(14,701)
Income from sale-leaseback transfer of tax benefits22,764 
Other income (expense), net2,436 
Income (loss) before income taxes$(325,287)
(in thousands)For the year ended December 31, 2023
Independent Power ProducerInvestment ManagementAll Other
Consolidated
Total segment net revenue$159,675 $13,490 $— $173,165 
Operating expenses
Direct operating costs(1) (2)
$91,911 $13,675 $— $105,586 
General and administrative(3)
13,992 3,680 42,945 60,617 
Change in fair value of contingent consideration— — (603)(603)
Depreciation, amortization and accretion116,506 9,237 — 125,743 
Impairment of long-lived assets, net and termination costs$59,294 $— $— 59,294 
Total segment operating expense
$281,703 $26,592 $42,342 $350,637 
Total segment operating income (loss)$(122,028)$(13,102)$(42,342)$(177,472)
Interest income (expense), net$(20,328)
Change in fair value of investments, net932 
Other expense, net(267)
Income (loss) before income taxes$(197,135)
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(1)Direct operating costs within the IPP segment represent the costs to operate our fleet of renewable energy projects, including operations and maintenance, site lease expense, project-level insurance and property taxes, and other costs incurred at the project level. Additionally, the Company employs a dedicated team of technical asset managers to monitor the operational performance of the projects within IPP. The salaries, benefits and professional service costs directly related to the operations of IPP are included within Direct operating costs in the tables above and on the Consolidated Statements of Operations. Direct operating costs exclude any depreciation, amortization and accretion expense.
(2)Direct operating costs within the IM segment represent the costs for the investment management services for the managed funds. This includes the costs to raise and deploy capital for such funds.
(3)General and administrative costs for the IPP and IM segments primarily consist of allocable portions of salaries and other compensation, professional services and consulting fees and other related costs for overhead functions. Unallocated All Other expenses represent the portion of expenses relating to general corporate functions, including certain finance, legal, information technology, human resources, administrative and executive expenses including stock-based compensation, and other expenses not directly attributable to the reportable segments.
Note 17. Segment Reporting
We operate in two reportable operating segments: IPP and IM, and publicly report our financial results on these two segments. The Company determines the operating segments and reports segment information in accordance with how the Company’s CODM allocates resources and assesses performance. The Company’s CODM is its CEO. The Company’s operating segments are aggregated into two reportable operating segments as described below:
•IPP – The IPP business represents the active management and operations of the Company's fleet of renewable energy projects, including those in late-stage development and under construction. The Company's renewable energy projects generally earn revenue through the sale of generated electricity as well as frequently through the sale of other commodities such as RECs. In certain cases, the Company also serves as a minority member in renewable energy projects where it does not actively manage and operate the project but receives periodic dividends. The Company also provides loans to developers for the construction of renewable energy and energy efficiency projects as an incremental revenue stream for IPP.
The IPP business includes the direct costs to operate the Company's fleet, including costs such as operations and maintenance, repairs, and other costs incurred at the project/site level. Additionally, the Company employs a dedicated team of technical asset managers as well as a construction team to oversee the development and operations of our fleet. Such costs are recorded as Direct operating costs for IPP.
The IPP business also includes the allocable portion of the Company’s General and administrative expenses, which represents overhead functions such as: finance and accounting, legal, information technology, human resources and other general functions that support the operations of IPP.
•IM – The IM business represents GCM’s investment management platform, which is a renewable energy, energy efficiency and sustainability-related project acquisition, consulting and development company that is registered as an investment adviser under the Advisers Act. The IM business also includes administrative services provided by Greenbacker Administration for managed funds in the renewable energy industry as an additional revenue stream.
The Company's IM business includes the direct costs incurred for the investment management services for managed funds and other marketing and investor relation services. This includes the costs to raise and deploy capital for such funds. Such costs are recorded as Direct operating costs for IM.
The IM business also includes the allocable portion of the Company’s General and administrative expenses, which represents overhead functions such as: finance and accounting, legal, information technology, human resources and other general functions that support the operations of IM.
The following table presents the Company’s revenue by reportable operating segment:
Three months ended
March 31,
(in thousands)20262025
Energy revenue$34,305 $43,980 
Other revenue447 301 
Contract amortization, net(2,459)2,921 
Total IPP revenue$32,293 $47,202 
Investment Management revenue$2,518 $3,260 
Total net revenue$34,811 $50,462 
Our segment structure reflects the financial information and reports used by the CODM to make decisions regarding the business, including resource allocations and performance assessments. The Company’s CODM reviews operating income (loss) and its components to evaluate the performance of each segment on a regular basis and to determine how to allocate resources. The operating income (loss) of each operating segment includes the operating revenues of the segments less expenses that are directly related to those revenues. The accounting policies of the reportable operating segments are the same as those described in Note 2. Significant Accounting Policies.
The Company's CODM evaluates the financial performance of each segment using operating income (loss), which excludes: (i) unallocated corporate expenses; (ii) interest expense; (iii) income taxes; (iv) amounts attributable to redeemable and nonredeemable noncontrolling interests; (v) unrealized gains and losses on financial instruments; and (vi) other income (loss). Additionally, the Company does not allocate the change in fair value of contingent consideration and certain share-based compensation expense to its reportable operating segments.
There have been no changes to the measurement methods of expenses or methods of allocating expenses to segments during 2026. Our CODM is not provided with total asset information by segment since we do not measure, evaluate the performance of, or allocate total assets on a segment basis. As a result, we have not disclosed any asset information by segment. All Other reflects the Company’s General and administrative costs not directly attributable to the segments.
Information on segments and reconciliations to consolidated revenues, consolidated operating expenses, consolidated operating income, consolidated loss before income taxes and consolidated depreciation and amortization for the periods indicated below were as follows:
For the three months ended March 31, 2026
(in thousands)Independent Power ProducerInvestment ManagementAll OtherConsolidated
Total segment net revenue$32,293 $2,518 $— $34,811 
Operating expenses
Direct operating costs(1) (2)
$17,334 $1,986 $— $19,320 
General and administrative(3)
2,831 1,153 8,078 12,062 
Depreciation, amortization and accretion15,656 1,175 — 16,831 
Impairment of long-lived assets, net and termination costs463 — — 463 
Total segment operating expense$36,284 $4,314 $8,078 $48,676 
Total segment operating income (loss)$(3,991)$(1,796)$(8,078)$(13,865)
Interest expense, net$(12,072)
Change in fair value of investments, net(5,745)
Income from sale-leaseback transfer of tax benefits10,188 
Other income, net153 
Loss before income taxes$(21,341)
For the three months ended March 31, 2025
(in thousands)Independent Power ProducerInvestment ManagementAll OtherConsolidated
Total segment net revenue
$47,202 $3,260 $— $50,462 
Operating expenses
Direct operating costs(1) (2)
$18,647 $5,264 $— $23,911 
General and administrative(3)
3,283 1,302 12,461 17,046 
Depreciation, amortization and accretion19,217 2,411 — 21,628 
Impairment of long-lived assets, net and termination costs13,665 — — 13,665 
Total segment operating expense$54,812 $8,977 $12,461 $76,250 
Total segment operating income (loss)$(7,610)$(5,717)$(12,461)$(25,788)
Interest expense, net$(36,566)
Change in fair value of investments, net990 
Income from sale-leaseback transfer of tax benefits10,188 
Other income, net148 
Loss before income taxes$(51,028)
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(1)Direct operating costs within the IPP segment represent the costs to operate our fleet of renewable energy projects, including operations and maintenance, site lease expense, project-level insurance and property taxes, and other costs incurred at the project level. Additionally, the Company employs a dedicated team of technical asset managers to monitor the operational performance of the projects within IPP. The salaries, benefits and professional service costs directly related to the operations of IPP are included within Direct operating costs in the tables above and on the Consolidated Statements of Operations. Direct operating costs exclude any depreciation, amortization and accretion expense.
(2)Direct operating costs within the IM segment represent the costs for the investment management services for the managed funds. This includes the costs to raise and deploy capital for such funds.
(3)General and administrative costs for the IPP and IM segments primarily consist of allocable portions of salaries and other compensation, professional services and consulting fees and other related costs for overhead functions. Unallocated All Other expenses represent the portion of expenses relating to general corporate functions, including certain finance, legal, information technology, human resources, administrative and executive expenses including stock-based compensation, and other expenses not directly attributable to the reportable segments.