Fervo Energy Reports Decline in Revenue Ahead of US IPO
Fervo Energy revealed a drop in its annual revenue in documents filed on Friday in preparation for its initial public offering (IPO) in the United States, as the geothermal developer seeks to access capital markets amid rising energy prices.
The Houston-based company reported a net loss of $57.8 million on revenue of $138,000 for the fiscal year ending December 31, 2025, compared to a net loss of $41.1 million on revenue of $199,000 a year earlier.
Several energy companies, including drilling equipment provider HMH and nuclear reactor developer X-Energy, have turned to capital and debt markets since the start of the Iran war to take advantage of the surge in oil prices.
Electricity consumption has also risen as tech companies expand their data processing capacity, with Morgan Stanley forecasting a global demand increase of over 1,000 billion kWh per year by 2030, with data centers contributing to nearly 20% of this growth.
Fervo Energy utilizes advanced geothermal systems to generate continuous carbon-free electricity as a reliable alternative to solar and wind power, which rely on weather conditions.
President Donald Trump has shown support for geothermal energy, designating it as a vital domestic energy source in a national energy emergency declaration at the beginning of his term.
The company is developing its flagship Cape Station project in Utah and had 658 megawatts of power purchase agreements in December 2025, along with a broader pipeline covering multiple US states.
The company plans to use the proceeds from the IPO for general purposes, including project construction, advancing its geothermal development pipeline, and expanding its land assets.
J.P. Morgan, BofA Securities, RBC Capital Markets, and Barclays are the joint bookrunners for the offering.
Fervo intends to list its shares on the Nasdaq under the symbol “FRVO”.
