NEXTRACKER INC., 10-K filed on 5/22/2025
Annual Report
v3.25.1
Cover Page - USD ($)
$ in Billions
 12 Months Ended
Mar. 31, 2025
May 12, 2025
Sep. 27, 2024
Document Information [Line Items]      
Document Type 10-K    
Document Annual Report true    
Current Fiscal Year End Date --03-31    
Document Period End Date Mar. 31, 2025    
Document Transition Report false    
Entity File Number 001-41617    
Entity Registrant Name Nextracker Inc.    
Entity Incorporation, State or Country Code DE    
Entity Tax Identification Number 36-5047383    
Entity Address, Address Line One 6200 Paseo Padre Parkway    
Entity Address, City or Town Fremont    
Entity Address, State or Province CA    
Entity Address, Postal Zip Code 94555    
City Area Code 510    
Local Phone Number 270-2500    
Title of 12(b) Security Class A Common Stock, $0.0001 par value    
Trading Symbol NXT    
Security Exchange Name NASDAQ    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Large Accelerated Filer    
Entity Small Business false    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Document Financial Statement Error Correction [Flag] false    
Entity Shell Company false    
Entity Public Float     $ 5.6
Documents Incorporated by Reference
Portions of the registrant’s definitive Proxy Statement relating to its 2025 Annual Meeting of Stockholders are incorporated by reference into Part III of this Annual Report on Form 10-K where indicated. Such Proxy Statement will be filed with the United States Securities and Exchange Commission within 120 days after the end of the fiscal year to which this Annual Report on Form 10-K relates.
    
Entity Central Index Key 0001852131    
Document Fiscal Year Focus 2025    
Document Fiscal Period Focus FY    
Amendment Flag false    
Common Class A      
Document Information [Line Items]      
Entity Common Stock, Shares Outstanding   146,263,962  
Common Class B      
Document Information [Line Items]      
Entity Common Stock, Shares Outstanding   0  
v3.25.1
Audit Information
 12 Months Ended
Mar. 31, 2025
Audit Information [Abstract]  
Auditor Name DELOITTE & TOUCHE LLP
Auditor Location San Jose, California
Auditor Firm ID 34
v3.25.1
Consolidated balance sheets - USD ($)
$ in Thousands
Mar. 31, 2025
Mar. 31, 2024
Current assets:    
Cash and cash equivalents $ 766,103 $ 474,054
Accounts receivable, net of allowance of $1,472 and $3,872, respectively 472,462 382,687
Contract assets 405,890 397,123
Inventories 209,432 201,736
Section 45X credit receivable 215,616 125,415
Other current assets 88,483 187,220
Total current assets 2,157,986 1,768,235
Property and equipment, net 60,395 9,236
Goodwill 371,018 265,153
Other intangible assets, net 53,241 1,546
Deferred tax assets 498,778 438,272
Other assets 51,098 36,340
Total assets 3,192,516 2,518,782
Current liabilities:    
Accounts payable 585,299 456,639
Accrued expenses 97,000 82,410
Deferred revenue 247,127 225,539
Current portion of long-term debt 0 3,750
Other current liabilities 104,086 123,148
Total current liabilities 1,033,512 891,486
Long-term debt, net of current portion 0 143,967
Tax receivable agreement (TRA) liability 394,879 391,568
Long-term deferred revenue 96,635 69,331
Other liabilities 39,360 30,402
Total liabilities 1,564,386 1,526,754
Commitments and contingencies
Stockholders’ equity:    
Accumulated deficit (2,557,410) (3,066,578)
Additional paid-in-capital 4,185,823 4,027,560
Accumulated other comprehensive (loss) income (298) 17
Total Nextracker Inc. stockholders’ equity 1,628,130 961,013
Non-controlling interest 0 31,015
Total stockholders’ equity 1,628,130 992,028
Total liabilities and stockholders’ equity 3,192,516 2,518,782
Common Class A    
Stockholders’ equity:    
Class of common stock, price par value, shares authorized, issued and outstanding 15 14
Common Class B    
Stockholders’ equity:    
Class of common stock, price par value, shares authorized, issued and outstanding $ 0 $ 0
v3.25.1
Consolidated balance sheets (Parenthetical) - USD ($)
$ in Thousands
Mar. 31, 2025
Mar. 31, 2024
Allowances for doubtful accounts $ 1,472 $ 3,872
Common Class A    
Common stock, par or stated value per share (in USD per share) $ 0.0001 $ 0.0001
Common stock, shares authorized (in shares) 900,000,000 900,000,000
Common stock, shares, issued (in shares) 145,648,231 140,773,223
Common stock, shares, outstanding (in shares) 145,648,231 140,773,223
Common Class B    
Common stock, par or stated value per share (in USD per share) $ 0.0001 $ 0.0001
Common stock, shares authorized (in shares) 500,000,000 500,000,000
Common stock, shares, issued (in shares) 0 3,856,175
Common stock, shares, outstanding (in shares) 0 3,856,175
v3.25.1
Consolidated statements of operations and comprehensive income - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Income Statement [Abstract]      
Revenue $ 2,959,197 $ 2,499,841 $ 1,902,137
Cost of sales 1,950,372 1,686,792 1,615,164
Gross profit 1,008,825 813,049 286,973
Selling, general and administrative expenses 290,321 183,571 96,869
Research and development 79,392 42,360 21,619
Operating income 639,112 587,118 168,485
Interest expense 13,096 13,820 1,833
Other income, net (22,000) (34,699) (2,431)
Income before income taxes 648,016 607,997 169,083
Provision for income taxes 130,770 111,782 47,750
Net income and comprehensive income 517,246 496,215 121,333
Less: Net income attributable to Nextracker LLC prior to the reorganization transactions 0 0 117,744
Less: Net income attributable to non-controlling interests and redeemable non-controlling interests 8,078 189,974 2,446
Net income attributable to Nextracker Inc. $ 509,168 $ 306,241 $ 1,143
Earnings per share attributable to the stockholders of Nextracker Inc.      
Basic (in USD per share) [1] $ 3.55 $ 3.97 $ 0.02
Diluted (in USD per share) [1] $ 3.47 $ 3.37 $ 0.02
Weighted Average Number of Shares Outstanding Reconciliation [Abstract]      
Basic (in shares) [1] 143,539,344 77,067,639 45,886,065
Diluted (in shares) [1] 149,275,950 147,284,330 145,851,637
[1]
(1) For fiscal year 2023, basic and diluted income per share is applicable only for the period February 9, 2023 through March 31, 2023, which is the period following the initial public offering (“IPO”) and the related Transactions. See Note 8 for the calculation of shares used in the computation of earnings per share and the basis for the computation of earnings per share.
v3.25.1
Consolidated statements of redeemable interest and stockholders' deficit / parent company equity (deficit) - USD ($)
$ in Thousands
Total
Common Class A
IPO
Common Class B
Preferred Stock
Redeemable preferred units
Preferred Stock
Redeemable non-controlling interests
Accumulated net parent investment (deficit)
Common Stock
Common Class A
Common Stock
Common Class A
IPO
Common Stock
Common Class B
Additional paid-in-capital
Additional paid-in-capital
Common Class A
IPO
Additional paid-in-capital
Common Class B
Accumulated deficit
Accumulated other comprehensive income
Total Nextracker Inc. stockholders’ equity (deficit)
Total Nextracker Inc. stockholders’ equity (deficit)
Common Class A
IPO
Total Nextracker Inc. stockholders’ equity (deficit)
Common Class B
Non-controlling interests
Redeemable beginning balance at Mar. 31, 2022       $ 504,168 $ 0                          
Noncontrolling interest, beginning balance at Mar. 31, 2023 $ (3,075,767)         $ 0 $ 5   $ 10 $ 0     $ (3,075,782) $ 0 $ (3,075,767)     $ 0
Beginning balance (in shares) at Mar. 31, 2022             0   0                  
Increase (Decrease) in Stockholders' Equity [Roll Forward]                                    
Stock-base compensation 28,851         3,143       28,851         28,851      
Net Income (Loss) 1,143                                  
Net income prior to reorganization transactions           117,744                        
Paid-in-kind dividend for Series A redeemable preferred units       21,427                            
Paid-in-kind dividend for Series A redeemable preferred units           (21,427)                        
Net transfer to Parent           (31,544)                        
Distribution to Yuma, Yuma Sub and TPG           (175,000)                        
Effect of reorganization transactions 149,917     (525,595) 265,564 110,119 $ 2     149,915         149,917      
Effect of reorganization transactions (in shares)             15,279,190                      
Issuance of Class A common stock sold in IPO   $ 693,781 $ 76         $ 3 $ 10   $ 693,778 $ 66       $ 693,781 $ 76  
Issuance of Class A common stock sold in IPO (in shares)             16,875 30,590,000 128,794,522                  
Use of IPO proceeds as consideration for Yuma's transfer of LLC common unit (693,781)                 (693,781)         (693,781)      
Use of IPO proceeds as consideration for Yuma's transfer of LLC common unit (in shares)                 (30,590,000)                  
Establishment of tax receivable agreement 36,864                 36,864         36,864      
Net income subsequent to reorganization transactions         2,446                          
Net income subsequent to reorganization transactions 1,143                       1,143   1,143      
Redemption value adjustment         3,292,618                          
Redemption value adjustment (3,292,618)                 (215,693)     (3,076,925)   (3,292,618)      
TRA revaluation 0                                  
Other equity 0                                  
Redeemable end balance at Mar. 31, 2023       0 3,560,628                          
End balance (in shares) at Mar. 31, 2023             45,886,065   98,204,522                  
Noncontrolling interest, ending balance at Mar. 31, 2022 0         (3,035) $ 0   $ 0 0     0 0 0     0
Noncontrolling interest, beginning balance at Mar. 31, 2024 992,028         0 $ 14   0 4,027,560     (3,066,578) 17 961,013     31,015
Increase (Decrease) in Stockholders' Equity [Roll Forward]                                    
Stock-base compensation 56,783                 56,783         56,783      
Net Income (Loss) 306,241       171,937                          
Net income prior to reorganization transactions 324,278                       306,241   306,241     18,037
Vesting of Nextracker Inc. RSU awards (in shares)             538,811                      
Issuance of Class A common stock sold in IPO 552,009           $ 1     552,008         552,009      
Issuance of Class A common stock sold in IPO (in shares)             15,631,562                      
Use of IPO proceeds as consideration for Yuma's transfer of LLC common unit (552,009)               $ (2) (552,007)         (552,009)      
Use of IPO proceeds as consideration for Yuma's transfer of LLC common unit (in shares)                 (15,631,562)                  
Value adjustment of tax receivable agreement 18,337                 18,337         18,337      
Reclassification of redeemable non-controlling interest 622,292       (622,292)         622,292         622,292      
Tax distribution (5,307)       (64,365)         (2,792)         (2,792)     (2,515)
Redemption value adjustment         822,635                          
Redemption value adjustment (822,635)                 (525,598)     (297,037)   (822,635)      
Effect of spin-off from Flex 3,868,543       (3,868,543)   $ 7   $ (7) 3,835,711         3,835,711     32,832
Effect of Flex's spin-off (in shares)             74,432,619   (74,432,619)                  
Shares exchanged by non-controlling interest holders 5,487           $ 1   $ (1) 22,826         22,826     (17,339)
Shares exchanged by non-controlling interest holders (in shares)             4,284,166   (4,284,166)                  
TRA revaluation 23,823                                  
Other equity 0                                  
Total other comprehensive gain 17                         17 17      
Redeemable end balance at Mar. 31, 2024       0 0                          
End balance (in shares) at Mar. 31, 2024             140,773,223   3,856,175                  
Noncontrolling interest, ending balance at Mar. 31, 2023 (3,075,767)         0 $ 5   $ 10 0     (3,075,782) 0 (3,075,767)     0
Noncontrolling interest, beginning balance at Mar. 31, 2025 1,628,130         0 $ 15   $ 0 4,185,823     (2,557,410) (298) 1,628,130     0
Increase (Decrease) in Stockholders' Equity [Roll Forward]                                    
Stock-base compensation 118,880                 118,880         118,880      
Net Income (Loss) 509,168                                  
Net income prior to reorganization transactions 517,246                       509,168   509,168     8,078
Vesting of Nextracker Inc. RSU awards (in shares)             999,928                      
Exercise of Nextracker Inc. Options awards (in shares)             18,905                      
Tax distribution (9,122)                                 (9,122)
Shares exchanged by non-controlling interest holders 0           $ 1     29,970         29,971     (29,971)
Shares exchanged by non-controlling interest holders (in shares)             3,856,175   (3,856,175)                  
TRA revaluation 7,635                 7,635         7,635      
Stock-based compensation tax benefits (1,698)                 (1,698)         (1,698)      
Other equity 3,476                 3,476         3,476      
Total other comprehensive gain (315)                         (315) (315)      
Redeemable end balance at Mar. 31, 2025       $ 0 $ 0                          
End balance (in shares) at Mar. 31, 2025             145,648,231   0                  
Noncontrolling interest, ending balance at Mar. 31, 2024 $ 992,028         $ 0 $ 14   $ 0 $ 4,027,560     $ (3,066,578) $ 17 $ 961,013     $ 31,015
v3.25.1
Consolidated statements of cash flows - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Cash flows from operating activities:      
Net income $ 517,246 $ 496,215 $ 121,333
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and amortization of intangible assets 13,407 4,363 4,626
Provision for (recovery of) credit losses (2,399) 2,427 1,243
Non-cash other expense (income) 16,599 (638) 1,609
Amortization of debt issuance cost 1,824 571 143
Stock-based compensation 118,880 56,783 31,994
Deferred income taxes (8,744) (37,990) 25,990
Changes in operating assets and liabilities:      
Accounts receivable (47,648) (113,955) (160,265)
Contract assets (8,767) (99,163) (7,084)
Inventories (2,970) (60,981) 25,062
Tax Credit Receivable (92,086) (125,415) 0
Other current and noncurrent assets 67,916 21,244 (18,984)
Accounts payable 102,905 245,374 (37,026)
Other current and noncurrent liabilities (55,055) (42,468) 21,838
Deferred revenue (current and noncurrent) 34,686 82,606 120,472
Due to related parties 0 0 (23,282)
Net cash provided by operating activities 655,794 428,973 107,669
Cash flows from investing activities:      
Payment for acquisitions, net of cash acquired (152,175) 0 0
Purchases of property and equipment (33,921) (6,160) (3,183)
Proceeds from the disposition of property and equipment 0 0 24
Purchase of intangible assets 0 (500) 0
Net cash used in investing activities (186,096) (6,660) (3,159)
Cash flows from financing activities:      
Proceeds from bank borrowings and long-term debt 0 0 170,000
Repayments of bank borrowings (150,000) 0 (20,000)
Payment of debt issuance cost (6,017) 0 0
TRA payment (15,520) 0 0
Distribution to non-controlling interest holders (6,112) (66,881) (175,000)
Net proceeds from issuance of Class A shares 0 552,009 693,781
Net proceeds from issuance of Class B shares 0 0 76
Purchase of LLC common units from Yuma, Inc. 0 (552,009) (693,781)
Net transfers (to) from Flex 0 (8,335) 24,205
Other financing activities 0 (3,051) (2,853)
Net cash used in financing activities (177,649) (78,267) (3,572)
Net increase in cash and cash equivalents 292,049 344,046 100,938
Cash and cash equivalents beginning of period 474,054 130,008 29,070
Cash and cash equivalents end of period $ 766,103 $ 474,054 $ 130,008
v3.25.1
Description of business and organization of Nextracker Inc.
 12 Months Ended
Mar. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Description of business and organization of Nextracker Inc. Description of business and organization of Nextracker Inc.
Nextracker Inc. and its subsidiaries (“Nextracker”, “we”, the “Company”) is a leading solar technology platform provider used in power plants around the world. Nextracker's products enable solar power plants to follow the sun’s movement across the sky and optimize performance. With products operating in more than forty countries worldwide, Nextracker offers solar tracker technologies and innovative solutions that accelerate solar power plant construction, increase performance, and enhance long-term reliability. Nextracker has operations in the United States, Brazil, Argentina, Peru, Mexico, Spain and other countries in Europe, India, Australia, the Middle East and Africa.
Prior to the completion of the Transactions, as described in Note 6, Nextracker operated as part of Flex Ltd. (“Flex”) and not as a standalone entity. On December 19, 2022, Nextracker Inc. was formed as a Delaware corporation which was at the time a 100%-owned subsidiary of Yuma, Inc ("Yuma"), a Delaware corporation and former indirect wholly-owned subsidiary of Flex. Nextracker Inc. was formed for the purpose of completing the initial public offering of its Class A common stock (the "IPO") and other related Transactions, in order to carry on the business of Nextracker LLC (“Nextracker LLC” or “LLC”).
On January 2, 2024, Flex closed the spin-off of all of its remaining interests in Nextracker to Flex shareholders (the "spin-off") and the Company is now operating as a standalone entity.
The Initial Public Offering ("IPO"), the follow-on offering and the separation from Flex
On February 8, 2023, the Company's registration statement on Form S-1 relating to its IPO was declared effective by the Securities and Exchange Commission (“SEC”) and the shares of its Class A common stock began trading on the Nasdaq Global Select Market on February 9, 2023. The IPO closed on February 13, 2023, pursuant to which the Company issued and sold 30,590,000 shares of its Class A common stock at a public offering price of $24.00 per share, giving effect to the exercise in full of the underwriter's option to purchase additional shares. The Company received net proceeds of $693.8 million, after deducting $40.4 million in underwriting discounts. The Company used all of the net proceeds from the IPO to purchase 30,590,000 Nextracker LLC common units from Yuma (see Note 6). On July 3, 2023 the Company completed a follow-on offering of Class A common stock and issued 15,631,562 shares of Class A common stock and received net proceeds of $552.0 million. All of the net proceeds were used by Nextracker to purchase 14,025,000 Nextracker LLC common units from Yuma, and 1,606,562 Nextracker LLC common units from TPG Rise, an affiliate of TPG Inc. (“TPG”). Simultaneously, 14,025,000 and 1,606,562 shares of Class B common stock were surrendered by Flex and TPG, respectively, and cancelled. A proportionate share of redeemable non-controlling interest was reclassified to permanent equity as a result.
On October 25, 2023, pursuant to the terms of that certain Agreement and Plan of Merger, dated as of February 7, 2023 (the “Merger Agreement”), by and among Flex, Nextracker, Yuma, and Yuma Acquisition Corp., a wholly-owned subsidiary of Nextracker, Flex delivered to Nextracker the Merger Notice (as defined in the Merger Agreement) exercising Flex’s right to effect the transactions contemplated by the Merger Agreement. Concurrently, the Company filed a Registration Statement on Form S-4, including in a final prospectus filed with the SEC on October 27, 2023.
On January 2, 2024, Flex closed the spin-off of all of its remaining interests in Nextracker to Flex shareholders (See Note 6). Simultaneously, 74,432,619 shares of Class B common stock previously owned by Flex were cancelled, and an equivalent number of shares of Class A common stock were issued to Flex shareholders on a pro-rata basis of their ownership interest in Flex’s common stock.
On February 5, 2025, TPG exchanged all its remaining Nextracker LLC common units, together with a corresponding number of shares of Class B common stock of the Company, for shares of Class A common stock of the Company. As of March 31, 2025, the Company has no Class B common stock outstanding.
v3.25.1
Summary of accounting policies
 12 Months Ended
Mar. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Summary of accounting policies Summary of accounting policies
Variable interest entities (“VIE”) and consolidation
The Company’s sole material asset is its member’s interest in Nextracker LLC. In accordance with the Nextracker LLC Operating Agreement, the Company was named the managing member of Nextracker LLC. As a result, the Company has all management powers over the business and affairs of Nextracker LLC and to conduct, direct and exercise full control over the activities of Nextracker LLC. The Company has concluded that Nextracker LLC is a VIE. Due to the Company’s power to control the activities most directly affecting the results of Nextracker LLC, the Company is considered the primary beneficiary of the VIE. Accordingly, the Company consolidates the financial results of Nextracker LLC and its subsidiaries. On January 2,
2024, Flex closed the spin-off of all its remaining interests in Nextracker LLC common units held by Yuma, Yuma Subsidiary, Inc., a Delaware corporation and wholly-owned subsidiary of Yuma (“Yuma Sub”), to Flex shareholders. Nextracker LLC common units held by Yuma, Yuma Sub, TPG Rise and the following affiliates of TPG: TPG Rise Climate Flash Cl BDH, L.P., TPG Rise Climate BDH, L.P. and The Rise Fund II BDH, L.P. (collectively, the “TPG Affiliates”) were presented on the consolidated balance sheets as temporary equity under the caption “Redeemable non-controlling interests,” up until January 2, 2024 as redemption was outside of the control of the Company. Post January 2, 2024, redemption is no longer outside the control of the Company subsequent to the spin-off from Flex and, therefore, the non-controlling interests owned by the TPG Affiliates were presented on the consolidated balance sheets as permanent equity under the caption “non-controlling interests.” As of March 31, 2025, the non-controlling interests previously presented on the consolidated balance sheets are no longer presented since TPG exchanged all its remaining Nextracker LLC common units, together with a corresponding number of shares of Class B common stock of the Company, for shares of Class A common stock of the Company. The exchange of all of TPG’s remaining Nextracker LLC common units results in the Company owning 100% of Nextracker LLC through its wholly owned subsidiaries. It also triggered a reconsideration event and the Company reevaluated if Nextracker LLC still met the definition of a VIE. As of March 31, 2025, the Company determined that Nextracker LLC no longer meets the definition of a VIE as the Company’s voting rights in Nextracker LLC are no longer disproportionate with its equity interests.
Basis of presentation
The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and pursuant to the rules and regulations of the SEC for reporting financial information. In the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary to present the Company's financial statements fairly have been included. All intercompany transactions and accounts within Nextracker have been eliminated.
As a result of the spin-off, Flex no longer directly or indirectly holds a financial interest in the Company. As of March 31, 2025, the non-controlling interests previously presented on the consolidated balance sheets are no longer presented.
Certain prior period presentations and disclosures were reclassified to ensure comparability with the current period presentation. Specifically, amounts owed to us by vendors as part of contractually agreed upon sharing of the economic value of such advanced manufacturing production credits previously presented as part of other current assets are now being presented as section 45X credit receivable on the consolidated balance sheets. The Company also recast fiscal year 2024 consolidated statements of cash flows reflecting similar reclassifications between changes in section 45X credit receivable and other current assets to align with the current year presentation. Additionally, deferred tax assets, current portion of long-term debt, and Tax Receivable Agreement (the “Tax Receivable Agreement” or “TRA”) liability and long-term deferred revenue, were reclassified to separate line items from other assets, other current liabilities and other liabilities, respectively, on the consolidated balance sheet as of March 31, 2024. Lastly, the deferred tax asset related to the interest deduction on investment in Nextracker LLC in Note 13, previously presented in the investment in Nextracker LLC deferred tax asset, is now presented as a separate line item.
Translation of foreign currencies
The reporting currency of the Company is the United States dollar (“USD”). The functional currency of the Company and its subsidiaries is primarily the USD. Transaction gains and losses that arise from exchange rate fluctuations on transactions denominated in a currency other than the functional currency are included in other income, net in the accompanying consolidated statements of operations and comprehensive income. The Company recognized net foreign currency exchange losses of $1.4 million and $2.5 million, respectively, during fiscal years 2025 and 2024, due to unfavorable exchange rate fluctuations in certain currencies. The Company recognized immaterial net foreign currency exchange gains during fiscal year 2023.
Use of estimates
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from those estimates. Estimates are used in accounting for, among other things: impairment of goodwill, impairment of long-lived assets, allowance for credit losses, provision for excess or obsolete inventories, valuation of deferred tax assets, warranty reserves, contingencies, operation-related accruals, fair values of awards granted under stock-based
compensation plans and fair values of assets obtained and liabilities assumed in business combinations. Due to geopolitical conflicts (including the Russian invasion of Ukraine and the Israel-Hamas conflict), there has been and will continue to be uncertainty and disruption in the global economy and financial markets. These estimates may change, as new events occur, and additional information is obtained. Actual results may differ from previously estimated amounts, and such differences may be material to the consolidated financial statements. Estimates and assumptions are reviewed periodically, and the effects of revisions are reflected in the period they occur. Management believes that these estimates and assumptions provide a reasonable basis for the fair presentation of the consolidated financial statements.
Accounting for business acquisitions
From time to time, the Company pursues business acquisitions. The fair value of the net assets acquired and the results of the acquired businesses are included in the Company’s consolidated financial statements from the acquisition dates forward. The Company is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and results of operations during the reporting period. Estimates are used in accounting for, among other things, the fair value of acquired net operating assets, property and equipment, intangible assets, contingent earnout, useful lives of plant and equipment and amortizable lives for acquired intangible assets. Any excess of the purchase consideration over the fair value of the identified assets and liabilities acquired is recognized as goodwill.
The Company estimates the preliminary fair value of acquired assets and liabilities as of the date of acquisition based on information available at that time. The valuation of these tangible and identifiable intangible assets and liabilities is subject to further review from management and may change between the preliminary allocation and end of the purchase price allocation period. Any changes in these estimates may have a material effect on the Company’s consolidated financial position and results of operations.
Revenue recognition
The Company accounts for revenue in accordance with Accounting Standards Codification (“ASC”) 606, Revenue From Contracts With Customers (“ASC 606”) for all periods presented. In applying ASC 606, the Company recognizes revenue from the sale of solar tracker systems, parts, extended warranties on solar tracker systems components and energy yield management systems along with associated maintenance and support. In determining the appropriate amount of revenue to recognize, the Company applies the following steps: (i) identify the contracts with the customers; (ii) identify performance obligations in the contracts; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations per the contracts; and (v) recognize revenue when (or as) Nextracker satisfies a performance obligation. In assessing the recognition of revenue, the Company evaluates whether two or more contracts should be combined and accounted for as one contract and if the combined or single contract should be accounted for as multiple performance obligations. Further, the Company assesses whether control of the product or services promised under the contract is transferred to the customer at a point in time or over time.
The Company’s contracts for specific solar tracker system projects with customers are predominantly accounted for as one performance obligation because the customer is purchasing an integrated service, which includes Nextracker’s overall management of the solar tracker system project and oversight through the installation process to ensure a functioning system is commissioned at the customer’s location. The Company’s performance creates and enhances an asset that the customer controls as the Company performs under the contract, which is principally as tracker system components are delivered to the designated project site. Although the Company sources the component parts from third party manufacturers, it obtains control and receives title of such parts before transferring them to the customer because Nextracker is primarily responsible for fulfillment to its customer. The Company’s engineering services and professional services are interdependent with the component parts whereby the parts form an input into a combined output for which it is the principal, and Nextracker could redirect the parts before they are transferred to the customer if needed. The customer owns the work-in-process over the course of the project and Nextracker’s performance enhances a customer-controlled asset, resulting in the recognition of the performance obligation over time. The measure of progress is estimated using an input method based on costs incurred to date on the project as a percentage of total expected costs to be incurred. The costs of materials and hardware components are recognized as control is transferred to the customer, which is typically upon delivery to the customer site. As such, the cost-based input measure is considered the best measure of progress in depicting the Company’s performance in completing a tracker system.
Contracts with customers that result in multiple performance obligations include contracts for the sale of components and solar tracker system project contracts with an extended warranty and/or which include the sale of energy yield management systems.
For contracts related to sale of components, Nextracker’s obligation to the customer is to deliver components that are used by the customer to create a tracker system and does not include engineering or other professional services or the obligation to provide such services in the future. Each component is a distinct performance obligation, and often the components are delivered in batches at different points in time. Nextracker estimates the standalone selling price (“SSP”) of each performance obligation based on a cost plus margin approach. Revenue allocated to a component is recognized at the point in time that control of the component transfers to the customer.
At times, a customer will purchase a service-type warranty with a tracker system project. Nextracker uses a cost plus margin methodology to determine the SSP for both the tracker system project and the extended warranty. The revenue allocated to each performance obligation is recognized over time based on the period over which control transfers. The Company recognizes revenue allocated to the extended warranty on a straight-line basis over the contractual service period, which is generally 10 to 15 years. This period starts once the standard workmanship warranty expires, which is generally 2 to 10 years from the date control of the underlying tracker system components is transferred to the customer. To date, revenues recognized related to extended warranty were not material.
Nextracker generates revenues from sales of its TrueCapture and NX Navigator offerings, which are often sold separately from the tracker system. These systems are generally sold with maintenance services, which include ongoing security updates, upgrades, bug fixes and support. The energy yield management and the maintenance services are separate performance obligations. Nextracker estimates the SSP of the energy yield management using an adjusted market approach and estimates the SSP of the maintenance service using a cost plus margin approach. Revenue allocated to the energy yield management is recognized at a point in time upon transfer of control of the energy yield management, and revenue allocated to the maintenance service is generally recognized over time on a straight-line basis during the maintenance term. Revenues related to sales of energy yield management were $55.3 million for the fiscal year ended March 31, 2025 and not material for the fiscal years ended March 31, 2024 and 2023.
Contract estimates
Accounting for contracts for which revenue is recognized over time requires Nextracker to estimate the expected margin that will be earned on the project. These estimates include assumptions on the cost and availability of materials including variable freight costs. Nextracker reviews and updates its contract-related estimates each reporting period and recognizes changes in estimates on contracts under the cumulative catch-up method. Under this method, the impact of the adjustment on profit recorded to date is recognized in the period the adjustment is identified. Revenue and profit in future periods of contract performance is recognized using the adjusted estimate. If at any time the estimate of contract profitability indicates an anticipated loss on the contract, Nextracker recognizes the total loss in the period it is identified.
Contract balances
The timing of revenue recognition, billings and cash collections results in contract assets and contract liabilities (deferred revenue) on the consolidated balance sheets. Nextracker’s contract amounts are billed as work progresses in accordance with agreed-upon contractual terms, which generally coincide with the shipment of one or more phases of the project. When billing occurs subsequent to revenue recognition, a contract asset results. Contract assets of $405.9 million and $397.1 million as of March 31, 2025 and March 31, 2024, respectively, are presented in the consolidated balance sheets, of which $140.4 million and $141.4 million, respectively, will be invoiced at the end of the projects as they represent funds withheld until the products are installed by a third party, arranged by the customer, and the project is declared operational. The remaining unbilled receivables will be invoiced throughout the project based on a set billing schedule such as milestones reached or completed rows delivered.
During the fiscal years ended March 31, 2025 and 2024, Nextracker converted $203.3 million and $152.3 million deferred revenue to revenue, respectively, which represented 69% and 72%, respectively, of the beginning period balance of deferred revenue.
Remaining performance obligations
As of March 31, 2025, Nextracker had $343.8 million of the transaction price allocated to the remaining performance obligations. The Company expects to recognize revenue on approximately 72% of these performance obligations in the next 12 months. The remaining long-term unperformed obligation primarily relates to extended warranty and deposits collected in advance on certain tracker projects.
Practical expedients and exemptions
Nextracker has elected to adopt certain practical expedients and exemptions as allowed under ASC 606, such as (i) recording sales commissions as incurred because the amortization period is less than one year, (ii) not adjusting for the effects of significant financing components when the contract term is less than one year, (iii) excluding collected sales tax amounts from the calculation of revenue and (iv) accounting for the costs of shipping and handling activities that are incurred after the customer obtains control of the product as fulfillment costs rather than a separate service provided to the customer for which consideration would need to be allocated.
Inflation Reduction Act of 2022 (“IRA”) 45X Vendor Rebates and Assignments
On August 16, 2022, the IRA was enacted into law, which includes a new corporate minimum tax, a stock repurchase excise tax, numerous green energy credits, other tax provisions and significantly increased enforcement resources. The Section 45X of the Internal Revenue Code (“IRC”) of 1986, as amended Advanced Manufacturing Production Credit (“45X Credit”), which was established as part of the IRA, is a per-unit tax credit earned over time for each clean energy component domestically produced and sold by a manufacturer. The Company has executed agreements with certain suppliers to grow its U.S. manufacturing footprint. These suppliers produce 45X Credit-eligible parts, including torque tubes and structural fasteners, that will then be incorporated into a solar tracker. The 45X Credit was eligible for domestic parts manufactured after January 1, 2023. The Company has contractually agreed with these suppliers to either share a portion of the economic value of the credit related to Nextracker's purchases in the form of a vendor rebate or assign their credit directly to the Company (“an assignment”) pursuant to Section 6418 of the IRC. The Company accounts for these 45X Credits shared and assigned to the Company as a reduction of the purchase price of the parts acquired from the vendor and therefore a reduction of inventory until the control of the part is transferred to the customer, at which point the Company recognizes such amounts as a reduction of cost of sales on the consolidated statements of operations and comprehensive income. 45X Credits assigned to Nextracker are also treated as a reduction to the Company’s federal tax payable as further discussed in Note 13.
During the fourth quarter of fiscal year 2024, the Company determined the amount and collectability of the 45X Credit vendor rebates it expects to receive in accordance with the vendor contracts and recognized a cumulative reduction to cost of sales of $121.4 million related to 45X Credit vendor rebates earned on production of eligible components shipped to projects starting on January 1, 2023 through March 31, 2024.
Fair value
Fair value is defined as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Company considers the principal or most advantageous market in which it would transact and considers assumptions that market participants would use when pricing the asset or liability. The accounting guidance for fair value establishes a fair value hierarchy based on the level of independent objective evidence surrounding the inputs used to measure fair value. A financial instrument's categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is as follows:
Level 1 - Applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities.
Level 2 - Applies to assets or liabilities for which there are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, such as: quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets) such as cash and cash equivalents and money market funds; or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data.
Level 3 - Applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities.
The fair values of Nextracker’s cash and cash equivalents, accounts receivable, and accounts payable approximate their carrying values due to their short maturities.
Concentration of credit risk
Financial instruments which potentially subject the Company to concentrations of credit risk are primarily accounts receivable, derivative instruments, and cash and cash equivalents.
Customer credit risk
Nextracker has an established customer credit policy, through which it manages customer credit exposures through credit evaluations, credit limit setting, monitoring and enforcement of credit limits for new and existing customers. Nextracker performs ongoing credit evaluations of its customers’ financial condition and makes provisions for credit losses based on the outcome of those credit evaluations. Nextracker evaluates the collectability of its accounts receivable based on specific customer circumstances, current economic trends, historical experience with collections and the age of past due receivables. To the extent Nextracker identifies exposures as a result of credit or customer evaluations, Nextracker also reviews other customer related exposures, including but not limited to contract assets, inventory and related contractual obligations.
The following table summarizes the activity in Nextracker’s allowance for credit losses during fiscal years 2025, 2024 and 2023:
Balance at
beginning
of year		Charges/
(recoveries) to
costs and
expenses (1)		Deductions/
Write-Offs		Balance at
end of
year
Allowance for credit losses:(In thousands)
Year ended March 31, 2023$3,574 $(1,054)$(752)$1,768 
Year ended March 31, 20241,768 2,197 (93)3,872 
Year ended March 31, 20253,872 (2,399)(1)1,472 
(1)Charges and recoveries incurred during fiscal years 2025, 2024 and 2023 are primarily for costs and expenses or bad debt and recoveries related to various distressed customers.
The following table sets forth the revenue from customers that individually accounted for greater than 10% of the Company's revenue and the respective percentages during the periods included below:
Fiscal year ended March 31,
202520242023
(In millions, except percentages)
Customer A
*
*
*
*$331.017.4%
Customer G
*
*
$426.117.0%
*
*
* Percentage below 10%
The following table sets forth the percentage of accounts receivable, net and contract assets, from the Company's largest customers that exceeded 10% of its total accounts receivable, net and contract assets as of the periods included below:
As of March 31,
202520242023
Customer A*12.4%15.2%
Customer F**14.0%
Customer G*15.5%*
Flex
11.5%**
* Percentage below 10%
Accounts receivable, net
Nextracker’s accounts receivable are due primarily from solar contractors across the United States and internationally. Credit is extended in the normal course of business based on evaluation of a customer’s financial condition and, generally, collateral is
not required. Trade receivables consist of uncollateralized customer obligations due under normal trade terms requiring payment within 30 to 90 days of the invoice date. Management regularly reviews outstanding accounts receivable and provides for estimated losses through an allowance for credit losses. In evaluating the level of the allowance for credit losses, Nextracker makes judgments regarding the customers’ ability to make required payments, economic events and other factors. As the financial conditions of Nextracker’s customers change, circumstances develop or additional information becomes available, adjustments to the allowance for credit losses may be required. When deemed uncollectible, the receivable is charged against the allowance.
Product warranty
Nextracker offers an assurance type warranty for its products against defects in design, materials and workmanship for a period ranging from two to ten years, depending on the component. For these assurance type warranties, a provision for estimated future costs related to warranty expense is recorded when they are probable and reasonably estimable, which is typically when products are delivered. The estimated warranty liability is based on the Company's warranty model which relies on historical warranty claim information and assumptions based on the nature, frequency and average cost of claims for each product line by project. When little or no experience exists, the estimate is based on comparable product lines and/or estimated potential failure rates. These estimates are based on data from Nextracker specific projects. Estimates related to the outstanding warranty liability are re-evaluated on an ongoing basis using best-available information and revisions are made as necessary.
The following table summarizes the activity related to the estimated accrued warranty reserve for the fiscal years ended March 31, 2025 and 2024:
As of March 31,
20252024
(In thousands)
Beginning balance$12,511$22,591
Provision (release) for warranties issued11,613(4,459)
Payments(6,143)(5,621)
Ending balance$17,981$12,511
Inventories
Inventories are stated at the lower of cost, determined on a weighted average basis, or net realizable value. Nextracker’s inventory primarily consists of finished goods to be used and to be sold to customers, including components procured to complete the tracker system projects.
Property and equipment, net
Property and equipment are stated at cost, or acquisition-date fair value for property and equipment acquired in business combinations, less accumulated depreciation and amortization. Depreciation and amortization are recognized on a straight-line basis over the estimated useful lives of the related assets, with the exception of building leasehold improvements, which are depreciated over the term of the lease, if shorter. Repairs and maintenance costs are expensed as incurred. Property and equipment is comprised of the following:
Depreciable life
(In years)		As of March 31,
20252024
(In thousands)
Machinery and equipment
3 - 8
$37,929 $10,623 
Leasehold improvements
Up to 5
10,854 5,168 
Furniture, fixtures, computer equipment and software
3 - 7
13,515 11,783 
Construction-in-progress—18,942 3,051 
81,240 30,625 
Accumulated depreciation(20,845)(21,389)
Property and equipment, net$60,395 $9,236 
Total depreciation expense associated with property and equipment was approximately $7.9 million, $4.1 million, and $3.4 million in fiscal years 2025, 2024 and 2023, respectively.
Nextracker reviews property and equipment for impairment at least annually and whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of property and equipment is determined by comparing the carrying amount to the lowest level of identifiable projected undiscounted cash flows the property and equipment are expected to generate. An impairment loss is recognized when the carrying amount of property and equipment exceeds the fair value. Management determined there was no impairment for the fiscal years ended March 31, 2025, 2024 and 2023.
Deferred income taxes
Nextracker accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the future tax consequences attributable to temporary differences between the financial statement carrying amounts and tax basis of assets and liabilities. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be realized or settled. Nextracker recognizes a valuation allowance if it is more likely than not that some portion or all of the deferred tax assets will not be realized.
Nextracker accounts for uncertain income tax positions by recognizing the impact of a tax position in its consolidated financial statements when Nextracker believes it is more likely than not that the tax position would not be sustained upon examination by the appropriate tax authorities based on the technical merits of the position.
Income taxes
The Company operates in numerous states and countries and must allocate its income, expenses, and earnings under the various laws and regulations of each of these taxing jurisdictions. Accordingly, the Company's provision for income taxes represents its total estimate of the liability for income taxes that the Company has incurred in doing business each year in the jurisdictions in which Nextracker operates. Annually, the Company files tax returns that represent its filing positions with each jurisdiction and settles its tax return liabilities. Each jurisdiction has the right to audit those tax returns and may take different positions with respect to income and expense allocations and taxable earnings determinations. Because the determination of the Company's annual income tax provision is subject to judgments and estimates, actual results may vary from those recorded in its financial statements. The Company recognizes additions to and reductions in income tax expense during a reporting period that pertains to prior period provisions as its estimated liabilities are revised and its actual tax returns and tax audits are completed.
Goodwill and other intangibles assets
In accordance with accounting standards related to business combinations, goodwill is not amortized; however, certain finite-lived identifiable intangible assets, primarily customer relationships and acquired developed technology, are amortized over their estimated useful lives. Nextracker reviews identified intangible assets and goodwill for impairment whenever events or changes in circumstances indicate that the related carrying amounts may not be recoverable. Nextracker also tests goodwill at
least annually for impairment at the beginning of its fourth fiscal quarter. Refer to Note 5 for additional information about goodwill and other intangible assets.
Other current assets
Other current assets include short-term deposits and advances of $50.2 million and $104.7 million as of March 31, 2025 and 2024, respectively, primarily related to advance payments to certain vendors for procurement of inventory.
Deferred tax assets
Deferred tax assets of $498.8 million and $438.3 million as of March 31, 2025 and 2024, respectively, primarily related to the Company's investment in Nextracker LLC as further described in Note 13.
Accrued expenses
Accrued expenses include accruals primarily for freight and tariffs of $42.9 million and $43.2 million as of March 31, 2025 and 2024, respectively. In addition, accrued expenses also includes $54.1 million and $39.2 million accrued payroll as of March 31, 2025 and 2024, respectively.
Tax Receivable Agreement and liability
TRA liability related to the amount expected to be paid to Flex, TPG and the TPG Affiliates pursuant to the Tax Receivable Agreement, were $419.4 million and $391.6 million, as of March 31, 2025 and 2024, respectively, of which $394.9 million and $391.6 million, respectively, were included in TRA liabilities and $24.5 million and zero, respectively, were included in other current liabilities on the consolidated balance sheets, representing 85% of the estimated future tax benefits subject to the TRA. Any U.S. federal, state and local income tax or franchise tax that the Company realizes or is deemed to realize (determined by using certain assumptions) as a result of favorable tax attributes, will be available to the Company as a result of certain transactions contemplated in connection with Nextracker's IPO, exchanges of Class A common stock and payments made under the TRA. The actual amount and timing of any payments under these agreements, will vary depending upon a number of factors, including, among others, the amount and timing of the taxable income the Company generates in the future and the tax rate then applicable, and the portion of its payments under the tax receivable agreements constituting imputed interest. Estimating future taxable income is inherently uncertain and requires judgment. In projecting future taxable income, the Company considers its historical results as well as assumptions related to future forecasts for its various businesses by location. The impact of any changes in the total projected obligations recorded under the tax receivable agreements as a result of actual changes in the geographic mix of the Company's earnings, changes in tax legislation and tax rates or other factors that may impact its actual tax savings realized will be reflected in income before taxes in the period in which the change occurs. During fiscal year 2025, a payment of $15.5 million was made to Flex, TPG and the TPG Affiliates, which is presented as a financing activity on the consolidated statement of cash flows.
Other liabilities
Other liabilities primarily consist of long-term lease liabilities, as disclosed in the "Leases" section below, and the long-term portion of standard product warranty liabilities of $6.4 million and $6.4 million as of March 31, 2025 and 2024, respectively.
Stock-based compensation
Stock-based compensation is accounted for in accordance with ASC 718-10, Compensation-Stock Compensation. The Company records stock-based compensation costs related to its incentive awards. Stock-based compensation cost is measured at the grant date based on the fair value of the award. Compensation cost for time-based awards is recognized on a straight-line basis over the respective vesting period. Compensation cost for performance-based awards with a performance condition is reassessed each period and recognized based upon the probability that the performance conditions will be achieved. The performance-based awards with a performance condition are expensed when the achievement of performance conditions are probable. The total expense recognized over the vesting period will only be for those awards that ultimately vest and forfeitures are recorded when they occur. Refer to Note 7 for further discussion.
Leases
Nextracker is a lessee with several non-cancellable operating leases, primarily for warehouses, buildings, and other assets such as vehicles and equipment. The Company determines if an arrangement is a lease at contract inception. A contract is a lease or contains a lease when (i) there is an identified asset, and (ii) the customer has the right to control the use of the identified asset. The Company recognizes a right-of-use (“ROU”) asset and a lease liability at the lease commencement date for Nextracker’s operating leases. For operating leases, the lease liability is initially measured at the present value of the unpaid lease payments at the lease commencement date. The Company has elected the short-term lease recognition and measurement exemption for all classes of assets, which allows Nextracker to not recognize ROU assets and lease liabilities for leases with a lease term of 12 months or less and with no purchase option Nextracker is reasonably certain of exercising. Nextracker has also elected the practical expedient to account for the lease and non-lease components as a single lease component, for all classes of underlying assets. Therefore, the lease payments used to measure the lease liability include all of the fixed considerations in the contract. Lease payments included in the measurement of the lease liability comprise the following: fixed payments (including in-substance fixed payments) and variable payments that depend on an index or rate (initially measured using the index or rate at the lease commencement date). As Nextracker cannot determine the interest rate implicit in the lease for its leases, the Company uses an estimated incremental borrowing rate as of the commencement date in determining the present value of lease payments. The estimated incremental borrowing rate is the rate of interest the Company would have to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms. The lease term for all of Nextracker’s leases includes the non-cancellable period of the lease plus any additional periods covered by either an option to extend (or not to terminate) the lease that Nextracker is reasonably certain to exercise, or an option to extend (or not to terminate) the lease controlled by the lessor.
As of March 31, 2025 and 2024, current operating lease liabilities were $8.5 million and $3.9 million, respectively, which are included in other current liabilities on the consolidated balance sheets and long-term lease liabilities were $25.6 million and $13.6 million, respectively, which are included in other liabilities on the consolidated balance sheets. ROU assets are included in other assets on the consolidated balance sheets. Refer to Note 3 for additional information about Leases.
Recently issued accounting pronouncement
Accounting Standards Update ("ASU") 2024-03 and 2025-01, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures: In November 2024, the Financial Accounting Standards Board ("FASB") issued a new accounting standard requiring a public business entity to provide disaggregated disclosures, in the notes to the financial statements, of certain categories of expenses that are included in expense line items on the face of the income statement. The annual reporting requirements of the new standard are effective for the Company beginning in fiscal year 2028 and interim reporting requirements are effective beginning in the first quarter of fiscal year 2029, with early adoption permitted. The Company expects to adopt the new guidance in fiscal year 2028 with an immaterial impact on its consolidated financial statements.
ASU 2023-09, Improvements to income Tax Disclosures: In December 2023, the FASB issued a new accounting standard to expand the disclosure requirements for income taxes, specifically related to rate reconciliation and income taxes paid. The new standard is effective to the Company beginning in fiscal year 2026 with early adoption permitted. The Company expects to adopt the new guidance in fiscal year 2026 with an immaterial impact on its consolidated financial statements.
Recently adopted accounting pronouncement
ASU 2023-07, Segment Reporting—Improvement to Reportable Segment Disclosures: In November 2023, the FASB issued a new accounting standard which updates reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance. The annual reporting requirements of the new standard are effective for the Company beginning in fiscal year 2025 and interim reporting requirements beginning in the first quarter of fiscal year 2026. The Company adopted the new guidance in fiscal year 2025 with no material impact on its financial position, results of operations or cash flows, but the adoption did result in new and expanded segment disclosures. The Company has included such disclosures in Note 14.
v3.25.1
Leases
 12 Months Ended
Mar. 31, 2025
Lessee Disclosure [Abstract]  
Leases Leases
Nextracker has several commitments under operating leases for warehouses, buildings, and equipment. Leases have initial lease terms ranging from one year to ten years.
The components of lease cost recognized under ASC 842 Leases were as follow (in thousands):
Fiscal year ended March 31,
202520242023
Operating lease cost$8,049 $2,281 $1,922 
Amounts reported in the consolidated balance sheet as of March 31, 2025 and 2024 were as follows (in thousands, except weighted average lease term and discount rate):
As of March 31,
20252024
Operating Leases:
Operating lease ROU assets$32,795 $17,390 
Operating lease liabilities34,114 17,457 
Weighted-average remaining lease term (In years)4.94.3
Weighted-average discount rate6.2 %5.6 %
Other information related to leases was as follows (in thousands):
Fiscal year ended March 31,
202520242023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$7,780 $2,299 $1,928 
Non-cash investing and financing activity:
Right-of-use assets obtained in exchange of lease liabilities$29,858 $15,873 $756 
Reduction of lease liabilities and right-of-use assets from lease termination(8,608)— — 
Future lease payments under non-cancellable leases as of March 31, 2025 are as follows (in thousands):
Operating Leases
Fiscal year ended March 31,
2026$9,458 
20278,763 
20287,044 
20296,317 
20302,418 
Thereafter6,054 
Total undiscounted lease payments40,054 
Less: imputed interest5,940 
Total lease liabilities$34,114 
v3.25.1
Revenue
 12 Months Ended
Mar. 31, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Revenue
The Company disaggregates its revenue from contracts with customers by those sales recorded over time and sales recorded at a point in time. The following table presents Nextracker’s revenue disaggregated based on timing of transfer-point in time and over time for the fiscal years ended March 31, 2025, 2024 and 2023:
Fiscal year ended March 31,
202520242023
(In thousands)
Timing of Transfer
Point in time$77,037$35,268$50,516
Over time2,882,1602,464,5731,851,621
Total revenue$2,959,197$2,499,841$1,902,137
v3.25.1
Goodwill and intangible assets
 12 Months Ended
Mar. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and intangible assets Goodwill and intangible assets
Goodwill
As of March 31, 2025 and 2024, goodwill totaled $371.0 million and $265.2 million, respectively and is not deductible for tax purposes. During fiscal year 2025, the additions to the Company’s goodwill are driven by its acquisitions of Ojjo, Inc. (“Ojjo”) and the solar foundations business held by Solar Pile International (“SPI”) as further described below in Note 15.
There were no changes in goodwill during the fiscal year ended March 31, 2024. The following table summarizes the activity in the Company’s goodwill during the fiscal year ended March 31, 2025 (in thousands):
Balance as of March 31, 2024$265,153
Additions103,565 
Purchase accounting adjustments 2,300
Balance as of March 31, 2025$371,018
The Company evaluates goodwill for impairment at the reporting unit level annually, and in certain circumstances, such as when there is a change in reporting units or whenever there are indications that goodwill might be impaired. The Company performed its annual goodwill impairment assessment on January 1, 2025, and assessed qualitative factors to determine whether it is more likely or not that the fair value of its reporting units is less than its carrying amount. The qualitative assessment required management to make various judgmental assumptions including but not limited to macroeconomic conditions, industry and market considerations, cost factors, financial performances, change in stock price. Management assessed each factor and evaluated whether the evidence, in aggregate, would indicate that it is more likely than not that the Company's reporting unit is less than its carrying amount. As a result of the qualitative assessment of its goodwill, the Company determined that no impairment existed as of the date of the impairment test because the fair value of its reporting unit exceeded its carrying value.
Other intangible assets
Nextracker amortizes identifiable intangible assets consisting of developed technology, customer relationships, and trade names because these assets have finite lives. Nextracker’s intangible assets are amortized on a straight-line basis over the estimated useful lives. The basis of amortization approximates the pattern in which the assets are utilized over their estimated useful lives. No residual value is estimated for any intangible assets.
Intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an intangible asset may not be recoverable. An impairment loss is recognized when the carrying amount of an intangible asset exceeds its fair value. The fair value of Nextracker’s intangible assets is determined based on management’s estimates of cash flows and recoverability. Nextracker reviewed the carrying value of its intangible assets as of March 31, 2025 and 2024, and concluded that such amounts continued to be recoverable.
The components of identifiable intangible assets are as follows (in thousands):
As of March 31, 2025As of March 31, 2024
Weighted-average remaining useful life (in years)Gross
carrying
amount		Accumulated
amortization		Net
carrying
amount		Gross
carrying
amount		Accumulated
amortization		Net
carrying
amount
Developed technology9.4$39,200$(2,394)$36,806$—$—$—
Customer relationships4.218,000(2,779)15,221———
Trade name and other intangibles3.43,018(1,804)1,2143,000(1,454)1,546
Total$60,218$(6,977)$53,241$3,000$(1,454)$1,546
The gross carrying amount of intangible assets are removed when fully amortized. Total intangible asset amortization expense recognized in operations during the fiscal years ended March 31, 2025, 2024 and 2023 are as follows:
Fiscal year ended March 31,
202520242023
(In thousands)
Cost of sales$2,744$275$250
Selling general and administrative expense2,779—957
Total amortization expense$5,523$275$1,207
The estimated future annual amortization expense for the acquired finite-lived intangible assets as of March 31, 2025 is as follows:
Fiscal year ending March 31,Amount
(In thousands)
2026$7,893
20277,870
20287,841
20297,695
20304,741
Thereafter17,183
Total amortization expense$53,223
v3.25.1
The Transactions
 12 Months Ended
Mar. 31, 2025
Stockholders' Equity Note [Abstract]  
The Transactions The Transactions
The Company and Nextracker LLC completed the following reorganization and other transactions in connection with the IPO (collectively, referred to as the “Transactions”):
•Immediately prior to the completion of the IPO, the Company issued 128,794,522 shares of its Class B common stock to Yuma, Yuma Sub, and TPG Rise (not inclusive of those held by affiliated blocker corporations – see below) immediately following the Transactions and before giving effect to the IPO.
•Immediately prior to the completion of the IPO and as permitted under and in accordance with the limited liability company agreement of Nextracker LLC in effect prior to the IPO (the “Prior LLC Agreement”), TPG Rise exercised its right to have certain blocker corporations affiliated with TPG Rise each merge with a separate direct, wholly-owned subsidiary of the Company, with the blocker corporations surviving each such merger, in a transaction intended to qualify as a tax-free transaction. In connection with such blocker corporations’ mergers, the investors in each such blocker corporation received a number of shares of the Company’s Class A common stock with a value based on the
Series A Preferred Units held by such blocker corporation for a total of 15,279,190 shares of the Company’s Class A common stock.
•Immediately prior to the closing of the IPO, Nextracker LLC made a distribution in an aggregate amount of $175.0 million (the “Nextracker LLC Distribution”). With respect to such Nextracker LLC Distribution, $21.7 million was distributed to TPG Rise and $153.3 million to Yuma and Yuma Sub in accordance with their pro rata units of Nextracker LLC. The Nextracker LLC Distribution was financed, in part, with net proceeds from the $150.0 million term loan under the senior credit facility with a syndicate of banks (as amended from time to time, the "2023 Credit Agreement"), as further discussed in Note 9.
•The Company used all the net proceeds from the IPO ($693.8 million) to purchase 30,590,000 Nextracker LLC common units from Yuma at a price per unit equal to $22.68.
•In connection with Yuma’s transfer to the Company of 30,590,000 Nextracker LLC common units, a corresponding number of shares of the Company’s Class B common stock held by Yuma were canceled.
•In connection with the IPO, the Company's repurchased all 100 shares of common stock previously issued to Yuma for an immaterial amount.
On February 8, 2023, the Company amended and restated its certificate of incorporation to, among other things, authorize 900,000,000 shares of $0.0001 par value Class A common stock, 500,000,000 shares of $0.0001 par value Class B common stock, and 50,000,000 shares of par value $0.0001 preferred stock.
On February 13, 2023, the members of Nextracker LLC entered into the Third Amended and Restated Limited Liability Company Agreement of Nextracker LLC (the "LLC Agreement") to, among other things, effect the Transactions described above and to appoint the Company as the managing member of Nextracker LLC. As of March 31, 2024, the Company beneficially owns 140,773,223 Nextracker LLC common units after the completion of the IPO, the Transactions, the follow-on offering and the Spin Transactions described below.
The 2023 follow-on offering
On July 3, 2023, Nextracker completed an underwritten offering of 18,150,000 shares of Class A common stock, of which 15,631,562 shares were offered and sold by the Company and 2,518,438 shares were offered and sold by certain of the Company’s stockholders for approximately $662.5 million in total gross proceeds, including the full exercise of the underwriters’ option to purchase additional shares of Class A common stock. The Company received net proceeds of $552.0 million. The entire net proceeds from the sale of shares by Nextracker were used by Nextracker to acquire 14,025,000 Nextracker LLC common units from Yuma, and 1,606,562 Nextracker LLC common units from TPG Rise. Simultaneously, 14,025,000 and 1,606,562 shares of Class B common stock were surrendered by Flex and TPG, respectively, and cancelled.
As a result of this follow-on offering (referred to as the “Follow-on”), as of the closing date on July 3, 2023:
•Approximately $1.8 million of offering costs were paid by Flex.
•Immediately following the completion of the Follow-on, Flex (through Yuma and Yuma Sub), owned 74,432,619 shares of Class B common stock, representing approximately 51.45% of the total outstanding shares of the Company's outstanding common stock.
•Additionally, TPG owned 8,140,341 shares of Class B common stock representing approximately 5.63% of the total outstanding shares of the Company's outstanding common stock.
•The Company beneficially owned 62,053,870 Nextracker LLC units, representing approximately 42.91% of the total common units of Nextracker LLC.
Exchange Agreement
The Company, Nextracker LLC, Yuma, Yuma Sub and TPG entered into an exchange agreement (the “Exchange Agreement”) under which Yuma, Yuma Sub and TPG (or certain permitted transferees thereof) have the right, subject to the terms of the Exchange Agreement, to require Nextracker LLC to exchange Nextracker LLC common units (together with a corresponding number of shares of Class B common stock) for newly-issued shares of Class A common stock of the Company on a basis, or, in the alternative, the Company may elect to exchange such Nextracker LLC common units (together with a corresponding number of shares of Nextracker Class B common stock) for cash equal to the product of (i) the number of Nextracker LLC
common units (together with a corresponding number of shares of Class B common stock) being exchanged, (ii) the then-applicable exchange rate under the Exchange Agreement (which will initially be one and is subject to adjustment) and (iii) the Class A common stock value (based on the market price of Nextracker's Class A common stock), subject to customary conversion rate adjustments for stock splits, stock dividends, reclassifications and other similar transactions; provided further, that in the event of an exchange request by an exchanging holder, Nextracker may at its option effect a direct exchange of shares of Class A common stock for Nextracker LLC common units and shares of Class B common stock in lieu of such exchange or make a cash payment to such exchanging holder, in each case pursuant to the same economic terms applicable to an exchange between the exchanging holder and Nextracker LLC. As Nextracker LLC interests are redeemable upon the occurrence of an event not solely within the control of the Company, such interests are presented in temporary equity on the consolidated balance sheets.
The Separation Transactions
On October 25, 2023, Flex announced its plan to effect a spin-off of all of its remaining interests in Nextracker pursuant to the Merger Agreement to be effected through the following transactions (together, the “Spin Transactions”): (i) a court-approved capital reduction of Flex to be carried out pursuant to Section 78G of the Singapore Companies Act (the “Capital Reduction”), (ii) a distribution of all the shares of the common stock, par value $0.001, of Yuma (the “Yuma Common Stock”), which was a wholly-owned subsidiary of Flex that, directly or indirectly, held all of Flex’s remaining interest in Nextracker, by way of a distribution in specie to Flex shareholders (the “Spin Distribution”), (iii) the merger of Yuma with and into Yuma Acquisition Corp., with Yuma surviving the merger as a wholly-owned subsidiary of Nextracker (the “Merger”) and pursuant to which each share of Yuma Common Stock outstanding immediately prior to the Merger would automatically convert into the right to receive a number of shares of the Company's Class A common stock based on the Exchange Ratio (as defined in the Merger Agreement) (with cash payments to holders of shares of Yuma Common Stock in lieu of any fractional shares of Nextracker's Class A common stock in accordance with the terms of the Merger Agreement), and (iv) the merger of Yuma with and into a wholly-owned limited liability company subsidiary of Nextracker, with such limited liability company surviving the merger as a wholly-owned subsidiary of Nextracker, undertaken shortly following the completion of the Merger.
On January 2, 2024, Flex closed the spin-off of all of its remaining interests in Nextracker to Flex shareholders. Immediately prior to the spin-off, Flex held 100% of the shares of Yuma Common Stock, and Yuma held, directly and indirectly through Yuma Sub, (i) 74,432,619 shares of Nextracker’s Class B common stock, par value $0.0001 per share, representing approximately 51.48% of the total outstanding shares of Nextracker’s common stock, based on the number of shares of Nextracker’s common stock outstanding as of December 29, 2023 and (ii) 74,432,619 of the common units of Nextracker LLC, representing approximately 51.48% of the economic interest in the business of Nextracker.
In addition to the Spin Distribution, Flex and Nextracker consummated the Merger, with Yuma surviving the Merger as a wholly-owned subsidiary of Nextracker. As a result of the Merger, each share of Yuma Common Stock issued and outstanding as of immediately prior to the closing of the Merger was automatically converted into the right to receive a number of shares of Class A common stock of the Company, based on an Exchange Ratio (as defined below), with cash payments to holders of shares of Yuma Common Stock in lieu of any fractional shares of Class A common stock of the Company in accordance with the terms of the Merger Agreement. The “Exchange Ratio” is equal to the quotient of (i) 74,432,619, which is the number of shares of Class A common stock of Nextracker held by Yuma and Yuma Sub (assuming the exchange by Yuma and Yuma Sub of all Nextracker LLC common units, together with a corresponding number of shares of Class B common stock of the Company held by Yuma and Yuma Sub, for shares of Class A common stock of the Company) divided by (ii) the number of issued and outstanding shares of Yuma Common Stock immediately prior to the effective time of the Merger.
As the Merger represents a business combination of entities under common control, the transaction was accounted for in accordance with ASC 805-50, Business Combinations – Related Issues. Upon consummation of the Merger, the assets and liabilities of Yuma, particularly the redeemable interest in Nextracker, were recognized at their carrying value on the date of transfer as a transaction under common control. Once acquired, the redeemable noncontrolling interest was derecognized at its carrying amount. In addition, the Company recognized the issuance of its Class A common stock as consideration of the acquisition of Yuma, with the difference between the carrying value of the redeemable noncontrolling interest acquired and the par value of the Class A common stock recorded in additional paid-in capital.
On February 5, 2025, TPG exchanged all its remaining Nextracker LLC common units, together with a corresponding number of shares of Class B common stock of the Company, for shares of Class A common stock of the Company.
Tax distributions
During fiscal years 2025 and 2024, and pursuant to the LLC Agreement, Nextracker LLC made a pro rata tax distributions cash payment to its non-controlling interest holders in the aggregate amount of approximately $6.1 million and $66.9 million, respectively.
v3.25.1
Stock-based compensation
 12 Months Ended
Mar. 31, 2025
Share-Based Payment Arrangement, Additional Disclosure [Abstract]  
Stock-based compensation Stock-based compensation
The Company adopted the First Amended and Restated 2022 Nextracker LLC Equity Incentive Plan in April 2022 (the “LLC Plan”), which provides for the issuance of options, unit appreciation rights, performance units, performance incentive units, restricted incentive units and other unit-based awards to employees, directors, and consultants of the Company. Additionally, in connection with the IPO in February 2023, the Company approved the Second Amended and Restated 2022 Nextracker Inc. Equity Incentive Plan (together with the LLC Plan, the “2022 Plan”) to reflect, among other things, that the underlying equity interests with respect to awards issued under the LLC Plan shall, in lieu of common units of Nextracker LLC, relate to Class A common stock of Nextracker for periods from and after the closing of the IPO.
The 2022 Plan is administered by the Board or such other committee appointed by the Board. Awards granted under the 2022 Plan expire no more than 10 years from the grant date. The 2022 Plan authorized the grant of 24.0 million equity-based awards. As of March 31, 2025, the Company had approximately 13.4 million equity-based awards available for grant under the 2022 Plan.
During fiscal year 2025, the Company granted the following three types of equity-based compensation awards to its employees under the 2022 Plan:
•Restricted incentive unit awards ("RSU"), whereby vesting is generally contingent upon time-based vesting with continued service over a three-year period from the grant date, with a portion of the awards vesting at the end of each year.
•Options awards, whereby such awards will cliff-vest on the third anniversary of the grant date, subject generally to continuous service through vesting date; and
•Performance based vesting awards ("PSUs") whereby vesting is generally contingent upon (i) time-based vesting with continued service through March 31, 2027, and (ii) the achievement of certain metrics specific to the Company, which could result in a range of 0 - 300% of such PSUs ultimately vesting. The earned PSUs will cliff-vest on March 31, 2027.
The service period of options and PSU awards granted in fiscal year 2024 is three years. The service period of options and PSU awards granted in fiscal year 2023 is four years, and three years, respectively.
On the date any performance-based vesting requirement is satisfied, the award holder will become vested in the number of awards that have satisfied the time-based vesting requirement, if any.
Stock-based compensation expense
The following table summarizes the Company’s stock-based compensation expense:
Fiscal year ended March 31,
202520242023
(In thousands)
Cost of sales$11,927$10,764$12,794
Selling, general and administrative expenses98,53238,32519,200
Research and development8,4217,694—
Total stock-based compensation expense$118,880$56,783$31,994
During the fourth quarter of fiscal year 2025, the Company recognized net incremental stock-based compensation expense of approximately $14.8 million for certain PSU awards for which the performance conditions were achieved. Such expense is included in the amounts above.
Cumulative expense upon IPO and modification of awards
In connection with the IPO and the approval of the NI Plan, all awards previously issued under the LLC Plan were determined to be modified. The modification of the awards granted under the LLC Plan, pre-IPO, were concluded to qualify as a Type I probable-to-probable modification (in accordance with ASC 718-20-55), which resulted in an increase in the total fair value of such awards of $12.3 million, with the Company recording an immaterial amount of incremental stock-based compensation expense related to such modification during the fiscal year ended March 31, 2023.
Considering that the vesting of the awards granted under the 2022 Plan was contingent on an IPO, which occurred on February 9, 2023, the Company recognized $23.3 million of cumulative stock-based compensation expense for all awards outstanding under the 2022 Plan as of that date.
As of March 31, 2025, the total unrecognized compensation expense for unvested awards under the 2022 Plan and the related remaining weighted average period for expensing is summarized as follow:
Unrecognized compensation expense
(in thousands)
Weighted average remaining period
(in years)
Options$14,840 1.5
RSU78,486 2.0
PSU37,856 1.5
Total unrecognized compensation expense$131,182 
Determining fair value — RSU awards
Valuation and Amortization Method - The Company determined the fair value of RSUs granted in fiscal year 2025 under the 2022 Plan based on the closing price per share of its Class A common stock as of the grant date of the awards. The compensation expense is generally recognized on a straight-line basis over the respective vesting period.
The valuation of RSUs granted under the 2022 Plan, during fiscal year 2023 (prior to the IPO) was determined in accordance with the guidance provided by the American Institute of Certified Public Accountants Practice Aid, “Valuation of Privately-Held-Company Equity Securities Issued as Compensation.” Application of these approaches involves the use of estimates, judgment and assumptions that are highly complex and subjective, such as those regarding the Company's expected future revenue and EBITDA, discount rates, market multiples, the selection of comparable companies and the probability of possible future events. Changes in any or all of these estimates and assumptions or the relationships between those assumptions impact the Company's valuations as of each valuation date and may have a material impact on the valuation of its common stock.
Determining fair value — Options and PSU awards
Valuation - The Company estimated the fair value of Options awards granted in fiscal years 2025 and 2024 under the 2022 Plan, using a Black-Scholes option pricing model.
The fair values of Options awards granted in fiscal year 2023 and PSU awards granted in fiscal years 2025, 2024 and 2023, under the 2022 Plan, were estimated using Monte-Carlo simulation models, which is a probabilistic approach for calculating the fair value of the awards.
Expected volatility - Volatility used in the Black-Scholes option pricing, or in the Monte Carlo simulation, is derived from the historical volatility of Nextracker's Peer Group.
Risk-Free Rate assumptions - The Company bases the risk-free interest rate used in the Monte Carlo simulation based on the continuously compounded risk-free rate in the Monte Carlo simulations to calculate the drift rate of the Company and peer group stock prices. The risk-free rate of return was calculated using the U.S. Treasury daily yield curve.
The fair value of the Company's awards granted under the 2022 Plan was estimated based on the following assumptions:
Fiscal year ended March 31,
202520242023
Expected volatility
52% - 60%
65.0%
65% - 70%
Expected dividends—%—%—%
Risk-free interest rate
4.4% - 5.0%
3.8% - 4.6%
2.5% - 2.7%
Awards activity
The following table summarizes the RSU awards activity under the 2022 Plan for the fiscal year ended March 31, 2025:
Fiscal year ended March 31,
2025
Number of RSUsWeighted average grant date fair value per share
Unvested RSU awards outstanding, beginning of fiscal year2,718,133 $31.37
Granted1,727,191 41.52
Vested(999,928)30.32
Forfeited (1)(205,025)34.54
Unvested RSU awards outstanding, end of fiscal year3,240,371 $37.04
(1)Awards forfeited due to employee terminations.
The weighted average grant date fair value of RSU awards granted during the fiscal years ended March 31, 2024 and 2023 was $41.55 and $17.03 per award, respectively, and the weighted average modification date fair value was $20.40 per award as of February 9, 2023. The total fair value of RSUs vested during the fiscal years ended March 31, 2025 and 2024 was $30.3 million and $13.2 million, respectively. There were no RSUs vested during the fiscal year ended March 31, 2023.
The following table summarizes the PSU awards activity under the 2022 Plan for the fiscal year ended March 31, 2025:
Fiscal year ended March 31,
2025
Number of PSUsWeighted average grant date fair value per share
Unvested PSU awards outstanding, beginning of fiscal year1,007,476 $47.01
Granted (1)940,217 74.18
Vested— —
Forfeited(27,970)58.30
Unvested PSU awards outstanding, end of fiscal year1,919,723 $59.70
(1)Includes 292,958 PSU awards related to the third tranche of performance-based awards granted in fiscal year 2023 that met the criteria for a grant date under ASC 718 as the performance metrics for these awards were determined during fiscal year 2025. Additionally, includes 219,709 PSU awards representing the number of awards achieved above target levels based on the achievement of the performance-based metrics for the second tranche of PSU awards granted in fiscal year 2023.
The weighted average grant date fair value of the PSU awards granted during the fiscal years ended March 31, 2024 and 2023 was $54.77 and $19.35 per award, respectively, and the weighted average modification date fair value was $23.01 per award as of February 9, 2023.
Additional information for the PSUs awarded in fiscal year 2025 is further detailed in the table below:
Range of shares that may be issued
Year of grantPerformance end dateTargeted number of awards as of March 31, 2025Weighted average grant date fair value per shareMinimumMaximum
Fiscal Year 2023March 31, 2025512,667$87.43—1,025,334(1)
Fiscal Year 2025March 31, 2027399,580$58.30—1,198,740(2)
(1)Payouts can range from 0% to 200% of the applicable tranche targets based on the achievement levels of the Company's Total Shareholder Return ("TSR"), as determined in the Restricted Incentive Unit Award Agreement under the 2022 Plan for performance-based vesting awards.
(2)Payouts can range from 0% to 300% based on the achievement of certain metrics specific to the Company.
The following table summarizes the Options awards activity under the 2022 Plan for the fiscal year ended March 31, 2025:
Fiscal year ended March 31,
2025
Number of OptionsWeighted average exercise priceWeighted average remaining contractual termAggregate intrinsic value (in thousands)
Options awards outstanding, beginning of fiscal year3,151,402 $23.84
Granted296,493 47.05
Exercised(18,905)10.39
Forfeited (1)(66,492)29.33
Options awards outstanding, end of fiscal year3,362,498 $25.853.1$56,121 
Options awards exercisable as of end of fiscal year712 $10.392.2$25 
Options awards vested and expected to vest, end of fiscal year3,362,498 $25.853.1$56,121 
(1)Awards forfeited due to employee terminations.
The weighted average grant date fair value of Options awards granted during the fiscal years ended March 31, 2025, 2024 and 2023 was $29.05, $24.95 and $5.17 per award, respectively and the weighted average modification date fair value was $6.30 per award as of February 9, 2023. The aggregate intrinsic value of Options awards exercised during the fiscal years ended March 31, 2025 was $0.6 million. The total fair value of Options awards vested during the fiscal year ended March 31, 2025 was immaterial. No Options awards vested or exercised during the fiscal years ended March 31, 2024 or 2023. Cash received from Options awards exercised and the tax benefit for the tax deductions from Option awards exercised during the fiscal year ended March 31, 2025 was immaterial.
The following table presents the composition of options outstanding and exercisable as of March 31, 2025:
Options outstandingOptions exercisable
Range of Exercise PriceNumber of Shares OutstandingWeighted average remaining contractual life (in years)Weighted average exercise priceNumber of shares exercisableWeighted average exercise price
<$20712 2.2$10.39712 $10.39
$20.00 - $40.002,616,432 1.821.00— N/A
$40.00 - $60.00745,354 7.542.90— N/A
3,362,498 3.1$25.85712 $10.39
Out of the 3.4 million options outstanding as of March 31, 2025, approximately 2.6 million options were granted in fiscal year 2023 whereby vesting was tied to certain performance metrics specific to the Company. The vesting information for these shares is further detailed in the table below.
Range of shares that may be issued
Year of grantOptions performance period end dateTargeted number of awards as of March 31, 2025Weighted average grant date fair value per shareMinimumMaximum
Fiscal Year 2023March 31, 20262,616,432$6.30—2,616,432
v3.25.1
Earnings per share
 12 Months Ended
Mar. 31, 2025
Earnings Per Share [Abstract]  
Earnings per share Earnings per share
Basic earnings per share excludes dilution and is computed by dividing net income available to Nextracker Inc. common stockholders by the weighted-average number of shares of Class A common stock outstanding during the applicable periods.
Diluted earnings per share reflects the potential dilution from stock-based compensation awards. The potential dilution from awards was computed using the treasury stock method based on the average fair market value of the Company's common stock for the period. Additionally, the potential dilution impact of Class B common stock convertible into Class A common stock was also considered in the calculation.
The computation of earnings per share and weighted average shares outstanding of the Company's common stock for the period is presented below:
Fiscal year ended March 31, 2025
Fiscal year ended March 31, 2024February 9, 2023 - March 31, 2023
IncomeWeighted average shares outstandingPer shareIncomeWeighted average shares outstandingPer shareIncomeWeighted average shares outstandingPer share
NumeratorDenominatorAmountNumeratorDenominatorAmountNumeratorDenominatorAmount
(In thousands, except share and per share amounts)
Basic EPS
Net income attributable to Nextracker Inc. common stockholders$509,168 143,539,344 $3.55 $306,241 77,067,639 $3.97 $1,143 45,886,065 $0.02 
Effect of Dilutive Impact
Common stock equivalents from Options awards (1)1,198,258 1,089,554 377,316 
Common stock equivalents from RSUs (2)1,349,145 1,268,923 1,291,346 
Common stock equivalents from PSUs (3)1,287,558 558,733 92,388 
Income attributable to non-controlling interests and common stock equivalent from Class B common stock$8,078 1,901,645 $189,974 67,299,481 $2,446 98,204,522 
Diluted EPS
Net income$517,246 149,275,950 $3.47 $496,215 147,284,330 $3.37 $3,589 145,851,637 $0.02 
(1)During fiscal years ended March 31, 2025 and 2024, approximately 0.7 million and 0.5 million Options awards, respectively, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents. No Options awards were excluded from the computation of diluted earnings per share in the fiscal year ended March 31, 2023.
(2)During fiscal years ended March 31, 2025 and 2024, an immaterial amount of RSU awards, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents. No RSU awards were excluded from the computation of diluted earnings per share in the fiscal year ended March 31, 2023.
(3)During fiscal years ended March 31, 2025 and 2024, an immaterial amount of PSU awards and no PSU awards, respectively, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents. No PSU awards were excluded from the computation of diluted earnings per share in the fiscal year ended March 31, 2023.
v3.25.1
Bank borrowings and long-term debt
 12 Months Ended
Mar. 31, 2025
Debt Disclosure [Abstract]  
Bank borrowings and long-term debt Bank borrowings and long-term debt
On February 13, 2023, the Company and Nextracker LLC, as the borrower, entered into the 2023 Credit Agreement, which is comprised of (i) a term loan in the aggregate principal amount of $150.0 million (the “Term Loan”), and (ii) a revolving credit facility in an aggregate principal amount of $500.0 million (the “RCF”). The RCF is available to fund working capital, capital expenditure and other general corporate purposes.
On February 19, 2025, the Company repaid in full all outstanding obligations under the Term Loan under the 2023 Credit Agreement and wrote off an immaterial amount of unamortized issuance cost associated with the term loan upon the repayment.
As a result of an amendment to the 2023 Credit Agreement entered into by Nextracker Inc. and the LLC on June 21, 2024, the Company incurred and capitalized $6.0 million of issuance cost for the revolver, which is included in other assets in the consolidated balance sheets. These issuance costs along with the unamortized issuance costs associated with the RCF that were outstanding as of the June 21, 2024 will be amortized over the remaining term of the 2023 Credit Agreement. As of March 31, 2025, the Company had $6.0 million unamortized issuance costs for the RCF.
As of March 31, 2024, the Company had $147.7 million, outstanding under the Term Loan, net of issuance costs, of which $144.0 million was included in long-term debt, net of current portion and $3.7 million was included in current portion of long-term debt on the consolidated balance sheets.
The RCF under the 2023 Credit Agreement is available in U.S. dollars, euros and such currencies as mutually agreed on a revolving basis during the five-year period through February 11, 2028. A portion of the RCF is available for the issuance of letters of credit, which was increased from $300.0 million to $500.0 million by an amendment to the 2023 Credit Agreement entered into by Nextracker Inc. and the LLC on June 21, 2024. A portion of the RCF not to exceed $50.0 million is available for swing line loans. Subject to the satisfaction of certain conditions, the LLC will be permitted to increase the RCF commitment in an aggregate principal amount equal to $257.5 million plus an additional amount such that the secured net leverage ratio or total net leverage ratio, as applicable, is equal to or less than a specified threshold after giving pro forma effect to such incurrence. As of March 31, 2025, the Company had approximately $913.7 million available under the RCF, net of $86.3 million of outstanding letters of credit.
The obligations of the LLC under the 2023 Credit Agreement and related loan documents are jointly and severally guaranteed by the Company, certain other holding companies (collectively, the “Guarantors”) and, subject to certain exclusions, certain of the LLC’s existing and future direct and indirect wholly-owned domestic subsidiaries.
As of the closing of the 2023 Credit Agreement, all obligations of the LLC and the Guarantors were secured by certain equity pledges by the LLC and the Guarantors. However, if the LLC’s total net leverage ratio exceeds a specified threshold, the collateral will include substantially all the assets of the LLC and the Guarantors and, if the LLC meets certain investment grade conditions, such lien will be released.
Borrowings in U.S. dollars under the 2023 Credit Agreement bear interest at a rate based on either (a) a term secured overnight financing rate (“SOFR”) based formula (including a credit spread adjustment of 10 basis points) plus a margin of 162.5 basis points to 200 basis points, depending on the LLC’s total net leverage ratio, or (b) a base rate formula plus a margin of 62.5 basis points to 100 basis points, depending on the LLC’s total net leverage ratio. Borrowings under the RCF in euros bear interest based on the adjusted EURIBOR rate plus a margin of 162.5 basis points to 200 basis points, depending on the LLC’s total net leverage ratio. The LLC is required to pay a quarterly commitment fee on the undrawn portion of the RCF commitments of 20 basis points to 35 basis points, depending on the LLC’s total net leverage ratio.
The 2023 Credit Agreement contains certain affirmative and negative covenants that, among other things and subject to certain exceptions, limit the ability of the LLC and its restricted subsidiaries to incur additional indebtedness or liens, to dispose of assets, change their fiscal year or lines of business, pay dividends and other restricted payments, make investments and other acquisitions, make optional payments of subordinated and junior lien debt, enter into transactions with affiliates and enter into restrictive agreements. In addition, the 2023 Credit Agreement requires the LLC to maintain a consolidated total net leverage ratio below a certain threshold. As of March 31, 2025, the Company was in compliance with all applicable covenants under the 2023 Credit Agreement and the RCF.
As of March 31, 2024, the Term Loan, which was categorized as Level 2 on the fair value hierarchy, bore interest at the applicable SOFR rate as of disbursement date, plus a spread based on certain financial metrics for the last twelve-month period and therefore the carrying amount approximated the fair value as of March 31, 2024. The effective interest rate for the Company's long-term debt was 7.12% for the fiscal year ended March 31, 2024.
v3.25.1
Supplemental cash flow disclosures
 12 Months Ended
Mar. 31, 2025
Supplemental Cash Flow Elements [Abstract]  
Supplemental cash flow disclosures Supplemental cash flow disclosures
The following table represents supplemental cash flow disclosures of income taxes paid, interest paid, and non-cash investing and financing activities:
Fiscal year ended March 31,
202520242023
Supplemental disclosure:(In thousands)
Income taxes paid (1)$125,519 $28,551 $— 
Interest paid10,319 10,654 — 
Non-cash investing and financing activities:
Unpaid purchases of property and equipment$1,663$1,596$206 
TRA revaluation7,63523,823— 
Stock-based compensation tax benefits1,698—— 
Unpaid distribution to non-controlling interest holders3,010—— 
Other equity3,476—— 
Reclassification of redeemable non-controlling interest—622,292— 
Capitalized offering costs——(5,331)
Legal settlement paid by Parent (2)——20,428 
Paid-in-kind dividend for Series A redeemable preferred units——21,427 
Settlement of assets and liabilities with Parent——52,529 
(1)Amount presented in fiscal year 2025 is net of transfer and assignment of 45X Credit of $63.8 million.
(2)Amount presented in fiscal year 2023 is net of insurance recovery of $22.3 million related to the Company's litigation settlement in July 2022.
v3.25.1
Relationship with Flex
 12 Months Ended
Mar. 31, 2025
Related Party Transactions [Abstract]  
Relationship with Flex Relationship with Flex
On January 2, 2024, Nextracker became a fully independent company upon completion of the Spin Transactions, as described in Note 6, and Flex ceased to be a related party on that date.
Allocation of corporate expenses prior to the IPO and spin-off
Prior to the IPO, Nextracker was managed and operated in the normal course of business by Flex. Accordingly, certain shared costs were allocated to Nextracker and reflected as expenses in these consolidated financial statements for fiscal years 2024 and 2023. Nextracker’s management and the management of Flex considered the expenses included and the allocation methodologies used to be reasonable and appropriate reflections of the historical Flex expenses attributable to Nextracker for purposes of the stand-alone financial statements up until the IPO. However, the expenses reflected in these consolidated financial statements for fiscal years 2024 and 2023 may not be indicative of the expenses that would have been incurred by Nextracker during the periods presented if Nextracker historically operated as a separate, stand-alone entity during such
periods, which expenses would have depended on a number of factors, including the chosen organizational structure, what functions were outsourced or performed by employees and strategic decisions made in areas such as information technology and infrastructure. In addition, the expenses reflected in the consolidated financial statements for fiscal years 2024 and 2023 may not be indicative of expenses that Nextracker will incur in the future.
The consolidated financial statements for the period prior to the IPO, include expense allocations for certain functions provided by Flex, including, but not limited to, general corporate expenses related to finance, legal, information technology, human resources, and stock-based compensation. These expenses were allocated to Nextracker on the basis of direct usage when identifiable, with the remainder allocated on the basis of revenue, headcount or other measure.
During the fiscal year ended March 31, 2023, Nextracker was allocated $5.2 million of general corporate expenses incurred by Flex. Of these expenses, $3.4 million was included within selling, general and administrative expenses and $1.8 million was included in cost of sales in the consolidated statements of operations and comprehensive income. An immaterial amount of general corporate expenses incurred by Flex was allocated to Nextracker during the fiscal year 2024 for the period prior to the spin-off.
Cash management and financing prior to the IPO and spin-off
Prior to the IPO, Nextracker participated in Flex’s centralized cash management programs. Disbursements were independently managed by Nextracker.
All significant transactions between Nextracker and Flex that were not historically cash settled were reflected in the consolidated statement of cash flows, for the period prior to the IPO, as net transfers to parent as these were deemed to be internal financing transactions. All intra-company accounts, profits and transactions have been eliminated. The following is a summary of material transactions reflected in the accumulated net parent investment through February 8, 2023 during the fiscal year ended March 31, 2023 (in thousands):
Corporate allocations (excluding stock-based compensation expense)$1,483 
Transfer of operations to Nextracker (1)(39,025)
Net cash pooling activities (2)(35,240)
Income taxes41,238 
Net transfers to parent $(31,544)
(1)Primarily represents certain international operations where related income and/or losses are included in Nextracker’s consolidated statements of operations. Cash was also collected by the international operations on behalf of Nextracker, for which Nextracker and Flex do not intend to settle in the future. For the fiscal year 2023, the balance includes the legal settlement paid by Flex.
(2)Primarily represents financing activities for cash pooling and capital transfers.
The cash balance reflected in the consolidated balance sheets consist of the cash managed and controlled by Nextracker. Prior to the IPO, when Nextracker was a controlled entity of Flex, Nextracker's U.S. operations participated in the Flex cash pooling management programs intra-quarter. All outstanding positions were settled or scheduled for settlement as of each quarter end. Cash pooling activities during the period prior to the IPO were reflected under net transfers from Parent in the consolidated statements of redeemable interest and stockholders' deficit / parent company deficit and the consolidated statements of cash flows. As of the date of the separation with Flex, Nextracker no longer participates in the Flex cash pooling management programs and no cash pool payable was outstanding as of March 31, 2024.
Prior to the separation from Flex, due to related parties related to balances resulting from transactions between Nextracker and Flex subsidiaries that were historically cash settled. Nextracker purchased certain components and services from other Flex affiliates of $67.1 million for the fiscal year ended March 31, 2023.
Agreements with Flex
•Umbrella agreement — In February 2023, Nextracker Brasil Ltda., an indirect, wholly-owned subsidiary of Nextracker Inc., and Flextronics International Technologia Ltda., an affiliate of Flex, entered into an umbrella agreement (the “Umbrella Agreement”) that governs the terms, conditions and obligations of a strategic commercial relationship between Nextracker Inc. and Flex for the sale of the Company’s solar trackers in Brazil. The Umbrella
Agreement is renewable automatically for successive one-year periods, unless a party provides written notice to the other parties that such party does not intend to renew within at least ninety days prior to the end of any term.
•Tax Matters Agreement — Immediately prior to the Spin Distribution, Nextracker, Flex and Yuma entered into a tax matters agreement (the “Tax Matters Agreement”) which governs the rights, responsibilities and obligations of such parties with respect to taxes (including taxes arising in the ordinary course of business and taxes incurred as a result of the Spin Distribution and the Merger), tax attributes, tax returns, tax contests and certain other matters.
v3.25.1
Commitments and contingencies
 12 Months Ended
Mar. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and contingencies Commitments and contingencies
Litigation and other legal matters
Nextracker has accrued for a loss contingency to the extent it believes that losses are probable and estimable. The amounts accrued are not material, but it is reasonably possible that actual losses could be in excess of Nextracker’s accrual. Any related excess loss could have a material adverse effect on Nextracker’s results of operations or cash flows for a particular period or on Nextracker’s financial condition.
On February 6, 2024, pursuant to the LLC Agreement, Nextracker LLC made pro rata tax distributions in an aggregate amount of $94.3 million to the common members of the LLC, including an aggregate of $48.5 million to Yuma Acquisition Sub LLC and Yuma Sub As of the date of the tax distribution, Yuma Acquisition Sub LLC and Yuma Sub were wholly-owned subsidiaries of Nextracker Inc. On February 21, 2025, Flex and Flextronics International USA, Inc. filed suit in the Delaware Court of Chancery, alleging that Flex is entitled to the distribution that was paid to Yuma Acquisition Sub LLC and Yuma Sub. on February 6, 2024, under the terms of the contracts governing Nextracker’s spin-off from Flex. The complaint asserts claims against Nextracker Inc., Nextracker LLC, Yuma Acquisition Sub LLC and Yuma Sub for breach of contract, breach of the implied covenant of good faith and fair dealing, mistake and unjust enrichment.
On December 27, 2024, a class action lawsuit alleging violations of federal securities laws was filed by a purported stockholder in the U.S. District Court for the Northern District of California, naming as defendants the Company and certain of the Company’s officers, alleging that defendants made false and misleading statements about our business, financial results and prospects. The plaintiff seeks unspecified monetary damages and other relief on behalf of the purported class.
On January 23, 2025, and March 18, 2025, purported stockholders of Nextracker filed stockholder derivative actions against the Company’s directors and certain of the its officers in the U.S. District Court for the Northern District of California based on factual allegations similar to those underlying the securities class action described above. The derivative actions assert claims on behalf of Nextracker for, among other things, violations of the federal securities laws and breaches of fiduciary duties, and seek damages and restitution to be paid to the Company by the individual defendants, governance changes and attorney’s fees and costs.
Based on the preliminary nature of these proceedings, the Company is unable to reasonably estimate a loss, if any, arising from the above-referenced matters.
Antidumping and Countervailing Duties
On August 18, 2023, the U.S. Department of Commerce issued final affirmative determinations of circumvention with respect to certain crystalline solar photovoltaic (“CSPV”) cells and modules produced in Cambodia, Malaysia, Thailand and Vietnam using parts and components from China. As a result, certain CSPV cells and modules from Cambodia, Malaysia, Thailand and Vietnam are now subject to antidumping duty and countervailing duty (“AD/CVD”) orders on CSPV cells and modules from China that have been in place since 2012. Subject to certain certification and utilization conditions, imports of CSPV cells and modules covered by the circumvention determinations that entered the United States during the two-year period prior to June 6, 2024 were not subject to AD/CVD cash deposit or duty requirements. Imports of CSPV cells and modules from the four Southeast Asian countries covered by the circumvention determination that entered the United States on or after June 6, 2024 are subject to AD/CVD cash deposit requirements of the China AD/CVD orders and, possibly, final AD/CVD duty liability. Entries prior to June 6, 2024, back to April 1, 2022, could be subject to China AD/CVD duty liability if the proper certifications justifying non-payment of cash deposits at the time of entry were not submitted. Cash deposit rates for CSPV modules covered by the China AD/CVD orders vary significantly depending on the producer and exporter of the modules and may amount to over 250% of the entered value of the imported merchandise.
In April 2025, Commerce also issued final affirmative AD/CVD determinations covering CSPV cells and modules from Cambodia, Malaysia, Thailand and Vietnam not covered by the August 18, 2023 circumvention determinations. Combined AD/CVD cash deposit requirements associated with these new proceedings range from 15% to over 3,000%.
In December 2024, in connection with the circumvention final determination, U.S. Customs and Border Protection (“CBP”) instructed Nextracker to pay AD/CVD cash deposits totaling approximately $1 million, relating to a small number of its imports of CSPV modules from Malaysia and Thailand that entered the United States prior to June 6, 2024. These CSPV modules are Nextracker's proprietary modules that provide off-grid power to its controllers located either on each tracker row or weather stations at the project site. CBP based its instruction to make the cash deposit payment on alleged deficiencies with respect to certifications that were to accompany the imports. If CBP were to instruct the Company to make AD/CVD cash deposit payments relating to other past imports of its proprietary CSPV modules covered by the circumvention determinations, which are much larger in volume than the number of imports related to the $1 million cash deposits, the Company could be required to pay additional cash deposits, and these cash deposits could be material and may not be ultimately refunded to the Company. Nextracker is taking steps which seek to prevent or mitigate the effect of further retroactive cash deposit requirements. Management cannot reasonably estimate a range of potential loss.
v3.25.1
Income taxes
 12 Months Ended
Mar. 31, 2025
Income Tax Disclosure [Abstract]  
Income taxes Income taxes
The domestic and foreign components of income before income taxes were comprised of the following:
Fiscal year ended March 31,
202520242023
(In thousands)
Domestic$620,166$576,009$117,115
Foreign27,850 31,988 51,968 
Total$648,016 $607,997 $169,083 
The provision for income taxes consisted of the following:
Fiscal year ended March 31,
202520242023
Current:(In thousands)
Domestic$132,181$65,286$35,244
Foreign11,486 7,904 18,238 
Total143,667 73,190 53,482 
Deferred:
Domestic$(13,452)$30,496 $(8,660)
Foreign555 8,096 2,928 
Total(12,897)38,592 (5,732)
Provision for income taxes$130,770 $111,782 $47,750 
The domestic statutory income tax rate was 21% in fiscal years 2025, 2024 and 2023. The reconciliation of the income tax expense expected based on domestic statutory income tax rates to the expense (benefit) for income taxes included in the consolidated statements of operations is as follows:
Fiscal year ended March 31,
202520242023
(In thousands)
Income taxes based on domestic statutory rates$136,083$127,679$35,508
Effect of tax rate differential1,682 2,165 7,487 
Foreign-derived intangible income deduction(20,747)(9,055)(3,235)
Foreign disregarded entities6,261 5,574 11,020 
Foreign tax deduction— — (3,659)
Change in TRA Liability23 (12,416)— 
Amount allocated to non-controlling interest(1,702)(41,348)(1,671)
Stock-based compensation7,097 — — 
State15,314 7,810 4,535 
Change in state effective rate(7,494)31,279 — 
Guaranteed payment on Series A Preferred Units— — (4,500)
Other(5,747)94 2,265 
Provision for income taxes$130,770 $111,782 $47,750 
The components of deferred income taxes are as follows:
As of March 31,
20252024
Deferred tax liabilities:(In thousands)
Foreign taxes$(18,128)$(14,319)
Fixed assets(2,871)(3)
Intangible assets(10,329)— 
Others(4,047)(763)
Total deferred tax liabilities(35,375)(15,085)
Deferred tax assets:
Stock-based compensation24,125 15,629 
Net operating loss and other carryforwards23,417 5,032 
Investment in Nextracker LLC435,802 384,594 
Interest deduction on investment in Nextracker LLC28,267 25,122 
Foreign tax credits13,632 9,455 
Others9,962 5,908 
Total deferred tax assets535,205 445,740 
Valuation allowances(1,052)(1,173)
Total deferred tax assets, net of valuation allowances534,153 444,567 
Net deferred tax asset$498,778 $429,482 
The net deferred tax asset is classified as follows:
Long-term asset$498,778 $438,272 
Long-term liability— (8,790)
Total$498,778$429,482
The Company has recorded deferred tax assets of approximately $23.4 million related to tax losses and other carryforwards. These tax losses and other carryforwards will expire at various dates as follows:
Expiration dates of deferred tax assets related to operating losses and other carryforwards
Fiscal year
(In millions)
2026 - 2031$— 
2032 - 2037364 
2038 - Post139 
Indefinite22,914 
Total$23,417 
Management assesses the available positive and negative evidence to estimate whether sufficient future taxable income will be generated to permit use of the existing deferred tax assets. On the basis of this evaluation, as of March 31, 2025, no change to the valuation allowance account of $1.1 million related to a foreign jurisdiction has been recorded to recognize only the portion of the deferred tax asset that is most likely than not to be realized. The amount of the deferred tax asset considered realizable, however, could be adjusted if estimates of future taxable income during the carryforward period are reduced or increased.
As of March 31, 2025, the Company has provided for earnings in foreign subsidiaries that are not considered to be indefinitely reinvested and therefore subject to withholding taxes on $77.9 million of undistributed foreign earnings, recording a deferred tax liability of approximately $5.5 million thereon.
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
Fiscal year ended March 31,
202520242023
(In thousands)
Balance, beginning of fiscal year$349$434$440
Increase / (decrease) to tax positions in prior period(4)(85)(6)
Increase due to business combinations1,118 — — 
Lapse of statute of limitations(345)— — 
Balance, end of fiscal year$1,118$349$434
Nextracker and its subsidiaries file federal, state, and local income tax returns in multiple jurisdictions around the world. With few exceptions, Nextracker is no longer subject to income tax examinations by tax authorities for years before 2018.
The Company recognizes interest and penalties accrued related to unrecognized tax benefits within the Company’s tax expense. The Company had immaterial accrued interest and penalties as of March 31, 2025 and 2024, respectively. Based on current information, the Company does not expect any of these unrecognized tax benefits to reverse in the next twelve months.
The Company has entered into 45X Credit transfer and assignment agreements with certain suppliers which resulted in an offset of the Company's federal tax payable by $63.8 million for the year ended March 31, 2025.
Tax Receivable Agreement
On February 13, 2023, Nextracker Inc. entered into the TRA with the LLC, Yuma, Yuma Sub, TPG Rise and the TPG Affiliates. The Tax Receivable Agreement provides for the payment by Nextracker Inc. to Yuma, Yuma Sub, TPG and the TPG Affiliates (or certain permitted transferees thereof) of 85% of the tax benefits, if any, that Nextracker Inc. is deemed to realize under certain circumstances as a result of (i) its allocable share of existing tax basis in tangible and intangible assets resulting from exchanges or acquisitions of outstanding Series A Preferred Units or common units of the LLC (collectively, the “LLC Units”), including as part of the Transactions or under the Exchange Agreement, (ii) increases in tax basis resulting from exchanges or acquisitions of LLC Units and shares of Nextracker Inc.'s Class B common stock (including as part of the Transactions or under the Exchange Agreement), (iii) certain pre-existing tax attributes of certain blocker corporations affiliated with TPG Rise that each merged with a separate direct, wholly-owned subsidiary of Nextracker Inc., as part of the Transactions, and (iv) certain other tax benefits related to Nextracker Inc. entering into the Tax Receivable Agreement, including tax benefits attributable to payments under the Tax Receivable Agreement. Prior to the Spin Transactions, Yuma and Yuma Sub assigned their respective rights under the Tax Receivable Agreement to an entity that remains an affiliate of Flex.
As of March 31, 2025 and 2024, a liability of $419.4 million and $391.6 million, respectively, was recorded for the expected amount to be paid to Flex affiliate, TPG and the TPG affiliates, of which $394.9 million and $391.6 million, respectively, were included in TRA liabilities and $24.5 million and zero, respectively, were included in other current liabilities on the consolidated balance sheets. Separately, a deferred tax asset of $435.8 million and $384.6 million has been booked as of March 31, 2025 and 2024, respectively, reflecting Nextracker's outside basis difference in Nextracker LLC, which is included in deferred tax assets and other assets on the consolidated balance sheets. The difference between the liability and the deferred tax asset was recorded to additional paid-in-capital on the consolidated balance sheets.
During fiscal years 2025 and 2024, the Company incurred $0.1 million and $28.4 million of other tax related loss and income, respectively, driven by the reduction in its liability under the TRA due to an increase and decrease in its forecasted estimated state effective tax rate. These tax related income have been presented in other income, net on the consolidated statement of operations for the fiscal years ended March 31, 2025 and 2024.
Pillar Two
The Organization for Economic Co-operation and Development ("OECD"), a global policy forum, issued Pillar Two Global Anti-Base Erosion rules, which a global minimum tax of 15% would apply to multinational groups with consolidated financial statement revenue in excess of EUR 750 million. The Company has evaluated the impact of these rules and currently believes that it will not have a material impact on its financial results through 2026.
As many countries have proposed or enacted Pillar Two in jurisdictions in which the Company operates, the Company continues to monitor the relevant developments.
Tax distributions
During fiscal years 2025 and 2024, and pursuant to the LLC Agreement, Nextracker LLC made pro rata tax distributions cash payment to its non-controlling interest holders in the aggregate amount of approximately $6.1 million and $66.9 million, respectively.
v3.25.1
Segment reporting
 12 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Segment reporting Segment reporting
Operating segments are defined as components of an enterprise for which separate financial information is available that is evaluated regularly by the Chief Operating Decision Maker (“CODM”), or a decision-making group, in deciding how to allocate resources and in assessing performance. Resource allocation decisions and Nextracker’s performance are assessed by its Chief Executive Officer, identified as the CODM, using consolidated net income as the primary measure of segment profit to support business expansion, new product development and operational efficiencies.
The measure of segment assets is reported on the consolidated balance sheets as total consolidated assets.
For all periods presented, Nextracker has one operating and reportable segment. The following table presents significant segment expenses with respect to the Company’s single reportable segment for the fiscal years ended March 31, 2025, 2024 and 2023:
Fiscal year ended March 31,
202520242023
(In thousands)
Revenue$2,959,197 $2,499,841 $1,902,137 
Less:
Material cost1,799,343 1,498,699 1,184,291 
45X vendor credits(224,879)(121,405)— 
Freight, labor and other cost of sales375,908 309,498 430,873 
Selling, general and administrative expenses290,321 183,571 96,869 
Research and development79,392 42,360 21,619 
Interest expense13,096 13,820 1,833 
Other income, net(22,000)(34,699)(2,431)
Provision for income taxes130,770 111,782 47,750 
Net income and comprehensive income$517,246 $496,215 $121,333 
The following table sets forth geographic information of revenue based on the locations to which the products are shipped:
Fiscal year ended March 31,
202520242023
Revenue:
(In thousands, except percentages)
U.S.$2,031,60369%$1,702,61168%$1,298,59668%
Rest of the World927,59431%797,23032%603,54132%
Total$2,959,197$2,499,841$1,902,137
The United States is the principal country of domicile.
The following table summarizes the countries that accounted for more than 10% of revenue in fiscal years 2025, 2024 and 2023. Revenue is attributable to the countries to which the products are shipped.
Fiscal year ended March 31,
202520242023
Revenue:
(In thousands, except percentages)
U.S.$2,031,60369%$1,702,61168%$1,298,59668%
Brazil— *281,272 11%295,846 16%
* Percentage below 10%
No other country accounted for more than 10% of revenue for the fiscal years presented in the table above.
As of March 31, 2025 and 2024, property and equipment, net in the United States was $56.6 million and $9.0 million, respectively, which represents substantially all of the Company's consolidated property and equipment, net. No other countries accounted for more than 10% of property and equipment, net as of March 31, 2025 and 2024.
v3.25.1
Business acquisitions
 12 Months Ended
Mar. 31, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Business acquisitions Business acquisitions
During the fiscal year ended March 31, 2025, the Company completed three acquisitions.
On June 20, 2024, as part of an all-cash transaction, the Company acquired 100% of the interest in Ojjo, a renewable energy company specializing in foundations technology and services used in ground-mount applications for solar power generation. Additionally, on July 31, 2024, the Company closed the acquisition of the solar foundations business held by SPI through the purchase of Spinex Systems Inc. and assets held by other SPI affiliates.
The acquisitions of Ojjo and the foundations business of SPI (“Foundations acquisitions”) expand the Company’s foundations offering by accelerating its capability to offer customers a more complete integrated solution for solar trackers and foundations. The development of any utility-scale project is a long and complex process. Foundations are a key part of every utility-scale solar project installation. In addition, projects are often confronted with unique challenges related to land use considerations and exceptional variation in subsurface conditions. The Company believes there is additional value for its customers in combining tracker systems and foundations to form an integrated solution, particularly for difficult and unique soil conditions.
The aggregate cash consideration of the Foundations acquisitions was approximately $144.7 million, net of $4.4 million cash acquired. Additionally, the aggregate total purchase price of $164.7 million includes $14.0 million of deferred consideration expected to be paid within a 12-month period, a $3.4 million release of a loan obligation previously owed by the seller and a $2.6 million contingent earnout.
The contingent earnout has a maximum possible consideration of $6.0 million upon the achievement of future revenue performance targets, measured in megawatts (“MW”), over a four-year period starting October 1, 2024. The fair value of the contingent earnout liability as of the acquisition date was estimated to be $2.6 million based on a Monte-Carlo simulation model, which is a probabilistic approach used to simulate future revenue and calculate the potential contingent consideration payments for each simulated path. The inputs are unobservable in the market and therefore categorized as Level 3 inputs in the fair value measurement. At each reporting period, the Company evaluates the fair value of contingent earnout obligations and records any changes in fair value of such liabilities in other income, net in its consolidated statements of operations and comprehensive income. As of March 31, 2025, no change in the fair value of the contingent earnout liabilities was identified by management, and as such, the $2.6 million was included in other liabilities in the consolidated balance sheets.
The Company incurred approximately $5.3 million of acquisition costs which are presented as selling, general and administrative expenses on the consolidated statement of operations and comprehensive income. The preliminary allocation of the purchase price to the tangible and identifiable intangible assets acquired and liabilities assumed was based on their preliminary estimated fair values as of the date of acquisitions. The excess of the purchase price over the tangible and identifiable intangible assets acquired and liabilities assumed has been allocated to goodwill. Goodwill is not deductible for income tax purposes. The results of operations of the acquisitions were included in the Company’s consolidated financial statements beginning on the date of acquisition and were not material for all periods presented.
Additional information, which existed as of the acquisition dates, may become known to the Company during the remainder of the measurement period, a period not to exceed 12 months from the date of the relevant acquisition. Changes to amounts recorded as assets and liabilities may result in a corresponding adjustment to goodwill during the respective measurement period.
The following represents the Company’s preliminary allocation of the Foundations acquisitions total aggregate purchase price to the acquired assets and liabilities (in thousands):
Current assets$5,484 
Property and equipment23,576 
Intangible assets49,700 
Goodwill105,865 
Other assets4,633 
Total assets189,258 
Current liabilities17,467 
Other liabilities, non-current7,074 
Total purchase price, net of cash acquired$164,717 
Intangible assets are comprised of $31.7 million of developed technology to be amortized over an estimated useful life of ten years, and $18.0 million of customer relationships to be amortized over an estimated useful life of five years. The fair value assigned to the identified intangible assets was estimated based on an income approach, which provides an indication of fair value based on the present value of cash flows that the acquired business is expected to generate in the future. Key assumptions used in the valuation included forecasted revenues, cost of sales and operating expenses, royalty rate, discount rate and weighted average cost of capital. The useful life of the acquired intangible assets for amortization purposes was determined by considering the period of expected cash flows used to measure the fair values of the asset, adjusted for certain factors that may limit the useful life.
Pro-forma results of operations have not been presented because the effects were not material to the Company’s consolidated financial results for all periods presented.
Additionally, during fiscal year 2025, the Company completed an immaterial acquisition and received approximately $7.5 million of intangible assets, primarily developed technology, to be amortized over a useful life of ten years. The transaction was not material to the Company’s consolidated financial results for all periods presented.
In May 2025, the Company closed two acquisitions with an aggregate purchase price of $119 million, including cash consideration of approximately $90 million, net of cash acquired. These acquisitions expand Nextracker’s capabilities to provide our customers electrical infrastructure components that collect and transport electricity from solar panels to the power grid and certain services related to operations and maintenance. These acquisitions continue Nextracker’s strategy of adding and incorporating complementary technologies into the company’s market-leading tracker platform to accelerate solar power plant construction, increase performance, and enhance long-term reliability.
v3.25.1
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Pay vs Performance Disclosure      
Net Income (Loss) $ 509,168 $ 306,241 $ 1,143
v3.25.1
Insider Trading Arrangements
 3 Months Ended
Mar. 31, 2025
shares
Trading Arrangements, by Individual  
Material Terms of Trading Arrangement
Name and TitleActionDate
Rule 10b5-1(1)
Non- Rule 10b5-1(2)
Aggregate Number of Securities/Total Dollar Value to be PurchasedAggregate Number of Securities/Total Dollar Value to be SoldExpiration
Nicholas (Marco) Miller, COO
AdoptionMarch 13, 2025X
Up to 73,590 shares(3)
March 31, 2026
(1)Intended to satisfy the affirmative defense conditions of Rule 10b5-1(c).
(2)Not intended to satisfy the affirmative defense conditions of Rule 10b5-1(c).
(3)Up to 50% of the net shares that vest between June 12, 2025 and March 31, 2026 upon settlement of PSUs and RSUs held by the reporting person will be sold.
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
Nicholas (Marco) Miller [Member]  
Trading Arrangements, by Individual  
Name Nicholas (Marco) Miller
Title COO
Rule 10b5-1 Arrangement Adopted true
Adoption Date March 13, 2025
Expiration Date March 31, 2026
Arrangement Duration 383 days
Aggregate Available 73,590
v3.25.1
Insider Trading Policies and Procedures
 12 Months Ended
Mar. 31, 2025
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.1
Cybersecurity Risk Management and Strategy Disclosure
 12 Months Ended
Mar. 31, 2025
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]
Nextracker places emphasis on addressing cybersecurity threats and effectively managing associated risks. Our cybersecurity program is designed to identify, assess, and proactively manage material risks.
Our approach to cybersecurity is not a one-time effort but an ongoing process. We engage in monitoring, risk assessments, and robust security measures designed to ensure the confidentiality, integrity, and availability of our information systems, including critical computer networks, hosted services, communication systems, hardware, and software and to protect critical data, including our employees’ and customers’ data, intellectual property, confidential and proprietary data, and strategic competitive information. We address cybersecurity challenges and enhance our overall risk management efforts by adopting and working to integrate recognized best practices, standards, and controls such as the CIS 18 Critical Security Controls and the National Institute of Standards and Technology Cybersecurity Framework (NIST CSF).
Our cybersecurity program includes some key aspects such as (i) a Cybersecurity Leader who oversees our day-to-day program and who is a long-standing member of both the ISC2 and ISACA organizations, which specialize in cybersecurity and governance, (ii) a cybersecurity council comprised of a cross-section of management with oversight over our program, (iii) incident response, and (iv) ongoing security awareness training.
At Nextracker, we maintain a practical approach to cybersecurity. Our cybersecurity risk management program (an integral part of our overall Enterprise Risk Management Program) is designed to incorporate established best practices and industry standards, drawing guidance from both CIS 18 and NIST CSF. Within our program, we conduct internal and external security-based activities, including reviews and assessments of our third-party service providers and vendors.
Some of our activities include:
1.Information Security Assessments: We collaborate with internal and external partners to evaluate our security.
2.Vulnerability Scanning and Penetration Testing: Engaging third-party service providers to assess external and internal vulnerabilities and potential threats.
3.Cyber Risk Register Reviews: Regularly review our internal risk register to stay vigilant against potential and identified risks.
4.Risk Prioritization: We prioritize and address risks through our dedicated cybersecurity risk management program and the cybersecurity council.
We monitor the threat environment for potential risks, employing various methods, including automated detection tools, environment scans, and investigations of potential threats and reports. We also use threat intelligence feeds and vulnerability databases to monitor our systems, and have incident response processes designed to ensure swift action.
As of the date of this report, we are not aware of any cybersecurity threats or incidents that have materially affected or are reasonably expected to materially affect our business. However, we acknowledge the evolving nature of cybersecurity threats and remain committed to enhancing our protective measures as needed.
For more detailed information about our company’s specific cybersecurity risks, please refer to the risk factor titled “Cybersecurity or other data security incidents could harm our business, expose us to liability and cause reputational damage” in Item 1A. Risk Factors of this Annual Report on Form 10-K.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block]
Nextracker places emphasis on addressing cybersecurity threats and effectively managing associated risks. Our cybersecurity program is designed to identify, assess, and proactively manage material risks.
Our approach to cybersecurity is not a one-time effort but an ongoing process. We engage in monitoring, risk assessments, and robust security measures designed to ensure the confidentiality, integrity, and availability of our information systems, including critical computer networks, hosted services, communication systems, hardware, and software and to protect critical data, including our employees’ and customers’ data, intellectual property, confidential and proprietary data, and strategic competitive information. We address cybersecurity challenges and enhance our overall risk management efforts by adopting and working to integrate recognized best practices, standards, and controls such as the CIS 18 Critical Security Controls and the National Institute of Standards and Technology Cybersecurity Framework (NIST CSF).
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block] Our Board of Directors has oversight responsibility for our overall enterprise risk management, and has delegated cybersecurity risk management oversight to the Audit Committee of our Board of Directors. The Audit Committee of our Board of Directors is responsible for reviewing internal risk assessments with respect to cybersecurity, including assessments of the overall threat landscape and related strategies and investments.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] Management is responsible for day-to-day risk management activities, including identifying and assessing cybersecurity risks, establishing processes to ensure that potential cybersecurity risk exposures are monitored, implementing appropriate mitigation or remediation measures and maintaining cybersecurity programs.
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block]
Our Board of Directors has oversight responsibility for our overall enterprise risk management, and has delegated cybersecurity risk management oversight to the Audit Committee of our Board of Directors. The Audit Committee of our Board of Directors is responsible for reviewing internal risk assessments with respect to cybersecurity, including assessments of the overall threat landscape and related strategies and investments.
Management is responsible for day-to-day risk management activities, including identifying and assessing cybersecurity risks, establishing processes to ensure that potential cybersecurity risk exposures are monitored, implementing appropriate mitigation or remediation measures and maintaining cybersecurity programs. Our cybersecurity programs are under the direction of our Cybersecurity Leader. Our Cybersecurity Leader reports regularly to the cybersecurity council, management and the Audit Committee concerning our significant cybersecurity threats and risks, the processes we have implemented to address them, and various reports, summaries, or presentations on cybersecurity threats, risks, and mitigation. The Audit Committee also reports to our Board of Directors on cybersecurity matters as needed.
Cybersecurity Risk Role of Management [Text Block]
Management is responsible for day-to-day risk management activities, including identifying and assessing cybersecurity risks, establishing processes to ensure that potential cybersecurity risk exposures are monitored, implementing appropriate mitigation or remediation measures and maintaining cybersecurity programs. Our cybersecurity programs are under the direction of our Cybersecurity Leader. Our Cybersecurity Leader reports regularly to the cybersecurity council, management and the Audit Committee concerning our significant cybersecurity threats and risks, the processes we have implemented to address them, and various reports, summaries, or presentations on cybersecurity threats, risks, and mitigation. The Audit Committee also reports to our Board of Directors on cybersecurity matters as needed.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] Management is responsible for day-to-day risk management activities, including identifying and assessing cybersecurity risks, establishing processes to ensure that potential cybersecurity risk exposures are monitored, implementing appropriate mitigation or remediation measures and maintaining cybersecurity programs. Our cybersecurity programs are under the direction of our Cybersecurity Leader.
Cybersecurity Risk Management Expertise of Management Responsible [Text Block]
We monitor the threat environment for potential risks, employing various methods, including automated detection tools, environment scans, and investigations of potential threats and reports. We also use threat intelligence feeds and vulnerability databases to monitor our systems, and have incident response processes designed to ensure swift action.
As of the date of this report, we are not aware of any cybersecurity threats or incidents that have materially affected or are reasonably expected to materially affect our business. However, we acknowledge the evolving nature of cybersecurity threats and remain committed to enhancing our protective measures as needed.
For more detailed information about our company’s specific cybersecurity risks, please refer to the risk factor titled “Cybersecurity or other data security incidents could harm our business, expose us to liability and cause reputational damage” in Item 1A. Risk Factors of this Annual Report on Form 10-K.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block]
Our Board of Directors has oversight responsibility for our overall enterprise risk management, and has delegated cybersecurity risk management oversight to the Audit Committee of our Board of Directors. The Audit Committee of our Board of Directors is responsible for reviewing internal risk assessments with respect to cybersecurity, including assessments of the overall threat landscape and related strategies and investments.
Management is responsible for day-to-day risk management activities, including identifying and assessing cybersecurity risks, establishing processes to ensure that potential cybersecurity risk exposures are monitored, implementing appropriate mitigation or remediation measures and maintaining cybersecurity programs. Our cybersecurity programs are under the direction of our Cybersecurity Leader. Our Cybersecurity Leader reports regularly to the cybersecurity council, management and the Audit Committee concerning our significant cybersecurity threats and risks, the processes we have implemented to address them, and various reports, summaries, or presentations on cybersecurity threats, risks, and mitigation. The Audit Committee also reports to our Board of Directors on cybersecurity matters as needed.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.1
Summary of accounting policies (Policies)
 12 Months Ended
Mar. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Variable interest entities ("VIE") and consolidation
Variable interest entities (“VIE”) and consolidation
The Company’s sole material asset is its member’s interest in Nextracker LLC. In accordance with the Nextracker LLC Operating Agreement, the Company was named the managing member of Nextracker LLC. As a result, the Company has all management powers over the business and affairs of Nextracker LLC and to conduct, direct and exercise full control over the activities of Nextracker LLC. The Company has concluded that Nextracker LLC is a VIE. Due to the Company’s power to control the activities most directly affecting the results of Nextracker LLC, the Company is considered the primary beneficiary of the VIE. Accordingly, the Company consolidates the financial results of Nextracker LLC and its subsidiaries. On January 2,
2024, Flex closed the spin-off of all its remaining interests in Nextracker LLC common units held by Yuma, Yuma Subsidiary, Inc., a Delaware corporation and wholly-owned subsidiary of Yuma (“Yuma Sub”), to Flex shareholders. Nextracker LLC common units held by Yuma, Yuma Sub, TPG Rise and the following affiliates of TPG: TPG Rise Climate Flash Cl BDH, L.P., TPG Rise Climate BDH, L.P. and The Rise Fund II BDH, L.P. (collectively, the “TPG Affiliates”) were presented on the consolidated balance sheets as temporary equity under the caption “Redeemable non-controlling interests,” up until January 2, 2024 as redemption was outside of the control of the Company. Post January 2, 2024, redemption is no longer outside the control of the Company subsequent to the spin-off from Flex and, therefore, the non-controlling interests owned by the TPG Affiliates were presented on the consolidated balance sheets as permanent equity under the caption “non-controlling interests.” As of March 31, 2025, the non-controlling interests previously presented on the consolidated balance sheets are no longer presented since TPG exchanged all its remaining Nextracker LLC common units, together with a corresponding number of shares of Class B common stock of the Company, for shares of Class A common stock of the Company. The exchange of all of TPG’s remaining Nextracker LLC common units results in the Company owning 100% of Nextracker LLC through its wholly owned subsidiaries. It also triggered a reconsideration event and the Company reevaluated if Nextracker LLC still met the definition of a VIE. As of March 31, 2025, the Company determined that Nextracker LLC no longer meets the definition of a VIE as the Company’s voting rights in Nextracker LLC are no longer disproportionate with its equity interests.
Basis of presentation
Basis of presentation
The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and pursuant to the rules and regulations of the SEC for reporting financial information. In the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary to present the Company's financial statements fairly have been included. All intercompany transactions and accounts within Nextracker have been eliminated.
As a result of the spin-off, Flex no longer directly or indirectly holds a financial interest in the Company. As of March 31, 2025, the non-controlling interests previously presented on the consolidated balance sheets are no longer presented.
Certain prior period presentations and disclosures were reclassified to ensure comparability with the current period presentation. Specifically, amounts owed to us by vendors as part of contractually agreed upon sharing of the economic value of such advanced manufacturing production credits previously presented as part of other current assets are now being presented as section 45X credit receivable on the consolidated balance sheets. The Company also recast fiscal year 2024 consolidated statements of cash flows reflecting similar reclassifications between changes in section 45X credit receivable and other current assets to align with the current year presentation. Additionally, deferred tax assets, current portion of long-term debt, and Tax Receivable Agreement (the “Tax Receivable Agreement” or “TRA”) liability and long-term deferred revenue, were reclassified to separate line items from other assets, other current liabilities and other liabilities, respectively, on the consolidated balance sheet as of March 31, 2024. Lastly, the deferred tax asset related to the interest deduction on investment in Nextracker LLC in Note 13, previously presented in the investment in Nextracker LLC deferred tax asset, is now presented as a separate line item.
Translation of foreign currencies
Translation of foreign currencies
The reporting currency of the Company is the United States dollar (“USD”). The functional currency of the Company and its subsidiaries is primarily the USD. Transaction gains and losses that arise from exchange rate fluctuations on transactions denominated in a currency other than the functional currency are included in other income, net in the accompanying consolidated statements of operations and comprehensive income. The Company recognized net foreign currency exchange losses of $1.4 million and $2.5 million, respectively, during fiscal years 2025 and 2024, due to unfavorable exchange rate fluctuations in certain currencies. The Company recognized immaterial net foreign currency exchange gains during fiscal year 2023.
Use of estimates
Use of estimates
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from those estimates. Estimates are used in accounting for, among other things: impairment of goodwill, impairment of long-lived assets, allowance for credit losses, provision for excess or obsolete inventories, valuation of deferred tax assets, warranty reserves, contingencies, operation-related accruals, fair values of awards granted under stock-based
compensation plans and fair values of assets obtained and liabilities assumed in business combinations. Due to geopolitical conflicts (including the Russian invasion of Ukraine and the Israel-Hamas conflict), there has been and will continue to be uncertainty and disruption in the global economy and financial markets. These estimates may change, as new events occur, and additional information is obtained. Actual results may differ from previously estimated amounts, and such differences may be material to the consolidated financial statements. Estimates and assumptions are reviewed periodically, and the effects of revisions are reflected in the period they occur. Management believes that these estimates and assumptions provide a reasonable basis for the fair presentation of the consolidated financial statements.
Accounting for business acquisitions
Accounting for business acquisitions
From time to time, the Company pursues business acquisitions. The fair value of the net assets acquired and the results of the acquired businesses are included in the Company’s consolidated financial statements from the acquisition dates forward. The Company is required to make estimates and assumptions that affect the reported amounts of assets and liabilities and results of operations during the reporting period. Estimates are used in accounting for, among other things, the fair value of acquired net operating assets, property and equipment, intangible assets, contingent earnout, useful lives of plant and equipment and amortizable lives for acquired intangible assets. Any excess of the purchase consideration over the fair value of the identified assets and liabilities acquired is recognized as goodwill.
The Company estimates the preliminary fair value of acquired assets and liabilities as of the date of acquisition based on information available at that time. The valuation of these tangible and identifiable intangible assets and liabilities is subject to further review from management and may change between the preliminary allocation and end of the purchase price allocation period. Any changes in these estimates may have a material effect on the Company’s consolidated financial position and results of operations.
Revenue recognition
Revenue recognition
The Company accounts for revenue in accordance with Accounting Standards Codification (“ASC”) 606, Revenue From Contracts With Customers (“ASC 606”) for all periods presented. In applying ASC 606, the Company recognizes revenue from the sale of solar tracker systems, parts, extended warranties on solar tracker systems components and energy yield management systems along with associated maintenance and support. In determining the appropriate amount of revenue to recognize, the Company applies the following steps: (i) identify the contracts with the customers; (ii) identify performance obligations in the contracts; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations per the contracts; and (v) recognize revenue when (or as) Nextracker satisfies a performance obligation. In assessing the recognition of revenue, the Company evaluates whether two or more contracts should be combined and accounted for as one contract and if the combined or single contract should be accounted for as multiple performance obligations. Further, the Company assesses whether control of the product or services promised under the contract is transferred to the customer at a point in time or over time.
The Company’s contracts for specific solar tracker system projects with customers are predominantly accounted for as one performance obligation because the customer is purchasing an integrated service, which includes Nextracker’s overall management of the solar tracker system project and oversight through the installation process to ensure a functioning system is commissioned at the customer’s location. The Company’s performance creates and enhances an asset that the customer controls as the Company performs under the contract, which is principally as tracker system components are delivered to the designated project site. Although the Company sources the component parts from third party manufacturers, it obtains control and receives title of such parts before transferring them to the customer because Nextracker is primarily responsible for fulfillment to its customer. The Company’s engineering services and professional services are interdependent with the component parts whereby the parts form an input into a combined output for which it is the principal, and Nextracker could redirect the parts before they are transferred to the customer if needed. The customer owns the work-in-process over the course of the project and Nextracker’s performance enhances a customer-controlled asset, resulting in the recognition of the performance obligation over time. The measure of progress is estimated using an input method based on costs incurred to date on the project as a percentage of total expected costs to be incurred. The costs of materials and hardware components are recognized as control is transferred to the customer, which is typically upon delivery to the customer site. As such, the cost-based input measure is considered the best measure of progress in depicting the Company’s performance in completing a tracker system.
Contracts with customers that result in multiple performance obligations include contracts for the sale of components and solar tracker system project contracts with an extended warranty and/or which include the sale of energy yield management systems.
For contracts related to sale of components, Nextracker’s obligation to the customer is to deliver components that are used by the customer to create a tracker system and does not include engineering or other professional services or the obligation to provide such services in the future. Each component is a distinct performance obligation, and often the components are delivered in batches at different points in time. Nextracker estimates the standalone selling price (“SSP”) of each performance obligation based on a cost plus margin approach. Revenue allocated to a component is recognized at the point in time that control of the component transfers to the customer.
At times, a customer will purchase a service-type warranty with a tracker system project. Nextracker uses a cost plus margin methodology to determine the SSP for both the tracker system project and the extended warranty. The revenue allocated to each performance obligation is recognized over time based on the period over which control transfers. The Company recognizes revenue allocated to the extended warranty on a straight-line basis over the contractual service period, which is generally 10 to 15 years. This period starts once the standard workmanship warranty expires, which is generally 2 to 10 years from the date control of the underlying tracker system components is transferred to the customer. To date, revenues recognized related to extended warranty were not material.
Nextracker generates revenues from sales of its TrueCapture and NX Navigator offerings, which are often sold separately from the tracker system. These systems are generally sold with maintenance services, which include ongoing security updates, upgrades, bug fixes and support. The energy yield management and the maintenance services are separate performance obligations. Nextracker estimates the SSP of the energy yield management using an adjusted market approach and estimates the SSP of the maintenance service using a cost plus margin approach. Revenue allocated to the energy yield management is recognized at a point in time upon transfer of control of the energy yield management, and revenue allocated to the maintenance service is generally recognized over time on a straight-line basis during the maintenance term. Revenues related to sales of energy yield management were $55.3 million for the fiscal year ended March 31, 2025 and not material for the fiscal years ended March 31, 2024 and 2023.
Contract estimates
Accounting for contracts for which revenue is recognized over time requires Nextracker to estimate the expected margin that will be earned on the project. These estimates include assumptions on the cost and availability of materials including variable freight costs. Nextracker reviews and updates its contract-related estimates each reporting period and recognizes changes in estimates on contracts under the cumulative catch-up method. Under this method, the impact of the adjustment on profit recorded to date is recognized in the period the adjustment is identified. Revenue and profit in future periods of contract performance is recognized using the adjusted estimate. If at any time the estimate of contract profitability indicates an anticipated loss on the contract, Nextracker recognizes the total loss in the period it is identified.
Contract balances
The timing of revenue recognition, billings and cash collections results in contract assets and contract liabilities (deferred revenue) on the consolidated balance sheets. Nextracker’s contract amounts are billed as work progresses in accordance with agreed-upon contractual terms, which generally coincide with the shipment of one or more phases of the project. When billing occurs subsequent to revenue recognition, a contract asset results. Contract assets of $405.9 million and $397.1 million as of March 31, 2025 and March 31, 2024, respectively, are presented in the consolidated balance sheets, of which $140.4 million and $141.4 million, respectively, will be invoiced at the end of the projects as they represent funds withheld until the products are installed by a third party, arranged by the customer, and the project is declared operational. The remaining unbilled receivables will be invoiced throughout the project based on a set billing schedule such as milestones reached or completed rows delivered.
During the fiscal years ended March 31, 2025 and 2024, Nextracker converted $203.3 million and $152.3 million deferred revenue to revenue, respectively, which represented 69% and 72%, respectively, of the beginning period balance of deferred revenue.
Remaining performance obligations
As of March 31, 2025, Nextracker had $343.8 million of the transaction price allocated to the remaining performance obligations. The Company expects to recognize revenue on approximately 72% of these performance obligations in the next 12 months. The remaining long-term unperformed obligation primarily relates to extended warranty and deposits collected in advance on certain tracker projects.
Practical expedients and exemptions
Nextracker has elected to adopt certain practical expedients and exemptions as allowed under ASC 606, such as (i) recording sales commissions as incurred because the amortization period is less than one year, (ii) not adjusting for the effects of significant financing components when the contract term is less than one year, (iii) excluding collected sales tax amounts from the calculation of revenue and (iv) accounting for the costs of shipping and handling activities that are incurred after the customer obtains control of the product as fulfillment costs rather than a separate service provided to the customer for which consideration would need to be allocated.
Inflation Reduction Act of 2022 (“IRA”) 45X Vendor Rebates and Assignments
On August 16, 2022, the IRA was enacted into law, which includes a new corporate minimum tax, a stock repurchase excise tax, numerous green energy credits, other tax provisions and significantly increased enforcement resources. The Section 45X of the Internal Revenue Code (“IRC”) of 1986, as amended Advanced Manufacturing Production Credit (“45X Credit”), which was established as part of the IRA, is a per-unit tax credit earned over time for each clean energy component domestically produced and sold by a manufacturer. The Company has executed agreements with certain suppliers to grow its U.S. manufacturing footprint. These suppliers produce 45X Credit-eligible parts, including torque tubes and structural fasteners, that will then be incorporated into a solar tracker. The 45X Credit was eligible for domestic parts manufactured after January 1, 2023. The Company has contractually agreed with these suppliers to either share a portion of the economic value of the credit related to Nextracker's purchases in the form of a vendor rebate or assign their credit directly to the Company (“an assignment”) pursuant to Section 6418 of the IRC. The Company accounts for these 45X Credits shared and assigned to the Company as a reduction of the purchase price of the parts acquired from the vendor and therefore a reduction of inventory until the control of the part is transferred to the customer, at which point the Company recognizes such amounts as a reduction of cost of sales on the consolidated statements of operations and comprehensive income. 45X Credits assigned to Nextracker are also treated as a reduction to the Company’s federal tax payable as further discussed in Note 13.
During the fourth quarter of fiscal year 2024, the Company determined the amount and collectability of the 45X Credit vendor rebates it expects to receive in accordance with the vendor contracts and recognized a cumulative reduction to cost of sales of $121.4 million related to 45X Credit vendor rebates earned on production of eligible components shipped to projects starting on January 1, 2023 through March 31, 2024.
Fair value
Fair value
Fair value is defined as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Company considers the principal or most advantageous market in which it would transact and considers assumptions that market participants would use when pricing the asset or liability. The accounting guidance for fair value establishes a fair value hierarchy based on the level of independent objective evidence surrounding the inputs used to measure fair value. A financial instrument's categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is as follows:
Level 1 - Applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities.
Level 2 - Applies to assets or liabilities for which there are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, such as: quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets) such as cash and cash equivalents and money market funds; or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data.
Level 3 - Applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities.
The fair values of Nextracker’s cash and cash equivalents, accounts receivable, and accounts payable approximate their carrying values due to their short maturities.
Concentration of credit risk
Concentration of credit risk
Financial instruments which potentially subject the Company to concentrations of credit risk are primarily accounts receivable, derivative instruments, and cash and cash equivalents.
Customer credit risk
Nextracker has an established customer credit policy, through which it manages customer credit exposures through credit evaluations, credit limit setting, monitoring and enforcement of credit limits for new and existing customers. Nextracker performs ongoing credit evaluations of its customers’ financial condition and makes provisions for credit losses based on the outcome of those credit evaluations. Nextracker evaluates the collectability of its accounts receivable based on specific customer circumstances, current economic trends, historical experience with collections and the age of past due receivables. To the extent Nextracker identifies exposures as a result of credit or customer evaluations, Nextracker also reviews other customer related exposures, including but not limited to contract assets, inventory and related contractual obligations.
The following table summarizes the activity in Nextracker’s allowance for credit losses during fiscal years 2025, 2024 and 2023:
Balance at
beginning
of year		Charges/
(recoveries) to
costs and
expenses (1)		Deductions/
Write-Offs		Balance at
end of
year
Allowance for credit losses:(In thousands)
Year ended March 31, 2023$3,574 $(1,054)$(752)$1,768 
Year ended March 31, 20241,768 2,197 (93)3,872 
Year ended March 31, 20253,872 (2,399)(1)1,472 
(1)Charges and recoveries incurred during fiscal years 2025, 2024 and 2023 are primarily for costs and expenses or bad debt and recoveries related to various distressed customers.
The following table sets forth the revenue from customers that individually accounted for greater than 10% of the Company's revenue and the respective percentages during the periods included below:
Fiscal year ended March 31,
202520242023
(In millions, except percentages)
Customer A
*
*
*
*$331.017.4%
Customer G
*
*
$426.117.0%
*
*
* Percentage below 10%
The following table sets forth the percentage of accounts receivable, net and contract assets, from the Company's largest customers that exceeded 10% of its total accounts receivable, net and contract assets as of the periods included below:
As of March 31,
202520242023
Customer A*12.4%15.2%
Customer F**14.0%
Customer G*15.5%*
Flex
11.5%**
* Percentage below 10%
Accounts receivable, net
Accounts receivable, net
Nextracker’s accounts receivable are due primarily from solar contractors across the United States and internationally. Credit is extended in the normal course of business based on evaluation of a customer’s financial condition and, generally, collateral is
not required. Trade receivables consist of uncollateralized customer obligations due under normal trade terms requiring payment within 30 to 90 days of the invoice date. Management regularly reviews outstanding accounts receivable and provides for estimated losses through an allowance for credit losses. In evaluating the level of the allowance for credit losses, Nextracker makes judgments regarding the customers’ ability to make required payments, economic events and other factors. As the financial conditions of Nextracker’s customers change, circumstances develop or additional information becomes available, adjustments to the allowance for credit losses may be required. When deemed uncollectible, the receivable is charged against the allowance.
Product warranty
Product warranty
Nextracker offers an assurance type warranty for its products against defects in design, materials and workmanship for a period ranging from two to ten years, depending on the component. For these assurance type warranties, a provision for estimated future costs related to warranty expense is recorded when they are probable and reasonably estimable, which is typically when products are delivered. The estimated warranty liability is based on the Company's warranty model which relies on historical warranty claim information and assumptions based on the nature, frequency and average cost of claims for each product line by project. When little or no experience exists, the estimate is based on comparable product lines and/or estimated potential failure rates. These estimates are based on data from Nextracker specific projects. Estimates related to the outstanding warranty liability are re-evaluated on an ongoing basis using best-available information and revisions are made as necessary.
The following table summarizes the activity related to the estimated accrued warranty reserve for the fiscal years ended March 31, 2025 and 2024:
As of March 31,
20252024
(In thousands)
Beginning balance$12,511$22,591
Provision (release) for warranties issued11,613(4,459)
Payments(6,143)(5,621)
Ending balance$17,981$12,511
Inventories
Inventories
Inventories are stated at the lower of cost, determined on a weighted average basis, or net realizable value. Nextracker’s inventory primarily consists of finished goods to be used and to be sold to customers, including components procured to complete the tracker system projects.
Property and equipment, net
Property and equipment, net
Property and equipment are stated at cost, or acquisition-date fair value for property and equipment acquired in business combinations, less accumulated depreciation and amortization. Depreciation and amortization are recognized on a straight-line basis over the estimated useful lives of the related assets, with the exception of building leasehold improvements, which are depreciated over the term of the lease, if shorter. Repairs and maintenance costs are expensed as incurred. Property and equipment is comprised of the following:
Depreciable life
(In years)		As of March 31,
20252024
(In thousands)
Machinery and equipment
3 - 8
$37,929 $10,623 
Leasehold improvements
Up to 5
10,854 5,168 
Furniture, fixtures, computer equipment and software
3 - 7
13,515 11,783 
Construction-in-progress—18,942 3,051 
81,240 30,625 
Accumulated depreciation(20,845)(21,389)
Property and equipment, net$60,395 $9,236 
Total depreciation expense associated with property and equipment was approximately $7.9 million, $4.1 million, and $3.4 million in fiscal years 2025, 2024 and 2023, respectively.
Nextracker reviews property and equipment for impairment at least annually and whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of property and equipment is determined by comparing the carrying amount to the lowest level of identifiable projected undiscounted cash flows the property and equipment are expected to generate. An impairment loss is recognized when the carrying amount of property and equipment exceeds the fair value. Management determined there was no impairment for the fiscal years ended March 31, 2025, 2024 and 2023.
Deferred income taxes
Deferred income taxes
Nextracker accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the future tax consequences attributable to temporary differences between the financial statement carrying amounts and tax basis of assets and liabilities. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be realized or settled. Nextracker recognizes a valuation allowance if it is more likely than not that some portion or all of the deferred tax assets will not be realized.
Nextracker accounts for uncertain income tax positions by recognizing the impact of a tax position in its consolidated financial statements when Nextracker believes it is more likely than not that the tax position would not be sustained upon examination by the appropriate tax authorities based on the technical merits of the position.
Income taxes
Income taxes
The Company operates in numerous states and countries and must allocate its income, expenses, and earnings under the various laws and regulations of each of these taxing jurisdictions. Accordingly, the Company's provision for income taxes represents its total estimate of the liability for income taxes that the Company has incurred in doing business each year in the jurisdictions in which Nextracker operates. Annually, the Company files tax returns that represent its filing positions with each jurisdiction and settles its tax return liabilities. Each jurisdiction has the right to audit those tax returns and may take different positions with respect to income and expense allocations and taxable earnings determinations. Because the determination of the Company's annual income tax provision is subject to judgments and estimates, actual results may vary from those recorded in its financial statements. The Company recognizes additions to and reductions in income tax expense during a reporting period that pertains to prior period provisions as its estimated liabilities are revised and its actual tax returns and tax audits are completed.
Goodwill and other intangibles assets
Goodwill and other intangibles assets
In accordance with accounting standards related to business combinations, goodwill is not amortized; however, certain finite-lived identifiable intangible assets, primarily customer relationships and acquired developed technology, are amortized over their estimated useful lives. Nextracker reviews identified intangible assets and goodwill for impairment whenever events or changes in circumstances indicate that the related carrying amounts may not be recoverable. Nextracker also tests goodwill at
least annually for impairment at the beginning of its fourth fiscal quarter. Refer to Note 5 for additional information about goodwill and other intangible assets.
Other current assets
Other current assets
Other current assets include short-term deposits and advances of $50.2 million and $104.7 million as of March 31, 2025 and 2024, respectively, primarily related to advance payments to certain vendors for procurement of inventory.
Deferred tax assets
Deferred tax assets
Deferred tax assets of $498.8 million and $438.3 million as of March 31, 2025 and 2024, respectively, primarily related to the Company's investment in Nextracker LLC as further described in Note 13.
Accrued expenses
Accrued expenses
Accrued expenses include accruals primarily for freight and tariffs of $42.9 million and $43.2 million as of March 31, 2025 and 2024, respectively. In addition, accrued expenses also includes $54.1 million and $39.2 million accrued payroll as of March 31, 2025 and 2024, respectively.
Tax Receivable Agreement and liability
Tax Receivable Agreement and liability
TRA liability related to the amount expected to be paid to Flex, TPG and the TPG Affiliates pursuant to the Tax Receivable Agreement, were $419.4 million and $391.6 million, as of March 31, 2025 and 2024, respectively, of which $394.9 million and $391.6 million, respectively, were included in TRA liabilities and $24.5 million and zero, respectively, were included in other current liabilities on the consolidated balance sheets, representing 85% of the estimated future tax benefits subject to the TRA. Any U.S. federal, state and local income tax or franchise tax that the Company realizes or is deemed to realize (determined by using certain assumptions) as a result of favorable tax attributes, will be available to the Company as a result of certain transactions contemplated in connection with Nextracker's IPO, exchanges of Class A common stock and payments made under the TRA. The actual amount and timing of any payments under these agreements, will vary depending upon a number of factors, including, among others, the amount and timing of the taxable income the Company generates in the future and the tax rate then applicable, and the portion of its payments under the tax receivable agreements constituting imputed interest. Estimating future taxable income is inherently uncertain and requires judgment. In projecting future taxable income, the Company considers its historical results as well as assumptions related to future forecasts for its various businesses by location. The impact of any changes in the total projected obligations recorded under the tax receivable agreements as a result of actual changes in the geographic mix of the Company's earnings, changes in tax legislation and tax rates or other factors that may impact its actual tax savings realized will be reflected in income before taxes in the period in which the change occurs. During fiscal year 2025, a payment of $15.5 million was made to Flex, TPG and the TPG Affiliates, which is presented as a financing activity on the consolidated statement of cash flows.
Stock-based compensation
Stock-based compensation
Stock-based compensation is accounted for in accordance with ASC 718-10, Compensation-Stock Compensation. The Company records stock-based compensation costs related to its incentive awards. Stock-based compensation cost is measured at the grant date based on the fair value of the award. Compensation cost for time-based awards is recognized on a straight-line basis over the respective vesting period. Compensation cost for performance-based awards with a performance condition is reassessed each period and recognized based upon the probability that the performance conditions will be achieved. The performance-based awards with a performance condition are expensed when the achievement of performance conditions are probable. The total expense recognized over the vesting period will only be for those awards that ultimately vest and forfeitures are recorded when they occur. Refer to Note 7 for further discussion.
Leases
Leases
Nextracker is a lessee with several non-cancellable operating leases, primarily for warehouses, buildings, and other assets such as vehicles and equipment. The Company determines if an arrangement is a lease at contract inception. A contract is a lease or contains a lease when (i) there is an identified asset, and (ii) the customer has the right to control the use of the identified asset. The Company recognizes a right-of-use (“ROU”) asset and a lease liability at the lease commencement date for Nextracker’s operating leases. For operating leases, the lease liability is initially measured at the present value of the unpaid lease payments at the lease commencement date. The Company has elected the short-term lease recognition and measurement exemption for all classes of assets, which allows Nextracker to not recognize ROU assets and lease liabilities for leases with a lease term of 12 months or less and with no purchase option Nextracker is reasonably certain of exercising. Nextracker has also elected the practical expedient to account for the lease and non-lease components as a single lease component, for all classes of underlying assets. Therefore, the lease payments used to measure the lease liability include all of the fixed considerations in the contract. Lease payments included in the measurement of the lease liability comprise the following: fixed payments (including in-substance fixed payments) and variable payments that depend on an index or rate (initially measured using the index or rate at the lease commencement date). As Nextracker cannot determine the interest rate implicit in the lease for its leases, the Company uses an estimated incremental borrowing rate as of the commencement date in determining the present value of lease payments. The estimated incremental borrowing rate is the rate of interest the Company would have to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms. The lease term for all of Nextracker’s leases includes the non-cancellable period of the lease plus any additional periods covered by either an option to extend (or not to terminate) the lease that Nextracker is reasonably certain to exercise, or an option to extend (or not to terminate) the lease controlled by the lessor.
As of March 31, 2025 and 2024, current operating lease liabilities were $8.5 million and $3.9 million, respectively, which are included in other current liabilities on the consolidated balance sheets and long-term lease liabilities were $25.6 million and $13.6 million, respectively, which are included in other liabilities on the consolidated balance sheets. ROU assets are included in other assets on the consolidated balance sheets. Refer to Note 3 for additional information about Leases.
Recently issued accounting pronouncement and Recently adopted accounting pronouncement
Recently issued accounting pronouncement
Accounting Standards Update ("ASU") 2024-03 and 2025-01, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures: In November 2024, the Financial Accounting Standards Board ("FASB") issued a new accounting standard requiring a public business entity to provide disaggregated disclosures, in the notes to the financial statements, of certain categories of expenses that are included in expense line items on the face of the income statement. The annual reporting requirements of the new standard are effective for the Company beginning in fiscal year 2028 and interim reporting requirements are effective beginning in the first quarter of fiscal year 2029, with early adoption permitted. The Company expects to adopt the new guidance in fiscal year 2028 with an immaterial impact on its consolidated financial statements.
ASU 2023-09, Improvements to income Tax Disclosures: In December 2023, the FASB issued a new accounting standard to expand the disclosure requirements for income taxes, specifically related to rate reconciliation and income taxes paid. The new standard is effective to the Company beginning in fiscal year 2026 with early adoption permitted. The Company expects to adopt the new guidance in fiscal year 2026 with an immaterial impact on its consolidated financial statements.
Recently adopted accounting pronouncement
ASU 2023-07, Segment Reporting—Improvement to Reportable Segment Disclosures: In November 2023, the FASB issued a new accounting standard which updates reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance. The annual reporting requirements of the new standard are effective for the Company beginning in fiscal year 2025 and interim reporting requirements beginning in the first quarter of fiscal year 2026. The Company adopted the new guidance in fiscal year 2025 with no material impact on its financial position, results of operations or cash flows, but the adoption did result in new and expanded segment disclosures. The Company has included such disclosures in Note 14.
v3.25.1
Summary of accounting policies (Tables)
 12 Months Ended
Mar. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Summary of Allowance for Doubtful Accounts
The following table summarizes the activity in Nextracker’s allowance for credit losses during fiscal years 2025, 2024 and 2023:
Balance at
beginning
of year		Charges/
(recoveries) to
costs and
expenses (1)		Deductions/
Write-Offs		Balance at
end of
year
Allowance for credit losses:(In thousands)
Year ended March 31, 2023$3,574 $(1,054)$(752)$1,768 
Year ended March 31, 20241,768 2,197 (93)3,872 
Year ended March 31, 20253,872 (2,399)(1)1,472 
(1)Charges and recoveries incurred during fiscal years 2025, 2024 and 2023 are primarily for costs and expenses or bad debt and recoveries related to various distressed customers.
Summary of Product Warranty
The following table summarizes the activity related to the estimated accrued warranty reserve for the fiscal years ended March 31, 2025 and 2024:
As of March 31,
20252024
(In thousands)
Beginning balance$12,511$22,591
Provision (release) for warranties issued11,613(4,459)
Payments(6,143)(5,621)
Ending balance$17,981$12,511
Summary of Property, Plant and Equipment Repairs and maintenance costs are expensed as incurred. Property and equipment is comprised of the following:
Depreciable life
(In years)		As of March 31,
20252024
(In thousands)
Machinery and equipment
3 - 8
$37,929 $10,623 
Leasehold improvements
Up to 5
10,854 5,168 
Furniture, fixtures, computer equipment and software
3 - 7
13,515 11,783 
Construction-in-progress—18,942 3,051 
81,240 30,625 
Accumulated depreciation(20,845)(21,389)
Property and equipment, net$60,395 $9,236 
Summary of Nextracker's Revenue Disaggregation
The following table sets forth the revenue from customers that individually accounted for greater than 10% of the Company's revenue and the respective percentages during the periods included below:
Fiscal year ended March 31,
202520242023
(In millions, except percentages)
Customer A
*
*
*
*$331.017.4%
Customer G
*
*
$426.117.0%
*
*
* Percentage below 10%
The following table sets forth the percentage of accounts receivable, net and contract assets, from the Company's largest customers that exceeded 10% of its total accounts receivable, net and contract assets as of the periods included below:
As of March 31,
202520242023
Customer A*12.4%15.2%
Customer F**14.0%
Customer G*15.5%*
Flex
11.5%**
* Percentage below 10%
The following table presents Nextracker’s revenue disaggregated based on timing of transfer-point in time and over time for the fiscal years ended March 31, 2025, 2024 and 2023:
Fiscal year ended March 31,
202520242023
(In thousands)
Timing of Transfer
Point in time$77,037$35,268$50,516
Over time2,882,1602,464,5731,851,621
Total revenue$2,959,197$2,499,841$1,902,137
v3.25.1
Leases (Tables)
 12 Months Ended
Mar. 31, 2025
Lessee Disclosure [Abstract]  
Summary of the components of lease cost recognized
The components of lease cost recognized under ASC 842 Leases were as follow (in thousands):
Fiscal year ended March 31,
202520242023
Operating lease cost$8,049 $2,281 $1,922 
Summary of amounts reported in the consolidated balance sheet
Amounts reported in the consolidated balance sheet as of March 31, 2025 and 2024 were as follows (in thousands, except weighted average lease term and discount rate):
As of March 31,
20252024
Operating Leases:
Operating lease ROU assets$32,795 $17,390 
Operating lease liabilities34,114 17,457 
Weighted-average remaining lease term (In years)4.94.3
Weighted-average discount rate6.2 %5.6 %
Summary of other information related to leases
Other information related to leases was as follows (in thousands):
Fiscal year ended March 31,
202520242023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$7,780 $2,299 $1,928 
Non-cash investing and financing activity:
Right-of-use assets obtained in exchange of lease liabilities$29,858 $15,873 $756 
Reduction of lease liabilities and right-of-use assets from lease termination(8,608)— — 
Summary of future lease payments under non-cancellable leases
Future lease payments under non-cancellable leases as of March 31, 2025 are as follows (in thousands):
Operating Leases
Fiscal year ended March 31,
2026$9,458 
20278,763 
20287,044 
20296,317 
20302,418 
Thereafter6,054 
Total undiscounted lease payments40,054 
Less: imputed interest5,940 
Total lease liabilities$34,114 
v3.25.1
Revenue (Tables)
 12 Months Ended
Mar. 31, 2025
Revenue from Contract with Customer [Abstract]  
Summary of Nextracker's Revenue Disaggregation
The following table sets forth the revenue from customers that individually accounted for greater than 10% of the Company's revenue and the respective percentages during the periods included below:
Fiscal year ended March 31,
202520242023
(In millions, except percentages)
Customer A
*
*
*
*$331.017.4%
Customer G
*
*
$426.117.0%
*
*
* Percentage below 10%
The following table sets forth the percentage of accounts receivable, net and contract assets, from the Company's largest customers that exceeded 10% of its total accounts receivable, net and contract assets as of the periods included below:
As of March 31,
202520242023
Customer A*12.4%15.2%
Customer F**14.0%
Customer G*15.5%*
Flex
11.5%**
* Percentage below 10%
The following table presents Nextracker’s revenue disaggregated based on timing of transfer-point in time and over time for the fiscal years ended March 31, 2025, 2024 and 2023:
Fiscal year ended March 31,
202520242023
(In thousands)
Timing of Transfer
Point in time$77,037$35,268$50,516
Over time2,882,1602,464,5731,851,621
Total revenue$2,959,197$2,499,841$1,902,137
v3.25.1
Goodwill and intangible assets (Tables)
 12 Months Ended
Mar. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill
There were no changes in goodwill during the fiscal year ended March 31, 2024. The following table summarizes the activity in the Company’s goodwill during the fiscal year ended March 31, 2025 (in thousands):
Balance as of March 31, 2024$265,153
Additions103,565 
Purchase accounting adjustments 2,300
Balance as of March 31, 2025$371,018
Summary of Intangible Assets
The components of identifiable intangible assets are as follows (in thousands):
As of March 31, 2025As of March 31, 2024
Weighted-average remaining useful life (in years)Gross
carrying
amount		Accumulated
amortization		Net
carrying
amount		Gross
carrying
amount		Accumulated
amortization		Net
carrying
amount
Developed technology9.4$39,200$(2,394)$36,806$—$—$—
Customer relationships4.218,000(2,779)15,221———
Trade name and other intangibles3.43,018(1,804)1,2143,000(1,454)1,546
Total$60,218$(6,977)$53,241$3,000$(1,454)$1,546
Summary of Intangible Asset Amortization Expense Total intangible asset amortization expense recognized in operations during the fiscal years ended March 31, 2025, 2024 and 2023 are as follows:
Fiscal year ended March 31,
202520242023
(In thousands)
Cost of sales$2,744$275$250
Selling general and administrative expense2,779—957
Total amortization expense$5,523$275$1,207
Summary of Future Annual Amortization Expense
The estimated future annual amortization expense for the acquired finite-lived intangible assets as of March 31, 2025 is as follows:
Fiscal year ending March 31,Amount
(In thousands)
2026$7,893
20277,870
20287,841
20297,695
20304,741
Thereafter17,183
Total amortization expense$53,223
v3.25.1
Stock-based compensation (Tables)
 12 Months Ended
Mar. 31, 2025
Share-Based Payment Arrangement, Additional Disclosure [Abstract]  
Schedule of Employee Service Share Based Compensation Allocation of Recognized Period Costs
The following table summarizes the Company’s stock-based compensation expense:
Fiscal year ended March 31,
202520242023
(In thousands)
Cost of sales$11,927$10,764$12,794
Selling, general and administrative expenses98,53238,32519,200
Research and development8,4217,694—
Total stock-based compensation expense$118,880$56,783$31,994
Summary of Unrecognized Compensation Expense For Unvested Awards
As of March 31, 2025, the total unrecognized compensation expense for unvested awards under the 2022 Plan and the related remaining weighted average period for expensing is summarized as follow:
Unrecognized compensation expense
(in thousands)
Weighted average remaining period
(in years)
Options$14,840 1.5
RSU78,486 2.0
PSU37,856 1.5
Total unrecognized compensation expense$131,182 
Summary of Fair Value of the Company's Awards Granted Under the 2022 Plan
The fair value of the Company's awards granted under the 2022 Plan was estimated based on the following assumptions:
Fiscal year ended March 31,
202520242023
Expected volatility
52% - 60%
65.0%
65% - 70%
Expected dividends—%—%—%
Risk-free interest rate
4.4% - 5.0%
3.8% - 4.6%
2.5% - 2.7%
Summary of RSU Awards and PSU Awards Activity
The following table summarizes the RSU awards activity under the 2022 Plan for the fiscal year ended March 31, 2025:
Fiscal year ended March 31,
2025
Number of RSUsWeighted average grant date fair value per share
Unvested RSU awards outstanding, beginning of fiscal year2,718,133 $31.37
Granted1,727,191 41.52
Vested(999,928)30.32
Forfeited (1)(205,025)34.54
Unvested RSU awards outstanding, end of fiscal year3,240,371 $37.04
(1)Awards forfeited due to employee terminations.
The following table summarizes the PSU awards activity under the 2022 Plan for the fiscal year ended March 31, 2025:
Fiscal year ended March 31,
2025
Number of PSUsWeighted average grant date fair value per share
Unvested PSU awards outstanding, beginning of fiscal year1,007,476 $47.01
Granted (1)940,217 74.18
Vested— —
Forfeited(27,970)58.30
Unvested PSU awards outstanding, end of fiscal year1,919,723 $59.70
(1)Includes 292,958 PSU awards related to the third tranche of performance-based awards granted in fiscal year 2023 that met the criteria for a grant date under ASC 718 as the performance metrics for these awards were determined during fiscal year 2025. Additionally, includes 219,709 PSU awards representing the number of awards achieved above target levels based on the achievement of the performance-based metrics for the second tranche of PSU awards granted in fiscal year 2023.
Summary of Additional Information PSUs Awarded
Additional information for the PSUs awarded in fiscal year 2025 is further detailed in the table below:
Range of shares that may be issued
Year of grantPerformance end dateTargeted number of awards as of March 31, 2025Weighted average grant date fair value per shareMinimumMaximum
Fiscal Year 2023March 31, 2025512,667$87.43—1,025,334(1)
Fiscal Year 2025March 31, 2027399,580$58.30—1,198,740(2)
(1)Payouts can range from 0% to 200% of the applicable tranche targets based on the achievement levels of the Company's Total Shareholder Return ("TSR"), as determined in the Restricted Incentive Unit Award Agreement under the 2022 Plan for performance-based vesting awards.
(2)Payouts can range from 0% to 300% based on the achievement of certain metrics specific to the Company.
Summary of Options Awards Activity
The following table summarizes the Options awards activity under the 2022 Plan for the fiscal year ended March 31, 2025:
Fiscal year ended March 31,
2025
Number of OptionsWeighted average exercise priceWeighted average remaining contractual termAggregate intrinsic value (in thousands)
Options awards outstanding, beginning of fiscal year3,151,402 $23.84
Granted296,493 47.05
Exercised(18,905)10.39
Forfeited (1)(66,492)29.33
Options awards outstanding, end of fiscal year3,362,498 $25.853.1$56,121 
Options awards exercisable as of end of fiscal year712 $10.392.2$25 
Options awards vested and expected to vest, end of fiscal year3,362,498 $25.853.1$56,121 
(1)Awards forfeited due to employee terminations.
Share-Based Payment Arrangement, Option, Exercise Price Range
The following table presents the composition of options outstanding and exercisable as of March 31, 2025:
Options outstandingOptions exercisable
Range of Exercise PriceNumber of Shares OutstandingWeighted average remaining contractual life (in years)Weighted average exercise priceNumber of shares exercisableWeighted average exercise price
<$20712 2.2$10.39712 $10.39
$20.00 - $40.002,616,432 1.821.00— N/A
$40.00 - $60.00745,354 7.542.90— N/A
3,362,498 3.1$25.85712 $10.39
Summary of Vesting Information The vesting information for these shares is further detailed in the table below.
Range of shares that may be issued
Year of grantOptions performance period end dateTargeted number of awards as of March 31, 2025Weighted average grant date fair value per shareMinimumMaximum
Fiscal Year 2023March 31, 20262,616,432$6.30—2,616,432
v3.25.1
Earnings per share (Tables)
 12 Months Ended
Mar. 31, 2025
Earnings Per Share [Abstract]  
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share
The computation of earnings per share and weighted average shares outstanding of the Company's common stock for the period is presented below:
Fiscal year ended March 31, 2025
Fiscal year ended March 31, 2024February 9, 2023 - March 31, 2023
IncomeWeighted average shares outstandingPer shareIncomeWeighted average shares outstandingPer shareIncomeWeighted average shares outstandingPer share
NumeratorDenominatorAmountNumeratorDenominatorAmountNumeratorDenominatorAmount
(In thousands, except share and per share amounts)
Basic EPS
Net income attributable to Nextracker Inc. common stockholders$509,168 143,539,344 $3.55 $306,241 77,067,639 $3.97 $1,143 45,886,065 $0.02 
Effect of Dilutive Impact
Common stock equivalents from Options awards (1)1,198,258 1,089,554 377,316 
Common stock equivalents from RSUs (2)1,349,145 1,268,923 1,291,346 
Common stock equivalents from PSUs (3)1,287,558 558,733 92,388 
Income attributable to non-controlling interests and common stock equivalent from Class B common stock$8,078 1,901,645 $189,974 67,299,481 $2,446 98,204,522 
Diluted EPS
Net income$517,246 149,275,950 $3.47 $496,215 147,284,330 $3.37 $3,589 145,851,637 $0.02 
(1)During fiscal years ended March 31, 2025 and 2024, approximately 0.7 million and 0.5 million Options awards, respectively, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents. No Options awards were excluded from the computation of diluted earnings per share in the fiscal year ended March 31, 2023.
(2)During fiscal years ended March 31, 2025 and 2024, an immaterial amount of RSU awards, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents. No RSU awards were excluded from the computation of diluted earnings per share in the fiscal year ended March 31, 2023.
(3)During fiscal years ended March 31, 2025 and 2024, an immaterial amount of PSU awards and no PSU awards, respectively, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents. No PSU awards were excluded from the computation of diluted earnings per share in the fiscal year ended March 31, 2023.
v3.25.1
Supplemental cash flow disclosures (Tables)
 12 Months Ended
Mar. 31, 2025
Supplemental Cash Flow Elements [Abstract]  
Schedule Of Represents Supplemental Cash Flow Disclosures
The following table represents supplemental cash flow disclosures of income taxes paid, interest paid, and non-cash investing and financing activities:
Fiscal year ended March 31,
202520242023
Supplemental disclosure:(In thousands)
Income taxes paid (1)$125,519 $28,551 $— 
Interest paid10,319 10,654 — 
Non-cash investing and financing activities:
Unpaid purchases of property and equipment$1,663$1,596$206 
TRA revaluation7,63523,823— 
Stock-based compensation tax benefits1,698—— 
Unpaid distribution to non-controlling interest holders3,010—— 
Other equity3,476—— 
Reclassification of redeemable non-controlling interest—622,292— 
Capitalized offering costs——(5,331)
Legal settlement paid by Parent (2)——20,428 
Paid-in-kind dividend for Series A redeemable preferred units——21,427 
Settlement of assets and liabilities with Parent——52,529 
(1)Amount presented in fiscal year 2025 is net of transfer and assignment of 45X Credit of $63.8 million.
(2)Amount presented in fiscal year 2023 is net of insurance recovery of $22.3 million related to the Company's litigation settlement in July 2022.
v3.25.1
Relationship with Flex (Tables)
 12 Months Ended
Mar. 31, 2025
Related Party Transactions [Abstract]  
Summary of Material Transactions Reflected in Accumulated Net Parent Investment The following is a summary of material transactions reflected in the accumulated net parent investment through February 8, 2023 during the fiscal year ended March 31, 2023 (in thousands):
Corporate allocations (excluding stock-based compensation expense)$1,483 
Transfer of operations to Nextracker (1)(39,025)
Net cash pooling activities (2)(35,240)
Income taxes41,238 
Net transfers to parent $(31,544)
(1)Primarily represents certain international operations where related income and/or losses are included in Nextracker’s consolidated statements of operations. Cash was also collected by the international operations on behalf of Nextracker, for which Nextracker and Flex do not intend to settle in the future. For the fiscal year 2023, the balance includes the legal settlement paid by Flex.
(2)Primarily represents financing activities for cash pooling and capital transfers.
v3.25.1
Income taxes (Tables)
 12 Months Ended
Mar. 31, 2025
Income Tax Disclosure [Abstract]  
Summary of Income before Income Tax, Domestic and Foreign
The domestic and foreign components of income before income taxes were comprised of the following:
Fiscal year ended March 31,
202520242023
(In thousands)
Domestic$620,166$576,009$117,115
Foreign27,850 31,988 51,968 
Total$648,016 $607,997 $169,083 
Summary of Components of Income Tax Expense (Benefit)
The provision for income taxes consisted of the following:
Fiscal year ended March 31,
202520242023
Current:(In thousands)
Domestic$132,181$65,286$35,244
Foreign11,486 7,904 18,238 
Total143,667 73,190 53,482 
Deferred:
Domestic$(13,452)$30,496 $(8,660)
Foreign555 8,096 2,928 
Total(12,897)38,592 (5,732)
Provision for income taxes$130,770 $111,782 $47,750 
Summary of Effective Income Tax Rate Reconciliation The reconciliation of the income tax expense expected based on domestic statutory income tax rates to the expense (benefit) for income taxes included in the consolidated statements of operations is as follows:
Fiscal year ended March 31,
202520242023
(In thousands)
Income taxes based on domestic statutory rates$136,083$127,679$35,508
Effect of tax rate differential1,682 2,165 7,487 
Foreign-derived intangible income deduction(20,747)(9,055)(3,235)
Foreign disregarded entities6,261 5,574 11,020 
Foreign tax deduction— — (3,659)
Change in TRA Liability23 (12,416)— 
Amount allocated to non-controlling interest(1,702)(41,348)(1,671)
Stock-based compensation7,097 — — 
State15,314 7,810 4,535 
Change in state effective rate(7,494)31,279 — 
Guaranteed payment on Series A Preferred Units— — (4,500)
Other(5,747)94 2,265 
Provision for income taxes$130,770 $111,782 $47,750 
Summary of Deferred Tax Assets and Liabilities
The components of deferred income taxes are as follows:
As of March 31,
20252024
Deferred tax liabilities:(In thousands)
Foreign taxes$(18,128)$(14,319)
Fixed assets(2,871)(3)
Intangible assets(10,329)— 
Others(4,047)(763)
Total deferred tax liabilities(35,375)(15,085)
Deferred tax assets:
Stock-based compensation24,125 15,629 
Net operating loss and other carryforwards23,417 5,032 
Investment in Nextracker LLC435,802 384,594 
Interest deduction on investment in Nextracker LLC28,267 25,122 
Foreign tax credits13,632 9,455 
Others9,962 5,908 
Total deferred tax assets535,205 445,740 
Valuation allowances(1,052)(1,173)
Total deferred tax assets, net of valuation allowances534,153 444,567 
Net deferred tax asset$498,778 $429,482 
The net deferred tax asset is classified as follows:
Long-term asset$498,778 $438,272 
Long-term liability— (8,790)
Total$498,778$429,482
Summary of Operating Loss Carryforwards These tax losses and other carryforwards will expire at various dates as follows:
Expiration dates of deferred tax assets related to operating losses and other carryforwards
Fiscal year
(In millions)
2026 - 2031$— 
2032 - 2037364 
2038 - Post139 
Indefinite22,914 
Total$23,417 
Schedule of Unrecognized Tax Benefits Roll Forward
A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
Fiscal year ended March 31,
202520242023
(In thousands)
Balance, beginning of fiscal year$349$434$440
Increase / (decrease) to tax positions in prior period(4)(85)(6)
Increase due to business combinations1,118 — — 
Lapse of statute of limitations(345)— — 
Balance, end of fiscal year$1,118$349$434
v3.25.1
Segment reporting (Tables)
 12 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment The following table presents significant segment expenses with respect to the Company’s single reportable segment for the fiscal years ended March 31, 2025, 2024 and 2023:
Fiscal year ended March 31,
202520242023
(In thousands)
Revenue$2,959,197 $2,499,841 $1,902,137 
Less:
Material cost1,799,343 1,498,699 1,184,291 
45X vendor credits(224,879)(121,405)— 
Freight, labor and other cost of sales375,908 309,498 430,873 
Selling, general and administrative expenses290,321 183,571 96,869 
Research and development79,392 42,360 21,619 
Interest expense13,096 13,820 1,833 
Other income, net(22,000)(34,699)(2,431)
Provision for income taxes130,770 111,782 47,750 
Net income and comprehensive income$517,246 $496,215 $121,333 
Summary of Geographic Information of Revenue
The following table sets forth geographic information of revenue based on the locations to which the products are shipped:
Fiscal year ended March 31,
202520242023
Revenue:
(In thousands, except percentages)
U.S.$2,031,60369%$1,702,61168%$1,298,59668%
Rest of the World927,59431%797,23032%603,54132%
Total$2,959,197$2,499,841$1,902,137
The United States is the principal country of domicile.
The following table summarizes the countries that accounted for more than 10% of revenue in fiscal years 2025, 2024 and 2023. Revenue is attributable to the countries to which the products are shipped.
Fiscal year ended March 31,
202520242023
Revenue:
(In thousands, except percentages)
U.S.$2,031,60369%$1,702,61168%$1,298,59668%
Brazil— *281,272 11%295,846 16%
* Percentage below 10%
v3.25.1
Business acquisitions (Tables)
 12 Months Ended
Mar. 31, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed
The following represents the Company’s preliminary allocation of the Foundations acquisitions total aggregate purchase price to the acquired assets and liabilities (in thousands):
Current assets$5,484 
Property and equipment23,576 
Intangible assets49,700 
Goodwill105,865 
Other assets4,633 
Total assets189,258 
Current liabilities17,467 
Other liabilities, non-current7,074 
Total purchase price, net of cash acquired$164,717 
v3.25.1
Description of business and organization of Nextracker Inc. - Additional Information (Details) - USD ($)
$ / shares in Units, $ in Millions
Jul. 03, 2023
Feb. 13, 2023
Feb. 10, 2023
Mar. 31, 2025
Mar. 31, 2024
Jan. 02, 2024
Dec. 19, 2022
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Number of shares repurchased during the period (in shares)   100          
Common stock, shares, outstanding (in shares) 62,053,870            
Yuma, Inc              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Number of shares repurchased during the period (in shares) 14,025,000            
TPG Rise              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Number of shares repurchased during the period (in shares) 1,606,562            
Common Class A              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Common stock, shares, outstanding (in shares)       145,648,231 140,773,223    
Common Class B              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Common stock, shares, outstanding (in shares)       0 3,856,175    
IPO | Common Class A              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Issuance of Class A common stock sold in follow-on offering (in shares)   30,590,000          
Sale of stock price per share (in USD per share)   $ 24.00          
Proceeds from the IPO   $ 693.8          
Payments for underwriting expense   $ 40.4          
Follow-on Offering, Company Shares | Common Class A              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Number of shares issued in transaction (in shares) 15,631,562            
Follow-on Offering              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Consideration received on transaction $ 552.0            
Follow-on Offering | Common Class A              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Number of shares issued in transaction (in shares) 18,150,000            
Yuma, Inc. | Nextracker Inc              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Noncontrolling interest, ownership percentage by parent             100.00%
TPG Rise | Common Class A              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Issuance of Class A common stock sold in follow-on offering (in shares)     15,279,190        
TPG Rise | Common Class B              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Stock repurchased and retired during period (in shares) 1,606,562            
Common stock, shares, outstanding (in shares) 8,140,341            
Flex Ltd | Common Class A              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Common stock, shares, outstanding (in shares) 74,432,619            
Flex Ltd | Common Class B              
Organization Consolidation And Presentation Of FinancialS tatements [Line Items]              
Stock repurchased and retired during period (in shares) 14,025,000            
Common stock, shares, outstanding (in shares) 74,432,619         74,432,619  
v3.25.1
Summary of accounting policies - Additional Information (Details) - USD ($)
 3 Months Ended 12 Months Ended
Mar. 31, 2024
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Product Warranty Liability [Line Items]        
Gain (loss) foreign currency transaction, before tax   $ 1,400,000 $ 2,500,000  
Cost of sales reduction, after rebate $ 121,400,000      
Depreciation on property plant and equipment   7,900,000 4,100,000 $ 3,400,000
Short-term deposits and advances 104,700,000 50,200,000 104,700,000  
Accrued Freight and Tariffs 43,200,000 42,900,000 43,200,000  
Accrued payroll 39,200,000 54,100,000 39,200,000  
Tax receivable agreement (TRA) liability 391,568,000 394,879,000 391,568,000  
Tax receivable agreement payment   15,520,000 0 0
Sale of energy, revenue   55,300,000 0 $ 0
Contract assets 397,123,000 405,890,000 397,123,000  
Unbilled receivables current $ 141,400,000 140,400,000 141,400,000  
Contract with customer liability revenue recognized   $ 203,300,000 $ 152,300,000  
Performance obligation amount recognized as a percentage of contract with customers liability of the previous period   69.00% 72.00%  
Revenue, remaining performance obligation, amount   $ 343,800,000    
Percentage of remaining performance obligation to be recognized as revenue in the next twelve months   72.00%    
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] Other current liabilities Other current liabilities Other current liabilities  
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Other liabilities Other liabilities Other liabilities  
Other Noncurrent Liabilities        
Product Warranty Liability [Line Items]        
Standard product warranty liability non current $ 6,400,000 $ 6,400,000 $ 6,400,000  
Operating lease liabilities non current 13,600,000 25,600,000 13,600,000  
Other Current Liabilities        
Product Warranty Liability [Line Items]        
Operating lease liabilities current 3,900,000 8,500,000 3,900,000  
Nextracker Inc        
Product Warranty Liability [Line Items]        
Deferred tax assets and other assets non current 438,300,000 498,800,000 438,300,000  
Tax Receivable Agreement        
Product Warranty Liability [Line Items]        
Liabilities related to tax receivable agreement 391,600,000 394,900,000 391,600,000  
Tax receivable agreement (TRA) liability   394,900,000    
Tax Receivable Agreement | Other Current Liabilities        
Product Warranty Liability [Line Items]        
Liabilities related to tax receivable agreement $ 0 $ 24,500,000 $ 0  
Minimum        
Product Warranty Liability [Line Items]        
Extended warranty term of revenue recognition   10 years    
Standard warranty term of revenue recognition   2 years    
Trade receivables, term   30 days    
Standard product warranty term   2 years    
Maximum        
Product Warranty Liability [Line Items]        
Extended warranty term of revenue recognition   15 years    
Standard warranty term of revenue recognition   10 years    
Trade receivables, term   90 days    
Standard product warranty term   10 years    
v3.25.1
Summary of accounting policies - Summary of Allowance for Doubtful Accounts (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Accounts Receivable, Allowance for Credit Loss [Roll Forward]      
Balance at beginning of year $ 3,872 $ 1,768 $ 3,574
Charges/(recoveries) to costs and expenses (2,399) 2,197 (1,054)
Deductions/ Write-Offs (1) (93) (752)
Balance at end of year $ 1,472 $ 3,872 $ 1,768
v3.25.1
Summary of accounting policies - Summary of Product Warranty (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Movement in Standard and Extended Product Warranty Accrual, Increase (Decrease) [Roll Forward]    
Beginning balance $ 12,511 $ 22,591
Provision (release) for warranties issued 11,613 (4,459)
Payments (6,143) (5,621)
Ending balance $ 17,981 $ 12,511
v3.25.1
Summary of accounting policies - Summary of Property, Plant and Equipment (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Mar. 31, 2024
Property, Plant and Equipment [Line Items]    
Property, plant and equipment $ 81,240 $ 30,625
Accumulated depreciation (20,845) (21,389)
Property and equipment, net 60,395 9,236
Machinery and equipment    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment $ 37,929 10,623
Leasehold improvements    
Property, Plant and Equipment [Line Items]    
Depreciable life (In years) 5 years  
Property, plant and equipment $ 10,854 5,168
Furniture, fixtures, computer equipment and software    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment 13,515 11,783
Construction-in-progress    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment $ 18,942 $ 3,051
Minimum | Machinery and equipment    
Property, Plant and Equipment [Line Items]    
Depreciable life (In years) 3 years  
Minimum | Furniture, fixtures, computer equipment and software    
Property, Plant and Equipment [Line Items]    
Depreciable life (In years) 3 years  
Maximum | Machinery and equipment    
Property, Plant and Equipment [Line Items]    
Depreciable life (In years) 8 years  
Maximum | Furniture, fixtures, computer equipment and software    
Property, Plant and Equipment [Line Items]    
Depreciable life (In years) 7 years  
v3.25.1
Summary of accounting policies - Summary of Nextracker's Revenue Disaggregation (Details) - Customer Concentration Risk - USD ($)
$ in Millions
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Customer A | Revenue Benchmark      
Organization Consolidation And Presentation Of Financial Statements [Line Items]      
Revenue from contract with customers excluding assessed tax     $ 331.0
Concentration risk percentage     17.40%
Customer A | Accounts Receivable And Contract With Customer Assets      
Organization Consolidation And Presentation Of Financial Statements [Line Items]      
Concentration risk percentage   12.40% 15.20%
Customer G | Revenue Benchmark      
Organization Consolidation And Presentation Of Financial Statements [Line Items]      
Revenue from contract with customers excluding assessed tax   $ 426.1  
Concentration risk percentage   17.00%  
Customer G | Accounts Receivable And Contract With Customer Assets      
Organization Consolidation And Presentation Of Financial Statements [Line Items]      
Concentration risk percentage   15.50%  
Customer F | Accounts Receivable And Contract With Customer Assets      
Organization Consolidation And Presentation Of Financial Statements [Line Items]      
Concentration risk percentage     14.00%
Flex | Accounts Receivable And Contract With Customer Assets      
Organization Consolidation And Presentation Of Financial Statements [Line Items]      
Concentration risk percentage 11.50%    
v3.25.1
Leases - Additional Information (Details)
Mar. 31, 2025
Minimum  
Lessee, Lease, Description [Line Items]  
Lessee, operating lease, term of contract 1 year
Maximum  
Lessee, Lease, Description [Line Items]  
Lessee, operating lease, term of contract 10 years
v3.25.1
Leases - Summary Of The Components Of Lease Cost Recognized (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Lessee Disclosure [Abstract]      
Operating lease cost $ 8,049 $ 2,281 $ 1,922
v3.25.1
Leases - Summary Of Lessee Of Operating Lease (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Mar. 31, 2024
Lessee Disclosure [Abstract]    
Operating lease ROU assets $ 32,795 $ 17,390
Operating lease liabilities $ 34,114 $ 17,457
Weighted-average remaining lease term (In years) 4 years 10 months 24 days 4 years 3 months 18 days
Weighted-average discount rate 6.20% 5.60%
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] Other assets Other assets
v3.25.1
Leases - Summary Of Other Information Related To Leases (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Lessee Disclosure [Abstract]      
Operating cash flows from operating leases $ 7,780 $ 2,299 $ 1,928
Right-of-use assets obtained in exchange of lease liabilities 29,858 15,873 756
Reduction of lease liabilities and right-of-use assets from lease termination $ (8,608) $ 0 $ 0
v3.25.1
Leases - Summary Of Future Lease Payments Under Non-cancellable Leases (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Mar. 31, 2024
Lessee Disclosure [Abstract]    
2026 $ 9,458  
2027 8,763  
2028 7,044  
2029 6,317  
2030 2,418  
Thereafter 6,054  
Total undiscounted lease payments 40,054  
Less: imputed interest 5,940  
Operating lease liabilities $ 34,114 $ 17,457
v3.25.1
Revenue - Summary of Nextracker's Revenue Disaggregation (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Disaggregation of Revenue [Line Items]      
Total revenue $ 2,959,197 $ 2,499,841 $ 1,902,137
Point in time      
Disaggregation of Revenue [Line Items]      
Total revenue 77,037 35,268 50,516
Over time      
Disaggregation of Revenue [Line Items]      
Total revenue $ 2,882,160 $ 2,464,573 $ 1,851,621
v3.25.1
Goodwill and intangible assets - Additional Information (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Mar. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]    
Goodwill $ 371,018 $ 265,153
v3.25.1
Goodwill and intangible assets - Schedule of Goodwill (Details)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
USD ($)
Goodwill [Roll Forward]  
Goodwill, beginning balance $ 265,153
Additions 103,565
Purchase accounting adjustments 2,300
Goodwill, ending balance $ 371,018
v3.25.1
Goodwill and intangible assets - Summary of Intangible Assets (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Mar. 31, 2024
Finite-Lived Intangible Assets [Line Items]    
Gross
carrying
amount $ 60,218 $ 3,000
Accumulated
amortization (6,977) (1,454)
Net
carrying
amount $ 53,241 1,546
Developed technology    
Finite-Lived Intangible Assets [Line Items]    
Weighted-average remaining useful life (in years) 9 years 4 months 24 days  
Gross
carrying
amount $ 39,200 0
Accumulated
amortization (2,394) 0
Net
carrying
amount $ 36,806 0
Customer relationships    
Finite-Lived Intangible Assets [Line Items]    
Weighted-average remaining useful life (in years) 4 years 2 months 12 days  
Gross
carrying
amount $ 18,000 0
Accumulated
amortization (2,779) 0
Net
carrying
amount $ 15,221 0
Trade name and other intangibles    
Finite-Lived Intangible Assets [Line Items]    
Weighted-average remaining useful life (in years) 3 years 4 months 24 days  
Gross
carrying
amount $ 3,018 3,000
Accumulated
amortization (1,804) (1,454)
Net
carrying
amount $ 1,214 $ 1,546
v3.25.1
Goodwill and intangible assets - Summary of Intangible Asset Amortization Expense (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Finite Lived Intangible Assets Amortization Expense [Line Items]      
Total amortization expense $ 5,523 $ 275 $ 1,207
Cost of sales      
Finite Lived Intangible Assets Amortization Expense [Line Items]      
Total amortization expense 2,744 275 250
Selling general and administrative expense      
Finite Lived Intangible Assets Amortization Expense [Line Items]      
Total amortization expense $ 2,779 $ 0 $ 957
v3.25.1
Goodwill and intangible assets - Summary of Future Annual Amortization Expense (Details)
$ in Thousands
Mar. 31, 2025
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]  
2026 $ 7,893
2027 7,870
2028 7,841
2029 7,695
2030 4,741
Thereafter 17,183
Total amortization expense $ 53,223
v3.25.1
The Transactions - Additional information (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Jul. 03, 2023
Feb. 13, 2023
Feb. 10, 2023
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Jan. 02, 2024
Oct. 25, 2023
Feb. 08, 2023
Shareholders equity and redeemable preferred units [Line Items]                  
Number of shares repurchased during the period (in shares)   100              
Preferred stock, shares authorized (in shares)                 50,000,000
Common stock, shares, outstanding (in shares) 62,053,870                
Common stock, shares, outstanding, percentage owned 42.91%                
Pre initial public offer distribution to noncontrolling interest       $ 6,112 $ 66,881 $ 175,000      
Yuma, Inc                  
Shareholders equity and redeemable preferred units [Line Items]                  
Number of shares repurchased during the period (in shares) 14,025,000                
Common stock, par or stated value per share (in USD per share)               $ 0.001  
TPG Rise                  
Shareholders equity and redeemable preferred units [Line Items]                  
Number of shares repurchased during the period (in shares) 1,606,562                
Common Class A                  
Shareholders equity and redeemable preferred units [Line Items]                  
Common stock, shares authorized (in shares)       900,000,000 900,000,000       900,000,000
Common stock, par or stated value per share (in USD per share)       $ 0.0001 $ 0.0001       $ 0.0001
Common stock, shares, outstanding (in shares)       145,648,231 140,773,223        
Common Class B                  
Shareholders equity and redeemable preferred units [Line Items]                  
Common stock, shares authorized (in shares)       500,000,000 500,000,000       500,000,000
Common stock, par or stated value per share (in USD per share)       $ 0.0001 $ 0.0001       $ 0.0001
Common stock, shares, outstanding (in shares)       0 3,856,175        
TPG Rise | Common Class A                  
Shareholders equity and redeemable preferred units [Line Items]                  
Issuance of Class A common stock sold in follow-on offering (in shares)     15,279,190            
TPG Rise | Common Class B                  
Shareholders equity and redeemable preferred units [Line Items]                  
Stock repurchased and retired during period (in shares) 1,606,562                
Common stock, shares, outstanding (in shares) 8,140,341                
Common stock, shares, outstanding, percentage owned 5.63%                
Flex Ltd                  
Shareholders equity and redeemable preferred units [Line Items]                  
Common stock, shares, outstanding, percentage owned 51.45%                
Flex Ltd | Yuma, Inc.                  
Shareholders equity and redeemable preferred units [Line Items]                  
Noncontrolling interest, ownership percentage by parent             100.00%    
Flex Ltd | Common Class A                  
Shareholders equity and redeemable preferred units [Line Items]                  
Common stock, shares, outstanding (in shares) 74,432,619                
Flex Ltd | Common Class B                  
Shareholders equity and redeemable preferred units [Line Items]                  
Stock repurchased and retired during period (in shares) 14,025,000                
Common stock, shares, outstanding (in shares) 74,432,619           74,432,619    
Yuma, Inc. | Common Class B | Nextracker LLC                  
Shareholders equity and redeemable preferred units [Line Items]                  
Common stock, par or stated value per share (in USD per share)             $ 0.0001    
Noncontrolling interest, ownership percentage by parent             51.48%    
Subsidiary, shares owned, parent (in shares)             74,432,619    
IPO                  
Shareholders equity and redeemable preferred units [Line Items]                  
Distribution in an aggregate amount     $ 175,000            
IPO | Nextracker Inc.                  
Shareholders equity and redeemable preferred units [Line Items]                  
Common unit outstanding (in shares)   140,773,223              
IPO | Two Thousand Twenty Three Credit Agreement                  
Shareholders equity and redeemable preferred units [Line Items]                  
Proceeds from term loan     $ 150,000            
IPO | Common Class A                  
Shareholders equity and redeemable preferred units [Line Items]                  
Issuance of Class A common stock sold in follow-on offering (in shares)   30,590,000              
Proceeds from the IPO   $ 693,800              
IPO | Yuma, Inc                  
Shareholders equity and redeemable preferred units [Line Items]                  
Issuance of Class A common stock sold in follow-on offering (in shares)     30,590,000            
Distribution in an aggregate amount     $ 153,300            
Proceeds from the IPO     $ 693,800            
Common unit price per unit (in USD per share)     $ 22.68            
IPO | Yuma, Inc | Common Class B                  
Shareholders equity and redeemable preferred units [Line Items]                  
Issuance of Class A common stock sold in follow-on offering (in shares)     128,794,522            
IPO | TPG Rise                  
Shareholders equity and redeemable preferred units [Line Items]                  
Distribution in an aggregate amount     $ 21,700            
Follow-on Offering                  
Shareholders equity and redeemable preferred units [Line Items]                  
Consideration received on transaction $ 552,000                
Follow-on Offering | Common Class A                  
Shareholders equity and redeemable preferred units [Line Items]                  
Number of shares issued in transaction (in shares) 18,150,000                
Sale of stock, consideration received on transaction, gross $ 662,500                
Follow-on Offering | Flex Ltd                  
Shareholders equity and redeemable preferred units [Line Items]                  
Payments of stock issuance costs $ 1,800                
Follow-on Offering, Company Shares | Common Class A                  
Shareholders equity and redeemable preferred units [Line Items]                  
Number of shares issued in transaction (in shares) 15,631,562                
Follow-on Offering, Certain Stockholder Shares | Common Class A                  
Shareholders equity and redeemable preferred units [Line Items]                  
Number of shares issued in transaction (in shares) 2,518,438                
v3.25.1
Stock-based compensation - Additional information (Details) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended 12 Months Ended
Mar. 31, 2025
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Feb. 09, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Total stock-based compensation expense   $ 118,880 $ 56,783 $ 31,994  
Incremental stock-based compensation expense     $ 12,300    
Aggregate intrinsic value of options   $ 600      
Options outstanding (in shares) 3,362,498 3,362,498 2,616,432    
Share-Based Payment Arrangement          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Options awards vested during the period (in shares)   0 0    
Weighted average grant date fair values (in USD per share)   $ 29.05 $ 24.95 $ 5.17  
Weighted average modification date fair value (in usd per share)         $ 6.30
Options          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Service period       4 years  
Options outstanding (in shares) 3,362,498 3,362,498 3,151,402 2,600,000  
PSU          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Service period     3 years 3 years  
Total stock-based compensation expense $ 14,800        
Granted (in USD per share)   $ 74.18      
Weighted average grant date fair values (in USD per share)     $ 54.77 $ 19.35  
Weighted average modification date fair value (in usd per share)         23.01
Common stock equivalents from RSUs          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Granted (in USD per share)     $ 41.55 $ 17.03  
Weighted average modification date fair value (in USD per share)         $ 20.40
Options awards vested during the period (in shares)   30,300,000 13,200,000 0  
Minimum          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Number of shares available for grant (in shares)     0    
Maximum          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Number of shares available for grant (in shares)     2,616,432    
2022 Plan          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Incremental stock-based compensation expense     $ 23,300    
2022 Plan | Share-Based Payment Arrangement          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Number of grants authorized (in shares) 24,000,000.0 24,000,000.0      
Number of shares available for grant (in shares) 13,400,000 13,400,000      
2022 Plan | Options          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Award vesting period   3 years      
2022 Plan | Minimum | PSU          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Range of options awards vesting percentage   0.00%      
2022 Plan | Maximum | Share-Based Payment Arrangement          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Award, expiration period   10 years      
2022 Plan | Maximum | PSU          
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]          
Range of options awards vesting percentage   300.00%      
v3.25.1
Stock-based compensation - Schedule of Employee Service Share Based Compensation Allocation of Recognized Period Costs (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total stock-based compensation expense $ 118,880 $ 56,783 $ 31,994
Cost of sales      
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total stock-based compensation expense 11,927 10,764 12,794
Selling general and administrative expense      
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total stock-based compensation expense 98,532 38,325 19,200
Research and development      
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]      
Total stock-based compensation expense $ 8,421 $ 7,694 $ 0
v3.25.1
Stock-based compensation - Summary of Unrecognized Compensation Expense for Unvested Awards (Details)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
USD ($)
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Unrecognized compensation expense (in thousands) $ 131,182
Options  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Unrecognized compensation expense (in thousands) $ 14,840
Weighted average remaining period (in years) 1 year 6 months
RSU  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Unrecognized compensation expense (in thousands) $ 78,486
Weighted average remaining period (in years) 2 years
PSU  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Unrecognized compensation expense (in thousands) $ 37,856
Weighted average remaining period (in years) 1 year 6 months
v3.25.1
Stock-based compensation - Summary of Fair Value of the Company's Awards Granted Under the 2022 Plan (Details) - 2022 Plan
 12 Months Ended
Mar. 31, 2025
Rate
Mar. 31, 2024
Rate
Mar. 31, 2023
Rate
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]      
Expected volatility   65.00%  
Expected dividends 0.00% 0.00% 0.00%
Minimum      
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]      
Expected volatility 52.00%   65.00%
Risk-free interest rate 4.40% 3.80% 2.50%
Maximum      
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]      
Expected volatility 60.00%   70.00%
Risk-free interest rate 5.00% 4.60% 2.70%
v3.25.1
Stock-based compensation - Summary of RSU Awards and PSU Awards Activity (Details)
 12 Months Ended
Mar. 31, 2025
$ / shares
shares
Number of shares  
Granted (in shares) 292,958
Unvested awards outstanding, end of the fiscal year (in shares) 219,709
Restricted Stock  
Number of shares  
Unvested awards outstanding, beginning of the fiscal year (in shares) 2,718,133
Granted (in shares) 1,727,191
Vested (in shares) (999,928)
Forfeited (in shares) (205,025)
Unvested awards outstanding, end of the fiscal year (in shares) 3,240,371
Weighted average grant date fair value per share  
Unvested awards outstanding, beginning of fiscal year (in USD per share) | $ / shares $ 31.37
Granted (in USD per share) | $ / shares 41.52
Vested (in USD per share) | $ / shares 30.32
Forfeited (in USD per share) | $ / shares 34.54
Unvested awards outstanding, end of fiscal year (in USD per share) | $ / shares $ 37.04
PSU  
Number of shares  
Unvested awards outstanding, beginning of the fiscal year (in shares) 1,007,476
Granted (in shares) 940,217
Vested (in shares) 0
Forfeited (in shares) (27,970)
Unvested awards outstanding, end of the fiscal year (in shares) 1,919,723
Weighted average grant date fair value per share  
Unvested awards outstanding, beginning of fiscal year (in USD per share) | $ / shares $ 47.01
Granted (in USD per share) | $ / shares 74.18
Vested (in USD per share) | $ / shares 0
Forfeited (in USD per share) | $ / shares 58.30
Unvested awards outstanding, end of fiscal year (in USD per share) | $ / shares $ 59.70
v3.25.1
Stock-based compensation - Summary of RSU Awards and PSU Awards Activity - Footnote (Details)
 12 Months Ended
Mar. 31, 2025
shares
Share-Based Payment Arrangement, Additional Disclosure [Abstract]  
Granted (in shares) 292,958
Unvested awards outstanding (in shares) 219,709
v3.25.1
Stock-based compensation - Summary of Additional Information PSUs Awarded (Details) - $ / shares
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Targeted number of awards (in shares) 219,709  
Minimum    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Range of shares that may be issued (in shares)   0
Maximum    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Range of shares that may be issued (in shares)   2,616,432
Awards with grant date and measurement date | Share-Based Payment Arrangement, Tranche One    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Targeted number of awards (in shares) 512,667  
Weighted average grant date fair value per share (in USD per share) $ 87.43  
Awards with grant date and measurement date | Share-Based Payment Arrangement, Tranche Two    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Targeted number of awards (in shares) 399,580  
Weighted average grant date fair value per share (in USD per share) $ 58.30  
Awards with grant date and measurement date | Minimum | Share-Based Payment Arrangement, Tranche One    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Range of shares that may be issued (in shares) 0  
Awards with grant date and measurement date | Minimum | Share-Based Payment Arrangement, Tranche Two    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Range of shares that may be issued (in shares) 0  
Awards with grant date and measurement date | Maximum | Share-Based Payment Arrangement, Tranche One    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Range of shares that may be issued (in shares) 1,025,334  
Awards with grant date and measurement date | Maximum | Share-Based Payment Arrangement, Tranche Two    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Range of shares that may be issued (in shares) 1,198,740  
v3.25.1
Stock-based compensation - Summary of Additional Information PSUs Awarded - Footnote (Details) - Common stock equivalents from PSUs
Mar. 31, 2025
Minimum | Share-Based Payment Arrangement, Tranche One  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Payout range 0.00%
Minimum | Share-Based Payment Arrangement, Tranche Two  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Payout range 0.00%
Maximum | Share-Based Payment Arrangement, Tranche One  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Payout range 200.00%
Maximum | Share-Based Payment Arrangement, Tranche Two  
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]  
Payout range 300.00%
v3.25.1
Stock-based compensation - Summary of Options Awards Activity (Details)
$ / shares in Units, $ in Thousands
 12 Months Ended
Mar. 31, 2025
USD ($)
$ / shares
shares
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding [Roll Forward]  
Options awards outstanding, beginning of fiscal year (in shares) 2,616,432
Options awards outstanding, end of fiscal year (in shares) 3,362,498
Number of options, Options awards exercisable as of end of fiscal year (in shares) 712
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract]  
Options awards outstanding, end of fiscal year (in USD per shares) | $ / shares $ 25.85
Weighted average exercise price (in USD per share) | $ / shares $ 10.39
Options awards outstanding, end of fiscal year, Weighted average remaining contractual term 3 years 1 month 6 days
Options awards exercisable as of end of fiscal year, Weighted average remaining contractual term 2 years 2 months 12 days
Options awards exercisable as of end of fiscal year, Weighted average remaining contractual term 3 years 1 month 6 days
Options awards outstanding, end of fiscal year, Aggregate intrinsic value | $ $ 56,121
Options awards exercisable as of end of fiscal year, Aggregate intrinsic value | $ 25
Options awards vested and expected to vest, end of fiscal year, Aggregate intrinsic value | $ $ 56,121
Options  
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding [Roll Forward]  
Options awards outstanding, beginning of fiscal year (in shares) 3,151,402
Granted (in shares) 296,493
Exercised (in shares) (18,905)
Forfeited (in shares) (66,492)
Options awards outstanding, end of fiscal year (in shares) 3,362,498
Number of options, Options awards exercisable as of end of fiscal year (in shares) 712
Number of options, Options awards vested and expected to vest, end of fiscal year (in shares) 3,362,498
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract]  
Options awards outstanding, beginning of fiscal year (in USD per shares) | $ / shares $ 23.84
Granted (in USD per share) | $ / shares 47.05
Exercised (in USD per share) | $ / shares 10.39
Forfeited (in USD per share) | $ / shares 29.33
Options awards outstanding, end of fiscal year (in USD per shares) | $ / shares 25.85
Weighted average exercise price (in USD per share) | $ / shares 10.39
Weighted average exercise price, Options awards vested and expected to vest, end of fiscal year (in USD per share) | $ / shares $ 25.85
v3.25.1
Stock-based compensation - Share-Based Payment Arrangement, Option, Exercise Price Range (Details) - $ / shares
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract]    
Options outstanding (in shares) 3,362,498 2,616,432
Weighted average remaining contractual life (in years) 3 years 1 month 6 days  
Weighted average exercise price (in USD per share) $ 25.85  
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Additional Disclosures [Abstract]    
Number of shares exercisable (in shares) 712  
Weighted average exercise price (in USD per share) $ 10.39  
Less than $20    
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract]    
Options outstanding (in shares) 712  
Weighted average remaining contractual life (in years) 2 years 2 months 12 days  
Weighted average exercise price (in USD per share) $ 10.39  
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Additional Disclosures [Abstract]    
Number of shares exercisable (in shares) 712  
Weighted average exercise price (in USD per share) $ 10.39  
$20.00 - $40.00    
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract]    
Options outstanding (in shares) 2,616,432  
Weighted average remaining contractual life (in years) 1 year 9 months 18 days  
Weighted average exercise price (in USD per share) $ 21.00  
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Additional Disclosures [Abstract]    
Number of shares exercisable (in shares) 0  
$40.00 - $60.00    
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract]    
Options outstanding (in shares) 745,354  
Weighted average remaining contractual life (in years) 7 years 6 months  
Weighted average exercise price (in USD per share) $ 42.90  
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Additional Disclosures [Abstract]    
Number of shares exercisable (in shares) 0  
v3.25.1
Stock-based compensation - Summary of Vesting Information (Details) - $ / shares
 12 Months Ended
Mar. 31, 2024
Mar. 31, 2025
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Targeted number of awards (in shares) 2,616,432 3,362,498
Weighted average fair value per share (in USD per share) $ 6.30  
Minimum    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Range of shares that may be issued (in shares) 0  
Maximum    
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]    
Range of shares that may be issued (in shares) 2,616,432  
v3.25.1
Earnings per share - Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - USD ($)
$ / shares in Units, $ in Thousands
 2 Months Ended 12 Months Ended
Mar. 31, 2023
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Earnings Per Share, Basic [Abstract]        
Net income available to Nextracker Inc common stockholders, Income numerator $ 1,143 $ 509,168 $ 306,241  
Net income available to Nextracker Inc common stockholders, Weighted average shares 45,886,065 143,539,344 [1] 77,067,639 [1] 45,886,065 [1]
Net income available to Nextracker Inc common stockholders, Per share amount $ 0.02 $ 3.55 [1] $ 3.97 [1] $ 0.02 [1]
Earnings Per Share, Diluted, Other Disclosure [Abstract]        
Income attributable to non-controlling interests, Income numerator $ 2,446 $ 8,078 $ 189,974 $ 2,446
Income attributable to non-controlling interest and common stock equivalent from Class B common stock , Weighted average shares outstanding (in shares) 98,204,522 1,901,645 67,299,481  
Earnings Per Share, Diluted [Abstract]        
Net income available to Nextracker Inc. common stockholders, Income numerator $ 3,589 $ 517,246 $ 496,215  
Net income and comprehensive income, Weighted average shares outstanding (in shares) 145,851,637 149,275,950 [1] 147,284,330 [1] 145,851,637 [1]
Net income and comprehensive income, Per Share (in USD per share) $ 0.02 $ 3.47 [1] $ 3.37 [1] $ 0.02 [1]
Common stock equivalents from option awards        
Earnings Per Share, Diluted, Other Disclosure [Abstract]        
Common stock equivalents (in shares) 377,316 1,198,258 1,089,554  
Earnings Per Share, Diluted [Abstract]        
Income attributable to non-controlling interest and common stock equivalent from Class B common stock , Weighted average shares outstanding (in shares)   700,000 500,000 0
Common stock equivalents from RSUs        
Earnings Per Share, Diluted, Other Disclosure [Abstract]        
Common stock equivalents (in shares) 1,291,346 1,349,145 1,268,923  
Common stock equivalents from PSUs        
Earnings Per Share, Diluted, Other Disclosure [Abstract]        
Common stock equivalents (in shares) 92,388 1,287,558 558,733  
[1]
(1) For fiscal year 2023, basic and diluted income per share is applicable only for the period February 9, 2023 through March 31, 2023, which is the period following the initial public offering (“IPO”) and the related Transactions. See Note 8 for the calculation of shares used in the computation of earnings per share and the basis for the computation of earnings per share.
v3.25.1
Bank borrowings and long-term debt - Additional information (Details) - USD ($)
$ in Millions
Feb. 28, 2023
Mar. 31, 2025
Jun. 21, 2024
Jun. 20, 2024
Mar. 31, 2024
Feb. 13, 2023
Revolving Credit Facility | Line of Credit            
Debt Instrument [Line Items]            
Debt issuance costs, net     $ 6.0      
Unamortized debt issuance expense   $ 6.0        
Letter of Credit | Line of Credit            
Debt Instrument [Line Items]            
Line of credit facility, maximum borrowing, capacity     $ 500.0 $ 300.0    
Two Thousand Twenty Three Credit Agreement            
Debt Instrument [Line Items]            
Long-term debt, term           5 years
Debt instrument, basis spread on variable rate, financial metric period   12 months        
Two Thousand Twenty Three Credit Agreement | Long-Term Debt            
Debt Instrument [Line Items]            
Long-Term line of credit         $ 144.0  
Two Thousand Twenty Three Credit Agreement | Secured Overnight Financing Rate (SOFR)            
Debt Instrument [Line Items]            
Credit spread basis points, adjustment 0.10%          
Debt instrument, interest rate, effective percentage         7.12%  
Two Thousand Twenty Three Credit Agreement | Minimum | Secured Overnight Financing Rate (SOFR)            
Debt Instrument [Line Items]            
Basis points 1.625%          
Two Thousand Twenty Three Credit Agreement | Minimum | Base Rate            
Debt Instrument [Line Items]            
Basis points 0.625%          
Two Thousand Twenty Three Credit Agreement | Minimum | Eurodollar            
Debt Instrument [Line Items]            
Basis points 1.625%          
Two Thousand Twenty Three Credit Agreement | Maximum | Secured Overnight Financing Rate (SOFR)            
Debt Instrument [Line Items]            
Basis points 2.00%          
Two Thousand Twenty Three Credit Agreement | Maximum | Base Rate            
Debt Instrument [Line Items]            
Basis points 1.00%          
Two Thousand Twenty Three Credit Agreement | Maximum | Eurodollar            
Debt Instrument [Line Items]            
Basis points 2.00%          
Two Thousand Twenty Three Credit Agreement | Term Loan            
Debt Instrument [Line Items]            
Line of credit facility, maximum borrowing, capacity           $ 150.0
Long-Term line of credit         $ 147.7  
Two Thousand Twenty Three Credit Agreement | Term Loan | Other Current Liabilities            
Debt Instrument [Line Items]            
Long-Term line of credit         $ 3.7  
Two Thousand Twenty Three Credit Agreement | Revolving Credit Facility            
Debt Instrument [Line Items]            
Line of credit facility, maximum borrowing, capacity           500.0
Long-Term line of credit   $ 913.7        
Letters of credit outstanding, amount   $ 86.3        
Two Thousand Twenty Three Credit Agreement | Revolving Credit Facility | Minimum            
Debt Instrument [Line Items]            
Quarterly commitment fee on the undrawn portion 0.20%          
Two Thousand Twenty Three Credit Agreement | Revolving Credit Facility | Maximum            
Debt Instrument [Line Items]            
Long-Term line of credit           257.5
Quarterly commitment fee on the undrawn portion 0.35%          
Two Thousand Twenty Three Credit Agreement | Swing Line Loans            
Debt Instrument [Line Items]            
Long-Term line of credit           $ 50.0
v3.25.1
Supplemental cash flow disclosures - Summary Of Represents Supplemental Cash Flow Disclosures (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Supplemental Cash Flow Elements [Abstract]      
Income taxes paid $ 125,519 $ 28,551 $ 0
Interest paid 10,319 10,654 0
Unpaid purchases of property and equipment 1,663 1,596 206
TRA revaluation 7,635 23,823 0
Stock-based compensation tax benefits 1,698 0 0
Unpaid distribution to non-controlling interest holders 3,010 0 0
Other equity 3,476 0 0
Reclassification of redeemable non-controlling interest 0 622,292 0
Capitalized offering costs 0 0 (5,331)
Legal settlement paid by Parent 0 0 20,428
Paid-in-kind dividend for Series A redeemable preferred units 0 0 21,427
Settlement of assets and liabilities with Parent $ 0 $ 0 $ 52,529
v3.25.1
Supplemental cash flow disclosures - Summary Of Represents Supplemental Cash Flow Disclosures - Footnote (Details)
$ in Millions
 12 Months Ended
Mar. 31, 2025
USD ($)
Supplemental Cash Flow Elements [Abstract]  
Insurance recoverable set off $ 22.3
Income taxes, credit, net of transfer $ 63.8
v3.25.1
Relationship with Flex - Additional information (Details)
$ in Thousands
 12 Months Ended
Mar. 31, 2023
USD ($)
Related Party Transaction [Line Items]  
Net transfers to parent $ (31,544)
Related Party | Flex Ltd  
Related Party Transaction [Line Items]  
Net transfers to parent 5,200
General and administrative expense 3,400
Cost of good sold and services sold 1,800
Related party transaction purchases from related party $ 67,100
v3.25.1
Relationship with Flex - Summary of Material Transactions Reflected in Accumulated Net Parent Investment (Details)
$ in Thousands
 12 Months Ended
Mar. 31, 2023
USD ($)
Related Party Transaction [Line Items]  
Net transfers to parent $ (31,544)
Corporate allocations (excluding stock-based compensation expense)  
Related Party Transaction [Line Items]  
Net transfers to parent 1,483
Transfers of Operations to Nextracker  
Related Party Transaction [Line Items]  
Net transfers to parent (39,025)
Net cash pooling activities  
Related Party Transaction [Line Items]  
Net transfers to parent (35,240)
Income taxes  
Related Party Transaction [Line Items]  
Net transfers to parent $ 41,238
v3.25.1
Commitments and contingencies - Additional Information (Details) - USD ($)
$ in Millions
 12 Months Ended
Feb. 06, 2024
Mar. 31, 2025
Aug. 18, 2023
Noncontrolling Interest [Line Items]      
Noncontrolling interest, pro rata tax distribution to noncontrolling interest holders $ 94.3    
Percentage of value of imported merchandise     250.00%
Cash deposit for number of CSPV imports   $ 1.0  
Yuma, Inc      
Noncontrolling Interest [Line Items]      
Noncontrolling interest, pro rata tax distribution to noncontrolling interest holders $ 48.5    
v3.25.1
Income taxes - Summary of Income before Income Tax, Domestic and Foreign (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Income Tax Disclosure [Abstract]      
Domestic $ 620,166 $ 576,009 $ 117,115
Foreign 27,850 31,988 51,968
Income before income taxes $ 648,016 $ 607,997 $ 169,083
v3.25.1
Income taxes - Summary of Components of Income Tax Expense (Benefit) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Current:      
Domestic $ 132,181 $ 65,286 $ 35,244
Foreign 11,486 7,904 18,238
Total 143,667 73,190 53,482
Deferred:      
Domestic (13,452) 30,496 (8,660)
Foreign 555 8,096 2,928
Total (12,897) 38,592 (5,732)
Provision for income taxes $ 130,770 $ 111,782 $ 47,750
v3.25.1
Income taxes - Summary of Effective Income Tax Rate Reconciliation (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Income Tax Disclosure [Abstract]      
Income taxes based on domestic statutory rates $ 136,083 $ 127,679 $ 35,508
Effect of tax rate differential 1,682 2,165 7,487
Foreign-derived intangible income deduction (20,747) (9,055) (3,235)
Foreign disregarded entities 6,261 5,574 11,020
Foreign tax deduction 0 0 (3,659)
Change in TRA Liability 23 (12,416) 0
Amount allocated to non-controlling interest (1,702) (41,348) (1,671)
Stock-based compensation 7,097 0 0
State 15,314 7,810 4,535
Change in state effective rate (7,494) 31,279 0
Guaranteed payment on Series A Preferred Units 0 0 (4,500)
Other (5,747) 94 2,265
Provision for income taxes $ 130,770 $ 111,782 $ 47,750
v3.25.1
Income taxes - Summary of Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Mar. 31, 2024
Deferred tax liabilities:    
Foreign taxes $ (18,128) $ (14,319)
Fixed assets (2,871) (3)
Intangible assets (10,329) 0
Others (4,047) (763)
Total deferred tax liabilities (35,375) (15,085)
Deferred tax assets:    
Stock-based compensation 24,125 15,629
Net operating loss and other carryforwards 23,417 5,032
Investment in Nextracker LLC 435,802 384,594
Interest deduction on investment in Nextracker LLC 28,267 25,122
Foreign tax credits 13,632 9,455
Others 9,962 5,908
Total deferred tax assets 535,205 445,740
Valuation allowances (1,052) (1,173)
Total deferred tax assets, net of valuation allowances 534,153 444,567
Net deferred tax asset 498,778 429,482
The net deferred tax asset is classified as follows:    
Long-term asset 498,778 438,272
Long-term liability 0 (8,790)
Total $ 498,778 $ 429,482
v3.25.1
Income taxes - Additional Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Feb. 13, 2023
Income Tax Contingency [Line Items]      
Deferred tax assets tax losses and other carryforwards $ 23,400    
Deferred tax assets valuation allowance 1,052 $ 1,173  
Undistributed earnings of foreign subsidiaries 77,900    
Deferred tax liability 5,500    
Income taxes, credit, net of transfer 63,800    
Percentage of tax benefits on tax receivable agreement     85.00%
Deferred tax asset  tax receivable agreement 435,800 384,600  
Other tax related income 100 28,400  
Proceeds from (payments to) noncontrolling interests 6,100 66,900  
Tax Receivable Agreement      
Income Tax Contingency [Line Items]      
Total liabilities relating to tax receivable agreement 419,400 391,600  
Liabilities related to tax receivable agreement $ 394,900 $ 391,600  
v3.25.1
Income taxes - Summary of Operating Loss Carryforwards (Details)
$ in Thousands
Mar. 31, 2025
USD ($)
Operating Loss Carryforwards [Line Items]  
Deferred tax assets, operating loss carryforwards $ 23,417
2026 - 2031  
Operating Loss Carryforwards [Line Items]  
Deferred tax assets, operating loss carryforwards 0
2032 - 2037  
Operating Loss Carryforwards [Line Items]  
Deferred tax assets, operating loss carryforwards 364
2038 - Post  
Operating Loss Carryforwards [Line Items]  
Deferred tax assets, operating loss carryforwards 139
Indefinite  
Operating Loss Carryforwards [Line Items]  
Deferred tax assets, operating loss carryforwards $ 22,914
v3.25.1
Income taxes - Schedule of Unrecognized Tax Benefits Roll Forward (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]      
Unrecognized Tax Benefits, Beginning Balance $ 349 $ 434 $ 440
Increase / (decrease) to tax positions in prior period (4) (85) (6)
Increase due to business combinations 1,118 0 0
Lapse of statute of limitations (345) 0 0
Unrecognized Tax Benefits, Ending Balance $ 1,118 $ 349 $ 434
v3.25.1
Segment reporting - Schedule of Segment Reporting Information, by Segment (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Segment Reporting Information [Line Items]      
Revenue $ 2,959,197 $ 2,499,841 $ 1,902,137
Selling, general and administrative expenses 290,321 183,571 96,869
Research and development 79,392 42,360 21,619
Interest expense 13,096 13,820 1,833
Other income, net (22,000) (34,699) (2,431)
Provision for income taxes 130,770 111,782 47,750
Net income and comprehensive income 517,246 496,215 121,333
Reportable Segment      
Segment Reporting Information [Line Items]      
Revenue 2,959,197 2,499,841 1,902,137
Material cost 1,799,343 1,498,699 1,184,291
45X vendor credits (224,879) (121,405) 0
Freight, labor and other cost of sales 375,908 309,498 430,873
Selling, general and administrative expenses 290,321 183,571 96,869
Research and development 79,392 42,360 21,619
Interest expense 13,096 13,820 1,833
Other income, net (22,000) (34,699) (2,431)
Provision for income taxes 130,770 111,782 47,750
Net income and comprehensive income $ 517,246 $ 496,215 $ 121,333
v3.25.1
Segment reporting - Summary of Geographic Information of Revenue (Details) - USD ($)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
Mar. 31, 2024
Mar. 31, 2023
Revenue, Major Customer [Line Items]      
Revenue $ 2,959,197 $ 2,499,841 $ 1,902,137
U.S. | Geographic Concentration Risk | Revenue Benchmark      
Revenue, Major Customer [Line Items]      
Revenue $ 2,031,603 $ 1,702,611 $ 1,298,596
Concentration risk percentage 69.00% 68.00% 68.00%
Rest of the World | Geographic Concentration Risk | Revenue Benchmark      
Revenue, Major Customer [Line Items]      
Revenue $ 927,594 $ 797,230 $ 603,541
Concentration risk percentage 31.00% 32.00% 32.00%
Brazil | Geographic Concentration Risk | Revenue Benchmark      
Revenue, Major Customer [Line Items]      
Revenue $ 0 $ 281,272 $ 295,846
Concentration risk percentage   11.00% 16.00%
v3.25.1
Segment reporting - Additional Information (Details)
$ in Thousands
 12 Months Ended
Mar. 31, 2025
USD ($)
segment
Mar. 31, 2024
USD ($)
segment
Mar. 31, 2023
segment
Revenue, Major Customer [Line Items]      
Number of operating segments | segment 1 1 1
Number of reportable segments | segment 1 1 1
Property and equipment, net | $ $ 60,395 $ 9,236  
Geographic Concentration Risk | Property, plant and equipment | U.S.      
Revenue, Major Customer [Line Items]      
Property and equipment, net | $ $ 56,600 $ 9,000  
v3.25.1
Business acquisitions - Additional Information (Details)
$ in Thousands
 1 Months Ended 12 Months Ended
Jun. 20, 2024
USD ($)
May 31, 2025
USD ($)
acquisition
Mar. 31, 2025
USD ($)
business
Mar. 31, 2024
USD ($)
Mar. 31, 2023
USD ($)
Asset Acquisition [Line Items]          
Number of business acquired | business     3    
Payments to acquire business, net of cash acquired     $ 152,175 $ 0 $ 0
Developed technology          
Asset Acquisition [Line Items]          
Weighted-average remaining useful life (in years)     9 years 4 months 24 days    
Customer relationships          
Asset Acquisition [Line Items]          
Weighted-average remaining useful life (in years)     4 years 2 months 12 days    
Ojjo, Inc.          
Asset Acquisition [Line Items]          
Business acquisition, percentage of voting interest acquired 100.00%        
Payments to acquire business, net of cash acquired $ 144,700        
Cash acquired from acquisition 4,400        
Business combination, consideration transferred 164,700        
Business combination, deferred contingent consideration 14,000        
Business combination, recognized identifiable asset acquired and liability assumed, loan obligation 3,400        
Business combination, contingent consideration, liability 2,600        
Business combination, contingent consideration arrangements, range of outcomes, value, high $ 6,000        
Business combination, contingent consideration arrangements, term 4 years        
Business combination. acquisition related costs $ 5,300        
Ojjo, Inc. | Developed technology          
Asset Acquisition [Line Items]          
Finite-lived intangible assets acquired     $ 31,700    
Weighted-average remaining useful life (in years)     10 years    
Ojjo, Inc. | Customer relationships          
Asset Acquisition [Line Items]          
Finite-lived intangible assets acquired     $ 18,000    
Weighted-average remaining useful life (in years)     5 years    
Immaterial Acquisition | Developed technology          
Asset Acquisition [Line Items]          
Finite-lived intangible assets acquired     $ 7,500    
Weighted-average remaining useful life (in years)     10 years    
Series of Individually Immaterial Business Acquisitions | Subsequent Event          
Asset Acquisition [Line Items]          
Number of business acquired | acquisition   2      
Payments to acquire business, net of cash acquired   $ 90,000      
Business combination, consideration transferred   $ 119,000      
v3.25.1
Business acquisitions - Schedule of Recognized Identified Assets Acquired and Liabilities Assumed (Details) - USD ($)
$ in Thousands
Mar. 31, 2025
Jun. 20, 2024
Mar. 31, 2024
Asset Acquisition [Line Items]      
Goodwill $ 371,018   $ 265,153
Other assets   $ 4,633  
Ojjo, Inc.      
Asset Acquisition [Line Items]      
Current assets   5,484  
Property and equipment   23,576  
Intangible assets   49,700  
Goodwill   105,865  
Total assets   189,258  
Current liabilities   17,467  
Other liabilities, non-current   7,074  
Total purchase price, net of cash acquired   $ 164,717