Shares of Itron fell 4.9% after quarterly earnings, as investors reacted to a year-over-year revenue decline and reduced non-GAAP earnings per share, driven by timing of large Networks projects and lower interest income.

• First quarter revenue was $587 million, down from the prior year, reflecting anticipated project timing headwinds in large Networks deployments.
• Non-GAAP earnings per share declined to $1.49 from $1.52, as lower interest income offset improved gross margins and operating leverage.
• Non-GAAP adjusted gross margin improved 490 basis points year-over-year to 40.7%, aided by favorable mix and operational efficiencies.
• Backlog remains strong at $4.4 billion; Outcomes and Resiliency Solutions now comprise 25% of backlog, supported by new contract wins.
• Free cash flow reached $79 million, while Outcomes segment revenue grew 22% year-over-year and annual recurring revenue rose 28%.