Shoals now making battery energy storage components in new factory in Tennessee

Shoals Technologies Group has opened a new 638,000-square-foot manufacturing campus in Portland, Tennessee, which replaces three smaller factories in the same state, and now produces components for battery energy storage projects, along with its well-known solar production, along with data center components for electrical balancy of system.

The company said the new facility was given an initial $30 million investment, and will scale up to $80 million over the next five years to ramp production. The company celebrates its 30th anniversary in 2026 and the new facility aims to increase US-based manufacturing capacity amid rising demand for domestically produced goods.

The manufacturing expansion comes as Shoals reported its financial results for Q1 2026, with revenues down 14% year on year, recorded at $90.8 million, compared to $105.1 million in 2025, with results said to be impacted by project timing, and production shifts to the new plant.

The company said it is seeing sustained demand for the company’s Big Lead Assembly (BLA) and plug-and-play solar solutions, and also noted that automation on production lines in the new facility should drive long-term margin expansion by “reducing labor intensity” and improving throughput for high-demand BESS and data center product lines.