SEC Filing Document

Company: ERock, Inc.
Ticker: 
CIK: 2110029
Filing Type: DRS/A
Document Type: DRS/A
Date Filed: 2026-04-24
Accession Number: 0001193125-26-177695
Exchange: 
SIC Code: 3620
SIC Description: Electrical Industrial Apparatus
URL: https://www.sec.gov/Archives/edgar/data/2110029/000119312526177695/filename1.htm

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separately as belonging to the customer, and the Company cannot use the generator or direct it to another customer. • Power System Sales Installation Services Revenues. The Company provides installation services to prepare, construct, and install distributed generation power systems designed to provide resiliency power for commercial and industrial customers. These services inherently include the procurement and integration of transformers, switchgear, and other supporting equipment. These service contracts can occur over several months or a multiyear period. The revenues through service contracts are generated under fixed-price contracts with certain reimbursable variable revenues and costs. The Company recognizes revenues over time because the Company’s performance creates or enhances an asset that the customer controls as the asset is created or enhanced. The Company measures progress using the cost-to-cost method (percentage of costs incurred to total estimated costs), as this best depicts the transfer of value to the customer. Ongoing Services Revenues

• Ongoing Services. The Company provides ongoing services to operate and maintain distributed generation
power systems designed to provide resiliency power for commercial and industrial customers. These services primarily consist of operations and maintenance services and asset management services arrangements. The Company’s ongoing services are
generally stand-ready obligations satisfied over time. For fixed-fee arrangements, the Company recognizes revenue either (i) ratably over the contract term or (ii) on an as-invoiced basis, applying the practical expedient to recognize revenue in the amount to which the entity has a right to invoice, if the entity has a right to consideration from a customer in an amount that
corresponds directly with the value to the customer of the entity’s performance completed to date (e.g. usage-based fees).

• Service-Type Warranty. The Company sells separately priced service-type warranties that provide
coverage beyond the standard manufacturer’s warranty. Revenues from these warranties are recognized ratably over the warranty period. For the years ended December 31, 2025 and 2024, there were $1.5 million and $0.9 million,
respectively, of service warranty revenues recognized in the consolidated financial statements.

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Enchanted Rock Holdings, LLC

Notes to Consolidated Financial Statements

December
31, 2025 and 2024

Remaining Performance Obligations

Remaining performance obligations represent performance obligations that are unsatisfied or partially satisfied as of the end
of each reporting period. The Company measures remaining performance obligations based on the aggregate transaction price allocated to such performance obligations that have not yet been recognized as revenue as of the reporting date. In determining
termination payment clauses, as such provisions create enforceable rights and obligations that are considered in assessing the transaction price and the duration of the contract. Contracts that do not contain substantive termination payment clauses
are excluded from the remaining performance obligation disclosure.

Contract Combination

The Company may enter into contracts that include Power System Sales Product, Power System Sales Installation Services, Ongoing
Services, and/or Service-Type Warranties negotiated as a package and entered into at or near the same time with the same customer. The Company evaluates whether such contracts should be combined and accounted for as a single contract when the
criteria for contract combination are met. Although these products and services may be negotiated together and combined into a single contract, the Company has determined that they represent distinct performance obligation services that are capable
of being distinct and for which the customer can benefit independently. Accordingly, the Company accounts for these goods and services separately and allocates the transaction price to each based on their relative standalone selling prices.

Transaction Price and Variable Consideration

The Company allocates the transaction price to each distinct performance obligation based on relative stand-alone selling
prices. Stand-alone selling prices are based on observable prices when available; otherwise, the Company estimates stand-alone selling prices using an expected cost plus margin approach, applied consistently in similar circumstances.

Variable consideration amounts, including performance incentives, early pay discounts, and penalties, may also cause changes
in contract estimates. The amount of variable consideration is estimated based on either the expected value method or the most likely amount method, depending on which method the Company expects to better predict the amount of consideration to which
it will be entitled. The estimated amount is constrained such that it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur once the uncertainty is resolved.

Certain of the Company’s contracts for Ongoing Services include variable consideration in the form of a profit-sharing
arrangement that entitles the Company to receive a share of monthly positive cash flows. The performance fees related to these arrangements are generally constrained.

Contract Estimates and Modifications

Due to the nature of fixed-price power system sales installation services contracts, costs can vary from estimates due to
factors such as scope changes, unforeseen conditions, or material cost fluctuations that will directly impact revenue recognized each period. Changes in estimates are recognized on a cumulative catch-up basis
in the period in which the revisions are made. The net impact of these changes in estimates

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Enchanted Rock Holdings, LLC

Notes to Consolidated Financial Statements

December
31, 2025 and 2024

was not material on an individual contract or aggregate level for the year ended December 31, 2024. The aggregate favorable change in estimate for 2025 was approximately $8 million, but no
material changes to contract estimates on an individual contract basis.

On occasion, the Company approves change orders
that modify the scope and price of a contract and accounts for those change orders as follows:

• If the change order adds distinct goods or services and those goods and services are priced at standalone
selling prices, it is accounted for as a separate contract.

• If the change order is not distinct (e.g., additional installation work), it is accounted for as part of the
existing contract, and the effect on the transaction price and measure of progress is recognized as a cumulative catch-up adjustment to revenue.

Contract Balances and Payment Terms

Payment Terms: Payment terms vary by contract type but are generally due within 30 days. Power system sales installation
services contracts typically require milestone payments in advance of performance (resulting in contract liabilities), while ongoing services contracts are billed in arrears.

Significant Financing Component: The Company has elected the practical expedient to not adjust the promised amount of
consideration for the effects of a significant financing component if the Company expects, at contract inception, that the period between the transfer of a promised good or service and when the customer pays for that good or service will be one year
or less. Occasionally in a long-term contract, the Company experiences a difference between payment and performance of greater than one year. The Company would not consider such cases to give rise to a significant financing component, as payments in
advance of services performed (i.e., resulting in contract liabilities) are primarily structured to secure the contract, offset the initial cost of procuring materials and protect the Company from customer nonperformance.

Contract Assets and Liabilities: With respect to the Company’s Installation Services contracts, interim payments
are typically received as work progresses in accordance with agreed-upon contractual terms, either at periodic intervals or upon achievement of contractual milestones. As a result, under fixed-price contracts,
the timing of revenue recognition and contract billings result in contract assets and contract liabilities.

• Contract assets represent revenues recognized in excess of amounts billed for fixed-price contracts and are
current assets that are transferred to accounts receivable when billed or the billing rights become unconditional.

• Contract liabilities represent billings in excess of revenues recognized for fixed-price contracts. These
arise under certain contracts that allow for upfront payments from the customer or contain contractual billing milestones, which result in billings that exceed the amount of revenues recognized for certain periods.

• Contract assets and liabilities are recorded on a net basis at the individual contract level at the end of
each reporting period.

Table of Contents

Enchanted Rock Holdings, LLC

Notes to Consolidated Financial Statements

December
31, 2025 and 2024

Contract Costs

The Company capitalizes incremental costs of obtaining a contract, such as sales commissions, if the Company expects to recover
those costs. For the year ended December 31, 2025 and 2024, there was zero and $0.2 million, respectively, contract costs incurred that are recorded as deferred contract costs within other assets in the consolidated balance sheets and are
amortized on a straight-line basis over the expected period of benefit, which is generally the contract term. The Company applies the practical expedient to recognize the incremental costs of obtaining a contract as an expense when incurred if the
amortization period of the asset that the entity otherwise would have recognized is one year or less.

Other Revenue Policies

Sales Taxes: Amounts collected on behalf of their parties (such as sales and similar taxes) are excluded from revenue.