Aug 5, 2026, 4:08 PM ETUtilities

Fluence Energy, Inc. — Third Fiscal Quarter 2026 Earnings Summary

FLNCFLUENCE ENERGY INC

Financial Performance

Revenue for the three months ended June 30, 2026, was approximately $649.8 million, compared to $602.5 million in the same quarter last year.
GAAP gross profit margin was approximately 5.1% for the quarter, down from 14.8% in the prior year period.
Adjusted gross profit margin was approximately 5.9% for the quarter, compared to 15.4% in the prior year period.
Net loss for the three months ended June 30, 2026, was approximately $44.3 million, compared to net income of $6.9 million in the prior year period.
Net loss for the nine months ended June 30, 2026, was approximately $136.1 million, compared to a net loss of $92.1 million in the prior year period.
Adjusted EBITDA for the three months ended June 30, 2026, was approximately $(29.3) million, compared to positive Adjusted EBITDA in the prior year period.
Adjusted EBITDA for the nine months ended June 30, 2026, was approximately $(90.8) million, compared to a loss of $(52.7) million in the prior year period.
Total liquidity as of June 30, 2026, was approximately $863.0 million, including total cash of approximately $365.0 million.
Deferred revenue as of June 30, 2026, was $956.5 million, up from $640.5 million as of September 30, 2025.
Convertible senior notes, net, were $392.2 million as of June 30, 2026, compared to $390.8 million as of September 30, 2025.

Revised fiscal year 2026 revenue guidance is now approximately $2.9 billion to $3.1 billion (midpoint $3.0 billion), down from the prior range of $3.2 billion to $3.6 billion (midpoint $3.4 billion).
Revised fiscal year 2026 Adjusted EBITDA guidance is now approximately $(30.0) million to $10.0 million (midpoint $(10.0) million), down from the prior range of $40.0 million to $60.0 million (midpoint $50.0 million).
Fiscal year 2026 annual recurring revenue guidance remains unchanged at approximately $180.0 million by the end of the fiscal year.
Approximately $400.0 million in project deliveries are expected to be delayed into fiscal 2027 due to production issues at a new international contract manufacturing facility and construction delays at a new U.S. facility.
Management expects to achieve targeted production levels early in fiscal 2027.

Order intake for the fiscal quarter ended June 30, 2026, exceeded $1.44 billion, nearly triple the $508.8 million recorded in the same quarter last year.
Backlog as of June 30, 2026, reached approximately $6.4 billion, the highest level in company history.
Secured approximately $850.0 million of data center business through July, including the company's first large behind-the-meter order signed in the third quarter and approximately $550.0 million of awards from a hyperscaler in July 2026.
Energy Storage Products and Solutions deployed capacity increased to 7.4 GW (19.3 GWh) as of June 30, 2026, from 6.8 GW (17.8 GWh) as of September 30, 2025.
Contracted backlog for Energy Storage Products and Solutions increased to 12.6 GW as of June 30, 2026, from 9.1 GW as of September 30, 2025.
Pipeline for Energy Storage Products and Solutions increased to 45.6 GW (163.7 GWh) as of June 30, 2026, from 35.7 GW (122.0 GWh) as of September 30, 2025.
Services assets under management increased to 6.3 GW as of June 30, 2026, from 5.6 GW as of September 30, 2025.
Digital assets under management increased to 22.8 GW as of June 30, 2026, from 22.0 GW as of September 30, 2025.

Customer demand for Fluence solutions continues to strengthen, driven by differentiated technology, digital capabilities, and growing power needs of utilities, developers, and data centers.
The company is increasing production capacity globally to meet growing demand.
The company is a global market leader delivering intelligent energy storage, operational services, and asset optimization software across nearly 50 markets.

Revenue was weaker than expected primarily reflecting production delays at new contract manufacturing facilities.
Adjusted gross profit margin decline was driven by delays to revenue, initial costs of deploying new product platforms, and recognized upfront costs associated with a planned agreement for long-term international battery cell supply.
An approximately $15 million upfront cost associated with the planned agreement for long-term international battery supply contributed to the reduced Adjusted EBITDA outlook.
Forward-looking statements are subject to risks including delays, disruptions, and quality control problems in manufacturing operations; supplier concentration; and potential contract cancellations or deferrals by customers.

Julian Nebreda, President and CEO, stated that while production has been behind expectations for the year, steps have been taken to achieve targeted production levels early in fiscal 2027.
Management expressed confidence in the long-term opportunity ahead and their positioning to capitalize on it, citing record order intake and backlog.
Ahmed Pasha, CFO, noted that delayed revenue remains in backlog and is expected to be recognized in fiscal 2027, and that the company ended the quarter with strong liquidity providing flexibility for future growth.

The company recognized an upfront cost associated with a planned agreement for long-term international battery cell supply.
The company secured its first large behind-the-meter order during the third quarter.
Total liquidity includes cash, restricted cash, and capacity available under working capital facilities, net of letters of credit issued.
As of June 30, 2026, there were $193.0 million of outstanding letters of credit under the revolving credit facility, with remaining availability of $307.0 million.
The company has a Tax Receivable Agreement with related parties which impacts Adjusted EBITDA calculations.