Sep 2, 2026, 7:35 AM ETIndustrials

FuelCell Energy — Third Fiscal Quarter 2026 Earnings Summary

FCELFUELCELL ENERGY INC

Financial Performance

Revenue for the quarter ended July 31, 2026, was $33.0 million, a 29% decrease compared to $46.7 million in the prior year period.
Gross loss was $(24.5) million, an increase of approximately 377% from $(5.1) million in the prior year period.
Loss from operations was $(46.7) million, a 51% decrease from $(95.4) million in the prior year period.
Net loss was $(45.3) million, a 51% decrease from $(91.9) million in the prior year period.
Net loss per share attributable to common stockholders was $(0.64), compared to $(3.78) in the prior year period.
Adjusted EBITDA was $(36.7) million, compared to $(16.4) million in the prior year period.
Cash, cash equivalents, restricted cash, and restricted cash equivalents totaled $737.3 million as of July 31, 2026, compared to $341.8 million as of October 31, 2025.
Total Committed Backlog was $1.3 billion as of July 31, 2026, up 4.1% from $1.24 billion as of July 31, 2025.
Total Committed and Awarded Capacity Backlog reached $3.6 billion as of July 31, 2026, up from $1.24 billion in the prior year period.
Deferred revenue increased to $19.4 million (current) and $14.0 million (long-term) as of July 31, 2026, from $2.7 million (current) and $6.0 million (long-term) as of October 31, 2025.
Current portion of long-term debt was $18.8 million as of July 31, 2026, compared to $15.8 million as of October 31, 2025.

The Company targets achieving an annualized production rate of 100 MW at its Torrington facility by October 2026.
Management targets achieving positive Adjusted EBITDA results in the fourth quarter of fiscal 2027, subject to the conversion of Awarded Capacity Backlog into Committed Backlog, customer delivery schedules, and cost reduction initiatives.
Expansion of the Torrington manufacturing facility to 500 MW of total annualized production capacity is expected to be completed by June 2028.
Delivery of the initial phase (Phase 0) of the Fit Energy agreement, representing 30 MW of generation capacity, is expected to begin in the fourth quarter of fiscal 2026.

Revenue composition for the quarter included Product ($18.0 million), Service ($2.4 million), Generation ($8.8 million), and Advanced Technologies ($3.8 million).
The Company signed a capital equipment purchase agreement with Fit Energy USA LP for up to 380 MW of generation capacity across four phases to supply baseload power for data centers.
Subsequent to the quarter, the Company signed its first Capacity Reservation Agreement with a major data center operator for a planned 75 MW project in Texas, supported by an upfront reservation payment.
The Company delivered the first two carbon capture modules to ExxonMobil Technology and Engineering Company in Rotterdam, The Netherlands.
The Company completed the repowering of the Gyeonggi Green Energy fuel cell park in South Korea, delivering all 42 committed modules and generating $18 million of product revenue in the quarter.
An MOU was signed with Siemens to support faster, lower-cost deployment of 100+ MW commercial projects through the design and supply of electrical balance of plant systems.
Sales pipeline increased to approximately 10 gigawatts for fiscal year 2026.

Management cites accelerating demand for electricity driven by AI, data centers, and broader electrification as key market tailwinds.
The Company highlights customer demand for reliable, scalable infrastructure that reduces dependence on constrained transmission systems and simplifies permitting.
The Fit Energy agreement validates the Company's ability to meet demand for utility-scale, behind-the-meter power solutions that accelerate time-to-power.

Gross loss increased due to product costs and manufacturing overhead exceeding contractual pricing established under the Fit Energy agreement, driven by an annualized production rate of approximately 37.1 MW during the quarter.
Charges totaling $17.0 million were recorded reflecting the impact of contractual pricing provisions associated with specific inventory and firm purchase commitments for Phase 0 of the Fit Energy agreement.
Revenue decreased due to fewer module deliveries to customers in Korea and lower operating output from plants in the generation portfolio, including the Groton Project which was not operating pending an equipment upgrade.
Awarded Capacity Backlog is not contracted backlog and may not convert to Committed Backlog or revenue.

CEO Jason Few stated the Company accelerated commercial execution of its data center strategy while expanding manufacturing capacity required for long-term growth.
Management described the Fit Energy agreement as an important commercial milestone validating the Company's technology for data center applications.
Management expressed confidence in being well-positioned to capitalize on long-term market tailwinds due to a growing commercial pipeline, expanding manufacturing capacity, and differentiated technology.
Management noted that as production volumes increase, they expect improved absorption of fixed manufacturing overhead and continued cost reduction initiatives to lower per-unit costs.

On July 9, 2026, the Company completed an underwritten public offering of 12,321,429 shares at $21.00 per share, generating net proceeds of approximately $245.5 million.
During the quarter, the Company sold approximately 4.1 million shares under its Open Market Sale Agreement at an average price of $13.31 per share, resulting in net proceeds of approximately $52.9 million.
The Company recorded $17.0 million in charges related to inventory and purchase commitments for Phase 0 of the Fit Energy agreement, which management expects to be limited to identified inventory and commitments for that phase.
The Gyeonggi Green Energy project in South Korea is supported by multi-million-dollar loans from the Export-Import Bank of the United States.
The ExxonMobil collaboration marks the first industrial-scale demonstration of jointly developed carbon capture technology, capturing CO₂ directly from industrial sources while generating power and hydrogen.