Executive Summary
FuelCell Energy reported a Q2 2025 quarter characterized by meaningful top-line growth but continued negative gross margins and a substantial bottom-line loss. Revenue rose to $37.41 million, up 66.8% year over year and 96.9% quarter over quarter, reflecting ongoing demand for its distributed power solutions and services. However, gross profit remained negative at -$9.44 million, yielding a gross margin of -25.2%, with operating and net income showing sharp losses (-$35.81 million and -$38.05 million, respectively). EBITDA was -$24.23 million, underscoring a material burn in the quarter despite improving operating metrics on a YoY basis. The company ended the period with robust liquidity: cash and cash equivalents of $116.06 million and total liquidity including short-term investments of $176.97 million, while net debt stood at $34.36 million against $135.66 million of total debt. These dynamics suggest a cash runway sufficient to pursue near-term growth initiatives while the business works to translate Topline momentum into meaningful operating leverage.
Key Performance Indicators
QoQ: -81.36% | YoY:-33.42%
QoQ: -30.64% | YoY:-18.39%
QoQ: -26.06% | YoY:-2 362.17%
Key Insights
Revenue: $37.406 million; YoY +66.8%, QoQ +96.9%. Gross Profit: -$9.438 million; Gross Margin -25.23% (YoY -33.42%, QoQ -81.36%). Operating Income: -$35.81 million; Op Margin -95.73% (YoY +13.42%, QoQ -9.01%). Net Income: -$38.05 million; Net Margin -101.72% (YoY -18.39%, QoQ -30.64%). EBITDA: -$24.23 million; EBITDA Margin -64.77%. Earnings per Share (EPS): -$1.79; Diluted EPS: -$1.79; Weighted Avg Shares: 21.74 million. Free Cash Flow: -$35.08 million. Operating Cash Flow: -$29.89 million. Cas...
Financial Highlights
Revenue: $37.406 million; YoY +66.8%, QoQ +96.9%. Gross Profit: -$9.438 million; Gross Margin -25.23% (YoY -33.42%, QoQ -81.36%). Operating Income: -$35.81 million; Op Margin -95.73% (YoY +13.42%, QoQ -9.01%). Net Income: -$38.05 million; Net Margin -101.72% (YoY -18.39%, QoQ -30.64%). EBITDA: -$24.23 million; EBITDA Margin -64.77%. Earnings per Share (EPS): -$1.79; Diluted EPS: -$1.79; Weighted Avg Shares: 21.74 million. Free Cash Flow: -$35.08 million. Operating Cash Flow: -$29.89 million. Cash at End of Period: $179.12 million. Total Assets: $883.84 million. Total Liabilities: $205.05 million. Total Stockholders’ Equity: $669.03 million. Net Debt: $34.36 million.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
37.41M |
66.84% |
96.90% |
| Gross Profit |
-9.44M |
-33.42% |
-81.36% |
| Operating Income |
-35.81M |
13.42% |
-9.01% |
| Net Income |
-38.05M |
-18.39% |
-30.64% |
| EPS |
-1.79 |
-2 362.17% |
-26.06% |
Management Commentary
Transcript highlights not provided in the supplied data. No earnings call transcript was included for QQ2 2025, so management quotes and thematic takeaways could not be extracted from the transcript. Investors should refer to the official earnings call or 10-Q for verbatim management commentary.
Transcript not available for QQ2 2025; no management quotes to quote.
— N/A
Transcript not available for QQ2 2025; no management quotes to quote.
— N/A
Forward Guidance
No formal forward guidance was published in the disclosed documents for QQ2 2025. Outlook relies on industry tailwinds for decarbonization and hydrogen adoption,FuelCell Energy’s ability to scale SureSource deployments, and progress in hydrogen production platforms. Key near-term considerations include the pace of cost reductions to improve gross margins, the rate of new order bookings, and the company’s ability to monetize its carbon capture and hydrogen initiatives without disproportionately increasing SGA or R&D spend. Investors should monitor potential catalysts such as backlog growth, customer enrichment in mid-market utilities, and any government subsidies or tax incentives that could impact project economics.