FuelCell Energy reported a strong top-line uptick in QQ4 2024, with revenue of $49.326 million, up 119.6% year over year and 108.2% quarter over quarter, reflecting activity around newer SureSource deployments and project progress. Despite the revenue ramp, profitability remained negative, with gross profit of -$10.917 million and an operating loss of -$41.032 million, driven primarily by high operating expenses and depreciation/amortization. EBITDA stood at -$28.251 million and net income at -$41.416 million, underscoring the ongoing business-model transition from a capex-heavy growth phase toward sustainable scale. On the balance sheet, FuelCell Energy exhibits a strong liquidity position, reporting cash and cash equivalents of $160.294 million and short-term investments of $109.123 million, with total cash and investments of $257.256 million and a net cash position of approximately -$134.669 million, supported by a total stockholders’ equity of $716.779 million against total liabilities of $216.658 million.
Operationally, the quarter demonstrates a positive operating cash flow of $5.845 million, but free cash flow remains negative at -$4.763 million due to capex and investing activities. The company’s liquidity provides a runway to invest in strategic initiatives such as hydrogen production capabilities (SureSource Hydrogen) and carbon capture (SureSource Capture) without immediate balance-sheet strain, even as near-term profitability is still a challenge. Investors should monitor revenue trajectory, gross margin stabilization, and progress toward commercialization milestones in hydrogen and carbon capture platforms as indicators of longer-term value creation.