Companies /Industrials

Fuelcell Energy Inc

NASDAQ: FCEL Electrical Equipment & Parts
$15.89
▲ $0.30 (+1.89%) today
Markets open · 3:36pm ET

Q3 2026 Earnings

Reported Sep 2, 2026, 7:35am ET · SEC source
$-0.64
Miss −62.23%
EPS · est. $-0.39 GAAP

Q3 FY2026 includes $17.0 million in charges related to contractual pricing provisions on inventory and firm purchase commitments for Phase 0 of the Fit Energy CEPA. Adjusted net loss per share was also $(0.64) after adjusting for $2.452 million stock-based compensation and $(1.917) million unrealized gain on natural gas derivatives.

$33.0M
Miss −14.98%
Revenue · est. $38.8M
2 quarters
Consecutive EPS misses

Market Reaction

% change · around the report
−6%0+6%+12%Sep 2Sep 3report 7:35am ETearnings+1.5%−3.1%
−6%0+6%+12%Sep 2Sep 3earnings+1.5%−3.1%
FCEL −3.1%S&P 500 +1.5%
−6%0+6%+12%Sep 2Sep 3report 7:35am ETearnings+1.6%−3.1%
−6%0+6%+12%Sep 2Sep 3earnings+1.6%−3.1%
FCEL −3.1%NASDAQ +1.6%
−8%0+8%+16%Sep 1Sep 10report 7:35am ETearnings−0.5%+2.4%
−8%0+8%+16%Sep 1Sep 10earnings−0.5%+2.4%
FCEL +2.4%S&P 500 −0.5%
−8%0+8%+16%Sep 1Sep 10report 7:35am ETearnings+0.0%+2.4%
−8%0+8%+16%Sep 1Sep 10earnings+0.0%+2.4%
FCEL +2.4%NASDAQ +0.0%
−15.69%
Day of report
+1.87%
Next session
+8.26%
One week

Did FCEL Beat Earnings? Q3 2026 Results

FuelCell Energy delivered a sharply disappointing third fiscal quarter of 2026, missing on both the top and bottom lines as a $17.00 million charge tied to contractual pricing provisions on inventory and purchase commitments for Phase 0 of its Fit Energy agreement weighed heavily on results. GAAP EPS came in at negative $0.64, missing the consensus estimate of negative $0.39 by 62.23%, while revenue of $33.00 million fell 14.98% short of the $38.82 million analysts had expected and declined 29.4% year over year. The gross loss widened to $24.50 million as manufacturing costs outpaced contractual pricing at the company's current annualized production rate of roughly 37.1 MW, a mismatch management said is specific to Phase 0 and not representative of the broader Capital Equipment Purchase Agreement's expected economics. Against that backdrop, FuelCell's data center pipeline has swelled to approximately 10 GW, and the company is targeting a 100 MW annualized production rate by October 2026, with positive Adjusted EBITDA expected in the fourth quarter of fiscal 2027, assuming continued backlog conversion and cost reduction execution.

Key Takeaways
  • Revenue decline driven by fewer module deliveries to Korea customers and lower generation output including non-operating Groton Project
  • $18 million in Korean product revenue from GGE repowering deliveries (6 modules) in line with targets
  • $17.0 million in inventory valuation charges related to Phase 0 CEPA contractual pricing exceeding current production costs at 37.1 MW annualized rate
  • Absence of impairment ($64.5M) and restructuring ($4.1M) expenses that impacted prior-year quarter drove 51% decrease in operating loss
  • Dilution from significantly higher share count (70.4M vs 24.4M weighted average shares)

“During the third quarter, FuelCell Energy accelerated the commercial execution of our data center strategy while continuing to expand the manufacturing capacity we believe is required to support long-term growth. Our capital equipment purchase agreement with Fit Energy for a total aggregate generation capacity of up to 380 MW across four potential phases, intended to supply baseload power for data center applications, represents an important commercial milestone and validates FuelCell Energy's ability to help meet the growing demand for utility-scale, behind-the-meter power solutions that accelerate time-to-power.”

FuelCell Energy CEO, on the earnings call

Forward Guidance & Outlook

FuelCell Energy is targeting a 100 MW annualized production rate by October 2026 and positive Adjusted EBITDA in Q4 fiscal 2027, subject to conversion of Awarded Capacity Backlog into Committed Backlog, customer delivery schedules, and continued execution of cost reduction initiatives. The company's Torrington manufacturing facility expansion to 500 MW is scheduled for completion by June 2028, with total expected capital spending of $200–$275 million (fully funded). A 1 GW+ new manufacturing plant is in the planning stage with U.S. site selection in progress. Q4 FY2026 Korean module deliveries are estimated at 6 modules (CGN) generating approximately $18 million in product revenue. The sales pipeline has grown to approximately 10 GW for fiscal year 2026, with 97% related to data centers. Phase 0 (30 MW) deliveries to Fit Energy are expected to begin in Q4 FY2026.

FCEL YoY Financials

Q3 2026 vs Q3 2025 · SEC filings Q3 2025 Q3 2026
$-30,000,000$0$30.0M$46.7M$33.0MRevenue$-30,886,344$-46,660,000Operating Income$-30,070,390$-45,283,000Net Income
$-30,000,000$0$30.0MRevenueOperating IncomeNet Income

FCEL Revenue by Segment

Product$18.0M−30.8%
Generation$8.8M−28.8%
Service Agreements
Advanced Technologies$3.8M−28.1%
Service$2.4M

Figures from SEC filings and company reports. Not investment advice.