Bloom Energy Reports Third Quarter 2024 Financial Results
Bloom Energy (NYSE: BE) reported Q3 2024 financial results with revenue of $330.4 million, marking a 17.5% year-over-year decrease. The company achieved a gross margin of 23.8%, up 25.1 percentage points YoY, while non-GAAP gross margin was 25.2%. Operating loss improved to $9.7 million, while non-GAAP operating profit decreased to $8.1 million.
The company announced what is expected to be the world's largest single-site fuel cell installation with SK Eternix, set to begin operations in 2025. Bloom Energy reaffirmed its 2024 guidance with expected revenue of $1.4-$1.6B, non-GAAP gross margin of ~28%, and non-GAAP operating income of $75-$100M.
Bloom Energy (NYSE: BE) ha riportato i risultati finanziari del Q3 2024 con un fatturato di 330,4 milioni di dollari, segnando un calo del 17,5% rispetto all'anno precedente. L'azienda ha raggiunto un margine lordo del 23,8%, in aumento di 25,1 punti percentuali anno su anno, mentre il margine lordo non-GAAP era del 25,2%. La perdita operativa è migliorata a 9,7 milioni di dollari, mentre il profitto operativo non-GAAP è diminuito a 8,1 milioni di dollari.
L'azienda ha annunciato quello che ci si aspetta sarà il più grande impianto di celle a combustibile mai realizzato in un singolo sito al mondo con SK Eternix, previsto per iniziare le operazioni nel 2025. Bloom Energy ha confermato le prospettive per il 2024 con un fatturato previsto di 1,4-1,6 miliardi di dollari, un margine lordo non-GAAP di circa il 28% e un reddito operativo non-GAAP di 75-100 milioni di dollari.
Bloom Energy (NYSE: BE) informó sobre los resultados financieros del tercer trimestre de 2024 con ingresos de 330,4 millones de dólares, lo que marca una disminución del 17,5% en comparación con el año anterior. La compañía logró un margen bruto del 23,8%, un aumento de 25,1 puntos porcentuales interanuales, mientras que el margen bruto no-GAAP fue del 25,2%. La pérdida operativa mejoró a 9,7 millones de dólares, mientras que la utilidad operativa no-GAAP disminuyó a 8,1 millones de dólares.
La compañía anunció lo que se espera que sea la instalación de celdas de combustible en un solo sitio más grande del mundo con SK Eternix, que comenzará a operar en 2025. Bloom Energy reafirmó su orientación para 2024 con ingresos esperados de 1,4 a 1,6 mil millones de dólares, un margen bruto no-GAAP de aproximadamente el 28% y un ingreso operativo no-GAAP de 75 a 100 millones de dólares.
블룸 에너지 (NYSE: BE)는 2024년 3분기 재무 결과를 발표하며, 수익이 3억 3천 4백만 달러로 전년 대비 17.5% 감소했다고 보고했습니다. 이 회사는 23.8%의 총 마진을 달성했으며, 이는 전년 대비 25.1포인트 증가한 수치입니다. 비 GAAP 총 마진은 25.2%였습니다. 운영 손실은 970만 달러로 개선되었고, 비 GAAP 운영 수익은 810만 달러로 감소했습니다.
회사는 2025년 운영을 시작할 예정인 SK Eternix와 함께 세계 최대 단일 사이트 연료 전지 설치를 발표했습니다. 블룸 에너지는 2024년 지침을 재확인하며, 예상 수익 범위를 14억~16억 달러, 비 GAAP 총 마진을 약 28%, 비 GAAP 운영 소득을 7500만~1억 달러로 설정했습니다.
Bloom Energy (NYSE: BE) a annoncé ses résultats financiers du troisième trimestre 2024 avec un chiffre d'affaires de 330,4 millions de dollars, marquant une baisse de 17,5 % par rapport à l'année précédente. La société a atteint une marge brute de 23,8 %, en hausse de 25,1 points de pourcentage d'une année sur l'autre, tandis que la marge brute non-GAAP était de 25,2 %. La perte d'exploitation s'est améliorée à 9,7 millions de dollars, tandis que le bénéfice d'exploitation non-GAAP a diminué à 8,1 millions de dollars.
La société a annoncé ce qui devrait être la plus grande installation de piles à hydrogène sur un seul site au monde en collaboration avec SK Eternix, dont le démarrage est prévu pour 2025. Bloom Energy a réaffirmé ses prévisions pour 2024 avec un chiffre d'affaires attendu entre 1,4 et 1,6 milliard de dollars, une marge brute non-GAAP d'environ 28 % et un revenu d'exploitation non-GAAP de 75 à 100 millions de dollars.
Bloom Energy (NYSE: BE) hat die Finanzdaten für das dritte Quartal 2024 veröffentlicht, mit einem Umsatz von 330,4 Millionen Dollar, was einen Rückgang von 17,5% im Vergleich zum Vorjahr bedeutet. Das Unternehmen erreichte eine Bruttomarge von 23,8%, was einen Anstieg von 25,1 Prozentpunkten im Jahresvergleich darstellt, während die nicht-GAAP Bruttomarge bei 25,2% lag. Der Betriebsverlust verbesserte sich auf 9,7 Millionen Dollar, während der nicht-GAAP operative Gewinn auf 8,1 Millionen Dollar sank.
Das Unternehmen kündigte an, was voraussichtlich die größte Einzelstandort-Brennstoffzelleninstallation der Welt mit SK Eternix sein wird, die 2025 in Betrieb gehen soll. Bloom Energy bestätigte seine Prognose für 2024 mit einem erwarteten Umsatz von 1,4 bis 1,6 Milliarden Dollar, einer nicht-GAAP Bruttomarge von etwa 28% und einem nicht-GAAP Betriebsergebnis von 75 bis 100 Millionen Dollar.
- Operating loss improved by $94.1 million year-over-year
- GAAP gross margin increased by 25.1 percentage points to 23.8%
- Secured major contract for 80 MW power project with SK Eternix
- Maintained full-year 2024 financial guidance
- Revenue declined 17.5% year-over-year to $330.4 million
- Non-GAAP gross margin decreased 6.4 percentage points to 25.2%
- Non-GAAP operating profit decreased by $43.7 million year-over-year
- Reported net loss of $14.7 million to common stockholders
Insights
The Q3 results paint a challenging picture with mixed signals. Revenue declined
The reaffirmed 2024 guidance of
The announcement of the world's largest fuel cell installation with SK Eternix represents a strategic breakthrough in the utility-scale power generation market. This 80MW project validates Bloom's technology for large-scale deployments and opens new opportunities in the rapidly growing data center sector, particularly for AI applications requiring reliable, clean power.
The follow-on orders from Quanta for the world's largest fuel cell islanded microgrid further demonstrates market acceptance of Bloom's technology for critical infrastructure. These developments position Bloom well in the evolving energy landscape, though near-term financial performance suggests a transition period as these large projects move toward implementation.
Reiterating 2024 Financial Guidance
Announcing World’s Largest Fuel Cell Installation
Third Quarter Highlights
-
Revenue of
in the third quarter of 2024, a decrease of$330.4 million 17.5% year-over-year. -
Gross margin of
23.8% in the third quarter of 2024, an increase of 25.1 percentage points year-over-year; Non-GAAP gross margin of25.2% in the third quarter of 2024, a decrease of 6.4 percentage points year-over-year. -
Operating loss of
in the third quarter of 2024, an improvement of$9.7 million year-over-year; Non-GAAP operating profit of$94.1 million in the third quarter of 2024, a decrease of$8.1 million year-over-year.$43.7 million - Announced what is expected to be the world’s largest single site fuel cell installation, supporting partner SK Eternix, to begin commercial operations in 2025.
- Announced follow on orders from Quanta, expected to create the world’s largest fuel cell islanded microgrid site.
“Today we are announcing an 80 MW power project using Bloom Energy fuel cells” said KR Sridhar, Founder, Chairman and CEO of Bloom Energy. “We are thrilled to partner with SK Eternix to deliver the world’s largest fuel cell power system and make it operational in 2025. A fuel cell project of this scale is a proof point for how Bloom Energy can power large AI data centers going forward.”
Dan Berenbaum, CFO of Bloom Energy added, “Bloom is a project-based business, which can lead to quarterly variability - our year-to-date results and our expectations for a strong close to 2024 reflect this. We are confident in our ability to execute based on our identified projects and contracting activities, and we are thus reaffirming our 2024 financial guidance.”
Summary of Key Financial Metrics
Summary of GAAP Profit and Loss Statements
( |
Q3’24 |
Q2’24 |
Q3’23 |
||||||
Revenue |
|
330,399 |
|
|
335,767 |
|
|
400,268 |
|
Cost of Revenue |
|
251,665 |
|
|
267,245 |
|
|
405,482 |
|
Gross Profit (Loss) |
|
78,734 |
|
|
68,522 |
|
|
(5,214 |
) |
Gross Margin |
|
23.8 |
% |
|
20.4 |
% |
|
(1.3 |
)% |
Operating Expenses |
|
88,385 |
|
|
91,650 |
|
|
98,494 |
|
Operating Loss |
|
(9,651 |
) |
|
(23,128 |
) |
|
(103,708 |
) |
Operating Margin |
|
(2.9 |
)% |
|
(6.9 |
)% |
|
(25.9 |
)% |
Non-operating Expenses |
|
5,060 |
|
|
38,659 |
|
|
65,291 |
|
Net Loss to Common Stockholders |
|
(14,711 |
) |
|
(61,787 |
) |
|
(168,999 |
) |
GAAP EPS, Basic and Diluted |
$ |
(0.06 |
) |
$ |
(0.27 |
) |
$ |
(0.80 |
) |
Summary of Non-GAAP Financial Information1
( |
Q3’24 |
Q2’24 |
Q3’23 |
||||||
Revenue |
|
330,399 |
|
|
335,767 |
|
|
400,268 |
|
Cost of Revenue |
|
247,066 |
|
|
262,611 |
|
|
273,888 |
|
Gross Profit |
|
83,332 |
|
|
73,156 |
|
|
126,380 |
|
Gross Margin |
|
25.2 |
% |
|
21.8 |
% |
|
31.6 |
% |
Operating Expenses |
|
75,229 |
|
|
76,344 |
|
|
74,580 |
|
Operating Profit (Loss) |
|
8,104 |
|
|
(3,188 |
) |
|
51,800 |
|
Operating Margin |
|
2.5 |
% |
|
(0.9 |
)% |
|
12.9 |
% |
Adjusted EBITDA |
|
21,344 |
|
|
10,219 |
|
|
66,415 |
|
Non-GAAP EPS, Basic |
$ |
(0.01 |
) |
$ |
(0.06 |
) |
$ |
0.20 |
|
Non-GAAP EPS, Diluted |
$ |
(0.01 |
) |
$ |
(0.06 |
) |
$ |
0.15 |
|
- A detailed reconciliation of GAAP to Non-GAAP financial measures is provided at the end of this press release
Outlook
Bloom reaffirms outlook for the full-year 2024:
|
• Revenue: |
|
• Non-GAAP Gross Margin: |
~ |
|
• Non-GAAP Operating Income: |
|
Conference Call Details
Bloom will host a conference call today, November 7, 2024, at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) to discuss its financial results. To participate in the live call, analysts and investors may call toll-free dial-in number: +1 (888) 596-4144 and toll-dial-in-number +1 (646) 968-2525. The conference ID is 5744085. A simultaneous live webcast will also be available under the Investor Relations section on our website at https://investor.bloomenergy.com/. Following the webcast, an archived version will be available on Bloom's website for one year. A telephonic replay of the conference call will be available for one week following the call, by dialing +1 (800) 770-2030 and entering passcode 5744085
Use of Non-GAAP Financial Measures
This press release includes certain non-GAAP financial measures as defined by the rules and regulations of the Securities and Exchange Commission (SEC). These non-GAAP financial measures are in addition to, and not a substitute for or superior to, measures of financial performance prepared in accordance with
About Bloom Energy
Bloom Energy empowers businesses and communities to responsibly take charge of their energy. The company’s leading solid oxide platform for distributed generation of electricity and hydrogen is changing the future of energy. Fortune 100 companies turn to Bloom Energy as a trusted partner to deliver lower carbon energy today and a net-zero future. For more information, visit www.bloomenergy.com.
Forward-Looking Statements
This press release contains certain forward-looking statements, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or our future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “should,” “will” and “would” or the negative of these words or similar terms or expressions that concern Bloom’s expectations, strategy, priorities, plans or intentions. These forward-looking statements include, but are not limited to, Bloom’s expectations regarding: innovation and solutions; customer reaction to Bloom’s products; Bloom’s liquidity position; market demand for energy and hydrogen solutions; and Bloom’s 2024 outlook for revenue and profitability. Readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual future events or results due to a variety of factors including, but not limited to: Bloom’s limited operating history; the emerging nature of the distributed generation market and rapidly evolving market trends; the significant losses Bloom has incurred in the past; the significant upfront costs of Bloom’s Energy Servers and Electrolyzer and Bloom’s ability to secure financing for its products; Bloom’s ability to drive cost reductions and to successfully mitigate against potential price increases; Bloom’s ability to service its existing debt obligations; Bloom’s ability to be successful in new markets; government incentive programs including the scheduled expiration of the Investment Tax Credit at the end of 2024; the ability of the Bloom Energy Server to operate on the fuel source a customer will want; the success of the strategic partnership with SK ecoplant in
The Investor Relations section of Bloom’s website at investor.bloomenergy.com contains a significant amount of information about Bloom Energy, including financial and other information for investors. Bloom encourages investors to visit this website from time to time, as information is updated and new information is posted.
Condensed Consolidated Balance Sheets (unaudited) (in thousands, except share data) |
||||||||
|
|
September 30, |
|
December 31, |
||||
|
|
|
2024 |
|
|
|
2023 |
|
Assets |
|
|
|
|
||||
Current assets: |
|
|
|
|
||||
Cash and cash equivalents1 |
|
$ |
495,677 |
|
|
$ |
664,593 |
|
Restricted cash1 |
|
|
22,548 |
|
|
|
46,821 |
|
Accounts receivable less allowance for credit losses of |
|
|
590,794 |
|
|
|
340,740 |
|
Contract assets3 |
|
|
121,074 |
|
|
|
41,366 |
|
Inventories1 |
|
|
584,484 |
|
|
|
502,515 |
|
Deferred cost of revenue4 |
|
|
40,648 |
|
|
|
45,984 |
|
Prepaid expenses and other current assets1, 5 |
|
|
47,663 |
|
|
|
51,148 |
|
Total current assets |
|
|
1,902,888 |
|
|
|
1,693,167 |
|
Property, plant and equipment, net1 |
|
|
484,505 |
|
|
|
493,352 |
|
Operating lease right-of-use assets1, 6 |
|
|
133,143 |
|
|
|
139,732 |
|
Restricted cash1 |
|
|
30,926 |
|
|
|
33,764 |
|
Deferred cost of revenue |
|
|
3,539 |
|
|
|
3,454 |
|
Other long-term assets1, 7 |
|
|
49,516 |
|
|
|
50,208 |
|
Total assets |
|
$ |
2,604,517 |
|
|
$ |
2,413,677 |
|
Liabilities and stockholders’ equity |
|
|
|
|
||||
Current liabilities: |
|
|
|
|
||||
Accounts payable1, 8 |
|
$ |
124,272 |
|
|
$ |
132,078 |
|
Accrued warranty9 |
|
|
15,009 |
|
|
|
19,326 |
|
Accrued expenses and other current liabilities1, 10 |
|
|
130,331 |
|
|
|
130,879 |
|
Deferred revenue and customer deposits1, 11 |
|
|
142,056 |
|
|
|
128,922 |
|
Operating lease liabilities1, 12 |
|
|
20,195 |
|
|
|
20,245 |
|
Financing obligations |
|
|
20,921 |
|
|
|
38,972 |
|
Recourse debt |
|
|
114,139 |
|
|
|
— |
|
Total current liabilities |
|
|
566,923 |
|
|
|
470,422 |
|
Deferred revenue and customer deposits1, 13 |
|
|
34,796 |
|
|
|
19,140 |
|
Operating lease liabilities1, 14 |
|
|
135,159 |
|
|
|
141,939 |
|
Financing obligations |
|
|
390,539 |
|
|
|
405,824 |
|
Recourse debt |
|
|
1,008,734 |
|
|
|
842,006 |
|
Non-recourse debt1, 15 |
|
|
4,563 |
|
|
|
4,627 |
|
Other long-term liabilities |
|
|
8,811 |
|
|
|
9,049 |
|
Total liabilities |
|
$ |
2,149,525 |
|
|
$ |
1,893,007 |
|
Commitments and contingencies |
|
|
|
|
||||
Stockholders’ equity: |
|
|
|
|
||||
Common stock: |
|
|
23 |
|
|
|
21 |
|
Additional paid-in capital |
|
|
4,435,152 |
|
|
|
4,370,343 |
|
Accumulated other comprehensive loss |
|
|
(1,818 |
) |
|
|
(1,687 |
) |
Accumulated deficit |
|
|
(4,002,413 |
) |
|
|
(3,866,599 |
) |
Total equity attributable to common stockholders |
|
|
430,944 |
|
|
|
502,078 |
|
Noncontrolling interest |
|
|
24,048 |
|
|
|
18,592 |
|
Total stockholders’ equity |
|
$ |
454,992 |
|
|
$ |
520,670 |
|
Total liabilities and stockholders’ equity |
|
$ |
2,604,517 |
|
|
$ |
2,413,677 |
|
1 We have a variable interest entity related to a joint venture in the |
2 Including amounts from related parties of |
3 Including amounts from related parties of |
4 Including amounts from related parties of |
5 Including amounts from related parties of |
6 Including amounts from related parties of |
7 Including amounts from related parties of |
8 Including amounts from related parties of |
9 Including amounts from related parties of |
10 Including amounts from related parties of |
11 Including amounts from related parties of |
12 Including amounts from related parties of |
13 Including amounts from related parties of |
14 Including amounts from related parties of |
15 Including amounts from related parties of |
Condensed Consolidated Statements of Operations (unaudited) (in thousands, except per share data) |
||||||||||||
|
|
Three Months Ended
|
|
Three Months Ended
|
|
Three Months Ended
|
||||||
|
|
|
|
|
|
|
||||||
Revenue: |
|
|
|
|
|
|
||||||
Product |
|
$ |
233,770 |
|
|
$ |
226,308 |
|
|
$ |
304,976 |
|
Installation |
|
|
32,052 |
|
|
|
42,733 |
|
|
|
21,916 |
|
Service |
|
|
50,761 |
|
|
|
52,531 |
|
|
|
47,535 |
|
Electricity |
|
|
13,816 |
|
|
|
14,195 |
|
|
|
25,841 |
|
Total revenue1 |
|
|
330,399 |
|
|
|
335,767 |
|
|
|
400,268 |
|
Cost of revenue: |
|
|
|
|
|
|
||||||
Product |
|
|
155,124 |
|
|
|
161,332 |
|
|
|
182,832 |
|
Installation |
|
|
35,688 |
|
|
|
44,298 |
|
|
|
25,902 |
|
Service |
|
|
51,363 |
|
|
|
52,401 |
|
|
|
57,370 |
|
Electricity |
|
|
9,490 |
|
|
|
9,214 |
|
|
|
139,378 |
|
Total cost of revenue2 |
|
|
251,665 |
|
|
|
267,245 |
|
|
|
405,482 |
|
Gross profit (loss) |
|
|
78,734 |
|
|
|
68,522 |
|
|
|
(5,214 |
) |
Operating expenses: |
|
|
|
|
|
|
||||||
Research and development |
|
|
36,315 |
|
|
|
37,364 |
|
|
|
35,126 |
|
Sales and marketing |
|
|
14,667 |
|
|
|
17,901 |
|
|
|
20,002 |
|
General and administrative3 |
|
|
37,403 |
|
|
|
36,385 |
|
|
|
43,366 |
|
Total operating expenses |
|
|
88,385 |
|
|
|
91,650 |
|
|
|
98,494 |
|
Loss from operations |
|
|
(9,651 |
) |
|
|
(23,128 |
) |
|
|
(103,708 |
) |
Interest income |
|
|
6,456 |
|
|
|
6,430 |
|
|
|
7,419 |
|
Interest expense4 |
|
|
(16,763 |
) |
|
|
(15,376 |
) |
|
|
(68,037 |
) |
Other income (expense), net |
|
|
5,821 |
|
|
|
(985 |
) |
|
|
(1,577 |
) |
Loss on extinguishment of debt |
|
|
— |
|
|
|
(27,182 |
) |
|
|
(1,415 |
) |
Loss on revaluation of embedded derivatives |
|
|
(386 |
) |
|
|
(88 |
) |
|
|
(114 |
) |
Loss before income taxes |
|
|
(14,523 |
) |
|
|
(60,329 |
) |
|
|
(167,432 |
) |
Income tax provision |
|
|
109 |
|
|
|
856 |
|
|
|
646 |
|
Net loss |
|
|
(14,632 |
) |
|
|
(61,185 |
) |
|
|
(168,078 |
) |
Less: Net income attributable to noncontrolling interest |
|
|
79 |
|
|
|
602 |
|
|
|
921 |
|
Net loss attributable to common stockholders |
|
$ |
(14,711 |
) |
|
$ |
(61,787 |
) |
|
$ |
(168,999 |
) |
Net loss per share available to common stockholders, basic and diluted |
|
$ |
(0.06 |
) |
|
$ |
(0.27 |
) |
|
$ |
(0.80 |
) |
Weighted average shares used to compute net loss per share available to common stockholders, basic and diluted |
|
|
227,957 |
|
|
|
227,167 |
|
|
|
210,930 |
|
1 Including related party revenue of |
2 Including related party cost of revenue of |
3 Including related party general and administrative expenses of |
4 Including related party interest expense of |
Condensed Consolidated Statement of Cash Flows (unaudited) (in thousands) |
||||||||||||
|
|
|
|
|
|
|
||||||
|
|
Three Months Ended
|
|
Three Months Ended
|
|
Three Months Ended
|
||||||
Cash flows from operating activities: |
|
|
|
|
|
|
||||||
Net loss |
|
$ |
(14,632 |
) |
|
$ |
(61,185 |
) |
|
$ |
(168,078 |
) |
Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
|
|
|
|
||||||
Depreciation and amortization |
|
|
13,240 |
|
|
|
13,407 |
|
|
|
14,615 |
|
Non-cash lease expense |
|
|
9,175 |
|
|
|
8,980 |
|
|
|
8,356 |
|
Gain on disposal of property, plant and equipment |
|
|
(17 |
) |
|
|
(13 |
) |
|
|
(19 |
) |
Revaluation of derivative contracts |
|
|
386 |
|
|
|
88 |
|
|
|
114 |
|
Impairment of assets |
|
|
— |
|
|
|
— |
|
|
|
130,111 |
|
Derecognition of loan commitment asset related to SK ecoplant Second Tranche Closing |
|
|
— |
|
|
|
— |
|
|
|
52,792 |
|
Stock-based compensation expense |
|
|
17,689 |
|
|
|
19,191 |
|
|
|
21,315 |
|
Amortization of debt issuance costs |
|
|
1,862 |
|
|
|
1,603 |
|
|
|
1,514 |
|
Gain from terminations of failed sale-and-leaseback transactions |
|
|
(5,003 |
) |
|
|
— |
|
|
|
— |
|
Loss on extinguishment of debt |
|
|
— |
|
|
|
27,182 |
|
|
|
1,415 |
|
Unrealized foreign currency exchange (gain) loss |
|
|
(1,496 |
) |
|
|
418 |
|
|
|
1,517 |
|
Other |
|
|
105 |
|
|
|
(50 |
) |
|
|
— |
|
Changes in operating assets and liabilities: |
|
|
|
|
|
|
||||||
Accounts receivable1 |
|
|
(67,064 |
) |
|
|
(175,657 |
) |
|
|
16,100 |
|
Contract assets2 |
|
|
(30,687 |
) |
|
|
(56,599 |
) |
|
|
(108,692 |
) |
Inventories |
|
|
(64,141 |
) |
|
|
5,862 |
|
|
|
(8,969 |
) |
Deferred cost of revenue3 |
|
|
7,796 |
|
|
|
7,592 |
|
|
|
(8,370 |
) |
Prepaid expenses and other assets4 |
|
|
(8,716 |
) |
|
|
7,537 |
|
|
|
(22,807 |
) |
Other long-term assets5 |
|
|
4,646 |
|
|
|
(1,800 |
) |
|
|
10,219 |
|
Operating lease right-of-use assets and operating lease liabilities |
|
|
(9,325 |
) |
|
|
(9,216 |
) |
|
|
(8,432 |
) |
Financing lease liabilities |
|
|
173 |
|
|
|
223 |
|
|
|
171 |
|
Accounts payable |
|
|
23,882 |
|
|
|
8,206 |
|
|
|
(41,589 |
) |
Accrued warranty6 |
|
|
2,621 |
|
|
|
3,191 |
|
|
|
1,631 |
|
Accrued expenses and other current liabilities7 |
|
|
13,819 |
|
|
|
19,789 |
|
|
|
4,782 |
|
Deferred revenue and customer deposits8 |
|
|
36,231 |
|
|
|
6,013 |
|
|
|
(30,275 |
) |
Other long-term liabilities |
|
|
(13 |
) |
|
|
(257 |
) |
|
|
(590 |
) |
Net cash used in operating activities |
|
|
(69,469 |
) |
|
|
(175,495 |
) |
|
|
(133,169 |
) |
Cash flows from investing activities: |
|
|
|
|
|
|
||||||
Purchase of property, plant and equipment |
|
|
(14,292 |
) |
|
|
(12,019 |
) |
|
|
(21,357 |
) |
Proceeds from sale of property, plant and equipment |
|
|
14 |
|
|
|
15 |
|
|
|
— |
|
Net cash used in investing activities |
|
|
(14,278 |
) |
|
|
(12,004 |
) |
|
|
(21,357 |
) |
Cash flows from financing activities: |
|
|
|
|
|
|
||||||
Proceeds from issuance of debt9 |
|
|
— |
|
|
|
402,500 |
|
|
|
— |
|
Payment of debt issuance costs |
|
|
(438 |
) |
|
|
(12,323 |
) |
|
|
(3,711 |
) |
Repayment of debt |
|
|
— |
|
|
|
(140,990 |
) |
|
|
(118,538 |
) |
Proceeds from financing obligations |
|
|
464 |
|
|
|
— |
|
|
|
— |
|
Repayment of financing obligations |
|
|
(9,767 |
) |
|
|
(5,041 |
) |
|
|
(4,747 |
) |
Buyout of noncontrolling interest |
|
|
— |
|
|
|
— |
|
|
|
(6,864 |
) |
Distributions and payments to noncontrolling interest |
|
|
— |
|
|
|
— |
|
|
|
(2,265 |
) |
Proceeds from issuance of common stock |
|
|
4,141 |
|
|
|
159 |
|
|
|
6,745 |
|
Dividend paid |
|
|
— |
|
|
|
(1,468 |
) |
|
|
— |
|
Other |
|
|
— |
|
|
|
— |
|
|
|
(285 |
) |
Net cash (used in) provided by financing activities |
|
|
(5,600 |
) |
|
|
242,837 |
|
|
|
(129,665 |
) |
Effect of exchange rate changes on cash, cash equivalent, and restricted cash |
|
|
694 |
|
|
|
(256 |
) |
|
|
(657 |
) |
Net (decrease) increase in cash, cash equivalents, and restricted cash |
|
|
(88,653 |
) |
|
|
55,082 |
|
|
|
(284,848 |
) |
Cash, cash equivalents, and restricted cash: |
|
|
|
|
|
|
||||||
Beginning of period |
|
|
637,804 |
|
|
|
582,722 |
|
|
|
922,544 |
|
End of period |
|
$ |
549,151 |
|
|
$ |
637,804 |
|
|
$ |
637,696 |
|
1 Including changes in related party balances of |
2 Including changes in related party balances of |
3 Including changes in related party balances of |
4 Including changes in related party balances of |
5 Including changes in related party balances of |
6 Including changes in related party balances of |
7 Including changes in related party balances of |
8 Including changes in related party balances of |
9 Including changes in related party balances of |
Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) (in thousands, except percentages) |
||||||
|
Q3’24 |
Q2’24 |
Q3’23 |
|||
GAAP revenue |
330,399 |
|
335,767 |
|
400,268 |
|
GAAP cost of sales |
251,665 |
|
267,245 |
|
405,482 |
|
GAAP gross profit (loss) |
78,734 |
|
68,522 |
|
(5,214 |
) |
Non-GAAP adjustments: |
|
|
|
|||
Stock-based compensation expense |
3,778 |
|
4,110 |
|
5,581 |
|
Restructuring |
90 |
|
116 |
|
725 |
|
Impairment of assets |
— |
|
— |
|
123,700 |
|
Other |
731 |
|
408 |
|
1,588 |
|
Non-GAAP gross profit |
83,332 |
|
73,156 |
|
126,380 |
|
|
|
|
|
|||
GAAP gross margin % |
23.8 |
% |
20.4 |
% |
(1.3 |
)% |
Non-GAAP adjustments |
1.4 |
% |
1.4 |
% |
32.9 |
% |
Non-GAAP gross margin % |
25.2 |
% |
21.8 |
% |
31.6 |
% |
|
Q3’24 |
Q2’24 |
Q3’23 |
|||
GAAP loss from operations |
(9,651 |
) |
(23,128 |
) |
(103,708 |
) |
Non-GAAP adjustments: |
|
|
|
|||
Stock-based compensation expense |
17,057 |
|
19,423 |
|
21,564 |
|
Restructuring |
(70 |
) |
73 |
|
2,226 |
|
Impairment of assets |
— |
|
— |
|
130,088 |
|
Other |
768 |
|
445 |
|
1,630 |
|
Non-GAAP income (loss) from operations |
8,104 |
|
(3,188 |
) |
51,800 |
|
|
|
|
|
|||
GAAP operating margin % |
(2.9 |
)% |
(6.9 |
)% |
(25.9 |
)% |
Non-GAAP adjustments |
5.4 |
% |
5.9 |
% |
38.8 |
% |
Non-GAAP operating margin % |
2.5 |
% |
(0.9 |
)% |
12.9 |
% |
Reconciliation of GAAP Net Loss to non-GAAP Net (Loss) Income and Computation of non-GAAP Net (Loss) Earnings per Share (EPS) (unaudited) (in thousands, except share data) |
|||||||||
|
Q3’24 |
Q2’24 |
Q3’23 |
||||||
Net loss to Common Stockholders |
|
(14,711 |
) |
|
(61,787 |
) |
|
(168,999 |
) |
Non-GAAP adjustments: |
|
|
|
||||||
Add back: gain for non-controlling interests |
|
79 |
|
|
602 |
|
|
921 |
|
Stock-based compensation expense |
|
17,057 |
|
|
19,423 |
|
|
21,564 |
|
Gain on failed sale-and-leaseback transactions |
|
(4,991 |
) |
|
— |
|
|
— |
|
Loss on derivative liabilities |
|
386 |
|
|
88 |
|
|
114 |
|
Impairment of assets |
|
— |
|
|
— |
|
|
130,088 |
|
Interest expense on SK loan commitment |
|
— |
|
|
— |
|
|
52,792 |
|
Loss on extinguishment of debt |
|
— |
|
|
27,182 |
|
|
1,415 |
|
Restructuring |
|
(70 |
) |
|
73 |
|
|
2,226 |
|
Other |
|
768 |
|
|
445 |
|
|
1,630 |
|
Adjusted Net (Loss) Profit |
|
(1,481 |
) |
|
(13,974 |
) |
|
41,751 |
|
|
|
|
|
||||||
Adjusted net (loss) earnings per share (EPS), Basic |
$ |
(0.01 |
) |
$ |
(0.06 |
) |
$ |
0.20 |
|
Adjusted net (loss) earnings per share (EPS), Diluted |
$ |
(0.01 |
) |
$ |
(0.06 |
) |
$ |
0.15 |
|
Weighted average shares outstanding attributable to common stockholders, Basic |
|
227,957 |
|
|
227,167 |
|
|
210,930 |
|
Weighted-average shares outstanding attributable to common stockholders, Diluted |
|
227,957 |
|
|
227,167 |
|
|
274,337 |
|
Reconciliation of GAAP Net Loss to Adjusted EBITDA (unaudited) (in thousands) |
||||||
|
Q3’24 |
Q2’24 |
Q3’23 |
|||
Net loss to Common Stockholders |
(14,711 |
) |
(61,787 |
) |
(168,999 |
) |
Add back: gain for non-controlling interests |
79 |
|
602 |
|
921 |
|
Stock-based compensation expense |
17,057 |
|
19,423 |
|
21,564 |
|
Gain on failed sale-and-leaseback transactions |
(4,991 |
) |
— |
|
— |
|
Loss on derivative liabilities |
386 |
|
88 |
|
114 |
|
Impairment of assets |
— |
|
— |
|
130,088 |
|
Interest expense on SK loan commitment |
— |
|
— |
|
52,792 |
|
Loss on extinguishment of debt |
— |
|
27,182 |
|
1,415 |
|
Restructuring |
(70 |
) |
73 |
|
2,226 |
|
Other |
768 |
|
445 |
|
1,630 |
|
Adjusted Net (Loss) Profit |
(1,481 |
) |
(13,974 |
) |
41,751 |
|
|
|
|
|
|||
Depreciation & amortization |
13,240 |
|
13,407 |
|
14,615 |
|
Income tax provision |
109 |
|
856 |
|
646 |
|
Interest expense, Other income (expense), net |
9,476 |
|
9,930 |
|
9,403 |
|
Adjusted EBITDA |
21,344 |
|
10,219 |
|
66,415 |
|
Use of non-GAAP financial measures
To supplement Bloom Energy consolidated financial statement information presented on a GAAP basis, Bloom Energy provides financial measures including non-GAAP gross profit (loss), non-GAAP gross margin, non-GAAP operating income (loss), non-GAAP operating margin, non-GAAP net (loss) profit, non-GAAP basic and diluted (loss) earnings per share and Adjusted EBITDA. Bloom Energy also provides forecasts of non-GAAP gross margin and non-GAAP operating income.
These non-GAAP financial measures are not computed in accordance with, or as an alternative to, GAAP in
- The GAAP measure most directly comparable to non-GAAP gross profit is gross profit (loss).
- The GAAP measure most directly comparable to non-GAAP gross margin is gross margin.
- The GAAP measure most directly comparable to non-GAAP operating income (loss) is operating loss.
- The GAAP measure most directly comparable to non-GAAP operating margin is operating margin.
- The GAAP measure most directly comparable to non-GAAP net (loss) profit is net loss.
- The GAAP measure most directly comparable to non-GAAP diluted (loss) earnings per share is diluted loss per share.
- The GAAP measure most directly comparable to Adjusted EBITDA is net loss.
Reconciliations of each of these non-GAAP financial measures to GAAP information are included in the tables above or elsewhere in the materials accompanying this news release.
Use and economic substance of non-GAAP financial measures used by Bloom Energy
Non-GAAP gross profit and non-GAAP gross margin are defined to exclude charges relating to stock-based compensation expense, restructuring (expense reversals) charges, impairment of assets, and other charges. Non-GAAP net (loss) profit and non-GAAP diluted (loss) earnings per share consist of net loss or diluted net loss per share excluding gain for non-controlling interest, charges relating to stock-based compensation expense, gain on failed sale-and-leaseback transactions, loss on derivatives liabilities, impairment of assets, interest expense on SK loan commitment, loss on extinguishment of debt, restructuring (expense reversals) charges, and other charges. Adjusted EBITDA is defined as net loss before interest expense, income tax provision, depreciation and amortization expense, gain for non-controlling interest, charges relating to stock-based compensation expense, gain on failed sale-and-leaseback transactions, loss on derivatives liabilities, impairment of assets, interest expense on SK loan commitment, loss on extinguishment of debt, restructuring (expense reversals) charges, and other charges. Bloom Energy management uses these non-GAAP financial measures for purposes of evaluating Bloom Energy’s historical and prospective financial performance, as well as Bloom Energy’s performance relative to its competitors. Bloom Energy believes that excluding the items mentioned above from these non-GAAP financial measures allows Bloom Energy management to better understand Bloom Energy’s consolidated financial performance as management does not believe that the excluded items are reflective of ongoing operating results. More specifically, Bloom Energy management excludes each of those items mentioned above for the following reasons:
-
Gain for non-controlling interest represents allocation to the non-controlling interests under the hypothetical liquidation at book value (HLBV) method and is associated with Bloom Energy legacy PPA entity, PPA V, which was sold in the third quarter of fiscal year 2023, and the joint venture in the
Republic of Korea . - Stock-based compensation expense consists of equity awards granted based on the estimated fair value of those awards at grant date. Although stock-based compensation is a key incentive offered to our employees, Bloom Energy excludes these charges for the purpose of calculating these non-GAAP measures, primarily because they are non-cash expenses and such an exclusion facilitates a more meaningful evaluation of Bloom Energy current operating performance and comparisons to Bloom Energy operating performance in other periods.
-
Gain on failed sale-and-leaseback transactions of
as a result of termination of four Managed Services sites.$5.0 million - Loss on derivatives liabilities represents non-cash adjustments to the fair value of the embedded derivatives.
-
Impairment of assets represents non-cash impairment charge on decommissioned server units upon repowering of
and non-cash impairment charge on non-recoverable production insurance of$123.7 million , both as a result of PPA V repowering, which commenced in the third quarter of fiscal year 2023.$6.4 million - Interest expense on SK loan commitment recognized as a result of automatic conversion of 13.5 million shares of our Series B redeemable convertible preferred stock to shares of our Class A common stock in the third quarter of fiscal year 2023.
-
Loss on debt extinguishment for the three months ended June 30, 2024, related to the partial repurchase of the
2.5% Green Convertible Senior Notes due August 2025 and comprised of22.6% premium upon partial repurchase of and$26.0 million of debt issuance cost write-off. Loss on extinguishment of debt for the three months ended September 30, 2023, of$1.2 million was recognized as a result of the repayment on August 24, 2023, of$1.4 million 3.04% Senior Secured Notes due June 2031 as part of the PPA V repowering, and consists in its entirety of derecognition of debt issuance costs. - Restructuring charges and reversals, if any, are represented by severance expense, facility closure costs, and others.
-
Other represents (1) PPA V sales property tax of
related to PPA V repowering of old server units, which commenced in the third quarter of fiscal year 2023; (2) site termination costs of$1.6 million and$0.4 million for the three months ended June 30, 2024, and the three months ended September 30, 2024, respectively; and (3) immaterial amounts of quarterly amortization of acquired intangible assets.$0.7 million - Adjusted EBITDA is defined as Adjusted Net (Loss) Profit before depreciation and amortization expense, provision for income tax provision, interest expense, other income (expense), net. We use Adjusted EBITDA to measure the operating performance of our business, excluding specifically identified items that we do not believe directly reflect our core operations and may not be indicative of our recurring operations.For more information about these non-GAAP financial measures, please see the tables captioned “Reconciliation of GAAP to Non-GAAP Financial Measures,” “Reconciliation of GAAP Net Loss to non-GAAP Net (Loss) Income and Computation of non-GAAP Net (Loss) Earnings per Share (EPS),” and “Reconciliation of GAAP Net Loss to Adjusted EBITDA” set forth in this release, which should be read together with the preceding financial statements prepared in accordance with GAAP.
Material limitations associated with use of non-GAAP financial measures
These non-GAAP financial measures have limitations as analytical tools, and these measures should not be considered in isolation or as a substitute for analysis of Bloom Energy results as reported under GAAP. Some of the limitations in relying on these non-GAAP financial measures are:
- Items such as stock-based compensation expense that is excluded from non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income (loss), non-GAAP operating margin, non-GAAP net (loss) profit, and non-GAAP diluted (loss) earnings per share can have a material impact on the equivalent GAAP earnings measure.
- Gain for non-controlling interest and loss on derivatives liabilities, though not directly affecting Bloom Energy’s cash position, represent the gain (loss) in value of certain assets and liabilities. The expense associated with this gain (loss) in value is excluded from non-GAAP net (loss) profit, and non-GAAP diluted (loss) earnings per share and can have a material impact on the equivalent GAAP earnings measure.
- Other companies may calculate non-GAAP gross profit (loss), non-GAAP gross margin, non-GAAP operating loss (non-GAAP earnings from operations), non-GAAP operating margin, non-GAAP net profit (loss), non-GAAP diluted earnings (loss) per share and Adjusted EBITDA differently than Bloom Energy does, limiting the usefulness of those measures for comparative purposes.
Compensation for limitations associated with use of non-GAAP financial measures
Bloom Energy compensates for the limitations on its use of non-GAAP financial measures by relying primarily on its GAAP results and using non-GAAP financial measures only as a supplement. Bloom Energy also provides a reconciliation of each non-GAAP financial measure to its most directly comparable GAAP measure within this news release and in other written materials that include these non-GAAP financial measures, and Bloom Energy encourages investors to review those reconciliations carefully.
Usefulness of non-GAAP financial measures to investors
Bloom Energy believes that providing financial measures including non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating income (loss), non-GAAP operating margin, non-GAAP net (loss) profit, non-GAAP diluted (loss) earnings per share in addition to the related GAAP measures provides investors with greater transparency to the information used by Bloom Energy management in its financial and operational decision making and allows investors to see Bloom Energy’s results “through the eyes” of management. Bloom Energy further believes that providing this information better enables Bloom Energy investors to understand Bloom Energy’s operating performance and to evaluate the efficacy of the methodology and information used by Bloom Energy management to evaluate and measure such performance. Disclosure of these non-GAAP financial measures also facilitates comparisons of Bloom Energy’s operating performance with the performance of other companies in Bloom Energy’s industry that supplement their GAAP results with non-GAAP financial measures that may be calculated in a similar manner.
View source version on businesswire.com: https://www.businesswire.com/news/home/20241107734576/en/
Investor Relations:
Michael Tierney
Bloom Energy
investor@bloomenergy.com
Media:
Katja Gagen
press@bloomenergy.com
Source: Bloom Energy
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