FuelCell (FCEL) Q3 Loss Wider Than Expected, Sales Beat
FuelCell Energy, Inc. FCEL incurred third-quarter fiscal 2022 net loss of 8 cents per share, wider than the Zacks Consensus Estimate of a loss of 6 cents. The metric compared unfavorably with the year-ago loss of 4 cents per share.
Total Revenues
FuelCell’s total revenues came in at $43 million, surpassing the Zacks Consensus Estimate of $37 million by 16.2%. The top line improved 59.3% from the year-earlier period.
FuelCell Energy, Inc. Price, Consensus and EPS Surprise
FuelCell Energy, Inc. price-consensus-eps-surprise-chart | FuelCell Energy, Inc. Quote
Segmental Details
Product: Total revenues were $18 million compared with no revenues in the prior-year period. The increase in product revenues was the result of module sales to Korea Fuel Cell Co.
Service: Total revenues were $9 million, down 37% year over year. The decrease in revenues was primarily due to fewer module exchanges and fewer non-routine maintenance activities during the third quarter of fiscal 2022 compared with the previous-year period.
Generation: Total revenues of $10.9 million improved 75.8% year over year. This rise was owing to the completion of the Long Island Power Authority (“LIPA”) Yaphank project during the three months ended Jan 31, 2022, and the higher operating output of the generation fleet portfolio as a result of module exchanges during the last nine months of fiscal 2021.
Advanced Technologies: Total revenues decreased 17% year over year to $5.2 million.
Highlights of the Release
The company incurred a gross loss of $4.2 million against a gross profit of $1.1 million in third-quarter fiscal 2021.
Total operating expenses rose 103.4% year over year to $23.8 million. FCEL incurred research and development expenses of $9.7 million during third-quarter fiscal 2021, which reflects increased spending on the company’s ongoing commercial development efforts related to its solid oxide platform and carbon capture solutions compared to the comparable prior year period.
Interest expense for the reported quarter was $1.6 million, up 4.4% from the prior-year level.
Backlog at the end of third-quarter fiscal 2022 was $1.28 billion, marginally lower than $1.29 billion registered in the year-ago period.
Financial Update
Cash and cash equivalents (unrestricted) as of Jul 31, 2022 were $456.5 million compared with $432.2 million on Oct 31, 2021.
Long-term debt and other liabilities as of Jul 31, 2021 were $82.3 million compared with $78.7 million on Oct 31, 2021.
Zacks Rank
Currently, FuelCell has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Upcoming Releases
Plug Power Inc. PLUG is expected to report third-quarter 2022 results on Nov 8. The Zacks Consensus Estimate for the bottom line is pegged at a loss of 22 cents per share.
Ameresco, Inc. AMRC is expected to report third-quarter 2022 results on Nov 7. The Zacks Consensus Estimate for earnings is pegged at 49 cents per share.
Ballard Power Systems BLDP is expected to report third-quarter 2022 results on Nov 14. The Zacks Consensus Estimate for the bottom line is pegged at a loss of 14 cents per share.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Ballard Power Systems, Inc. (BLDP) : Free Stock Analysis Report
Plug Power, Inc. (PLUG) : Free Stock Analysis Report
FuelCell Energy, Inc. (FCEL) : Free Stock Analysis Report
Ameresco, Inc. (AMRC) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
